Budget shortfall could spoil the party for county chiefs

By Stephen Makabila and Patrick Beja

With budget deficits at the counties and limited funding from the national Government in the 2013/14 allocations, most governors are going to walk a tight rope in their first year at the helm.

The Transitional Authority will issue the functions to be transferred, as devolution begins to roll out with the allocation of Sh210 billion to counties in the 2013/2014 Budget.

But most counties are unsure of how to meet their budgetary deficits after unveiling estimates that went beyond their revenue generation.

Nairobi, the biggest among the counties for example, has a budget deficit of Sh8 billion, with Governor Evans Kidero revealing the national government had reduced the allocation from Sh16 billion to Sh8 billion.

Other vital counties like Mombasa, which is the entry point to the country, also faces serious budgetary deficit.

Governors and Senators had last week vowed to collect a million signatures in a push to amend the Constitution after President Uhuru Kenyatta assented into the Division of Revenue Allocation Bill, which was opposed by the leaders as they pushed for an allocation of Sh258 billion for counties.

Being the first time county governments have been constituted since independence, expectations are sky high that devolved governance will deliver economic opportunities which successive central governments were accused of dishing out disproportionately. Last week’s standoff between the National Assembly and the Senate offered a peek into the challenges the county governments face in the event the Legislature opts to pay ball with Executive.

Devolved funding

Although the management of county budgets are covered under raft of legislation, the establishment of some of the institutions contemplated in devolved funding is yet to materialise, giving the governors powers in decision-making.

Among the institutions are county treasuries that should be instrumental in identifying and prioritising development, besides apportioning funding to them. These some of the issues the Senate is expected to take care of to ensure smooth running of the governments.

Kakamega Senator Bonni Khalwale explains that it might not be easy to seal some of the loopholes through legislation, especially in counties where the party the governors belongs commands County Assembly majority.

“We are aware of the inherent weaknesses in county government structures and the powers governors wield. However, it is not a matter that can be addressed through legislation. The assumption was county assemblies will exercise their power to rein in rogue governors in a proper and thriving democracy,” says Dr Khalwale.

In Coast, struggle to control resources, supremacy and mistrust between governors and the county assembly may mar county governments. In Lamu and Taita Taveta, the height of power games has put the governors and county assemblies at loggerheads even as residents call for reconciliation to avoid hurting service delivery.

Details have emerged that the Lamu County assembly rejected all nominees to the county executive by Governor Issa Timamy after consultations on how the positions should be shared failed.

County representatives wanted to have a say in proposing some names to the governor but the latter saw this as manipulation as it was his prerogative to do so.

And when the governor presented his nominees for vetting, the county representatives seized the opportunities and declared it was also their prerogative to accept or reject the list of the governor’s men and women leading to the political intrigues. But all this has been blamed on earlier political differences where the governor wants to stamp his authority while forces from outside the county government and county assembly want to control resources, particularly land.

“What is happening in Lamu is a serious power struggle for control of resources. Earlier political party differences between the governor and the county representatives have returned to fuel the situation,” says former Lamu County Council chairman Abdalla Fadhil.

Most of the county representatives in Lamu are drawn from TNA, Farmers’ Party, Safina and ODM while the governor belongs to UDF.

Fadhil argues the infighting might make Lamu which had been neglected for the last 50 years miss out as various counties lay foundation to exploit resources and hence make devolution meaningless to area residents who are yet to enjoy its fruits.