Commission reviewing formula for revenue allocation

The Commission on Revenue Allocation (CRA) is consulting with senators on the review of the revenue formula to determine allocations to county governments.

The commission said the new process is aimed at examining the current status of counties after the previous one expired in the last financial year.

CRA Chairman Micah Cheserem said this will enhance revenue sharing in accordance with the Constitution.

"This is another process that we must do before the money is released to the counties and we have already consulted with governors on the same," Mr Cheserem said.

He was addressing the Press during a consultative forum for Senate's committees on Devolution and Finance in Naivasha.

He said senators will play a key role in the implementation of the new allocation formula, adding that this is the first time they are being involved.

"The last review was done in 2012 when senators were not there and we want to share with them the proposals before they debate them in the Senate," he said.

Senate Finance Committee Chairman Billow Kerrow said it will take some time to have the allocation plan as the House will have to take views on the same from all stakeholders.

He said the current plan looked at population, equal share for each of the counties and poverty indexes but the new one will be enhanced to include new parameters affecting counties.

Feel isolated

"We will ensure the new revenue allocation plan will make sure there is equity in sharing of revenue so that no county will feel isolated," said Mr Kerrow.

Devolution Committee Chairman Kipchumba Murkomen said they are listening to proposals from CRA and will also hold meetings before coming up with the final copy.

"We will also invite the council of governors, have meetings with Kenyans and we will also look at other jurisdictions like South Africa to ensure the revenue formula is the best for the country," said Murkomen.

Nominated senator Zipporah Kittony urged Kenyans to support the Senate in its work as it endeavours to create laws that will drive counties.