The county assembly is on the spot over the illegal expenditure of Sh21.1 million on foreign travel and payment of subsistence allowances.
This comes after the Ethics and Ant-corruption Commission (EACC) and a Senate watchdog committee flagged the illegal processing of subsistence allowances by the assembly.
Appearing before the Senate County Public Accounts Committee yesterday, the assembly’s leadership was hard-pressed to account for the expenditure.
The committee that is chaired by Homa Bay Senator Moses Kajwang’ took Speaker Philemon Sabulei and Assembly Clerk Jane Kiptum-Mutai to task, asking them to explain why MCAs were given cash instead of imprests as is required by law.
According to Auditor-General Nancy Gathungu’s report for the financial year ending June 2023, the county assembly paid the amount to various officers for use in foreign travel and subsistence.
Out of the Sh21.1 million, payments of Sh9 million and Sh2.7 million were made to MCAs for use in foreign travel and subsistence and for report writing in Eldoret and Kisumu, respectively.
Ms Gathungu flagged the questionable outlay on domestic travels, saying, the report-writing meetings could have been conducted within the county.
According to Ms Gathungu, in both instances, the officers were issued with cash contrary to regulations 91(1) and 93(3) of the Public Finance Management Act.
The regulations require such expenses to be incurred through imprests that the respective payees account for.
“In view of lack of sufficient records on how the cash issued to the payees was spent, the propriety of the expenditure totalling Sh21 million could not be confirmed,” the report reads in part.
Senator Kajwang’ wondered why there weren't imprest warrants issued or surrendered “yet per diems and payments of that nature should be treated as imprests”. “Do you have different laws at the Elgeyo Marakwet County Assembly? If you continue this way, there will be no controls,” said Mr Kajwang’.
Mr Sabulei explained that the move was occasioned by delays by the National Treasury to release funds.
But Mr Kajwang’ told him the county assembly cannot commit an illegality because of delays by Treasury to release funds.
“We cannot sit here and be convinced that you did the right thing when regulations require a different approach,” he said.
Echoing the committee’s stance, EACC said the assembly flouted the law. Through its officer seconded to the committee, EACC said it issued an advisory on imprest management in February this year, which the assembly has continued to ignore.
The official pointed out that the Kenya Revenue Authority is likely to go after the county assembly to demand tax on the cash issued to members.
“You should deduct or surcharge such officers if they decline or delay to surrender the documents or account for the imprests,” he said.
Mr Sabulei was blamed for authorising the report writing meetings despite a November 2015 circular by the Treasury banning out-of-station events to discuss strategy documents, consultants’ reports, or any other assignments that would ordinarily be done in local offices.
Ms Kiptum-Mutai said they were not aware of the circular as it as it was addressed to the national government and wasn’t filed to county assemblies.
Further, he said Eldoret provides a conducive environment to write reports because there was a minimal disturbance.
“I approved the report writing meetings to be done in Eldoret so that members can do the reports without disturbance,” said the assembly Speaker.
