This archive report was first published on 11 December 2019.
Kenya's National Treasury has threatened to withhold funds for 36 counties, citing failure to clear pending bills.
The affected counties include Kisumu, Kisii, Siaya, Kakamega, Migori, Bungoma, Busia, Vihiga, Narok, Machakos, Nairobi, Isiolo, Tana River, Tharaka-Nithi, Bomet, Kirinyaga, Nandi, Mombasa, Kiambu, Garissa, Baringo, Taita Taveta, Turkana, Meru, Samburu, Nakuru, Murang'a Mandera, Marsabit, Trans Nzoia, Kitui, West Pokot, Embu, Wajir and Lamu.
The counties are entitled to at least 15% of the government's audited revenues, as mandated by the Public Finance Management Act, 2012.
However, the National Treasury has accused the counties of contravening the Act by failing to make efforts to clear eligible pending bills.
Acting Treasury Cabinet Secretary Ukur Yattani requested Parliament to stop transfer of funds to the affected counties, citing the counties' failure to clear pending bills.
But the MPs, through the Budget and Appropriations Committee, declined the request.
CoG Chairman Wycliffe Oparanya defended the counties, saying that the National Treasury's method of categorizing county governments did not take into account historical debts and only concentrated on payment of pending bills between July 1 and October 31, 2019.
Ms Margaret Nyang'ate Nyakang'o was sworn-in as the second Controller of Budget (CoB) under the current Constitution on December 4, 2019, but the counties are yet to get November disbursement totalling Sh31.6 billion.
