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{
    "id": 1161570,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1161570/?format=api",
    "text_counter": 166,
    "type": "speech",
    "speaker_name": "Sen. (Eng.) Hargura",
    "speaker_title": "",
    "speaker": {
        "id": 827,
        "legal_name": "Godana Hargura",
        "slug": "godana-hargura"
    },
    "content": "in mind always because, there was a time there was an attempt to reduce the revenues going to the county because there was under collection. If you look at the main items in the Schedule, we are talking of the total sharable revenue, then the National government, the equalization fund and the county funds. This year, the total sharable revenue is estimated to be Kshs2.114 trillion where the National government is to get Kshs1.764 trillion. Kenya shillings 7 billion is supposed to go to equalisation fund and the county government equitable share is proposed to be Kshs370 billion. It should not be lost on anybody that this is exactly the same amount allocated in the last financial year to the counties, while the total sharable revenue has increased by 20 per cent. This is because the last financial year it was Kshs1.7 trillion and now, this financial year we are having, Kshs31.765 trillion and this financial year we are having Kshs2.141 trillion. That is an increase of about 20 per cent and yet, there is no increase to the county governments. Even if you just take into account inflation which is estimated to be 5.4 per cent this year, that will mean that, for you to still maintain that level of budget in terms of service delivery, then you should have increased at least by that 5.4 per cent which will be some extra Kshs22 billion. If you go by the increase in revenue, that would mean an increase of 20 per cent, which would be about Kshs74 billion. The total increase of the equitable share could have been between Kshs450 billion to Ksh470 billion in total. That would be an increase of Ksh80 billion to Kshs100 billion but we do not see that. The rationale behind keeping the county share fixed or stagnant at Kshs370 billion while the sharable revenue has increased by 20 per cent and there is inflation of 5 per cent, needs to be explained. As Senators, our main responsibility is to protect the interest of the counties and their governments, and one of the major interest is what they get as equitable share. In that case, I personally do not agree with giving the counties Kshs370 billion. It should be from Kshs450 billion upwards. This is because, even if you take into account only the inflation without any change of revenue, we should be talking about KShs392 billion. However, we know very well revenue has increased by 20 per cent and therefore, it should be much more than that. Therefore, a minimum of Kshs450 billion to the counties, should be what you should be advocating for as Senate, whose responsibility is to take care of the interests of the counties and their governments. Madam Temporary Speaker, on the issue of the Equalization Fund, this is a fund which is clearly in our Constitution because of our acknowledging that parts of this country have been left behind. There has been marginalization in many parts of this country and that is why in Article 204 of the Constitution we clearly indicated that there shall be an equalisation fund, which will be 0.5 per cent of the most recent audited revenue. This fund has never been utilized to date. It was only once when it was attempted and even then it was stopped. If you go by the Constitution, it is very clear, it says that, 0.5 per cent of the most recent amount need to be allocated. It then says, for it to be used, the Commission for Revenue Allocation (CRA) shall be consulted and its"
}