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{
    "id": 1462661,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1462661/?format=api",
    "text_counter": 230,
    "type": "speech",
    "speaker_name": "Sen. Tabitha Mutinda",
    "speaker_title": "",
    "speaker": null,
    "content": "This budgetary reduction was affected during the Supplementary Estimates for the Financial Year 2023/2024 due to the significant delay in the passage of the Equalization Fund Appropriation Bill into law. I emphasized on the issue of the delay and significant delay for that matter. On our side as the Senate, we have ensured that we have done timely approval and passage of the same Bills after concurrence. Nonetheless, there has been a delay, which now affected this appropriation. Madam Temporary Speaker, at the sitting of the Senate on 3rd July, 2024, the Speaker of the Senate on the Floor of this House made the same communication regarding the amendments by the National Assembly on the same Bill and these issues were referred to our Committee. Through the membership of the same Committee where I am always very grateful to sit, two issues were noted; that there is a routine tendency on reduction of allocations to the Equalization Bill among other amounts. As we have also seen in the Division of Revenue, the National Assembly has always alluded to and executed reductions of funds that the Senate does allocate. This Equalization Fund has been affected by the same. There has been massive reduction. It is good for the House to note that the total allocation for this Fund since inception amounted to Kshs62.4 billion. However, there have been arrears because the only disbursement that has been done is Kshs22.4 billion. As I speak, there are actual arrears amounting to Kshs48.8 billion. As much as we, as Senators, do highly support devolution, we know the purpose of the Equalization Fund. Therefore, without the adherence to the law and the effects that come with it, then it affects the achievements that needed to be met with the Equalization Fund. This is due to simple terms of English that I keep on repeating and saying, delay. In this regard, the National Treasury had also not honoured its commitment to the Senate, that the arrears due to the Equalization Fund will progressively be provided in the budget and transferred to the Appropriation Fund for its utilization. We had as a committee summoned the former Cabinet Secretary for National Treasury and Economic Planning on the same. He gave his word that these funds would be disbursed on time. We did our due diligence as required, but to our disappointment this had never been effected. Additionally, the Equalization Fund Appropriation Act, which is in place, does not have any resource allocation. Notably, the National Treasury committed to the committee that this amount would be allocated in the supplementary budget for financial year 2023/2024, but it was not done. The Equalization Appropriation Bill was meant for the financial year 2023/2024, which has also lapsed. As a committee, we deliberated very much on this issue as far as the amendments of the National Assembly were concerned. We came to a conclusion that the Senate Committee on Finance and Budget rejects the amendments of the National Assembly on the Equalization Fund. Madam Temporary Speaker, this is where I would want the House to support our recommendations as a Committee. If we continue allowing for the reductions to be always The electronic version of the Senate Hansard Report is for information purposes only.A certified version of this Report can be obtained from the Director, Hansard and Audio Services,Senate."
}