Counties are now staring at a financial crisis after the senate rejected Ksh316.5 billion allocation.
This is after the National Assembly Budget Committee published a fresh Division of Revenue Bill in a bid to end the stalemate with governors.
The county bosses on Monday forced their way to the Supreme Court to file a petition on the Division of Revenue before the new development.
The two chambers are yet to agree on the financing of county government, which has made it tough for governors to execute their duties for some time.
In the new Bill, which was published by the committee chaired by Kikuyu MP Kimani Ichung’wa, proposed Sh.5.7 billion disbursed to the counties as part of the Sh.1.87 trillion which is meant to be shared between the county and national government.
The Bill also suggests that Ksh.1.5 trillion to remain at the national Government.
The house allocated Ksh.4.3 billion for the level 5 Hospitals at the county while Ksh.6.2 billion set aside for county hospitals.
The other allocations include conditional grants and loans of Ksh.38 billion while Ksh.8.9 billion for fuel levy and conditional grants.
The loans are expected to be sourced from World Bank and Foreign donor agencies. The decision of the senator to reject the new bill has reignited the rivalry between the two houses.
Nandi Senator Samson Cherargey has appealed to the county government to remain patient as they deliberate over the matter.
“We shall reject it with a resounding ‘No’, it shall collapse. I want to ask our counties to be patient, we are ready for a total shutdown of the national and county governments until more goes to the village,” said Nandi Senator Samson Cherargey, as quoted by Citizen Digital.
On their part, Governors have also termed the budget unrealistic. The governors have insisted that the initial Commission of Revenue Allocation recommendation of Ksh.335 billion is ideal for their operations to run smoothly.