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{
    "id": 568961,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/568961/?format=api",
    "text_counter": 232,
    "type": "speech",
    "speaker_name": "Hon. Musyimi",
    "speaker_title": "",
    "speaker": {
        "id": 95,
        "legal_name": "Mutava Musyimi",
        "slug": "mutava-musyimi"
    },
    "content": "level, Kshs4.5 billion for leasing of medical equipment and Ksh3.3 billion as allocation from the Road Maintenance Levy Fund. Before I make some observations, allow me to thank your Office and that of the Clerk for supporting us in our work as we sought to execute our mandate. I also thank the Members of my Committee for all the time that they have put in, especially over the last four months once the Budget season kicked in around January and I am glad it is now coming to an end. I also thank the Parliamentary Budget Office and the National Treasury for the very strong partnership that we have enjoyed this year and in particular, as we discussed this matter of the County Allocation on Revenue Bill. Allow me to make five observations, two of them of general nature. As you are aware, we have made our point with regard to the timelines that are very limited to prosecute the Budget. We have argued that the PFM Act of 2012 needs to be amended. It needs to be reviewed so that we can have enough time to process, think through and negotiate the many difficult decisions that we have to make with respect to the Budget. Allow me, in general terms, to just observe that the allocation of resources to county governments has come under fairly strong discussion more recently because the formula that we are using relies very heavily on faulty population data. As Members will know, 49 per cent of the money that is given to the counties is based on revenue sharing based on population in each county. Some of us certainly would like to see that percentage go up to about 60 per cent. If that happens, then we might see more fairness in the way the resources to counties are distributed. For example, Nairobi has about 3.3 million people and it gets about Kshs13 billion. Turkana, for example, has about 855,000 people and it gets about Kshs10 billion or thereabout. The disparities, whatever formula you use, are quite obvious. One would like to see the CRA and the Senate review this matter. With respect to counties that haves been marginalised, we have the Equalization Fund that we now want to see operationalised. So, there will be a way of dealing with historical marginalisation in these particular counties through that Fund. So, it is important to review the formula that we are using to allocate funds to counties especially the component on revenue sharing based on population. That percentage needs to go up from 49 per cent to something that is more reasonable so that there can be fairness and equity. I have two other comments as I close. First of all, Hon. Members may have noticed that the Senate increased the expenditure ceilings to 34 county assemblies only. These 34 county assemblies got a total of Kshs2.5 billion. There was no rationale why only 34 county assemblies were chosen. When we asked, we were told that they were the ones that applied and that the other 13 did not apply. When you are talking about Kshs2.5 billion, applying or not applying does not seem to be a good enough reason to give or not to give money. We were not persuaded that the rationale or the criteria was solid enough given the kind of money that was being set aside. In other words, we would have wished to see explanary memorandum. We questioned Mr. Micah Cheserem, the Chairperson of the Commission on Revenue Allocation and the Controller of Budget on these matters. It would appear that they too were not a little concerned about the way this money had been allocated. As we all know, plenary powers, at the end of the day, reside in the Senate. 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."
}