President William Ruto with governors and Ministry of Health officials during a meeting to prepare for the launch of Universal Health Coverage at State House, Nairobi.
Governors are taking the fight to President William Ruto on Monday (December 16) when the Head of State hosts the third meeting of the highest decision-making body in the devolved government system at a time when county bosses have mounting grievances against the national government and key independent agencies.
Dr Ruto will chair the 11th National and County Governments Coordinating Summit at State House, Nairobi, with governors already bracing for a fight, following a heated pre-summit meeting chaired by Deputy President Kithure Kindiki this week.
Some of the key issues that could come up include governors’ furore on Controller of Budget reports which they say fail to disclose cases of delayed disbursements of funds in details of development spending; the unending dispute over devolved functions still being held at the national level; control of road billions following a court case win by governors; and emerging questions on a new health equipment leasing plan that the national government wants counties to sign.
Governors who spoke to Nation said they will bring up these issues and more.
Council of Governors Agriculture Committee chairperson Ken Lusaka singled out governors’ issues with Controller of Budget Dr Margaret Nyakang’o.
“The biggest issue is the reports by the CoB. There is a strong feeling among governors that the office is doing the audit work instead of checking and approving county budgets,” Mr Lusaka said.
He continued: “This has led to delayed disbursement of funds to counties thereby crippling service delivery. Treasury insists funds are released but disbursements must be authorised by the CoB. We will escalate this matter at the Summit.”
Mr Lusaka also took issue with the impasse around the disbursement of Sh2.2 billion by the World Bank to counties for the Kenya Agricultural Productivity and Agribusiness Project, faulting the National Assembly.
Arbitration failed
“We risk losing these funds. After arbitration failed, our only option was to seek redress in court and the MPs are now blackmailing us to drop the case before they can consider the matter,” Mr Lusaka warned.
Kisumu Governor Prof Anyang’ Nyong’o said the counties were unfairly targeted and while they had raised the issues in the meeting with Prof Kindiki, a lot more needed to be canvassed on the matter.
He also called for the swift transfer of all devolved functions.
“We need to be clear that the Constitution of Kenya 2010 provided the functions of county governments and the national government which are separate and interdependent. This should be adhered to. We have devolved functions which are being eaten up by the national government,” said Prof Nyong’o.
He gave examples of agencies dealing with roads which are clearly under the county governments therefore creating a clash of roles.
The High Court in September froze Sh10.5 billion collected under the Roads Maintenance Levy Fund pending a determination of a case filed by the Council of Governors challenging the use of the funds by the Kenya Roads Board to build roads in counties.
‘‘There are other national government water agencies yet the function lies squarely under the devolved units,’’ Prof Nyong’o said.
Homa Bay Governor Gladys Wanga said there is a high expectation that the outcome of the Summit will resolve the pending issues.
“We are hopeful that the President will address key issues such as funding for devolved functions, improving coordination between national and county governments, and addressing existing challenges with the controller of budget,” said Ms Wanga.
Ms Wanga stated that strengthening and protection of devolution is crucial for the effective delivery of services to their constituents.
“Devolution is founded on the principles of equitable distribution of resources and decentralised governance and accessibility of resources by all across Kenya. This is only attainable with absolute support, so let's not relent and support the constitution that Kenyans overwhelmingly voted for,” she said.
Reached an agreement
During this week’s meeting of the Intergovernmental Budget and Economic Council (IBEC) chaired by Prof Kindiki, the counties and the national government said they had reached an agreement on the transfer of devolved functions.
“The unbundling and transfer of functions that have already been agreed upon between the national and county governments be expedited for conclusion and gazettement by today, December 13, 2024, and that sectoral engagements be immediately undertaken to bring to resolution all other functions pending consensus that are before the Intergovernmental Relations Technical Committee. Further, the performance assessment for functions already devolved to County Governments is to be expedited through the IGRTC,” the meeting resolved.
At the same time, both levels of government agreed “to facilitate the documentation, inspection, valuation and transfer of county fixed assets, with the State Department of Lands guided to expedite the valuation process for land and buildings inherited by County Governments.”
The meeting also resolved that the National Treasury through Parliament facilitate the amendment of Sections 110 and 191 of the PFM Act 2012 to facilitate the ease of access to conditional grants by County governments.
Prof Kindiki said both arms of government have agreed on fast-tracking the transfer of functions by gazetting the functions by the end of this week.
“That sectoral engagements be immediately undertaken to bring to resolution all other functions pending consensus that are before the Intergovernmental Relations Technical Committee. Further, the performance assessment for functions already devolved to counties is to be expedited,” Prof Kindiki added.
The DP also committed to disburse the Equalisation Fund arrears at a rate of Sh10 billion every financial year until the arrears are fully settled.
The Summit was called by Ruto and Head of Public Service Felix Koskei in a letter dated November 29 through the Intergovernmental Relations Technical Committee (IGTRC) chairperson Kithinji Kiragu.
The letter is also copied to Council of Governors (CoG) chairperson Governor Ahmed Abdullahi Mohammed (Wajir), Chief of staff, office of the Deputy President (DP) Wanjiku Wakogi, Devolution Principal Secretary Teresia Mbaika, CoG Chief Executive Officer Mary Mwiti and her IGTRC counterpart Kipkirui Chepkwony.
The Summit meeting as per the Intergovernmental Relations Act (IGRA) 2012 should be held at least twice a year.
In turn, Governor Abdullahi extended the invite to all the 47 governors to attend the Summit in a letter dated December 2.
“The purpose of this letter is to inform you of the planned meeting which will take place on Monday 16th December 2024 at State House, Nairobi from 9 am for your participation,” reads Mr Abdullahi’s letter to the county bosses.
