Wamalwa calls on senators, MPs to end row on county cash

Devolution Cabinet Secretary Eugene Wamalwa has blamed the current stalemate between the Senators and MPs over revenue allocation to counties on rivalry between the two Houses.

The CS also backed Constitutional changes that will define the roles of the Upper House, saying that will effectively cure the rivalry being witnessed currently.

"Hii katiba ina tiba. (this Constitution has a cure), The stand-off is ideally due to sibling rivalry. Once the Upper House's roles are identified after a referendum, these tussles will be a thing of the past,” said Mr Wamalwa, who spoke during a forum to deliberate on the future of devolution at the Sarova Woodlands Hotel in Nakuru Town on Thursday.

STALEMATE

While assuring participants in the conference, on the national government's commitment towards strengthening devolution, Mr Wamalwa called on the parties involved in the stand-off to seek an out of court settlement and unlock the stalemate that threatens the well-being of counties.

"Let us reason together, for the good of devolution. Expect unwavering support from President Uhuru Kenyatta in supporting devolution. I urge Senators, MPs and governors to meet and resolve the differences," he said.

The Division of Revenue Bill which seeks to allocate funds between the two levels of government has left the Senate and the National Assembly sharply divided. This has affected the running of counties.

The Senate recently passed their own version of the Division of Revenue Bill, 2019 without making any amendments.  

It settled on Sh335 billion as the equitable shareable revenue for counties in the 2019/20 financial year while the National Assembly proposed Sh316 billion as funds for counties.

Mr Wamalwa also challenged county governments to grow revenue streams and avoid over-reliance on the national government.

REVENUE BASE

"I call on the 47 counties to double their local revenue bases, the national government is ready to support counties to end over-reliance of counties on the central government," said Mr Wamalwa.

He lamented that local revenue collection by counties had been dwindling, saying there was need to streamline and diversify own revenue sources.

According to Mr Wamalwa, allocations of revenue to counties has been on a steady rise since the advent of devolution.

He, however, admitted that devolution has been facing serious challenges. He said that through dialogue and Constitutional changes, the challenges will be overcome.

Among the challenges, he said included an ever growing wage bill that stood at Sh120 billion in the 2018/19 financial year and over-reliance of shareable revenue, among others.

Council of Governors Chairman Wycliffe Oparanya said that corruption and tribalism were hindering development in counties. 

Mr Oparanya said that although many Kenyans appreciate devolution, accountability was still a challenge in the counties.

INEQUALITY

“Inequality is also still a problem, some wards are favoured than others and has made devolution to lose support among citizens,” Mr Oparanya said.

He said that the existing gaps in devolution have to be addressed through a referendum or any other legal framework.

They were speaking in Nakuru on Thursday during the opening of a three-day devolution meeting.

Mr Oparanya questioned why the controller of budget had delayed the transfer funds to the existing regional blocs.

"We had come up with projects through the economic blocs but we are being frustrated by the national government,” Mr Oparanya said.  

County Government employees have not been paid since June because of the delay in the passage of Division of Revenue Bill and County Allocation Revenue.

CRISIS

The meeting under the theme- “Future of Devolution” was attended by several governors, senators, legal experts, public finance management experts, representatives from the Treasury and representatives from human rights bodies.

In the meeting, the country’s current in a fiscal crisis will be discussed. There will also be a discourse on the economic performance which is heavily affected by the ballooning debt.

Those present at the Nakuru conference include County Assemblies Forum chairman Johnson Osoi and over ten governors among them James Ongwae (Kisii), Martin Wambora (Embu), Sospeter Ojamoong (Busia), Joseph ole Lenku (Kajiado), Wilber Otichilo (Vihiga), Mutahi Kagwe (Nyeri) and Trans-Nzoia Governor Patrick Khaemba and Anyang Nyong’o (Kisumu).

Reports by Samuel Kazungu, Stella Cherono and Eric Matara