Nairobi MCAs have rejected Governor Johnson Sakaja’s proposed supplementary budget, which seeks to increase the county budget from Ksh 43.56 billion to Ksh 44.46 billion. The legislators have raised concerns over significant reductions in the development budget, from Ksh 14.26 billion to Ksh 12 billion, while recurrent expenditure has risen from Ksh 29.3 billion to Ksh 32.39 billion.
Development vs. Recurrent Spending
MCAs argue that prioritizing recurrent expenditure over development projects undermines essential infrastructure initiatives and violates the Public Finance Management Act of 2012, which mandates that at least 30% of county budgets go to development. Under the proposed budget, the development allocation would drop to 27%, a move the ward representatives want amended.
The Ward Development Fund (WDF), a critical initiative for poverty alleviation and infrastructure upgrades, has also been targeted for a reduction of Ksh 200 million, bringing its allocation down to Ksh 1.7 billion. MCAs fear this will severely impact grassroots development and stall key projects.
Key Concerns in the Transport Sector
The Transport and Public Works budget has drawn sharp criticism, with allocations of:
- Ksh 150 million for road equipment,
- Ksh 60 million for road maintenance, and
- Ksh 510 million for road materials, an increase of Ksh 303 million.
These proposals have sparked outrage, as materials purchased last year were reportedly stolen, raising questions about accountability. Stalled road projects, like the Drumvale-Sir Henry Ring Road in Ruai, are also at risk, with the project’s budget cut from Ksh 137 million to Ksh 43.1 million, leaving contractors unpaid.
County Assembly Budget and Fiscal Mismanagement
The proposed budget would reduce the County Assembly’s development allocation from Ksh 1.63 billion to Ksh 1.28 billion while increasing its recurrent expenditure by Ksh 259.96 million. This comes amid accusations of fiscal mismanagement by the Controller of Budget (CoB), who reported zero spending on development in the first quarter of FY 2024/25, mirroring similar findings from FY 2023/24.
MCAs accuse the executive of mismanaging the county’s Ksh 5.45 billion first-quarter funds, comprising equitable share, Own Source Revenue, and balances from the previous fiscal year. Contractors remain unpaid, further adding to Nairobi’s pending bills crisis.
Growing Rift Between Sakaja and MCAs
Governor Sakaja faces mounting backlash, with MCAs accusing him of dishonesty and reneging on agreed-upon projects. Baba Dogo MCA Geoffrey Majiwa described the budget as self-serving, while Woodley MCA Davidson Ngibuini warned the governor risks losing the assembly’s support.
MCAs are set to reconvene for a special sitting to deliberate on the proposals before the Christmas recess, signalling a prolonged budget impasse as they demand a more development-focused financial plan.
