Kisumu County residents complain about revenue allocation
08 June 2012, 19:16
Kisumu County residents have faulted the formula used by the Commission on Revenue Allocation (CRA) in its proposals on the sharing of revenue by the country’s 47 counties.
The residents said the criterion applied by the commission allocates huge chunks of money to more established and developed counties at the expense of more deserving and marginalized counties.
At a consultative forum held at the Kisumu Social Hall and which brought together the six constituencies making Kisumu County, CRA commissioners were hard pressed to explain how less developed counties were allocated meager amounts while counties considered more established were allocated more.
‘The commission should tell us how they came up with this formula which has concentrated more funds to developed counties like Nairobi, while denying the marginalized an opportunity to benefit from devolution,’ yelled a participant.
But responding to their queries, CRA Commissioner, Amina Ahmed said the formula for the distribution of the 15% of the National Budget to the 47 Counties was anchored on the following criteria:
County’s share of population component – 60%
County’s basic share component - 20%
County’s share of poverty index - 12%
County’s land area component- 6%
County’s share of fiscal responsibility component – 2%
The commissioner further said that due to the hue and cry emanating from the formula, the commission was looking into possible ways of ratifying it in a bid to cool down temperatures.
‘The formula is actually not cast on stone, after the numerous countywide consultative forums, the commission will sit down, review the objections and look for possible ways of ratifying the whole issue, ‘she said.
Amina also took the opportunity to urge locals to vote wisely during the coming general elections saying there will be incentives for counties which would have properly used monies allocated to them in phase 1.
Based on the formula, Kisumu County will receive KES. 4.6 billion.
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