Wednesday, 8th June, 2022

Hon. Senators, I wish to report to the Senate that, pursuant to Standing Order No.41 (3) and (4) , I have received the following Message from the Speaker of the National Assembly regarding the passage of the Persons with Disabilities Bill (National Assembly Bills No. 61 of 2021) .

Pursuant to the said Standing Order, I now report the Message- “PURSUANT to the provisions of Standing Order 41 (1) and 142 of the National Assembly Standing Orders, I hereby convey the following Message from the National Assembly – WHEREAS the Persons with Disabilities Bill (National Assembly Bills No.61 of 2021) was published vide Kenya Gazette Supplement No.239 of 31st December, 2021 to repeal the Persons with Disability Act, No. 14 of 2003, to give effect to Article 54 of the Constitution; to restructure the National Council for Persons with Disabilities and to provide for its functions and powers; to provide for institutional framework for protecting, promoting and monitoring the rights of persons with disabilities, and for connected purposes; WHEREAS the said Bill is a Bill concerning county governments in terms of Article 110 (4) of the Constitution; AND WHEREAS the National Assembly considered the said Bill in the Committee of the Whole House on Tuesday, 24th May, 2022 and passed it on

Wednesday, 25th May, 2022 with amendments and in the form attached hereto; and NOW THEREFORE, in accordance with the provisions of Article 110(4) of the Constitution and Standing Orders 41(1) and 142 of the National Assembly Standing Orders, I hereby refer the said Bill to the Senate for consideration.” Hon. Senators, Standing Order No. 157 requires that a Bill originating in the National Assembly be proceeded with by the Senate in the same manner as a Bill introduced in the Senate by way of First Reading in accordance with Standing Order 139.

In this regard, I direct that the Persons with Disabilities Bill (National Assembly Bills No. 61 of 2021) be read a First Time tomorrow, Thursday, 9th June, 2022.

I thank you.

The Senate Majority Leader, Sen. Poghisio, please proceed.

Madam Temporary Speaker, I beg to lay the following Papers on the Table of the Senate, today, 8th June 2022-

Report of the Auditor-General on the financial statement of the Kericho County Emergency Fund for the year ended 30th June, 2020. Report of the Auditor-General on the financial statement of Tana River County Ward Bursary Fund for the year ended 30th June, 2020. Report of the Auditor-General on the financial statement of the County Assembly of Kakamega for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Busia for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Murangá for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Murangá for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Nyeri for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Nyeri for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Baringo for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Baringo for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Nakuru for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Nakuru for the year ended 30th June, 2021.

Report of the Auditor-General on the financial statement of the County Executive of Makueni for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Makueni for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Machakos for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Machakos for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Kitui for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Kitui for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Samburu for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Assembly of Samburu for the year ended 30th June, 2021. Report of the Auditor-General on the financial statement of the County Executive of Laikipia for the year ended 30th June, 2021.

Report of the Auditor-General on the financial statement of the County Executive of Kirinyaga for the year ended 30th June, 2021.

Report of the Auditor-General on the financial statement of the County Assembly of Kirinyaga for the year ended 30th June, 2021.

Report of the Auditor-General on the financial statement of the Kirinyaga County Assembly Car Loan Fund for the year ended 30th June, 2021.

I thank you.

Next is a report by the Chairperson of the Standing Committee on Agriculture, Livestock and Fisheries.

Madam Temporary Speaker, I beg to lay the following Paper on the Table of the Senate today, Tuesday, 8th June, 2022-

Report of the Standing Committee on Agriculture Livestock and Fisheries on the Sugar Bill (National Assembly Bills No.68 of 2019) . I thank you.

Let us go to the next Order. Sen. Kibiru, who is the Chairperson of the Committee on Finance is not in the House. Sen. Farhiya, are you representing him?

Yes.

Please go ahead.

Madam Temporary Speaker, I wish to give Notice of the following Motion-

THAT, the Senate adopts the Report of the Standing Committee on Finance and Budget on the County Governments Additional Allocations Cash Disbursement Schedule for the Financial Year 2021/2022 and approval of the County Governments Additional Allocations Cash Disbursement Schedule for the Financial Year 2021/2022 laid on the Table of the Senate on Wednesday, 8th June, 2022, and that pursuant to Section 17 (7) of the Public Finance Management Act and Standing Order 183 (3) , the Senate approves the County Governments Additional Allocations Cash Disbursement Schedule for Financial Year 2021/2022. I thank you.

Let us go to the next Order.

We will begin with Statements pursuant to Standing Order No.40 (1) . Sen (Dr.) Musuruve, please go ahead.

Thank you, Madam Temporary Speaker, for this opportunity. I rise pursuant to Standing Order No.47 (1) to make a Statement on a topic of general concern namely; World Environment Day (WED) .

Every year, World Environment Day is observed, on 5th June. This day is celebrated to encourage awareness and environmental protection. According to the United Nations (UN) , the commemoration of this day provides us with an opportunity to broaden the basis for an enlightened opinion and responsible conduct by individuals, enterprises and communities in preserving and enhancing the environment.

The United Nations General Assembly (UNGA) , in 1972, established the WED, on the first day of the Stockholm Conference on the Human Environment. Two years later, in 1974, the first WED was held with the theme; Only One Earth.

The WED is celebrated by engaging governments businesses, celebrities and citizens to focus their efforts on appraising environmental issues.

This year’s environment theme is; Once Again, Only One Earth. It draws our attention towards playing our roles effectively while living in perfect harmony with

nature. This theme calls for collective transformative action on a global scale to celebrate, protect and restore our planet earth.

It is mankind responsibility to save the planet from the various harms, most of which originate from relentless human activities. After facing over two years of COVID- 19 Pandemic, the significance of a safe clean and sustainable environment cannot be overstated.

The need to spread awareness is more pertinent than ever, as Mother Earth if beset with perils of pollution, climate change and global warming. These are major environmental issues that I would like to bring to our attention.

Other issues include; deforestation, soil erosion, land degradation, desertification, loss of biodiversity, water scarcity and pollution from industries.

As we contemplate on these challenges, it is important to note that the most pressing environmental issue has been global warming. Climate change is real and it is influenced by human activities through the production of greenhouse gases such as methane and carbon dioxide.

It is everyone’s duty to protect and conserve the environment. As we mark this day, I call upon all Kenyans to ensure that they play their individual, family or societal roles in ensuring that the environment is preserved. Some of the simple ways of playing such roles include; replacing disposable items with reusable items.

The ways of decreasing the amount of disposable items are; carry your own reusable cap of water bottle, use airtight reusable food containers instead of plastic bags, bring your own bags to the grocery store and use rechargeable batteries and so on.

The second one is conserving water and electricity. The following are some of the ways this can be done. Turn the sink water off when brushing your teeth, water the lawn in the morning---

Hon. Senators, kindly let us have some order in the House.

Thank you, Madam Temporary Speaker. I will continue from where I was.

Turn the sink water off when brushing your teeth, water the lawn in the morning or evening, switch off anything that uses electricity when not in use, for examples, lights, televisions, computers, printers, elevators and so on. Use eco-friendly pesticides and herbicides that would not contaminate ground water.

There is also proper recycling. This means implementing recycling habits in your daily life is one of the most effective ways to help lessen landfill waste, conserve natural resources, save habitats, reduce pollution, cut down on energy consumption and slow down global warming.

Lastly, planting trees and preventing soil erosion can help the environment in a great way. Trees provide oxygen, improve air quality, climate amelioration, conserving water, preserving soil and supporting wildlife. During the process of photosynthesis, trees take in carbon dioxide and produce the oxygen that we breathe.

As we mark this year’s WED, I would like to call upon all levels of governments; the national and county governments, to intensify the awareness of the need to conserve and preserve the environment. Both levels of government should devise strategies of ensuring that every Kenyan is enlightened on the importance of planting trees, recycling items, conserving water and electricity and living an eco-friendly life.

Thank you. I wish everyone a belated happy World Environment Day.

Hon. Senators, I thought I would give an opportunity to a few to make comments, but I do not seem to see interest. Let us proceed.

For the convenience of the House, I would like to give the Chairman of the Standing Committee on Finance and Budget, to go ahead and present some very important Papers.

Madam Temporary Speaker, I beg to lay the following Papers on the table of the Senate, today, 8th June, 2022.

Let us move to the next Statement.

The next Statement is by the Chairperson Standing Committee on Roads and Transportation. I do not see the Chairman of the Roads and Transportation Committee in the House. Is there any Member of the Committee to present?

There is a Statement that can be read on behalf of the Chairman. Can we do that?

Next Order. Sen. Cherargei, please, take the opportunity to make your Statement.

Thank you, Madam Temporary Speaker. I have two Statements. Can I read them consecutively?

Yes, please.

Thank you, Madam Temporary Speaker. I request for a Statement on the welfare of village administrators commonly known as wazee wa mtaa and nyumba kumi elders.

Madam Temporary Speaker, I rise Pursuant to Standing Order No. 48 (1) , to seek a Statement from the Standing Committee on National Security, Defence and Foreign Relations on the welfare of village administrators, wazee wa mtaa and nyumba kumi elders.

In the Statement, the Committee should:

Madam Temporary Speaker, I rise pursuant to Standing Order No. 48 (1) , to seek a Statement from the Standing Committee on Labour and Social Welfare, on the allocation and expenditure of funds from the Sports, Arts and Social Development Funds to the various Sports Federations in Kenya, having in mind that the Kenya Football Federation has been banned from participating in activities.

In the Statement, the Committee should:

Senators, we are going to allow a few comments on the two Statements.

Sen. Wambua, proceed.

Thank you, Madam Temporary Speaker. I rise to make a comment on the first Statement by Sen. Cherargei, on the welfare of village administrators.

A few weeks or a month ago, I sought a similar Statement, but my Statement was directed to the Committee on Labour and Social Welfare. I see Sen. Cherargei has brought this Statement and directed it to the Committee on National Security and Foreign Relations.

The issues that I raised and which are still outstanding are basically two. One, a clear scheme of service for village administrators. It will be remembered that in this House, we have previously dealt with the issue of Early Childhood Development Education (ECDE) teachers, where different counties have been implementing different schemes of service for ECDE teachers.

The same challenge faced by ECDE teachers is being encountered by village administrators. There is need for clarity and harmonization of a scheme of service for village administrators across the board. This is such that, if you are a village administrator in Kitui County, then you have been engaged under the same terms of engagement with a village administrator in Makueni County.

The second issue is a clear career progression path for these village administrators. It should be clear to a person who gets into a job as village administrator, that through hard work and additional education, one day they could find themselves in a position of a subcounty administrator. However, in our situation, once you are recruited as a village administrator, it is the beginning and end of your career.

As democracy and devolution matures we need to deal with these issues in this or the next Senate to ensure that there is harmony in the operations of village administrators across the country.

Madam Temporary Speaker, lastly, I would request that you use your discretion because while you were calling my name I have just received a message from Kitui County regarding an emergency. It is related to the Statement sought by Sen. Cherargei.

It is a village administrator who has sent me the message about a serious problem that is happening at a place known as Ikaandani in Kitui South Constituency where bandits have invaded a region. They have shot at one person. The rest of the community has fled to the forest and a nearby school has been evacuated.

Time must come and it must be now; that when we talk about people known as bandits attacking other Kenyans in their land at a time like this must come to an end. I would request that you use your discretion and allow me to make an urgent Statement on that matter.

I thank you.

Sen. Wambua you will use the time between now and when we are still discussing the other Statements to make that request.

Proceed, Sen. Omogeni.

Madam Temporary Speaker, I rise to support the first Statement that was raised by Sen. Cherargei on the welfare of the village elders. We all know that in the hierarchy of our village elders, there is a difference between village administrators and village elders. In my vernacular language they are known as “abatureti”.

These people play a key role in sharing very confidential information with security agencies on matters security. If we are facing a risk of cattle rustling from our neighbouring counties the people we rely on to tip-off the police are the village elders because they interact with people at the grass roots and they will pick this information and share it with the security agencies.

Often times in a week, these key people in the security sector will hold not less than three meetings with the local District Officer (DO) in the company of the chief and the assistant chief and in some cases with the head of the police within the division. They are key in ensuring that there is law and order in the community.

At times they are the people who keep a watchful eye on us, politicians. If we incite people, they are the ones who will report first on the activities of politicians, which may border on hate speech or incitement. They are very important in ensuring that there is peace, law and order at the village level.

The State has neglected these village elders. They do not get any transport allowance or lunch allowance to attend meetings. Some come on motorcycles and do not get fuel allowance. It is high time we accepted as a country that we have now incorporated these village elders into our security system and we then establish a structured way of paying them.

Coincidentally, last week I met two of them. One is called Mzee Isaiah Oluoch, he is a village elder in Voisanga Ward in North Mugirango. The other is known as Evans Mogusu who is the vice chairperson of the village elders.

They all have the same concerns they are doing a very good job within the Government but they are never appreciated. I hope that the committee that will be tasked

with this matter will propose a legislation that will put these village elders under some structure that is recognized and known in law so that they can get some allowance when they attend some of these meetings.

You cannot leave them at the mercy of the chief; you cannot rely on a chief to pay you from his pocket. The chief and the DO do not have an allowance to pay these village elders.

I support this Statement by Sen. Cherargei. I hope that the lucky Senators such as Sen. Poghisio, Sen. Wambua, Sen. Faki and Sen, Murkomen who are likely to make it back to the House will pursue this matter further so that we can have in place a legislation that has a structure on how we can remunerate these village elders.

They are our friends and we all know them in our villages. They are not rich people; they are really struggling. It is good that we appreciate them. I support this Statement and I hope that if the committee, which is going to handle this matter will not complete it then the next Senate will take it up.

I thank you.

Hon. Senators for the convenience of the House we will suspend the comments on the Statements and we shall return to them later because there are very pressing matters that we need to dispense with.

Next Order.

Hon. Senators, we are going to move to Divisions. We are going to take only 20 minutes. They are many and we want to take them all together as much as possible. Kindly stay tuned those who are online. Members who are in the House, kindly make sure we dispense with the Divisions because it is critical that we do that.

Next Order.

Second Reading

Can the Division Bell be rung for two minutes.

Hon. Senators, let us have some order, please. We need to proceed. Kindly take your seats. We are proceeding.

Hon. Senators, we are now going into Division. I will put the question for each of the 12 Bills and voting will be by Roll Call. I expect you to vote for all the twelve Bills at once.

Thank you, Hon. Senators.

Teller of the Noes:

Hon. Senators, the results of the Division are as follows-

the Senate proceeded to vote by County Delegations) AYES: Sen. Abdul Haji, Garissa County; Sen. (Dr.) Ali, Wajir County; Sen. Cherargei, Nandi County; Sen. Dullo, Isiolo County; Sen. Faki, Mombasa County; Sen. Farhiya, Nairobi City County; Sen. (Eng.) Hargura, Marsabit County; Sen. Kajwang’ M., Homa Bay County; Sen. (Prof.) Kamar, Uasin Gishu County; Sen. Kavindu Muthama, Machakos County; Sen. Khaniri, Vihiga County; Sen. Kibiru, Kirinyaga County; Sen. (Dr.) Lelegwe, Samburu County; Sen. (Dr.) Mbito, Trans Nzoia County; Sen. Moi, Baringo County; Sen. Murkomen, Elgeyo-Marakwet County; Sen. Mutula Kilonzo Jnr., Makueni County; Sen. Mwaruma, Taita-Taveta County; Sen. Ndwiga, Embu County; Sen. Nyamunga, Kisumu County; Sen. Olekina, Narok County; Sen. Omogeni, Nyamira County; Sen. Poghisio, West Pokot County; Sen. Seneta, Kajiado County; Sen. Wambua, Kitui County; and, Sen. (Dr.) Zani, Kwale County.

Teller of the Ayes: Sen. Iman.

Teller of the Noes:

Hon. Senators, the results of the Division are as follows-

Uasin Gishu County; Sen.( Dr.) Kang’ata, Murang’a County; Sen. Kavindu Muthama, Machakos County; Sen. Khaniri, Vihiga County; Sen. Kibiru, Kirinyaga County; Sen. (Dr.) Lelegwe, Samburu County; Sen. M. Kajwang’, Homa Bay County; Sen. (Dr.) Mbito, Trans Nzoia County; Sen. Moi, Baringo County; Sen. Murkomen, Elgeyo- Marakwet County; Sen. Mutula Kilonzo Jnr., Makueni County; Sen. Mwaruma, Taita Taveta County; Sen. Ndwiga, Embu County; Sen. Nyamunga, Kisumu County; Sen. Olekina, Narok County; Sen. Omogeni, Nyamira County; Sen. Poghisio, West Pokot County; Sen. Seneta, Kajiado County, and; Sen. Wambua, Kitui County.

Teller of the Ayes: Sen. Iman

Hon. Senators, the results are as follows:

Teller of the Ayes: Sen. Iman

Hon. Senators, the results are as follows:

Hon. Senators, the results are as follows:

(The Bill was read a Second Time and committed to a Committee of the Whole today, by leave of the House) Second Reading

Hon. Senators, the results are as follows:

Hon. Senators, the results are as follows:

Kajwang’, Homa Bay County; Sen. (Dr.) Mbito, Trans Nzoia County; Sen. Moi, Baringo County; Sen. Murkomen, Elgeyo-Marakwet County; Sen. Mutula Kilonzo Jnr., Makueni County; Sen. Mwaruma, Taita Taveta County; Sen. Ndwiga, Embu County; Sen. Nyamunga, Kisumu County; Sen. Olekina, Narok County; Sen. Omogeni, Nyamira County; Sen. Poghisio, West Pokot County; Sen. Seneta, Kajiado County; Sen. Wambua, Kitui County and, Sen. (Dr.) Zani, Kwale County.

Teller of the Ayes: Sen. Iman

Hon. Senators, the results are as follows:

Hon. Senators, the results are as follows:

Hon. Senators, the results are as follows:

Hon. Senators, the results are as follows:

County; Sen. Kibiru, Kirinyaga County; Sen. (Dr.) Lelegwe, Samburu County; Sen. M. Kajwang’, Homa Bay County; Sen. (Dr.) Mbito, Trans Nzoia County; Sen. Moi, Baringo County; Sen. Murkomen, Elgeyo-Marakwet County; Sen. Mutula Kilonzo Jnr., Makueni County; Sen. Mwaruma, Taita Taveta County; Sen. Ndwiga, Embu County; Sen. Nyamunga, Kisumu County; Sen. Olekina, Narok County; Sen. Omogeni, Nyamira County; Sen. Poghisio, West Pokot County; Sen. Seneta, Kajiado County; Sen. Wambua, Kitui County and, Sen. (Dr.) Zani, Kwale County.

Teller of the Ayes: Sen. Iman

Hon. Senators, the results are as follows:

Senators, do not log off. We are still taking two more divisions.

Next Order.

Hon. Senators. I will now put the Question for all the three Motions.

Hon. Senators, let us proceed to vote. Voting is by Roll Call. Kindly vote for all the three Motions. You can do it once.

Hon. Senators, please stay online. Do not log off. We still have the Committee of the Whole on the County Allocation of Revenue Bill (Senate Bills No.1 of 2022) and the Mental Health (Amendment) Bill (Senate Bills No.28 of 2022). We will be done after that.

Teller for Noes: Sen. Mwaura

Hon. Senators, I now report the progress on the voting. On Motion 22 on the County Public Accounts and Investments Committee, the results are as follows:

Teller of the Ayes:

Sen. Cherargei, Nandi County. Teller of the Noes: Sen. Mwaura

Motion Number 28 on the Standing Committee on Health on the Special Audit Report on Utilization of Covid-19 Funds by 28 County Governments, the results are as follows:

Teller of the Ayes:

Sen. Mwaura

On Motion Number 24, the Report of the Sessional Committee on Delegated Legislation on its consideration of the Controller of Budget (CoB) Regulations, 2021. The results are as follows:

Yes, Madam Temporary Chairperson. The Temporary Chairperson (Sen. Nyamunga) : We are waiting for you, just go ahead.

Madam Temporary Chairperson, I beg to move- THAT the Bill be amended by deleting the Second Schedule and substituting therefor the following new schedule- County Government Budget Ceilings on Recurrent Expenditure in Financial Year 2022/2023

No. County Title County Assembly Ceilings County Executive Ceilings

Madam Temporary Chairperson, I beg to move- THAT the Bill be amended by deleting the Second Schedule and substituting therefor the following new schedule- County Government Budget Ceilings on Recurrent Expenditure in Financial Year 2022/2023

No. County Title County Assembly Ceilings County Executive Ceilings

County Government Budget Ceilings on Recurrent Expenditure in Financial Year 2022/2023 (Figures are in Kenya Shillings)

607,049,529 8 Homa Bay

County Government Budget Ceilings on Recurrent Expenditure in Financial Year 2022/2023 (Figures are in Kenya Shillings)

418,152,304

419,261,939 492,255,576 22 Machakos

626,075,916 30 Nairobi City

568,996,754 40 Tana River

537,074,233 41 Tharaka -Nithi

524,178,098 42 Trans Nzoia

607,049,529 44 Uasin Gishu

643,357,859 588,023,141 43 Turkana

607,049,529 44 Uasin Gishu

597,112,535 47 West Pokot

Teller of the Noes:

Hon. Senators, the results of the Division are as follows-

Mwaruma, Taita-Taveta County; Sen. Ndwiga, Embu County; Sen. Orengo, Siaya County; Sen. Outa, Kisumu County; Sen. Poghisio, West Pokot County; Sen. Sakaja, Nairobi City County; Sen. Wambua, Kitui County; and,

Sen. Iman

Teller of the Noes:

Hon. Senators, the results for the first Question on The County Allocation of Revenue Bill (Senate Bills No.1 of 2022) are as follows-

Teller of the Noes:

Hon. Senators, the results for second

Let us have the Chairperson reporting on the Mental Health Amendment Bill.

Madam Temporary Chairperson, I beg to Move that the Committee do report to the Senate its consideration of the County Allocation of Revenue Bill (Senate Bills No.1 of 2022) and its approval thereof with amendments.

Let us have the Chairperson reporting on the Mental Health Amendment Bill.

The Mover, please, proceed.

Mr. Speaker, Sir, I beg to Move that the House do agree with the Committee on the said report.

I call upon the Senate Majority Leader to Second.

I second.

The Mover, please, proceed.

Mr. Speaker, Sir, I beg to Move that the House do agree with the Committee on the said report.

I call upon the Senate Majority Leader to Second.

I second.

Mr. Speaker, Sir, I beg to report that the Committee of the Whole has considered The County Allocation of Revenue Bill (Senate Bill No.1 of 2022 and its approval thereof with amendments.

The Mover.

Mr. Speaker, Sir, I beg to move that the House do agree with the Committee on the said Report and ask Sen. Kasanga to second.

Mr. Speaker, Sir, I beg to report that the Committee of the Whole has considered The County Allocation of Revenue Bill (Senate Bill No.1 of 2022 and its approval thereof with amendments.

The Mover.

Mr. Speaker, Sir, I beg to move that the House do agree with the Committee on the said Report and ask Sen. Kasanga to second.

Mr. Speaker, Sir, I second.

Mr. Speaker, Sir, I beg to move that The County Allocation of Revenue Bill (Senate Bill No.1 of 2022) be now read a Third Time, and ask Sen. M. Kajwang’ to second.

Mr. Speaker, Sir, I second.

Ring the Division Bell.

Next Order. Proceed, Sen. Farhiya.

Order. These are the results of the Division are as follows:

Next Order. Proceed, Sen. Farhiya.

Mr. Speaker, Sir, I beg to move that The County Additional Allocation Bill (Senate Bills No. 2 of 2022) be now read a Second Time.

The County Additional Allocation Bill (Senate Bills No. 2 of 2022) was published on 10th May, 2022 and subsequently introduced to the House by a First Reading on Thursday, 12th May, 2022. Thereafter, it was committed to the Standing Committee of Finance and Budget for consideration pursuant to provisions of Standing Order No.141 of the Senate Standing Orders.

Mr. Speaker, Sir, Article 202 (2) of the Constitution of Kenya, 2010, stipulates that the county government may be given additional allocations from the National governments share of the revenue either conditionally or unconditionally. Further, pursuant to Article 191 of the Constitution, Parliament is obliged to legislate on matters, which would ensure that county governments have adequate them perform their function.

Mr. Speaker, Sir, therefore, to provide the additional allocation finance by National government share of revenue and proceeds of loans and grants from the development partner and to provide for additional allocations for the FY 2022/2023.

Upon enactment, the legal instrument will facilitate the transfer of conditional and non-conditional allocation made to counties from the consolidated fund to the respective county revenue funds and special purpose accounts. The total additional allocation in the Bill amounts to Kshs42.831 billion.

Mr. Speaker, Sir, while considering the Bill, the Committee invited the public, the stakeholders, the National Treasury, Commission of Revenue Allocation (CRA) , Council of Governors (CoG) , County Assembly Forum (CAF) , Institute of Certified Public Accountants of Kenya (ICPAK) , The Institute of Social Accountability (TISA) and the Institute of Budget Partnership (IBP) Kenyan Chapter. These stakeholders submitted their comments on the Bill and their recommendations have been captured in the Committee Report.

Mr. Speaker, Sir, the Committee observed that there is a variance between the proposed allocation submitted by the National Treasury during the consideration of the 2022 Budget Policy Statement and the proposed allocations submitted in the Budget Estimates. This has led to a huge difference in the allocations in the Bill and the actual allocation submitted by Ministry Departments and Agencies (MDAs) through the National Treasury.

The Bill proposes to allocate county governments additional allocations amounting to Kshs5.65billion from the National Government share of revenue raised in the line with Article 202 (2) of the Constitution. These allocations were provided in the First Schedule, comprising of supplements of construction of county governments headquarters, Kshs454million. The allocation was towards Nyandarua, Tana-River, Tharaka-Nithi, Isiolo and Lamu counties; leasing of Medical equipment amounting to Kshs5.2 billion, with each county receiving Kshs110.4 million.

Mr. Speaker, Sir, the Second Schedule relates to additional finance proceeds of loans and grants from development partners in the FY 2022/2023. After consultation

Mr. Speaker, Sir, it is exciting because this Bill is a product of tough negotiations led by Sen. Kibiru to have additional allocations and conditional allocations set aside in a separate Bill, so that we can follow up and track how they are being spent in the counties.

Mr. Speaker, Sir, I feel excited because you and I have been prayerful. If elected governors, we are going to be the managers of the resources that are currently being discussed and the ones that have previously been passed.

We fought hard for this legislation. The beauty about it is the way we are moving it. It will give the Senate an entry point. The Senate will have a role in terms of oversight when money is expended.

More importantly for us and those who will take the leap of faith of becoming county executives, this is a good framework for understanding the allocations we get from the national Government and the specifications thereof and the grants we get from donors. The Council of Governors (CoG) must have a foot in the discussion on grants that are given by our partners, what they are meant for and the priorities.

Most importantly and for purposes of budgeting, we will avoid the constant amendments that were being channeled left right and centre because the National Treasury was entering into negotiations on these grants mid-year, or at any time during the year. This framework will allow for budgeting at the point of passing the Division of Revenue Bill, the County Allocation of Revenue Bill and Budget Policy Statement (BPS) to be in line.

Therefore, I am a proud person. If there is one piece of legislation that I am proud of as a Member of the Committee on Finance and Budget, it is the Bill that I am seconding. This Bill is a product of a court process, where the CoG and other stakeholders, including ourselves, challenged the manner in which conditional grants are disbursed.

In a book that I read just before the promulgation of the Constitution, the World Bank was very concerned that these conditional grants, both by the national Government and our development partners, would be used to claw back on devolution. This is where we have put an end to that claw back, because we have an entry point and we can participate and audit.

The proposal by the National Assembly was to put it in the Appropriations Bill, like they had done in the last Act that was signed into law by His Excellency the President. They would have used the money whichever way, just like they attempted to do with the Equalization Fund.

Mr. Speaker, Sir, I second and hope that at some point, you will put the question, so that this Bill is passed before we leave. Passing the County Allocation of Revenue Bill and leaving this behind is not helpful. It is like cutting your nose to spite your face. Ideally, the two should go together.

I presume that we will resume soon to discuss the debt ceiling. Let us vote on whatever is remaining before Members debate and pass, or reject the debt ceiling, which is also a critical matter to the economy and discussions that we are having. The faster we have it here, the better before we go back to the field, but it is good to be back in Nairobi.

I second.

I agree it is nice to be back.

I see no interest. Mover to reply.

Thank you, Mr. Speaker. I beg to reply and thank Senator Mutula Kilonzo Jnr. for seconding.

I rise pursuant to Standing Order 61 (3) to request that you defer putting of the question to another day.

I thank you.

Most importantly and for purposes of budgeting, we will avoid the constant amendments that were being channeled left right and centre because the National Treasury was entering into negotiations on these grants mid-year, or at any time during the year. This framework will allow for budgeting at the point of passing the Division of Revenue Bill, the County Allocation of Revenue Bill and Budget Policy Statement (BPS) to be in line.

Therefore, I am a proud person. If there is one piece of legislation that I am proud of as a Member of the Committee on Finance and Budget, it is the Bill that I am seconding. This Bill is a product of a court process, where the CoG and other stakeholders, including ourselves, challenged the manner in which conditional grants are disbursed.

In a book that I read just before the promulgation of the Constitution, the World Bank was very concerned that these conditional grants, both by the national Government and our development partners, would be used to claw back on devolution. This is where we have put an end to that claw back, because we have an entry point and we can participate and audit.

The proposal by the National Assembly was to put it in the Appropriations Bill, like they had done in the last Act that was signed into law by His Excellency the President. They would have used the money whichever way, just like they attempted to do with the Equalization Fund.

Mr. Speaker, Sir, I second and hope that at some point, you will put the question, so that this Bill is passed before we leave. Passing the County Allocation of Revenue Bill and leaving this behind is not helpful. It is like cutting your nose to spite your face. Ideally, the two should go together.

I presume that we will resume soon to discuss the debt ceiling. Let us vote on whatever is remaining before Members debate and pass, or reject the debt ceiling, which is also a critical matter to the economy and discussions that we are having. The faster we have it here, the better before we go back to the field, but it is good to be back in Nairobi.

I second.

I agree it is nice to be back.

I see no interest. Mover to reply.

Thank you, Mr. Speaker. I beg to reply and thank Senator Mutula Kilonzo Jnr. for seconding.

I rise pursuant to Standing Order 61 (3) to request that you defer putting of the question to another day.

I thank you.

Hon. Senators, I defer Order Nos. 25 to 29, 31 and

Hon Senators, there being no other business on the Order Paper, the Senate stands adjourned until Thursday, 9th June 2022, at 2.30 p.m.

The Senate rose at 5.21 p.m.