In Summary
  • Central Kenya economic bloc want the Commission on Revenue Allocation to review proposed formula to give more weight to population density.
  • Other leaders from the region also want the 2019 census to inform 2019/2020 financial year revenue allocation.
  • The new CRA formula means the weight of poverty and population size in determining allocations will drop to 15 per cent and 18 per cent from 20 per cent and 45 per cent respectively.

Governors from the Central Kenya economic bloc have renewed their push to have the National Treasury give population density more weight in the sharing of revenue among counties.

Led by Nyandarua Governor Francis Kimemia, who is the bloc’s chairman, the leaders want the Commission on Revenue Allocation (CRA) to review the proposed formula.

“We want population size to determine revenue allocation to counties and be given more weight. After all, the government is for the people first,” said Governor Kimemia.

Others who have supported the move include Laikipia Senator John Kinyua and Ndaragwa MP Jeremiah Kioni.

OUTDATED STATISTICS

Mr Kinyua and Mr Kioni want the 2019 national population census to inform the basis of revenue allocation to counties. The duo said the 2009 statistics are outdated.

The proposed formula indicates that poverty and population of devolved units will have less influence in determining what each of the countries' 47 counties will get.

The new formula means the weight of poverty and population size in determining allocations will drop to 15 per cent and 18 per cent from 20 per cent and 45 per cent respectively.

The CRA has also previously proposed to reward counties that have recorded marked improvement in revenue generation.

Currently, counties share revenue based on five parameters namely: population (45 per cent), equal share (25 per cent), poverty (20 per cent), land area (eight per cent), and fiscal responsibility (two per cent).

The proposed formula will see allocations to nine counties fall in the next financial year starting July 2019 — mainly for poor devolved units.

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