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{
"id": 968061,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/968061/?format=api",
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"type": "speech",
"speaker_name": "Sen. (Eng.) Mahamud",
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"speaker": {
"id": 373,
"legal_name": "Mohammed Maalim Mahamud",
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"content": "Mr. Speaker Sir, I beg to move the following Motion:- THAT, the Senate adopts the Report of the Standing Committee on Finance and Budget on the stoppage of transfer of funds to county governments laid on the Table of the Senate on Thursday, 5th December, 2019. Mr. Speaker, Sir, hon. Senators will recall that by a letter dated 25th November, 2019, the National Treasury and Planning forwarded, pursuant to Section 97(2) of the Public Finance Management Act, the National Treasury Circular No.20/2019 Ref: IGFR/Pending Bills/01/A(24) dated 19th November, 2019, to Parliament. In the letter, the Cabinet Secretary (CS) for the National Treasury requested for approval of Parliament for the stoppage of transfers to counties and far as equitable share to counties is concerned for 15 counties. Additionally, the CS indicated that no additional grants should be released for the aforementioned 15 county governments for the Financial Year 2019/2020, until and unless an amicable settlement of the matter is arrived at. The matter in question is pending bills. According to the National Treasury, these counties – which I am going to name – made no effort to clear a stock of eligible pending bills between 1st July, 2019, and end of October, 2019. As a result of the letter that came from the CS of the National Treasury, and in accordance to Article 225(1) of the Constitution and Section 96(1) of the Public Finance Management Act, my Committee invited the Controller of Budget (CoB) to--- In fact, that is a follow up to the counties that were mentioned. The County governments affected were Narok, Machakos, Nairobi City, Vihiga, Isiolo, Tana River, Migori, Tharaka Nithi, Bomet, Kirinyaga, Nandi, Mombasa, Kiambu, Garissa and Baringo. Mr. Speaker Sir, the law requires that the CS can initiate a process for stoppage of funds, but before that is agreed upon, a report must be received from the CoB, in accordance to Section 97(3) of the Public Finance Management Act; and also that the entities that are mentioned must appear before Parliament for them to defend themselves. My Committee invited the CoB to give a report, as required by law. According to the law, the report of the CoB should find out whether the concerned counties were in serious material breach or persistent material breach by failing to settle the pending bills. The The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor, Senate."
}