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{
"id": 186027,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/186027/?format=api",
"text_counter": 234,
"type": "speech",
"speaker_name": "Mr. Shitanda",
"speaker_title": "The Minister for Housing",
"speaker": {
"id": 207,
"legal_name": "Peter Soita Shitanda",
"slug": "soita-shitanda"
},
"content": " Mr. Deputy Speaker, Sir, on 29th July, 2008, Dr. Khalwale stood on a point of order requesting to know why the Government had changed its mind about the sale of non-strategic Government houses in the districts to civil servants. I wish to respond to that request as follows. Prior to July, 2001, the Government provided subsidised housing to its employees through allocation of Government owned or leased houses or paid them house allowances. This arrangement provided a number of challenges that included inequity in the provision and distribution of housing which led to only 12 per cent of the civil servants benefitting leaving out 88 per cent looking for private housing arrangements. Mr. Deputy Speaker, Sir, in order to address this problem, the Government, on 18th June, 2001 issued guidelines on the implementation of a new housing policy for the public service aimed at harmonising terms and conditions of service with respect to housing for civil servants. The major changes introduced by the new policy were that the Government would commence paying house allowances guided by rates of rent charged in the market. Public servants occupying Government-owned houses were charged market-based rents as from July, 2001. Except for constitutional officer holders, that is, Ministers, Assistant Ministers, and Permanent Secretaries, the Government stopped leasing of housing accomodation for all civil servants as from 31st December, 2001. One key objective of the new policy was to divest the Government of the responsibility of August 6, 2008 PARLIAMENTARY DEBATES 2367 direct housing of its employees except those involved in essential services and instead encourage home ownership by public servants. A major drawback to the realisation of this policy had been lack of affordable finance for civil servants. The Civil Servants Housing Scheme Fund was established under Legal Notice No.98 of 15th September, 2004, which also stipulates the rules and regulations governing the administration and operation of the firm. The objectives of the Fund include provision of housing; loan facilities to civil servants for purposes of either purchasing or constructing residential houses; development of housing units for sale and for rental by civil servants; and, to raise funds for the implementation of objectives stated under (1) and (2) above. Mr. Deputy Speaker, Sir, in November, 2002, the Government embarked on a programme under phase 1 to sell non-strategic Government houses to civil servants and 1,081 houses were sold in Nairobi in September, 2004. This has empowered 1,081 civil servants in Nairobi to own houses through the CSHSF. The Government has to date received Kshs1.7 billion from the initial payment of the sales and tenant purchase repayments in respect of these houses. Similarly, 71 housing units in Nairobi which had been irregularly alienated were offered for validation through payment of the true value of such property by the allotees. Most of the affected beneficiaries have since paid the Government the full value of the properties. Out of the 71 housing units offered for validation, only 11 units have contested the validation offered through court action. The Government has to date received Kshs177 million from validation of these units. The amount would have been foregone were the validation exercise not implemented. With regard to the cancellation of the Phase II of the houses in the districts, in January and February, 2007, the Ministry of Housing invited applications from civil servants for the purchase of 1,365 houses in 30 districts. The houses had been identified and classified into strategic and non- strategic categories by district committees led by respective DCs. In addition to the Houses offered for sale 337 houses and 218 hived and developed plots started illegally and irregularly alienated in prior years were offered for validation also. Between 31st January, 2007 and 31st March, 2007, applications for the houses and plots were received at the respective districts. Thereafter, the 4,856 applications were forwarded to the Ministry headquarters for analysis. The demand for houses by civil servants far outstrips supply as evidenced by many applicants for each house on offer. Due to unique characteristics of the district houses, sell criteria were developed to give higher weight to those civil servants who hail or are permanently domiciled in the districts where such houses were offered. Mr. Deputy Speaker, Sir, as the sale process proceeded, various concerns and observations were made by both the civil servants and the public. Occupants felt that they should be given preference over other applicants while non-occupying civil servants argued against this. It is worthy to note that as this exercise went on, we also discovered at the Ministry that very many non-civil servants were colluding with serving civil servants to purchase these houses. They were making deposits through serving civil servants to acquire some of the houses."
}