In Summary
- Deputy President Kithure Kindiki emphasizes the need for regular consultations to resolve misunderstandings between county governments and the Controller of Budget.
- The discussions aim to enhance accountability, transparency, and efficiency in service delivery across Kenya
Kindiki Steps in to Resolve Revenue Access Dispute
Deputy President Kithure Kindiki has intervened to mediate a revenue access and expenditure approval dispute between county governors and the Controller of Budget (COB).
During a meeting at his Karen residence in Nairobi on Monday, Kindiki stressed the importance of frequent consultations to address misunderstandings between devolved units and the COB. He asserted that such engagements are essential for improving service delivery and ensuring accountability in governance.
Background of the Dispute
The mediation follows grievances raised by governors during the 25th Intergovernmental Budget and Economic Council (IBEC) meeting chaired by the Deputy President last week. Governors had expressed frustration with the COB regarding county governments operating multiple bank accounts, which they claimed complicated financial management and approvals for fund withdrawals.
These issues prompted Kindiki to convene a follow-up meeting, bringing together key stakeholders to seek resolution.
Key Issues Raised
The discussions focused on several contentious matters, including:
- Approval Mechanisms: Addressing concerns over the process of approving fund withdrawals from County Revenue Fund Accounts.
- Multiple Bank Accounts: Resolving the operational challenges posed by counties holding multiple accounts.
- COB Quarterly Reports: Addressing perceptions stemming from the COB’s reports, particularly on development expenditure absorption rates.
- Revenue Collection Systems: Finding solutions for challenges associated with the Integrated County Revenue Management System (ICRMS).
- Pending Disbursements: Discussing outstanding funds under the County Government Additional Allocation 2023/2024.
- Donor Funds Management: Creating mechanisms to isolate and secure donor funds for county governments.
Statements from the Deputy President
Kindiki underscored the need for a harmonious working relationship between counties and independent offices like the COB.
“Frequent consultations to iron out misunderstandings between County Governments and independent offices like the Controller of Budget are important for greater efficiency, accountability, and effective service delivery,” he stated.
He also called for an urgent resolution to ensure that county governments operate seamlessly and deliver essential services without unnecessary financial bottlenecks.
Attendees of the Meeting
The high-level meeting was attended by key stakeholders, including:
- Council of Governors Leadership: Ahmed Abdullahi (Chairman), Mutahi Kahiga (Vice Chairman), Fernandes Barasa (Finance Committee Chair), Stephen Sang (Whip), Ochilo Ayacko (Legal Committee Chair), and Mary Mwiti (CEO of CoG).
- National Treasury and Government Officials: John Mbadi (Cabinet Secretary, National Treasury and Economic Planning), Dorcas Oduor (Attorney General), and Teresia Mbaika (Principal Secretary, Devolution).
- Controller of Budget: Dr. Margaret Nyakang’o.
Moving Forward
The mediation underscores the Deputy President’s commitment to resolving disputes that hinder efficient governance and service delivery. The outcomes of this engagement are expected to streamline revenue management processes and enhance collaboration between county governments and the Controller of Budget, ensuring better outcomes for Kenyan citizens.
