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"speaker_name": "Sen. (Dr.) Khalwale",
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"id": 170,
"legal_name": "Bonny Khalwale",
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"content": "Mr. Deputy Speaker, Sir, I hope my time was held for me and Kenyans have heard him. Kenyans had heard me and hey will make their own judgement. The only thing I will say on the point that you have raised is that you should remember the parable of the old man who taught his son to fly using wings fixed on his shoulders. The wings were fixed using wax and the boy was told not to fly too high. He did not listen to the advice. Instead, he flew too high, the wax melted and he came tangling down. You sit with us in this august House, but please know that you are flying on wings fixed with wax. You should know how high to fly. When you see us fly, you might come tangling down. I tell you."
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"speaker": null,
"content": "[The Deputy Speaker (Sen. Kathuri left the Chair]"
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"content": "[The Temporary Speaker (Sen. Mumma) in the Chair]"
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"type": "speech",
"speaker_name": "Sen. (Dr.) Khalwale",
"speaker_title": "",
"speaker": {
"id": 170,
"legal_name": "Bonny Khalwale",
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"content": "Mr. Deputy Speaker, Sir, the last point I want to make is on the issue--- Sorry, Madam Temporary Speaker. I note the change in speakership. The last point I want to make is on the issue of housing. The housing project that is ongoing looks feasible. However, I want to remind the Government what I said many months ago. Housing was one of the Vision 2030 projects. Kenyans continue fighting this project because of the implementation model of it."
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"type": "speech",
"speaker_name": "Sen. (Dr.) Khalwale",
"speaker_title": "",
"speaker": {
"id": 170,
"legal_name": "Bonny Khalwale",
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"content": "President Mwai Kibaki put the housing project in Vision 2030 and President Uhuru also adopted it. The funding model of this project was not to raid the paycheck of people with payslips to build houses for people who are desirous of owning houses. The Government had to have a budget which Vision 2030 aligned with the vision of development. Most of you who live in this city saw the slum upgrading project and there was no outcry."
},
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"id": 1565537,
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"text_counter": 222,
"type": "speech",
"speaker_name": "Sen. (Dr.) Khalwale",
"speaker_title": "",
"speaker": {
"id": 170,
"legal_name": "Bonny Khalwale",
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"content": "Today, the houses are better, but there is an outcry. This is because the guy whose payslip is raided is asking himself if he was born to go to school, get a job and start doing affirmative action for Kenyans in need of housing on behalf of the Government. President William Ruto has allowed the former Prime Minister, Raila Odinga, to give him an expert in the name of Hon. Mbadi, a man I respect. Hon. Mbadi is truly brilliant just like his Suba people of Nyanza. He is brilliant just like Tom Mboya. Hon. Mbadi should ensure that we continue with the housing project using a friendlier funding model other than raiding the payslips of the people. We do not say these things because we are against the Government. We say them because we are for the success of the Government and we want a Government that affords all Kenyans comfort. A woman, who I know very well from Kakamega, got a house in Mukuru and I was excited because she got a better house. My time is gone. With those many remarks, I support with amendments. The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
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"id": 1565538,
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"type": "speech",
"speaker_name": "Sen. Oketch Gicheru",
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"speaker": null,
"content": "Thank you, Madam Temporary Speaker, for giving me the opportunity to share some thoughts on the Division of Revenue Bill (National Assembly Bills No.10 of 2025). This Bill essentially presents a vertical share of our national resources. What has come from the National Assembly is that in the next budget year, we aim to have a budget of Kshs2.7 trillion. Out of that budget, the National Assembly is proposing that the national Government gets Kshs2.4 trillion which is 85.33 per cent. It then proposes that we give the counties Kshs405.069 billion, which is 14.28 per cent of the total budget. I am alive to the fact that ordinary revenue is at times not connected to what we hope to get. I, therefore, empathize with that fact. However, the requirement of Article 203 of our Constitution is about equitable share of national resources. I have said a number of times in this House of how I wish the National Treasury was independent. If it was independent, then it would be in a position to view the national Government and county governments as different which would then be a fair avenue for sharing resources. It behooves the National Treasury to ask itself if the sharing formula proposed here, the vertical share, is equitable. One would ask: how will we know that it is equitable? The element of equity will come when one revisits the Fourth Schedule of the Constitution. The Fourth Schedule of the Constitution aligns resources to functions and those functions are clearly stipulated. We do have national functions of Government and county functions of governance. The idea of equitable share has been elusive to the country because we do not cost those functions. I am a Member of the Committee on Finance and Budget together with the Senator who spoke before me, the Senator for Kakamega County, though he likes to look at me as his son and not a legislator in his House. Sen. (Dr.) Khalwale will remember that when the Cabinet Secretary, Ministry of National Treasury and Economic Planning appeared before our Committee, I told him that if he does some things, he will be on the borderline of underfunding counties. I also told him that there are things that he will do which will lead to defunding counties. Those two distinctions are still elusive to the National Treasury. This House recognizes the immense challenges counties face in fulfilling their mandated functions. They are not merely underfunded, but outright non-funded. They are fundable, but remain unfunded by the national Government. The proposal allocates Kshs405 billion to counties. However, if you do the calculus, as I will outline briefly, you are in effect defunding counties. This is not a matter to be taken lightly. You may recall, on a lighter yet serious note, I was recently thrown out of this House for insisting that the Cabinet Secretary for Health should not transfer the payroll of Universal Health Care (UHC) workers to counties without ensuring it is accompanied by the necessary funds. This should not even be considered, let alone attempted. He should not dream of it."
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"speaker_title": "",
"speaker": null,
"content": "(Applause)"
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"id": 1565540,
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"type": "speech",
"speaker_name": "Sen. Oketch Gicheru",
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"speaker": null,
"content": "For the last two years, as we have debated Finance Bills in this House, the funds allocated to counties have primarily covered non-discretionary expenses. These are costs The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
},
{
"id": 1565541,
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"type": "speech",
"speaker_name": "Sen. Oketch Gicheru",
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"speaker": null,
"content": "arising from national Government policies that impose financial burdens on counties without the necessary financial backing. For instance, when a policy such as housing levy deductions is implemented at the national level, county employees are also subjected to the same deductions yet, counties had not accounted for this in their budgets, as devolution was still taking root. This places an additional financial burden of approximately Kshs4 billion on counties. Similarly, when contributions to the National Social Security Fund (NSSF) increase, county staff are affected. The resulting impact of Kshs3.7 billion was never factored into the financial calculus leading up to where we are today. Moreover, the national Government through the Presidency, made a statement and reached an agreement with county governments regarding the establishment of County Aggregated Industrial Parks (CAIPs). This initiative imposes a staggering Kshs11 billion responsibility on counties, which they must now shoulder yet it was not catered for in the calculus that then constituted money that goes to counties. Worse still, it was not funded. Responsibility was split between the national and county governments without clear provisions on how counties would secure their share. However, given the ongoing commitments and projects, it goes without saying that this initiative must be funded. Madam Temporary Speaker, we recall the discussions in Turkana during the Senate Mashinani visit, particularly the issue of the CHPs programme. This House firmly held the view that primary healthcare is a devolved function. Therefore, it ought to have been properly costed, funded, and financed by the national Government. If it is intended to be a hallmark project, counties should then take the lead in its implementation. The national Government decided to provide a stipend covering half the cost while leaving counties to shoulder the remaining half. However, since these individuals are already on county payrolls, the counties must ensure they are financed adequately. We are well aware of the outstanding issues surrounding the Doctors' Collective Bargaining Agreement (CBA). Counties must bear this burden if our healthcare system is to function effectively. Furthermore, we have yet to address the issue of wage drift, which occurs automatically within our system and necessitates an annual adjustment of approximately 5 per cent, a cost that counties must cover. Looking at the entirety of this financial burden, we see that these are non- discretionary expenses. These are funds that must be paid, leaving no alternative. What does this figure amount to? Simply covering non-discretionary expenses in counties would require a budget of up to Kshs420 billion. This aligns with the necessity of funding such mandatory costs. Madam Temporary Speaker, for a Bill to originate from the National Assembly and propose that counties receive only Kshs405 billion is an abuse of the devolution system that has brought hope to this country. It undermines the principle of equity outlined in Article 203 of the Constitution, as counties will be left with barely any funds for discretionary expenses. Among these, the most important is development in our counties. The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
}
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