Senators are set to commence discussions on the contentious Fourth Basis for Revenue Sharing among County Governments today, as proposed by the Commission on Revenue Allocation (CRA).
The lawmakers, who are currently attending a crucial retreat in Naivasha, Nakuru County, will also deliberate on key devolution challenges, intergovernmental relations, and the implementation of Taifa Care.
A heated session is expected as CRA Chairperson Mary Chebukati presents the commission’s proposed revenue-sharing formula, which has already drawn sharp divisions among Senators and Governors.
Population-Based Formula Sparks Controversy
The proposed fourth-generation formula assigns 42% of county revenue allocation to population size, a move that has sparked fierce opposition from leaders of less populous counties, who argue it could worsen marginalisation.
Under the new formula, which will guide county revenue allocation from the 2025/26 financial year, funds will be distributed as follows:
- 42% – Population size
- 22% – Equal share
- 14% – Poverty index (unchanged from previous formula)
Despite objections from some quarters, the formula is seen as a fundamental shift towards needs-based funding, prioritising counties with higher populations.
Retreat to Shape Senate’s Future Agenda
The retreat, themed “Shaping the Senate’s Legacy: Reflections, Strategies and the Path Forward,” aims to assess the Senate’s performance over the past three legislative sessions and set the agenda for the upcoming fourth session, which officially begins on 11th February 2025.
Senate Speaker Amason Kingi is expected to officiate the opening, with participation from key stakeholders including the National Government, County Assemblies Forum (CAF), the Council of Governors (CoG), and CRA.
Discussions will focus on:
- The Senate’s performance in plenary and committee sessions – reviewing past achievements, challenges, and areas for improvement.
- Enhancing devolution and intergovernmental relations – addressing governance issues and service delivery bottlenecks.
- Senate’s oversight role – considering constitutional amendments to entrench oversight funds, which would enhance accountability in county governments.
Public Finance Oversight in the Spotlight
On Thursday, the focus will shift to accountability and oversight of public resources, drawing insights from the County Public Investments and Special Funds Committee (CPIC), chaired by Senator Moses Kajwang’ (Homa Bay), and the County Public Accounts Committee (CPAC), chaired by Senator Godfrey Osotsi (Vihiga).
The session will feature contributions from Auditor General Nancy Gathungu and Controller of Budget Margaret Nyakang’o, who will discuss the state of financial accountability in county governments and explore strategies to bolster the Senate’s oversight function.
Health Law Implementation Under Scrutiny
Senators will also examine the implementation of key health laws, including the Social Health Insurance Act, 2023, which established the Social Health Authority (SHA) to replace the National Health Insurance Fund (NHIF).
Health Cabinet Secretary Debora Mulongo is expected to address the lawmakers on the progress, challenges, and impact of these health sector reforms.
Although SHA was designed to enhance healthcare access, Kenyans have raised concerns over its effectiveness, citing issues such as long wait times, inadequate staffing, and substandard care.
Senators’ Welfare and Legislative Priorities
Beyond legislative matters, the retreat will also deliberate on Senators’ welfare, including:
- Post-Service Medical Scheme
- Pension Scheme
- Parliamentary facilities and services
The three-day retreat is expected to play a pivotal role in shaping the Senate’s legislative and oversight agenda for the fourth session. By reflecting on past achievements and challenges while setting clear strategies for the future, Senators hope to strengthen devolution, enhance governance, and improve service delivery across counties.
