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{
    "id": 1460784,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1460784/?format=api",
    "text_counter": 336,
    "type": "speech",
    "speaker_name": "Tinderet, UDA",
    "speaker_title": "Hon. Julius Melly",
    "speaker": null,
    "content": "they ensured that the revenue shared with the counties was in line with the Constitution. They also looked at non-essential areas to reduce the budget. Hon. Temporary Speaker, I laud my colleagues for emphasising that this Bill is timely and aims to illustrate the concept of living within our means. The Bill cuts expenditure at the county level, the legislature and all the other arms of Government, such as non-essential travel. The Office of the President has also undergone budget cuts as outlined in the Bill. I urge the Budget and Appropriations Committee to explore ways to incentivise other sectors of the economy so that we can generate more revenue without increasing taxes. The Kenya Revenue Authority (KRA) can pinpoint those areas, especially within the high revenue bracket, for us to expand the tax base. Kenyans did not want us to raise taxes through the Finance Bill 2024, but we can still incentivise certain companies and large taxpayers to boost revenue. County governments also need to follow suit by reducing expenditure on non-core areas and supporting the growth of small and medium-sized enterprises (SMEs). Large counties like Eldoret, Kisumu, Mombasa and Nairobi need to strategise on how businesses can thrive to raise their revenue, instead of solely relying on the national Government. This Division of Revenue Bill is based on the last audited accounts, as rightly stated by the Chairperson of the Budget and Appropriations Committee. I commend the Committee for that because they have managed to allocate 24 per cent as per the last audited accounts. Hon. (Dr.) Makali Mulu, who is an authority in this field, has also highlighted this. While considering the last audited accounts, it is important to assess the performance of previous remittances to both the counties and the national Government. This evaluation will help us identify areas that have the potential to yield higher returns on investment. Now, allow me to touch on the education sector and other important sectors in this country. Education is a service-providing industry, and it is crucial to have a well-educated civil service and population. This will enable them to understand Government policies and programs more effectively. This makes it easier for the Government to implement programmes even in the rural areas. Therefore, it is essential for implementing officers such as chiefs, county government officials and ward representatives to be well informed. Investing in those sectors is a great service to our country. The other issue that I really want us to look at as a House is that as much as we give a lot of money to the county governments, how effectively is that particular money used? What is the effect of the money that is sent to counties vis-a-vis the other forms of funding? We have the NG-CDF which is a very small fund. The Budget and Appropriations Committee and the Ministry of National Treasury and Economic Planning should look at the impact of each and every coin that is sent to counties. County governments have been in existence for around 10 years. It is time we review them and look at how effective the funds we give to them are used, so that we can spur development, growth and grow the economy. We cannot continuously rely on the national Government to be the only source of raising revenue. It will reach a time when what the national Government raises cannot be able to run both the 47 county governments and the national Government entity. Secondly, let us also look at every function that is devolved and cost it so that when we send money for health to counties, we are sending an adequate amount of money. That will enable us to have drugs in those hospitals and enough money for roads, water and other services. Even if those monies are not enough, how efficient and effective are county governments structures in making sure that the money remitted is effective on the ground? I have gone across counties and constituencies in this country. The NG-CDF can easily be seen in terms of school development and infrastructure on what the NG-CDF has been mandated to do, and even the construction of police stations and roads. That is because even though Kenya Rural Roads Authority (KeRRA) is not a function of the NG-CDF, it is sent through the constituency roads committees. In effect, it is important to make county The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}