The year 2016 is crucial for devolved governance and local economic development survival. It is the year to transform budget-making to reflect goals of devolution. And 2017 could be won or lost based on devolution.
Devolution is the new struggle for Kenya after restoration of pluralism and promulgation of the new Constitution. It is about deepening sustainable democratic governance, addressing inequalities, equal access to opportunities and equity in governance, consolidating democratic stability, peace and security. Senate is the institution at the heart of this system of governance. Sadly, it appears the Senate hasn't quite grasped its core mission.
The single largest economic and financial risk which adoption of the new Constitution portends is failure of the national government to rationalise and downsize as stipulated in the Constitution.
Ministries and State corporations, and provincial administration are just as intact as they were before the new Constitution. Rather than dismantle the old order, the national government is strengthening it. The Government is sustaining costly, wasteful and duplicative parallel government system. It is a subtle strategy to weaken the devolved government. The size, structure and costs of running the national government were set to be drastically reduced by devolution.
The Senate, as the protector and as the agency of advancing devolution, has the arduous yet pivotal responsibility to undertake massive governance and development transformation of the country. It has a strategic and pivotal role of driving State transformation, unlike the National Assembly.
The Judiciary has been very generous to the Senate with critical judgements that have asserted and expanded the mandate of the Senate. The courts are also emerging as crucial pillars of strengthening the devolved system of governance. Senate has not seized its powers to overhaul the governance and development from old order. The old order still persists and the National Assembly is determined to enhance it.
What should be the agenda for the Senate in 2016? First, it should enforce the constitutional principle of separation of powers and functions of institutions. Senate should enact the prerequisite legal framework to guide and regulate proliferation of devolved funds, bringing their implementation under the County Treasury for prudent, responsible and accountable utilisation. It should enhance the fiscal transfer system, institutionalise accountability mechanisms, improve financial management and establish effective monitoring systems.
Secondly, transition to a fully devolved system of governance and development as stipulated in the Constitution is still incomplete. Senate should embark on restructuring the process of all national institutions, including parastatals and corporations, to make the comply with devolution and bring Vision 2030 into conformity with the county-centered development plan.
Thirdly, it should exercise its law-making powers to deepen and consolidate county institutions and the entire devolved system of governance including administrative, political, financial and security matters. It should facilitate the restructuring, reorganisation and rationalisation of the entire governance and administrative system and processes.
This will effectively strengthen devolution, create less government bureaucracy, drastically reduce recurrent expenditure and increase efficiency. The national government's presence at the county should only be through technical officers working in consultation and co-operation with the county government.
Fourthly, the Senate needs to facilitate the building of institutional capacity of the county governments. This includes human resource, physical facilities and operational systems. It must source and tap sectoral knowledge and expertise for county governments on governance, spatial economic development planning, sourcing for economic investments and ensuring institutional and socio-economic infrastructure that cuts off duplication.
Fifthly, Senate has a major role in moving the budget from mechanics involved in the budget-making process i.e. drafting, negotiations, legislation and passage of the budget to engineering the process of budget. Engineering of the budget means using the resources available to make and expand revenue base. Everyone is focusing on mechanics (sharing revenue) and not budget engineering that expands, diversifies and increases economic productivity.
Finally, Senate in consultation with Council of Governors needs to set up clear reporting, assessment, auditing and reviewing mechanisms to avoid fractious antagonism. It should create avenues and bridges for the county and national government to engage, negotiate and co-operate in harmony and constructively on resources, functions and service delivery.
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