Only three counties met revenue target

Controller of Budget Margaret Nyakang'o before the National Assembly's Finance and National Planning Committee on February 19, 2020.

By DERICK LUVEGA
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Summary

• A report by the Controller of Budget Margaret Nyakang'o said Kirinyaga met its own-source-revenue(OSR) target during the first three months after collecting Sh92 million.
• Migori managed Sh60.3 million with Tana River closing the bracket of target achievers at Sh19 million.
• During the same period, the 47 local governments cumulative own source revenue also dipped from Sh7.7 billion to Sh5.9 billion.

Only three of the 47 counties met their revenue targets during the first quarter of the 2020/21 financial year amid a cash crunch occasioned by delayed approval of the County Allocation of Revenue Bill, 2020 by the Senate.

A report by the Controller of Budget Margaret Nyakang'o said Kirinyaga met its own-source-revenue(OSR) target during the first three months after collecting Sh92 million.

Migori managed Sh60.3 million with Tana River closing the bracket of target achievers at Sh19 million.

During the same period, the 47 local governments cumulative own source revenue also dipped from Sh7.7 billion to Sh5.9 billion.

This, Dr Nyakang'o said, was 11 percent of the annual target of Sh53 billion to be received from own sources.

During the months of July, August and September 2020, only 15 of the 47 counties managed to collect over Sh100 million through local revenue.

Nairobi topped the list of top collectors with Sh1.5 billion but failed to attain its target.

It was followed by Kiambu (Sh452.3 million), Nakuru (Sh294.2 million), Machakos (Sh206 million), Kakamega (Sh198.2 million) and Narok (Sh168.2 million).

Other top collectors were Nyeri (Sh152.7 million), Kajiado (Sh142.3 million), Uasin Gishu (Sh136 million) and Kilifi and Siaya collected Sh127.1 million each.

Laikipia, Kisumu and Makueni counties raised Sh126 million, Sh122.6 million and Sh105.2 million respectively to close the bracket of the 15 regional governments thatcollected over Sh100 million from their own sources.

At the same time, 17 counties fell within the bottom bracket after managing less than Sh50 million in revenue generation.

They were Kisii (Sh41 million), Mandera (Sh38.1 million), Vihiga (Sh36.5 million), Kwale (Sh33.8 million), Marsabit (Sh26 million), Garissa (Sh25.8 million), West Pokot (Sh21.7 million) and Bomet (Sh20.3 million).

Others are Tana River that collected Sh19 million, Turkana (Sh17.6 million), Homa Bay (Sh15.1 million), Elgeyo Marakwet (Sh14 million), Lamu (Sh14 million) and Wajir (Sh12.6 million).

Isiolo, Samburu and Nandi took the bottom slots after managing Sh9.9 million, Sh8.2 million and Sh4.6 million respectively.

Dr Nyakang'o said Nandi, Samburu and Homa Bay are the counties that recorded the lowest own source revenue against annual targets

Nandi recorded 1.1 percent, Samburu 2.9 percent and Homa Bay 3.9 percent against the annual targets.

During this period, county governments were slated to receive Sh69.8 billion from the exchequer.

APPROVAL DELAY

"During the reporting period, the National Treasury did not disburse any equitable share of revenue for FY 2020/21 due to delay in approval of the County Allocation of Revenue Bill, 2020 by Parliament. The Bill was enacted on October 8, 2020," Dr Nyakang'o said.

However, during the time, the Controller of Budget approved the transfer of Sh26.2 billion - the June 2020 allocation - from the consolidated fund to the various County Revenue Funds in accordance with Article 206(4) of the Constitution. The disbursement was made in August, 2020.