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{
    "id": 741865,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/741865/?format=api",
    "text_counter": 130,
    "type": "other",
    "speaker_name": "",
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    "speaker": null,
    "content": "It is unfortunate that it is coming at the eleventh hour of the Senate, but it is better late than never. I would not wish that this Bill moves from First Reading to Second Reading to Third Reading without having some input from the Members from this House, considering the history of this particular Bill. In the year 2014, a Bill that attempted to cure the same problem, was roundly rejected by the Council of Governors (CoG). If you recall, the CoG had reservations that the original Bill did not take into account the two levels of Government and they were not involved in its formulation. Also, the Bill sought to centralise the pension system by delegating to the CS, National Treasury, the powers to make regulations that will operationalize the pension scheme. I am comforted by the words of Sen. (Eng.) Muriuki that this Bill has taken into consideration the views and contributions of stakeholders including the CoG. It is in the public domain that the CoG is comfortable with this new Bill as opposed to the 2014 Bill that was withdrawn following the feedback from various stakeholders. I, therefore, wish to support this Bill. At the end of the day, we cannot legislate in isolation. We must be sensitive and conscious of the views and inputs of various stakeholders. The pensions industry in this country is a significant driver of economic growth. It allows us to pool resources that can be used to develop the economy in different ways. Currently, we have two pension schemes that take care of workers in the county governments. We have the Local Authorities Pensions Trust (LAPTRUST) and the Local Authorities Provident Fund (LAPFUND). The total assets that these two funds manage is significant to finance close to ten different county governments annually. If we ensure that we streamline issues of pension and legislation relating to workers savings, we will be able to put in place a pool of cash that can be used to support devolution at different levels. In as mush as the Senate cannot prescribe the use to which these funds have to be put - we have a vibrant pension sector and the Retirement Benefits Authority that has taken a lead role in coming up with regulations and giving guidelines on utilisation of pension funds – the County staff Pension Fund that we are trying to establish through this legislation should prioritise initiatives that can give life to devolution. We have seen counties come up with various investment plans. In Meru, they have set up investment corporations that are purchasing hotels, running petrol stations and doing other things to subsidise and buttress the income streams that they get from the National Government and from locally collected revenue. How I wish there was a way to compel the County Staff Pension Fund to be the financier of choice for county governments that wish to undertake development."
}