Resolve stalemate on revenue sharing fairly

What you need to know:

  • Previously, population, poverty and land size were leveraged for resource allocation.
  • At least 18 counties, mainly in Northern Kenya and parts of Coast and the Rift Valley, are affected.

The stalemate on the new formula for allocating cash to counties has dragged on for far too long. This is why the special session of Senate scheduled for tomorrow has to find an amicable way to resolve it. The facts of the matter are as follows.

The Commission on Revenue Allocation (CRA) has crafted a new formula for sharing revenue based on functions, population and poverty levels. On the first account, the premise is that cash follows functions. In that context, priority of funding is put on health, a function which has been devolved to counties. Population and poverty levels remain centres of focus. However, the percentages have been revised.

Previously, population, poverty and land size were leveraged for resource allocation. However, in the revised method, counties with a large population but small land size will get more cash compared to those with small population but large land mass.

URBAN DEMOGRAPHICS

At least 18 counties, mainly in Northern Kenya and parts of Coast and the Rift Valley, are affected. They stand to lose some cash they used to receive. In contrast, highly populated counties like Kiambu, which have high concentration of urban demographics, are bound to get more money.

It is this variance that has created an impasse. Senators and governors from the counties negatively affected have raised the alarm; arguing they are being disadvantaged because of their population yet their regions have historically been marginalised.

Yet, according to the CRA, the new method will not only align funding to functions assigned to county governments and enhance service delivery, but they will also address developmental gaps.

The principle, however, has to be interrogated. Which is what the Senate should do but do it soberly, without adopting a hard stance and seeking to score political goals.

CRITICAL PRINCIPLES

Equity and fairness are critical principles in the Constitution.  The challenge now is that besides disagreement over the sharing formula, there is also politics at play. Debate is weighed against party, ethnic and political considerations. Some senators would want to shoot down the new formula purely to hurt the administration while others would want to support it just because the proponents are their allies. Either of those considerations is misguided. 

Senators should take an objective and critical assessment of the new method and make the right decision. If it is deemed necessary, then they should make amendments and pass it. For there is a risk that failure to pass the motion would block cash disbursement to counties and paralyse their operations.