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Uhuru approves spending caps for Counties

09 July 2015, 16:47 Victor Tinto

Nairobi - President Uhuru Kenyatta has signed the County Allocation of Revenue Bill into law.

The much debated and spoken about legislation will set a ceiling on the amount of money counties will spend on recurrent expenditure.

The Act contains schedules listing the grants which the National Government is giving to the counties including KES 95.7 million per county for the leasing of medical equipment.

The act comes into play after Governors finally agreed to the leasing of the machines after refusing to take them on board for over a year, citing several issues they felt needed to be addressed such as the mode of payment and the sustainability of the machines.

The Act lists all the conditional grants which the county governments are receiving from the National Government’s own revenue allocation, which runs into billions of shillings.

The Act recommends that the National Treasury shall publish a monthly summary of all transfers of allocations and transfers given to county government to help in accounting for the funds.

Speaker of the Senate Ekwe Ethuro was present in the signing of the new law which aims to give Counties checks and balances in as far as spending is concerned.

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