The annual division of revenue provides for the equitable division of revenue raised nationally between the national and county governments in accordance with the Constitution, Articles 203 and 218.
The division of revenue is enshrined in the constitution to safeguard the proper functioning of county governments and to ensure the continuity of county services.
The Division of Revenue Bill No. 11 of 2019 was tabled in Parliament on 17th April, but the Senate and the National Assembly failed to agree on how much money should go to counties. After several attempts at mediation, the bill was eventually defeated leaving the national budget making process in limbo.
The defeat of the DOR implies that county governments cannot receive their share of the revenue raised nationally, which will effectively grind county services to a halt and will cause untold misery to millions of Kenyans.
It is a matter of grave concern that notwithstanding the defeat of DORB, the National Assembly went ahead to table, debate and pass the National Appropriation Bill 2019, which was signed into law by the president on 28th June 2019. This is blatantly illegal, considering that the Attorney General issued an advisory citing the move as unconstitutional.
Both the National Assembly and the Senate have since published versions of a division of revenue bill, both of which may be deemed unconstitutional.
We also note that several counties have passed their 2019 budget which is un-procedural given the present stalemate and absence of the county revenue allocation act.
We issue this statement to condemn the systematic and blatant violation of the constitution on the matter of division of revenue, especially on the part of the Treasury and National Assembly.
We note with deep concern, that despite the failure of the meditation processes provided for in law, the President has not issued any statement on the impending government shutdown.
We have lost confidence in the Jubilee Government’s ability to ensure the effective implementation of devolution. We note that under the leadership of the Speaker of the National Assembly Justin Muturi, and House Majority Leader Aden Duale, the National Assembly has become a serial violator of the constitution on matters pertaining to devolution. Their poor leadership has ultimately led to the collapse of the DORA process.
We also note that the CS Treasury has continuously failed this country in his duties and we fail to understand how he continues to enjoy the confidence of the presidency.
We therefore call for an independent and impartial mediation and arbitration process between the County and National Governments on the sharing of revenue as a basis of finding a speedy resolution to the present stalemate.
Finally, we call on county governments to take immediate and concrete steps to deal with rampant corruption at county level. This includes building effective citizen oversight, access to information and implementation of robust internal audit mechanisms.
We commit ourselves to the continued protection and implementation of the Constitution of Kenya and call upon H E President Uhuru to move quickly to restore confidence in his administration and its commitment to devolution and the Constitution of Kenya.
The Institute for Social Accountability
Kenya Human Rights Commission
Inuka Kenya Ni Sisi
Civil Society Urban Development Platform
County Governance Watch
Development Through Media