MCAs ‘took home Sh3bn in allowances’

Ward representatives were paid Sh3 billion sitting allowances during the last financial year.

A report by the Controller of Budget shows that this is an increase of about Sh600 million from the Sh2.4 billion paid out to ward reps as sitting allowances in the previous financial year.

Nairobi had the highest expenditure on county assembly members’ sitting allowances at Sh150 million followed by Kakamega (Sh147 million), Migori (Sh130 million), Homa Bay (Sh126 million) and Kisii (Sh118 million).

Counties which spent the lowest amounts on sitting allowances, according to the Annual County Budget Implementation Review Report (CBIRR) for 2014/2015, are Tharaka-Nithi (Sh20 million), Laikipia (Sh17 million) and Isiolo (Sh13 million).

The report singles out Turkana County for spending Sh54 million on members’ sitting allowances, which exceeded its annual Sh10 million allocation by a massive 494 per cent.

Other counties that exceeded their annual budgets for MCAs’ allowances are Kisii (134.6 per cent), Murang’a (126.3 per cent), Nyandarua (112.2 per cent), Bomet (111.2 per cent), Siaya (110.1 per cent) and Nyeri (105.6 per cent).

TRAVEL EXPENDITURE

The CoB recommends that the excess expenditure on domestic and foreign travel be investigated and remedial action taken to recover the money.

The report notes that counties that recorded the lowest amounts on MCAs’ sitting allowances to their respective annual budgets were Tana River (44 per cent), Mandera (43.8 per cent) and Wajir (37 per cent).

The Controller of Budget adds that the average sitting allowances paid to MCAs of Bomet, Bungoma, Busia, Homa Bay, Kakamega, Kirinyaga, Kisii, Kisumu, Lamu, Migori, Murang’a, Nyamira, Nyandarua, Nyeri, Siaya, Trans Nzoia, Turkana, Vihiga and Wajir counties exceeded the Sh124,800 ceiling set by the Salaries and Remuneration Commission.

The CoB also notes that the 47 counties spent Sh9 billion on domestic and foreign travel, up from Sh7.7 billion in the previous financial year.

The report shows that Kiambu County spent the highest amount on domestic and foreign travel at Sh370 million followed by Kajiado (Sh354 million), Nairobi (Sh340 million) and Turkana (Sh294 million).

Conversely, Mombasa (Sh22 million), Vihiga (Sh84 million), Kirinyaga (Sh95 million) and Elgeyo-Marakwet (Sh104 million) had the least expenditure on domestic and foreign travel.

OVERSPENDERS

The report indicates that 14 counties exceeded their annual allocation for domestic and foreign travel. These are Baringo, Bomet, Embu, Homa Bay, Kericho, Kisii, Machakos, Murang’a, Nakuru, Siaya, Trans Nzoia, Vihiga, Wajir and West Pokot.

The CoB recommends that an audit of the domestic and foreign travel costs be conducted to ascertain the validity of the expenditure.

The report further notes that Turkana County recorded the highest expenditure on development projects during the financial year at Sh5.78 billion, followed by Mandera (Sh4.9 billion) and Wajir (Sh3.9 billion).

On the other hand, Lamu (Sh575 million), Embu (Sh625 million), Kirinyaga (Sh902 million) and Tharaka-Nithi (Sh906 million) spent the least amounts on development.

The report, however, says Homa Bay, Bomet and Nandi counties had the highest absorption rate of the annual development budget at 101.2 per cent, 99.6 per cent and 92.1 per cent respectively.

Embu, Tana River, Makueni and Nairobi counties had the lowest absorption of the annual development budget at 39.5 per cent, 38.4 per cent, 37.3 per cent and 33.5 per cent respectively.

REVENUE COLLECTION

Counties that recorded the highest amounts of local revenue were Nairobi (Sh11 billion), Mombasa (Sh2.4 billion), Nakuru (Sh2.2 billion), Kiambu (Sh2.1 billion) and Narok (Sh1.6 billion), the report states.

Conversely, counties that raised the least amounts in local revenue were West Pokot (Sh103 million), Marsabit (Sh99 million), Mandera (Sh87 million), Lamu (Sh61 million) and Tana River (Sh33 million).

In total, county governments received Sh228 billion from the Consolidated Fund during the year ending June 2015.

Nairobi received the highest amount of Sh11 billion followed by Turkana (Sh9 billion), Kakamega (Sh8 billion), Mandera (Sh7.8 billion) and Nakuru (Sh7.4 billion).

Counties that received the least amounts were Tharaka-Nithi (Sh2.7 billion), Isiolo (Sh2.6 billion) and Lamu (Sh1.8 billion).

The CoB lists several challenges that undermine effective use of county funds.

These include the cash payments and the manual processing of ward employees’ wages under the county assemblies, contrary to government policy on automation of all financial transactions.

The report also singles out poor revenue collection in a number of counties, delays in reporting on public funds under the counties and the reallocation of Exchequer releases between spending units without following the law.