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    "id": 605775,
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    "content": "Mr. Temporary Speaker, Sir, the county governments conditional allocations in respect of leasing equipment are included in the Budget Estimates of the national Government. That figure of Kshs4.5 billion in the Bill is the amount payable on the lease by the national Government. The individual amounts of Kshs95 million to each county represent the cost and this is what is shown in the Schedule. Again, there are actually two items within the conditional grants which will be in the national Government Estimates and not in the county governments’ estimates. One is the amount for the lease of medical equipment and the second one is compensating county health user facilities. Even that one is provided for in the national Budget Estimates for approval, after which, counties will be reimbursed. Even the ones for maternity are reimbursements after counties spend. But the details of how each of these conditional allocations are addressed are provided in the Bill. The other point that I want to address before I go to the Schedule is that Clause 6 of the Bill also looks at the transfers which are made fraudulently. As usual, this is the provision that we have had in all the county allocation Bills in each of the first two years. If there is determination that an amount of money has been sent in error, that can actually be recovered immediately or set off against any future transfers. In Clause 7, the Bill also deals with the monthly transfers to the county governments. You are aware that we have made the transfers to the county governments on monthly instead of quarterly basis. So, the Treasury will publish – and indeed they have been doing so – on monthly basis all the transfers to the respective counties. This is provided for in Clause 7. In Clause 8, each county treasury shall reflect those transfers by the national Government in their books of accounts. In fact, the treasuries are required to submit quarterly reports to the assemblies, to show how much money has actually been transferred to their respective counties, so that they can oversee those funds. In Clause 9, the Bill looks at the issue of wasteful expenditure. Where there is a dispute, the Bill provides that the alternative dispute resolution mechanisms in the Intergovernmental Relations Act should be applied. If anybody does not go through the Intergovernmental Relations Act and goes to court, that will be wasteful expenditure and there are penalties for that in Clause 9 of the Bill. Clause 10 is a very interesting one. It provides that if there is any serious or persistent non-compliance with provisions of this Act, it will constitute an offence. Of course, you have seen all the petitions that are coming in and the reports by the Auditor- General and Controller of Budget on the way funds are being misused. So, if there is a serious or persistent misuse, there are grounds in the Constitution for stoppage of funds. But in this Bill, we are reminding the county governments that this represents an offence and there are penalties for it also in the Public Finance Management Act. Moving on to the First Schedule, it sets out the allocation to each county government. The first column is the comparative for the last financial year; 2015/2015, in which Kshs226 billion was shared out among the 47 counties. This financial year the table shows clearly that the total equitable share of revenue to be shared out among the 47"
}