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"id": 798983,
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"content": "on Tuesday, 3rd May, 2018, and received submissions from the International Budget Partnership, the Kenya Society of Clerks at the Table (SOCATT), the Commission on Revenue Allocation (CRA) and the Council of Governors (CoG), among others. The Committee also received submissions from the National Treasury dated 20th April, 2018. The Committee extensively considered the recommendations by the CRA on the county government’s budget ceilings on the recurrent expenditure for the Financial Year 2018/2019, pursuant to the provision of Section 107(2) of the Public Finance Management (PFM) Act 2012. The Committee, in its deliberations, received submissions from county assemblies appealing for a review of the ceilings recommended by the CRA. The Committee made the following observations on the Bill in regard to this issue. In completing the recurrent expenditures ceilings for county assemblies, the CRA computed the sitting allowances for committees based on 10.5 months as opposed to 12 months. There is contention that people also go on recess and those two months would be for recess period. However, we know that Legislators, including us, also work during recess. The CRA did not factor in the budget on the stay order on the primary sitting allowances. Mr. Deputy Speaker, Sir, the Committee noted that by an order dated 16th January, 2018, in the High Court appeal Petition No.9 of 2018, the County Government of Kakamega vs the SRC, the high court issued an order staying the implementation of the enforcement of the SRC as contained in Gazette Notice no.6501 dated 7th July, 2018, purporting to review the remuneration of the benefits of the state officers in county governments. The net effect of this order was to reinstate the allowances provided for in 2013 through Circular No.001/11/2013. The salaries for county assembly staff were based on optimal staffing level as opposed to the actual set by the Kenya Revenue Authority (KRA). We noticed that in some counties like Turkana, they have over 300 members of staff in their assembly and in their payroll whereas the optimal is about 100. We cannot fail to pay those people for the time being. However, we have looked into that matter and said that we are going to ask them to achieve the optimal levels in the next three years. However, for now, we must pay the people who are there. In that regard, we have looked at the ceilings and in the Third Reading, we will bring relevant amendments. We have adjusted a bit here and there and, in fact, the earlier ceiling for the county assemblies at Kshs31billion has now risen to about Kshs32.1 billion. We have added about Kshs1.7 billion. The county assemblies, through SOCATT, asked for an additional Kshs2.7 billion, but we said that we cannot afford that increment. You will realize that the revenues to the counties rose by Kshs12 billion this year from last year’s Kshs302 billion as opposed to this year’s Kshs214 billion. We cannot afford that entire amount to be given to the county assemblies. Mr. Deputy Speaker, Sir, after the Bill was published, the national Treasury brought in a letter addressed to both Houses of Parliament informing us that they got a conditional allocation or grant of Kshs4 billion for the Financial Year 2018/2019 on the Agriculture Sector Development Programme from the State Department on Crops and Food Development of the Government of Sweden in an agreement signed in 2017. The 47 counties will benefit from this fund. 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"
}