Budget and appropriations committee issued a report titled report of the select committee on county budget and appropriations on the 14th of July 2021.
The following are some of the points made by the committee:
The Budget projections specify a contractual commitment to lease equipment and heavy machinery for road development of Kshs. 352.828 million.
Kshs. 120 million has been set aside to support leased machinery and equipment operations through fuel purchases, murram pit leasing, and human capital, an increase of Kshs. 30 million over the previous year’s allocation.
The leasing payments have also been increased in the financial year 2021/22 budget recommendations from Kshs. 120 million to Kshs. 160 million.
For the first six months, the contractual Bond interest payments were Kshs. 72,828,375.
The Laikipia County Assembly, on the other hand, rejected the county executive’s desire to borrow from the public by issuing a Kshs. 1.16B infrastructure bond.
This means that the bond interest payment allocation (Kshs. 72,828,375) is no longer legitimate.
List Of County Entities To Receive Funding
- County Public Service board 18,500,000
- Laikipia County Revenue Board 135,117,080
- Laikipia County Development Authority 20,500,000
- Nanyuki Teaching and Referral Hospital 160,757,133
- Nyahururu Teaching and Referral Hospital 140,699,071
- Vocational Training Centers 22,500,000
- Rumuruti Municipality 21,000,000
- Emergency fund 23,892,400 Total 542,965,684.
Estimates submitted to the committee indicated that some votes deviated by more than 1% from the approved CFSP.
The county executive should have presented a memorandum explaining why the approved ceilings were not met.
According to the committee, no memorandum was served to explain this variation.
The Committee made the following Recommendations:
County Administration and Public Service
This department will be re-allocated a total of Kshs. 104 million, with Kshs. 68 million coming from the recurrent vote and Kshs. 36 million coming from the development vote.
The following re-allocations will take place:
1. Partitioning of headquarters to lose 24M
2. Service centres to lose 10M
3. ICT Services and Operations to lose 2M
4. Sub County ICT Hotspots to lose 2M
5. Legal services support to lose 8M
6. Contingent legal payment to lose 20M
7. Fleet management to lose 1M
8. Office of the County Secretary and Deputy Secretary to lose 5M
9. Office of the Governor and Deputy Governor to lose 20M
10. Cooperation for Peace and Development (AMAYA) to lose 2M
11. Community Leaders Fora to lose 10M.
Finance and Development Planning
A total of Kshs. 166,828,375 will be reallocated from this department, with Kshs. 50M coming from the recurrent vote and Kshs. 116,828,375 coming from the development vote.
These changes will have an impact on the following sub-votes:
1. Contingent liability to lose Kshs. 50M
2. Infrastructure Bond interest 1st 6 months lose Kshs. 72,828,3753.
3. Loan Disbursement lose Kshs. 10M
4. Enterprise support and financial partnerships lose Kshs. 20M
5. Rehabilitation, construction and equipping of common manufacturing facilities lose Kshs. 6.5M
6. Rebate and support in distribution of products lose Kshs. 5M
7. Field operations Support lose Kshs. 2.5M.
The committee recommended that the department of health be cut by Kshs. 34.5 million.
This reduction will have an impact on the department’s recurrent vote, as follows:
1. Public health project described as Public Health Officers and Support for CLTS to lose Kshs. 2M
2. Maternal health project described as TBA to TBC incentive program (1,500 goat for a delivery) Kshs. 2.5M
3. A subprogram Universal Health Coverage will lose Kshs. 30M from a project described as NHIF subsidy for indigents and vulnerable.
Laikipia County Revenue Board (LCRB)
The Revenue Management Infrastructure Facility will lose a total of Kshs. 20 million in the recurrent budget, which will impact revenue management infrastructure systems, research, and feasibility projects.
Laikipia County Development Authority
The LCDA will lose a total of Kshs. 10 million, which will have an impact on the following LCDA development and infrastructure projects.
Lands, Housing and Urban Development
The committee proposed a reduction of Kshs. 1,136,093,000 from the department of Lands, Housing and Urban Development. The reductions will affect the department’s development vote.
1. Land Management Services sub-programme specifically County Spatial Planning and planning of selected towns and centers (11 no.) including staff cost, fuel, publication and public sensitization.
Building approval system to lose Kshs. 24,760,000 a development allocation
2. Survey and Planning Services sub-programme will lose a total of Kshs. 10M affecting the project survey of centers for titling and planning purposes, dispute resolution and boundary demarcation; staff costs, equipment repair and publication
3. Projects to be financed by the County Infrastructural Bond to lose a total of Kshs. 1,061,333,3054.
County renewable/green energy services sub-programme will lose a total of Kshs. 15M specifically affecting Develop a policy to guide and incentivize investment in renewable energy generation & utilization, street lighting and repairs.
Operation motorbikes, fuel & staff cost.Deduct Kshs. 40M from the Leasing and Acquisition of specialized vehicles and equipment (Tippers, Loader and vehicles) quarterly rentals.
The committee recommends that the department can maintain the payments made towards leasing at Kshs. 120M allocated the previous year.
- Adapt the movement of funds as proposed by the Sectoral committees since they needed to ensure that their total allocations are within the ceilings adopted in this house on 14th July 2021.
- The funds re-allocated will be distributed as follows;
- The department of Land, Housing And Urban Development will gain a total of Kshs. 225,531,265 which will be allocated towards Road Network Improvementii. Additional Kshs. 54M which will be distributed as follows; Kshs. 30M to be allocated towards Bursary and scholarship raising the allocation to Kshs. 55M and Kshs. 24M towards ECDE classes infrastructureiii.
- An additional Kshs. 20 million will be given to Nanyuki Teaching and Referral Hospital to cover medical supplies at the county referral hospital.
- A total of Kshs. 20.5 million has been allocated to the Ministry of Water, Environment and Natural Resources, which is responsible for rural water projects.
- Agriculture, Livestock and Fisheries will get an additional Kshs. 1.1 million for the construction of a cattle dip in Nanyuki ward.
- For boda-boda sheds and market facilities, an additional Kshs. 16.4 million will be granted to Trade, Tourism, and Co-operatives Development.
- The county assembly will be paid a total of Kshs. 63 million, with an additional 18 million for recurrent votes and Kshs. 45 million for development.