MPs move closer to taking poverty cash from governors

The National Assembly has set the stage for the first amendment of the 2010 Constitution to transfer the management of the Equalisation Fund from governors to Members of Parliament.

The Constitution of Kenya (Amendment) Bill 2013 went through its second reading Wednesday and now awaits scrutiny at the committee of the whole House before it is forwarded to President Uhuru Kenyatta for assent.

The Bill sponsored by Samburu West MP Lati Lelelit wants Article 204 of the Constitution amended to ensure that the fund — equivalent to 0.5 per cent of latest audited annual government revenue — is disbursed to marginalised constituencies.

Mr Lelelit said the Commission on Revenue Allocation (CRA) had misread the Constitution when it allocated the funds to counties.

“Article 202(4) of the Constitution is clear that the national government shall use the Equalisation Fund only to provide basic services to marginalised areas. Nowhere does it say to counties,” the MP said.

Changes to the Constitution through a parliamentary initiative such as Mr Lelelit’s do not require a referendum. Article 204 of the Constitution restricts the spending of Equalisation Fund to provision of basic services including water, roads, health facilities and electricity to marginalised areas as approved in an appropriation Bill passed by Parliament.

READ: MPs oppose senators' push to sit in county boards

The affirmative action is intended to bring the quality of services in those areas to the level generally enjoyed by the rest of the nation. The CRA recommends areas to be be considered marginalised based on the poverty index and other criteria.

In 2012, the commission picked 14 counties to benefit from for three years ending in 2015. The list includes Turkana, Mandera, Wajir, Marsabit, Samburu, West Pokot and Tana River. Also in the list are Narok, Kwale, Garisa, Kilifi, Taita Taveta, Isiolo and Lamu counties.

The Treasury allocated Sh7.8 billion in the past two budgets for the counties. The Equalisation Fund will be operational for 20 years barring legislative interventions.

Mr Lelelit said MPs were not taking money away from county governments because the Equalisation Fund was a national fund.

“We have not interfered with any county fund. We want to administer the fund through constituencies on behalf of the national government,” he said.

Money from the fund would be channelled through the Constituency Development Fund if the Bill is passed into law, effectively giving the legislators control of more resources.

“The Executive should borrow in advance the 20-year budget of the fund and channel the same to marginalised areas to do projects upfront,” said Mbalambala MP Abdikadir Aden.