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"content": "county governments and liabilities inherited from the defunct local authorities. The lag in establishing the assets and liabilities inventories is likely to affect accuracy and genuineness of those inventories. The Committee, having engaged all the stakeholders like the CRA, Council of Governors, and looking at the BPS, recommends a figure of Ksh327.714 billion as County Government Equitable share for the Financial Year 2018/19. It also recommends that Kshs59.842 billion be for Conditional Grants, including allocation of Ksh5 billion for establishment of two regional cancer referral centers and Ksh1billion for a National Cancer Drugs Access Programme. We also found that there is need to look at the Senate expenditure, although it is not a county allocation. From a document presented to us, we saw that there should be expenditure rationalization to cater for the following: (i) KSh2,236,399,814 as additional allocation to Recurrent Expenditure ceiling for Vote 2041- Parliamentary Service Commission. (ii) Kshs1,075,000,000 as additional allocation to the Development Expenditure ceiling for Vote 2041 Parliamentary Service Commission. Currently, the Senate is budgeted under that Vote Head. In fact, looking at the discussion that we had about the Monitoring and Evaluation (M & E) for the Senators and the Committee work in this Senate, there is need to expand that budget so that we can have that allocation increased. It is significant to mention that the purpose of the proposal of this Report on the BPS is to communicate the Senate’s position on the preparation of all subsequent budget documents for the next Financial Year. These documents include the Division of Revenue Bill, 2018 and the County Allocation of Revenue Bill. Mr. Speaker, Sir, it is also important to note that Section 25 of the Public Finance Management Act 2012 stipulates that the resolutions of Parliament, comprising both Houses on the BPS must inform the preparation of the Annual Estimates. Therefore, by extension, this House’s resolutions on this report will form the basis of evaluating the 2018/2019 Estimates for the various spending agencies at both national and county level. We also noted that during the Annual Estimates process, the Senate does not actually engage the spending agencies. These are agencies which carry or have devolved functions. They are also responsible for the budget that is included in the conditional grants. Therefore, they must appear before the Senate Committees to be interrogated on how they actually disburse money and make sure it is properly disbursed. Mr. Speaker, Sir, on behalf of the Standing Committee on Finance and Budget, and as required under the Standing Order 174 as read with the Second Schedule of the Senate Standing Orders, I hereby present to this House, the Committee’s Report on the 2018 BPS for consideration and approval. The Committee is grateful to all stakeholders who made contributions through appearing before it and written submissions, including the Senate Standing Committees, the National Treasury, the Commission on Revenue Allocation (CRA) and the Council of Governors. The electronic version of the Senate Hansard Report is for information purposes only. A certified version of this Report can be obtained from the Hansard Editor, Senate."
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