27 Oct 2011 in National Assembly:
Mr. Speaker, Sir, the whole issue of debt in these local authorities is going to be a major task. I would like to point out that, indeed, as we move ahead, the county governments are going to be the successors to some of these institutions.
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27 Oct 2011 in National Assembly:
But in relation to the LATF that is disbursed to the local authorities, the law allows them to use a portion of the LATF component that they get to reduce their debts.
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27 Oct 2011 in National Assembly:
Mr. Speaker, Sir, the point I am trying to put across is that through LATF which we are giving, we urge the council to mitigate on their debts. In certain instances, indeed, we have said that there could also be debt swap arrangements, particularly when it comes to the statutory institutions, for example, the Local Authorities Pension Trust (LAPTRUST) or Local Authorities Provident Fund (LAPFUND) or, indeed, an organization like the National Housing Corporation (NHC), where there are debts of that nature owed to public institutions. We have allowed that there can be a debt swap, so that the council ...
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27 Oct 2011 in National Assembly:
Mr. Speaker, Sir, on the issue of how they were disposed of and value for money, I think I did request that the House allows me to make this clarification on Tuesday, specifically to deal with that particular issue.
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27 Oct 2011 in National Assembly:
Mr. Speaker, Sir, the other point is that in terms of disposal of assets, there is the Public Procurement Act in place. But when it is a fixed asset, for instance, land or any residential house and so forth, we have made it very clear that they should not engage in any transfer. We have, in fact, written to the local authorities that they should not engage in any transfer of assets now because we are preparing to go to the county governments. The only adjustment we are allowing is if that land is for a school, hospital or a ...
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26 Oct 2011 in National Assembly:
Mr. Speaker, Sir, I beg to reply. (a) The City Council of Nairobi is currently paying all the retirees all their terminal benefits after they have been served with retirement notice. This is subject to the retirees undertaking the necessary clearance procedures. The Council employees are members of two pension schemes: The Local Authority Pension Trust (LAPT) and the Local Authorities Provident Fund (LAPF), none of which is under the control of the Council. Procedurally, the Council pays all outstanding contributions to the above schemes and, therefore, when officers retire, they are issued with retirement letters which are copied to ...
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26 Oct 2011 in National Assembly:
(b) I am aware that Mr. Benson Magai Jonyo retired on 31st December, 2003 and was paid all his terminal benefits as follows:- (i) For long service award, he got Kshs90,000 which was paid in September, 2003, through the payroll. (ii) Under terminal leave days, he was paid Kshs59,089.80 in November, 2003, through the payroll. (iii) Under the collective bargaining agreement arrears, he was paid Kshs55,860 in December, 2003. (iv) His pension contribution for the period 1989 to December, 2003 totalling to Kshs323,796 was paid vide cheque No.052641 dated 9th July, 2004 and remitted to LAPTRUST. (v) There was a ...
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26 Oct 2011 in National Assembly:
Mr. Speaker, Sir, my Ministry has always ensured that retirement benefits of retirees in local authorities are paid. I want to confirm to that Mr. Benson Magai has been paid his retirement benefits and was duly informed so by the Council vide letter reference – it is a long one – but it is dated 24th January, 2011.
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26 Oct 2011 in National Assembly:
I also wish to confirm that Mr. Magai was paid his pension by LAPTRUST on 3rd May, 2005 vide cheque No.018387 totalling to Kshs599,276.70. He also gets a monthly pension of Kshs4,667.75. However, his pension remittance was stopped at one time because he failed to appear before LAPTRUST on what they call a validation process. This is an exercise – and I will table a letter here – which goes on so that after a period of
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26 Oct 2011 in National Assembly:
time, LAPTRUST can verify that money is not being sent to people who are either dead or they are non-existent. So, they normally undertake that to be sure that the recipient is still alive. I will table a copy of this letter to the House and give a copy to the hon. Member so that this matter can be regularized and Mr. Magai can continue receiving his pension.
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