Sakaja-Ruto Sh80b deal: Who is fooling whom?

 

President William Ruto with Nairobi Governor Johnson Sakaja.

The co-operation pact to run Nairobi County between Governor Johnson Sakaja and President William Ruto, signed on Tuesday, has generated heated debate and faces backlash from Nairobi leaders led by Senator Edwin Sifuna and Embakasi East MP Babu Owino.

Many leaders and Kenyans have also raised questions about how the revenue collected will be shared and whether the Senate or the County Assembly will be responsible for auditing the steering committee.

A petition in the High Court has been certified as urgent and will be heard on 16 March. Two activists want the court to determine that the pact is illegal, arguing that the public was not involved and that its spirit negates the tenets of devolution.

Katiba Institute also says it has written to the Nairobi City County Secretary, under Article 35 of the Constitution and the Access to Information Act, requesting full disclosure on the reported “partnership” between the National Government and Nairobi City County in the performance of county functions.

Executive Director Nora Mbagathi said the Institute will move quickly to seek clarity on the legal basis, scope, financing, agreements and the County Assembly’s involvement in what it termed a suspicious deal. The Law Society of Kenya also warned that the Sh80 billion framework co-operation agreement could lead to a replica of the Nairobi Metropolitan Services (NMS).

“Even with the realisation that Nairobi County still collects the highest amount, the question is whether the county is trying to say it is not able to sustainably run its functions and hence needs the government’s support? We might see in words that they will say it is not NMS, but in action, it could turn out to be,” Faith Odhiambo said.

According to leaders who spoke yesterday, the agreement will complicate oversight and accountability processes by the Assembly, Senate and the Office of the Auditor General, and could become an avenue for grand corruption.

The Sh80 billion deal is expected to be managed through a steering committee chaired by Prime Cabinet Secretary Musalia Mudavadi, with members from both the national and county governments to oversee key projects in the city.

“The truth is that the National Government wants to control where the billions to be injected through the deal go. Garbage collection, water and education are very big tenders in this city and only when you dig deep and find out who runs such services will you understand the National Government’s interests in the city,” says Prof Gitile Naituli.

Nairobi leaders have also voiced concern over the mega deal. Sifuna and Owino poked holes in the process of crafting the deal and the lack of public participation. They also demanded that it be shelved, terming it a potential avenue for corruption ahead of the 2027 elections.

In televised briefings within the precincts of Parliament, the two leaders accused the Head of State of orchestrating a clawback on devolution, questioning the timing of the deal and the government’s interests in the running of Nairobi County affairs.

Governor Johnson Sakaja shakes hands with Prime Cabinet Secretary Musalia Mudavadi after signing a cooperation deal with national government. [[PCS]

Senator Sifuna termed the deal a “power grab through the backdoor”, insisting that the lack of involvement of the Senate, which Article 96 of the Constitution mandates to defend counties and their governments, was a major flaw in its crafting.

He also took issue with the fact that no public participation was conducted before the signing of the deal at the State House.

“You do not enter into such agreements in order to circumvent the Constitution… Indeed, the so-called Cooperation agreement itself acknowledges that no public participation was conducted prior to the signing yesterday, a violation of the Constitution too egregious to ignore.

“To then provide in the same agreement that it would be subjected to public participation after the fact is not only disrespectful to the people of Nairobi but the clearest indication that it is anything but what we are being told it is,” stated Sifuna.

While reiterating that the agreement is meant to take effect within 14 days, he questioned whether any meaningful public participation would be carried out within such a short period.

“The agreement anticipates the outcome of the proposed public participation, limiting it to ‘amendments’ and forgetting that the people might have the option of rejecting the whole arrangement in total,” he added.

In justifying why the agreement amounted to a power grab, the Senator pointed out that the steering committee established to oversee it was national government-heavy; of the 12 members, eight are appointees of the national government.

“From its structure, the Governor will play subservient to the Prime Cabinet Secretary, making Sakaja the new Deputy Governor for all intents and purposes. This to me is not co-operation but takeover,” remarked Sifuna.

The multi-billion-dollar funding expected to be injected through the co-operation was also a sticking point for the Senator, who questioned where the money would come from. He said contractors and suppliers are owed Sh16 billion from the defunct Nairobi Metropolitan Services (NMS) – an entity created when former Nairobi Governor Mike Sonko ceded key functions to then President Uhuru Kenyatta’s administration.

“It is public knowledge that the National Government owes Nairobians over Sh100 billion in unpaid rates and other payables from national government institutions. Ruto throwing around the figure of Sh80 billion as a symbol of his generosity to the people of Nairobi is nothing but a ruse,” Sifuna said.

Owino termed the deal a hostile takeover and a “clear sign that the governor is incompetent.”

“Nairobians believed that the governor would ensure the delivery of services in sectors such as health, roads and water but, going by this deal, it shows that Nairobians gave power and responsibility to the wrong person,” he said.

The lawmaker also questioned the National Government’s interests in the deal, claiming it would only open an avenue for its cronies to enrich themselves.

“What is this that they want to do in one year to the General Election that they were unable to do in the last four years? This deal just means that corruption will thrive,” said Owino.

But speaking during a tour of the Nairobi River yesterday, President Ruto defended the pact.

“Nairobi has not been handed over; I have a job to do. What we have done is cooperation so that we can build our city. Development will be overseen by the County Government and the Governor, working together with the MCAs. My role as President is to support them so that Nairobi continues to progress,” said Ruto at Lucky Summer.

Sakaja expressed similar sentiments: “Thank you for giving me the mandate to be your Governor. I have not handed over power; those are rumours. I am cooperating with the President to deliver clean streets, better roads, schools and hospitals. Nairobi is not just a county but Kenya’s capital, so there is nothing wrong with receiving more funding.”

Gitile, a Professor of Management and Leadership, also observed that whereas there was a need to come to the capital’s rescue, the National Government’s interests were anchored in the city’s lucrative procurement processes.

“It is no secret that Nairobi needs help. But the help it needed was for President William Ruto and the late Raila Odinga to allow the impeachment of Sakaja to proceed and not intervene. Remember from the outset, there was an issue with the Governor’s academic qualifications but people still voted him in. Going forward, Nairobi citizens must stop promoting people beyond their competence,” he observed.

The co-operation agreement focuses on four key areas: Water and sewerage, roads, bridges and drainage, housing and related infrastructure development. This includes lighting, solid waste management and the regeneration of the Nairobi River.