The County Governments Additional Allocations Bill, 2024
Status Timeline
Proposed
Done ยท 17 Sep 2026
Public Review
Done
Debate
Active now
Executive
Pending
Final
Pending
KSh 10.5 Billion Allocated for Road Maintenance
Under Section 5(2) and the Second Schedule, a total of KSh 10,522,211,853.00 from the Road Maintenance Fuel Levy (RMLF) Fund is allocated conditionally among the 47 county governments to support local road development and maintenance.
Targeted Funding for Industrial Parks and Health Promoters
Section 5(1) and the First Schedule establish national conditional allocations from national government revenue to support county projects, including:
- The County Aggregation and Industrial Parks (CAIP) programme.
- The Community Health Promoters (CHP) project.
- The construction of county headquarters.
- The transferred Museum function.
Unconditional Allocations from Court Fines and Mineral Royalties
Section 5(3) and the Third Schedule allocate unconditional funds to county governments from:
- Court fines collected from the enforcement of county legislation.
- A 20% share of mineral royalties pursuant to section 183(5)(b) of the Mining Act.
Strict Formula for Climate Resilience Grants
Under Section 5(5), conditional allocations for the County Climate Resilience Investment (CCRI) grant funded by the World Bank (IDA) and KfW (German Development Bank) must be shared based on a two-part criteria:
- 50% of the allocation is shared using a formula reflecting relative expenditure needs: a 33.3% fixed share, 30% rural population, 13.3% rural area, and 23.3% poverty.
- 50% of the allocation is distributed based on individual county performance scores.
Bill No.
Senate Bills No. 19
Gazette No.
Supplement No. 77
Sponsor
Ali Ibrahim Roba
Background
The County Governments Additional Allocations Bill, 2024 is prepared pursuant to Article 202(2) of the Constitution of Kenya. Its primary purpose is to facilitate the transfer of conditional and unconditional allocations for the financial year 2024/2025 from the Consolidated Fund to the respective County Revenue Funds and special purpose accounts.
Key Allocations
1. Conditional Allocations from National Revenue (First Schedule)
These allocations fund specific, high-priority national programs implemented at the county level:
- County Headquarters: Support for building offices in selected counties.
- County Aggregation and Industrial Parks (CAIP): Industrial development allocations.
- Community Health Promoters (CHP): Funding for local community health initiatives.
- Museum Function: Facilitation for counties with transferred museum services.
2. Infrastructure Funding (Second Schedule)
- A total conditional allocation of KSh 10,522,211,853.00 from the Road Maintenance Fuel Levy (RMLF) Fund is distributed to counties for local road upgrades.
3. Unconditional Allocations (Third Schedule)
- Court Fines: Proceeds derived from enforcing county-specific legislation.
- Mineral Royalties: A 20% share of mineral royalties distributed pursuant to section 183(5)(b) of the Mining Act.
4. Loans and Grants from Development Partners (Fourth Schedule)
Includes international funding from partners such as:
- DANIDA: Primary Healthcare in Devolved Context.
- World Bank (IDA): Kenya Informal Settlement Improvement Project (KISIP II), Food Systems Resilience Project (FSRP), Emergency Locust Response Project (ELRP), and National Agricultural Value Chain Development Project (NAVCDP).
- KfW (German Development Bank): Drought Resilience Programme in Northern Kenya (DRPNK) and Climate Resilience Investment.
- IFAD: Aquaculture Business Development Programme (ABDP) and Kenya Livestock Commercialization Project (KeLCoP).
- UNFPA: Funding for the tenth Country Program.
New Obligations
For the National Government
- The National Treasury: Must facilitate agreements between counties and development partners, and table these agreements in both the National Assembly and the Senate before their inclusion in the Budget Policy Statement.
- Cabinet Secretary for Finance: Must publish a monthly report on actual transfers of additional allocations to county governments in the Kenya Gazette by the 15th day of each subsequent month.
For County Governments
- Books of Accounts: Each county treasury must explicitly reflect all national government conditional transfers in its official financial records.
- Quarterly and Annual Reporting: County treasuries must submit reports under the Public Finance Management Act detailing:
- Actual transfers received from the national government.
- Actual expenditures of allocations made under sections 5(1), (2), and (3).
- Compliance levels with conditions set out in relevant intergovernmental agreements.
- Material problems or challenges faced in spending the funds.
Gazettement
The County Governments Additional Allocations Bill (Senate Bills No. 19 of 2024) was published in the Kenya Gazette.
First Reading
The Bill was read a First Time in the Senate.
Committed to Committee
The Senate Standing Committee on Finance and Budget tabled its report on the Bill.
Second Reading
The Bill was read a Second Time and passed by the Senate.
Third Reading
The Bill was read a Third Time and passed by the Senate.
Bi-cameral Consideration
The Bill was passed by the National Assembly with amendments and referred back to the Senate.
Committed to Committee
The Senate Standing Committee on Finance and Budget tabled its report on the National Assembly amendments.
Bi-cameral Consideration
The Senate rejected the amendments proposed by the National Assembly.
First Reading
The Bill was read a First Time in the Senate.
Bi-cameral Consideration
The Bill was passed by the National Assembly with amendments and referred back to the Senate.
Bi-cameral Consideration
The Senate rejected the amendments proposed by the National Assembly.