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{
"id": 1625552,
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"speaker": null,
"content": "BILL"
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"id": 1625553,
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"content": "Second Reading"
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"content": "THE COUNTY ALLOCATION OF REVENUE BILL (SENATE BILLS NO.9 OF 2025)"
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"type": "speech",
"speaker_name": "Sen. Tabitha Mutinda",
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"content": "Madam Temporary Speaker, I beg to move that the County Allocation of Revenue Bill (Senate Bills No.9 of 2025) be read a Second Time."
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{
"id": 1625556,
"url": "http://info.mzalendo.com/api/v0.1/hansard/entries/1625556/?format=api",
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"type": "speech",
"speaker_name": "Sen. Mumma",
"speaker_title": "The Temporary Speaker",
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"content": " Sen. Cherarkey, I think you were here when the Speaker guided on what should happen. I think you are stretching your luck. Please, sit down and listen carefully."
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{
"id": 1625557,
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"speaker": null,
"content": "(Sen. Cherarkey spoke off record)"
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"id": 1625558,
"url": "http://info.mzalendo.com/api/v0.1/hansard/entries/1625558/?format=api",
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"type": "speech",
"speaker_name": "Sen. Mumma",
"speaker_title": "The Temporary Speaker",
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"content": "So, you want to exchange with me on that now? Proceed, Sen. Tabitha Mutinda."
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"id": 1625559,
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"type": "speech",
"speaker_name": "Sen. Tabitha Mutinda",
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"content": "Madam Temporary Speaker, the County Allocation Bill, 2025 was tabled before this House as per our Standing Orders. The County Allocation Bill, 2025 has been prepared in accordance with Article 218(1) of the Constitution. The Bill divides among counties the revenue allocated to the county level of government through the Division of Revenue Act. The Act does provide for the Financial Year 2025/2026 allocation. Through the Committee that I serve as the Vice-Chairperson, we proposed Kshs465 billion. The National Assembly had proposed Kshs405 billion. This resulted to a mediation process. I sat with my other colleagues in the Mediation Committee to mediate on the Division of Revenue and we unanimously and finally agreed on Kshs415 billion. The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
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"type": "speech",
"speaker_name": "Sen. Tabitha Mutinda",
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"content": "Madam Temporary Speaker, as I proceed, I would like to state that the Bill contains two Schedules. It will be important for colleagues to know that in these two Schedules, we have the Fourth Schedule which divides the county equitable share amongst counties, in accordance with the Fourth Basis of revenue allocation. Before we got into this level, we had to look at the parameters that we went through from what the stakeholders had submitted, starting with the Commission on Revenue Allocation (CRA). We tabled this to the House as far as the formula is concerned. I am happy that colleagues agreed and hence, I am here before this House to table the Bill. The Fourth Schedule provides that the first Kshs387.425 billion is the baseline allocation and is to be shared on each county's allocation for Financial Year 2024/2025. Remember, that this Kshs387.425 billion is the previous allocation and where we are at Kshs415 billion, which is an increment of Kshs28 billion to the counties. The next is Kshs4.46 billion, which is an affirmative action which we agreed that it be shared to the 12 counties; Elgeyo Marakwet, Embu, Isiolo, Kirinyaga, Laikipia, Lamu, Nyamira, Nyandarua, Samburu, Taita Taveta, Tharaka Nithi and Vihiga. These are the counties whose allocation has been below Kshs6 billion. Apparently, it is only the county of Lamu as per the Schedule that is still below, but the rest were able to at least achieve the Kshs6 billion. Madam Temporary Speaker, the balance which amounts to Kshs23.115 billion was now shared as per the four parameters that we agreed on as a House and as a Committee; whereby the population weight was settled at 45 per cent. The poverty index weight was also settled at 12 per cent and the geographical size index settled at 8 per cent. Remember, this is the discussion we had on the issues of land. We said land does not increase in this country and we, therefore, felt that the parameter should not be increasing. The basic share index was also settled at 35 per cent, which brings a total of 100 per cent in these four parameters. Therefore, it is important that when Members look at the Schedule, this is how these figures have been achieved. The Second Schedule to the Bill has also provided a recurrent expenditure budget ceiling for county assemblies. The Committee during this just recent recess period sat with over 20 county assemblies, looking at their requests as far as their expenditure budget ceilings because the county assemblies were concerned. In this Second Schedule, we looked at the needs and considered, in terms of the different issues they presented to us. In the processing of it, you will find that some of these budget changes were brought about by the issue of the inflation. Some assemblies also pointed out on the increased medical costs because they needed to cover their Members or their staff. Some of them needed to purchase office equipment and some of them needed mobility as far as transport was concerned. This is because, you will find that some counties have different types of hardships. We looked at different issues that the county assemblies presented and ensured that we adjusted their ceilings depending on the different needs that they presented before the Committee. Madam Temporary Speaker, allow me to recognize the different stakeholders that we walked this journey with led by none other than Hon. Mbadi, the Cabinet Secretary for National Treasury and Economic Planning on the Division of Revenue and the The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
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"id": 1625561,
"url": "http://info.mzalendo.com/api/v0.1/hansard/entries/1625561/?format=api",
"text_counter": 312,
"type": "speech",
"speaker_name": "Sen. Tabitha Mutinda",
"speaker_title": "",
"speaker": null,
"content": "Council of Governors (CoG). Remember, their proposal was Kshs536 billion. However, as a House, we have given Kshs28 billion as an increment. I would like to tell the governors that this is not their money. This money is not given to governors as individuals. It is given to the institution - the county which has structures and the Governor is the Chief Executive Officer (CEO). It is prudent that with this increment, they should prioritize the issue of pending bills. We push a lot for them to have these increments and we also push for them to have timely disbursements. They should also do the needful and ensure that suppliers are paid and are paid on time. We have worked closely with the CRA and we continue working closely with them. They are the ones who submitted their first formula and we dug deeper into the formula they had presented. The County Assemblies Forum (CAF) have a structure and they have a body which we closely worked with. We also worked with the Institute of Public Finance (IPF), the Institute of Certified Public Accountants of Kenya (ICPAK), the Institute of Economic Affairs (IEA Kenya), the Institute of Social Accountability (TISA) and the Budgeting Hub. These are institutions we worked closely with in order to ensure that we maximized when it came to matters public participation. Madam Temporary Speaker, the Committee, having considered the Bill and stakeholders’ submissions, we made several observations which included sharing of the revenue amongst the counties, the Kshs415 billion as per the two Schedules I have communicated on - The First Schedule, which is the fourth basis and the Second Schedule for the county assemblies. The overall ceiling to the counties assemblies has been enhanced by Kshs1.89 billion from the approved Kshs36.37 billion for the 2024/2025 Financial Year to Kshs38.26 billion proposed for the 2025/2026 Financial Year. The county executive ceilings as provided by the CRA reveal a significant shift from the previous financial year, with a Kshs10.3 billion decline. The CRA indicated that this was informed by the quantification and various expenditure needs. There are various expenditure needs that have also arisen, especially in the county assemblies due to time lapse. For instance, the HANSARD systems that have lapsed over the years and this needed to be put into the modern digital standards that are in place. Madam Temporary Speaker, as I conclude, I would want this Bill to be adopted. I also extend the same gratefulness to my Committee Members whom we work closely with. You will realize that our Bills at the Committee on Finance and Budget are timely Bills. I also appreciate because you have to re-adjust and re-arrange the Order Paper because of the timelines that we have as far as these Bills are concerned. There is also the secretariat who have worked closely with us as well as all the stakeholders I have mentioned. Madam Temporary Speaker, I request to call Sen. Cherarkey to second."
}
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