MPs propose Sh18bn budget

MPs are seeking Sh18.1 billion for their budget in the next financial year.  

The vice chairman of the Parliamentary Service Commission Adan Keynan tabled the money needs for the august House in Parliament Wednesday.

The legislators want the Treasury to set aside Sh500 million to cover for the taxes of MPs of the Tenth Parliament between July 1, 2012 when the financial year begins, to January 15, 2013 when the its term expires.

The Sh500 million will bring the total tax bill that taxpayers foot for MPs to Sh2.5 billion.

The tax bill has been accumulating since August 27, 2010, when the new Constitution was promulgated.

MPs have enjoyed tax free perks since 1975 but this changed when the country ushered in the new set of laws.

In the estimates, signed by Speaker Kenneth Marende, the MPs have followed up on their legislative raid on the Exchequer, in which, they approved an amendment in the Finance Bill, 2011, to double their send-off package.

They have asked for Sh868 million “which will be used to cater for the payment of winding-up allowances of the MPs at the expiry of their five-year parliamentary term and also pay for gratuity to former MPs”.

This means that each of the MPs in the Tenth Parliament will earn Sh3.72 million just for having been in Parliament. It is a form of gratuity and MPs insist that because other civil servants earn a gratuity, then they too, should not be left out.

The Sh18.1 billion budget is double the amount of money MPs asked for in the current financial year. The budget ballooned because the new Parliament will have 418 MPs, with a 350-member National Assembly and a 68-member Senate.

The lawmakers are unbowed by the legal requirement to leave the issue of pay to the Salaries and Remuneration Commission. They have maintained their basic salary at Sh200,000 and also maintained their colossal perks in the projections of their budget needs in the next three years.

The PSC has budgeted the salary of senators at Sh205,882, clearly indicating that the Salaries and Remuneration Commission will just have to deal with the emoluments.

They have provided Sh1.4 billion for new cars for each of the 418 MPs as soon as they get elected. Currently, each new MP gets Sh3.3 million to buy a new car.

A new official residence for the Speaker of the Senate will cost the taxpayer Sh150 million.

The refurbishment of buildings, the Old Chambers, where MPs are currently sitting, to accommodate Senators, will cost Sh700 million. Add to that Sh45 million for official vehicles for some select senators, the clerk of the Senate and the Speaker.

Furniture and “institutional equipment”, such as the mace and hour-glass, will cost the taxpayer Sh30 million for the Senate.

The PSC has also created the office of Director-General, which will gobble a whopping Sh1.6 billion. The bulk of that money, Sh700 million will be spent on a new building for MPs and staff.

Currently MPs for the 210 constituencies have offices at Continental House, but with 208 new lawmakers expected, the House will have to get a building for the MPs and the expanded Parliamentary Service Commission.

A new office block will cost Sh500 million and the refurbishment of Harambee Plaza where some of the MPs’ offices are located will cost Sh401 million.

The MPs have also figured in Sh1.2 billion for the purchase of Protection House for use by Parliament and Sh20 million for the purchase of vehicles. Gym equipment and catering money will cost Sh13 million, while furniture will cost Sh15 million.

The Centre of Parliamentary Studies in Nairobi’s Karen area –the school for MPs and staff of the august House—will take up Sh300 million of Parliament’s Development Budget, with Sh100 million for construction of buildings and Sh200 million for more land for expansion of the institute.

More millions have been earmarked for MPs travels in the country and out of the country. These trips plus re-imbursements for mileage will cost the taxpayer Sh943 million. Their perks will cost the taxpayer Sh2.4 billion.