Nairobi Governor Johnson Sakaja has dismissed claims by Controller of Budget (CoB) Margaret Nyakang’o that his county spent zero shillings on development in the first quarter of the financial year, from July to October 2024.
Sakaja clarified that counties faced delayed exchequer releases from the National Treasury, receiving funds only on September 23.
“Despite these challenges, Nairobi County relied on its own-source revenue to handle operations, maintenance, salaries, and personnel costs,” he said.
He added that Nairobi had spent over Sh800 million on development projects in the past five months.
“In the last five months, the county has spent Sh844,184,929 on various development projects, including markets, sports facilities, roads, solid waste management, and emergency services,” Sakaja explained.
He emphasized that the CoB report focused on payments rather than ongoing development work, noting that payments are made at different stages of project implementation after contractors submit certificates.
CoG Defends Counties, Accuses CoB of Scandalizing
The Council of Governors (CoG) also criticized the CoB for what they termed as unprofessional conduct and unfairly scandalizing counties in her report.
Also Read: Governors Slam Controller Of Budget For Unprofessionalism, Scandalizing Counties
CoG Chair Ahmed Abdullahi defended counties, particularly regarding claims about development spending and numerous bank accounts.
Abdullahi explained that counties operate 7,011 health facility accounts in compliance with the Facility Improvement Financing Act, 2023, which mandates county health facilities to open accounts for revenue retention and expenditure.
Additionally, Regulation 82(1)(b) of the Public Finance Management (County Governments) Regulations, 2015 permits counties to open accounts in commercial banks for revenue collection.
Abdullahi said some development partners require special-purpose accounts for conditional grants to ensure transparency and proper use of funds.
“County governments are implementing various projects funded by development partners, and some conditions include opening special-purpose accounts to ensure funds are ring-fenced for specific projects,” he said.
The CoB report highlighted that counties such as Nairobi, Kajiado, Baringo, Lamu, Uasin Gishu, and West Pokot spent no funds on development during the period.
However, Narok Governor Patrick Ole Ntutu led in development spending with Sh477 million, followed by Kirinyaga’s Anne Waiguru (Sh378 million) and Busia’s Paul Otuoma (Sh328 million).
The report also spotlighted Nairobi County’s pending bills amounting to Sh121 billion, Garissa (Sh6 billion), Kiambu (Sh5.9 billion), and Turkana (Sh4.8 billion).
Nyakang’o urged counties to prioritize clearing these bills as recommended by the Senate.
Abdullahi accused the CoB of creating unnecessary public outrage and failing to address challenges caused by delayed Treasury disbursements.
“The Controller of Budget continues to scandalize counties while knowing the challenges with delayed fund releases, most of which her office orchestrates. We strongly condemn this unwarranted and unprofessional behavior,” Abdullahi said.
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