This archive report was first published on 3 November 2019.
Published on November 3, 2019, a report by Auditor General Edward Ouko shed light on the financial struggles of Kisii County, which failed to account for pending bills worth Ksh1.26 billion as of June 2018.
According to the audit, Kisii County used Sh255 million of its own-generated revenue without providing supporting documents on how the funds were utilized. Furthermore, the county did not maintain cash books for several accounts, including maternal healthcare, fuel levy, and national agricultural and rural inclusive growth project accounts.
The Auditor-General's report also highlighted issues with the county's payment of imprests, with some officers applying for imprests on behalf of others. Additionally, the report noted that officers recorded in the Integrated Financial Management System (IFMIS) received their paychecks through their colleagues, without explanation.
Under the Public Procurement and Asset Disposal Act, 2015, each county is required to advertise tenders on their websites. However, Kisii County procured goods worth Sh25 million through restricted tendering, which was not advertised. The procurement and disposal plan also exceeded the budgeted amount by Sh696 million, breaching section 53(2) of the Procurement Act, 2015.
Another issue detected was the county's use of Sh450 million to purchase Wireless Access points, which were charged under the construction of roads line items, not included in the county's budget. The county also failed to account for Sh9 million in revenue expected to be collected in the form of coffee and tea cess in the 2017/2018 financial year.
The land register in LAIFOMS indicated arrears in property rates amounting to Sh112.5 million as of June 30, 2018. The amount decreased from Sh279 million reported in the 2016/2017 financial year. Despite collecting Sh2.2 million last year, the county left Sh164 million unaccounted for in the whole financial year.
The Auditor General also noted that Kisii County had a 47 percent employee salary bill against the set 35 percent, but lacked a Public Service Board, Human Capital Plan, and authorized staff establishment in place as the law states.
