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Economy

CDF board operates for 3 years without substantive boss

Yusuf Mbuno has been holding the fort after the last CEO at the Constituencies Development Fund board, Ms Agnes Odhiambo was tapped as the first budget controller in August 2011. Photo/FILE
Yusuf Mbuno has been holding the fort after the last CEO at the Constituencies Development Fund board, Ms Agnes Odhiambo was tapped as the first budget controller in August 2011. Photo/FILE 

A parliamentary watchdog committee has questioned the leadership vacuum at the Constituencies Development Fund (CDF) Board, given the agency has been run by an acting chief executive for nearly three years.

The Public Accounts Committee (PAC) members said that having an acting CEO for a period equivalent to a year is a bad practice that grossly undermines organisational performance.

Mr Yusuf Mbuno has been holding the fort after the last CEO, Ms Agnes Odhiambo was tapped as the first budget controller in August 2011.

“The chief executive has been holding that position in an acting capacity yet he is handling billions of public funds. When are you filling the post with a substantive CEO?” asked Jessica Mbalu, a committee member.

The Principal Secretary in the Planning ministry Peter Mangiti said the appointment has been delayed by the ongoing restructuring of State-owned firms, which will lead to the merger of a number of government agencies.

“We agree that the process of recruiting a new CDF chief executive has taken long, but we are in its final phase. The problem has been more of administration than recruitment,” said Mr Mangiti.

“When the government completes this exercise of restructuring the parastatals, which is almost complete, we will do the right thing.”

From July this year, the legislators will control Sh32.97 billion in constituency funds, up from Sh21.9 billion in the current financial year and Sh17 billion in 2012/13.

The CDF fund has been maintained at 2.5 per cent of the total ordinary revenue, with MPs pushing for the figure to be raised to 15 per cent so they can implement more projects in their constituencies.

At Sh32.97 billion, the CDF allocation is 14.5 per cent of the Sh226 billion that the Treasury has allocated to governors.

At present, several agencies in key sectors of the economy such as the capital markets, energy and agriculture are run by acting CEOs.

These include the Capital Markets Authority, the Energy Regulatory Commission, Rural Electrification Authority, the Vision 2030 Secretariat, the Kenya National Bureau of Statistics and the Tea Board of Kenya.

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