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{
    "id": 1419501,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1419501/?format=api",
    "text_counter": 202,
    "type": "speech",
    "speaker_name": "Sen. Wambua",
    "speaker_title": "",
    "speaker": {
        "id": 13199,
        "legal_name": "Enoch Kiio Wambua",
        "slug": "enoch-kiio-wambua"
    },
    "content": "Thank you, Mr. Speaker, Sir. I am fully in support of the amendment as moved and seconded on the Floor. When we were debating the original Motion, Members raised concerns over the issue of the CoB all the time just approving payments and releases to county governments, even when there was a serious and consistent accumulation of pending bills. I fully support the proposal in the amendment that now before the CoB authorizes any further exchequer releases to county governments, the CoB must satisfy himself or herself that the county governments have no pending bills and where there are pending bills, then those pending bills become the first charge on the county revenue fund. I know at the initial stages, this will present serious challenges to the cash flow in county governments. I want to take the example of Kitui County, where we have a budget pending bills of around Kshs400 million and the Nairobi City County Government, where there is a pending bill of Kshs107 billion. Then the question that we should ask ourselves would be; if the CoB must insist on the full settlement of pending bills, how many years will it take for county governments to begin to receive any exchequer releases from the Treasury? That challenge is cured by subsection (ii), which states that the Controller of Budget will take into consideration the efforts made by a county government to clear inherited pending bills when approving exchequer releases. By dint of that provision, then a demonstration on the part of county governments that they are making efforts to clear pending bills would result in an arrangement between the office of the Controller of Budget (CoB) and the county executives on a percentage or a quantum of release that would ensure sufficient cash flow, to deal with issues outstanding in the counties even as they move towards the payment of pending bills. Lastly, this amendment is timely. The other thing that this amendment should do is to provide a timeframe within which we should not have any pending bills in any county government. The Public Finance Act is clear that before county governments commit themselves to any expenditure, there must be satisfaction in writing that the money for the projects earmarked is available and ringfenced, so that once the projects are completed, payments are made. It is possible for a county government to operate without pending bills. 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."
}