The standoff between the national and county governments over the sharing of funds continues to dominate the apparently bitter ties between the two levels of administration. The governors have declined to drop their hardline stance on the allocation of the shareable revenue to the counties in the next financial year.
President William Ruto has acknowledged that his administrations relationship with the county bosses is not as good as it should be. The two levels of government must work together to enable devolution to take root and prosper.
The benefits of the devolved system are evident in the increased transfer of resources from the centre to the grassroots. Indeed, this is a matter where political affiliation plays second fiddle as the Council of Governors (CoG) wants to make the devolved units work. More than a decade into devolution, the national government still holds onto 65 devolved functions, denying the counties access to substantial funds.
City lawyer charged with Sh62 million fake tender deal at Defence ministry What killed Kenyan student in Dublin, Ireland?What irks the governors even more is that the National Treasury has, in its final 2024 Budget Policy statement, cut counties equitable financial share allocation by Sh10.52 billion. That is money counties need to provide basic services. The CoG had proposed Sh439.5 billion as the equitable share to counties and Sh10.52 billion as the Road Maintenance Levy Fund.
The governors, who met President Ruto at the annual National Executive Retreat in Naivasha, sought further consultations. They fear development in the counties may be hampered in the Financial Year 2024/25. But citing a national revenue shortfall, the Executive insists that the counties should receive Sh391 billion. Its argument is that the national government will absorb the effects of missed targets.
Counties are reeling under huge debts to contractors and suppliers. Delays in releasing funds often threaten to shut them down. But they have done dismally in developing their own sources of revenue. President Ruto says the invitation of governors to the retreat is an indication of the commitment to strengthening devolution. Let them make devolution work.
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