Finally it is here! Contents of the counties’ revenue formula proposed by 12-member Senate team revealed

By Brian Okoth On Thu, 17 Sep, 2020 17:39 | < 1 min read
The Johnson Sakaja and Moses Wetangula-led committee said for the Financial Year 2020/21, no county shall receive less money than what it received in the Financial Year 2019/20. [PHOTO | FILE]
The Johnson Sakaja and Moses Wetangula-led committee said for the Financial Year 2020/21, no county shall receive less money than what it received in the Financial Year 2019/20. [PHOTO | FILE]
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    Bungoma Senator Moses Wetangula moved the Motion on approval of the third basis for revenue allocation among the county governments.

The 12-member Senate Committee assembled to come up with a formula of sharing revenue among Kenya’s 47 counties on Thursday, September 17, revealed details of its deliberations.

The Johnson Sakaja and Moses Wetangula-led committee said for the Financial Year 2020/21, no county shall receive less money than what it received in the Financial Year 2019/20.

For the subsequent financial years — 2021/22, 2022/23, 2023/24 and 2024/25 — allocation to the counties will be “0.5, which is 50% of the 2019/20 allocation ratio plus the difference of whatever remains above equitable share minus 0.5 allocation ratio”, said Senator Johnston Sakaja.

Bungoma Senator Moses Wetangula moved the Motion on approval of the third basis for revenue allocation among the county governments.

While tabling the committee’s report in the House, Wetangula said: “We are giving the country a formula that will work. I want to salute the Head of State and the leadership of the House.”

“For the 2020/21 Financial Year, allocation ratio shall be equal to the shareable revenue allocated to the counties in the Financial Year 2019/2020,” said Wetangula.

In 2019, the county governments received monies, which were shared as follows: 18% population index, 17% health index, 10% agriculture index, 5% urban index, 14% poverty index, 8% land area index capped at 7%, 8% roads index, and 20% basic share index.

More soon.

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