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{
    "id": 1566175,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1566175/?format=api",
    "text_counter": 225,
    "type": "speech",
    "speaker_name": "Sen. Olekina",
    "speaker_title": "",
    "speaker": null,
    "content": "Mr. Deputy Speaker, Sir, one of the biggest challenges that I see is that sometimes there is a huge disconnect. I strongly believe that the Committee on Finance and Budget of the National Assembly and the Senate Standing Committee on Finance and Budget should sit together and try to make sense of the Division of Revenue Act (DORA). Before it comes here, we waste time, debate and try to drill some sense into how money should be divided using the Constitution, but we seem to be getting nowhere. We are trying to drill wisdom to the Committee on Finance and Budget of the National Assembly. There is no way for them to propose to give counties Kshs405 billion yet expenditures like the Housing Levy, Social Health Insurance Fund (SHIF) and the National Social Security Fund (NSSF) takes a whopping Kshs31 billion. Are we really supporting these counties? Even if you take the Kshs387 billion plus the Kshs31 billion, it gives you Kshs418 billion. We need to be candid enough. If we are supporting devolution, we do so with facts. Let us put facts on the table and try to educate these people on the need to ensure that we maintain our fiduciary responsibility. Mr. Deputy Speaker, Sir, the reason many people blame the Controller of Budget (CoB) is because she does not read the Constitution and the laws. The other day we were arguing about money being sent to Nyamira County. Some of us were blaming the CoB for releasing money to two different assemblies yet we have a law that all of us must read and understand. If you read Sections 103 and 104 of the Public Finance Management (PFM) Act, it is clear. Section 103 talks of establishment of the County Treasury. Section 104 says that the Head of the County Treasury shall be the County Executive Committee Member (CECM) in charge of Finance and Economic Planning. Only The CECM in charge of Finance and Economic Planning can be sent requisitions to the CoB. We need to be clear here because sometimes we talk yet we do not have facts. Today, I want to demystify this issue of the Division of Revenue Bill. This Constitution, which all of us read on a daily basis is quite clear. Article 201 talks about a fiduciary responsibility. It says- “The following principles shall guide all aspects of public finance in the Republic— (a) there shall be openness and accountability, including public participation in financial matters; (b) the public finance system shall promote an equitable society, and in particular— (i) the burden of taxation shall be shared fairly; (ii) revenue raised nationally shall be shared equitably among national and county governments; and (iii) expenditure shall promote the equitable development of the country, including by making special provision for marginalised groups and areas” Mr. Deputy Speaker, Sir, in reference to the Equalisation Fund, already there is a mistake in this report. I hope that when a report is tabled, we go through it. The Equalisation Fund is not owed Kshs2.7 trillion, but it is owed Kshs27 billion. So, that should be corrected in this report. The Senate Committee on Finance and Budget is proposing that the money which should be set aside for the Equalisation Fund be Kshs9 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."
}