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Kenya: Counties With Pending Bills Stare At Legal Action

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Nyakundi Report

Newsroom 2 min read

This archive report was first published on 19 December 2019.

Kenya's National Treasury has consistently released full allocations of the equitable share of revenue due to county governments since the rollout of the devolved system of government.

However, despite receiving funds, some county governments have failed to settle their pending bills, prompting the National Development Coordination and Communication committee to issue a warning.

On Wednesday, the committee, chaired by Interior CS Fred Matiang'i, said it would use all lawful means to ensure the pending bills are paid.

Dr Matiang'i accused governors of prioritising buying big cars for themselves instead of paying bills to suppliers who offered them services.

He disclosed that the government had already paid Sh9 billion, part of its pending bills, and the balance would be paid in two months' time.

Only 12 counties - Elgeyo Marakwet, Homa Bay, Kajiado, Kericho, Kilifi, Kwale, Laikipia, Makueni, Nyamira, Nyandarua, Nyeri, and Uasin Gishu - had cleared their pending bills as of Wednesday, according to Treasury CS Ukur Yatani.

Mr Yatani said it would be a requirement that county governments provide monthly status reports that will include an itemised list of all the bills paid.

Earlier, the National Treasury released Sh11 billion to 18 counties after they promised to settle the pending bills, and another Sh7 billion was released to 12 counties that had settled their pending bills.

County governments have been complaining of late disbursement of funds by the national treasury.

High Court Judge Weldon Korir directed the National Treasury and Controller of Budget to release funds to 35 counties which are yet to receive their equitable share.

Outgoing Auditor General Edward Ouko in his report for the financial year ending June 2018 revealed that at least Sh35 billion of the pending bills in the counties were fake.

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