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Governors sue Treasury as cash crunch hits counties

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Council of Governors takes issues with the National Treasury for its stance that counties with pending bills would not receive funds.
Wycliffe Oparanya
Council of Governors Chairman Wycliffe Oparanya. PHOTO | KNA

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Kakamega Governor Wycliffe Oparanya says the Council of Governors (CoG) has petitioned the High Court to compel the National Treasury to disburse funds to counties regularly on a monthly basis.

Oparanya, who is the CoG chairman, said the unpredictable disbursement of shareable revenue to the devolved units was hampering their operations and service delivery.

The governor was addressing the press at the county chambers on Wednesday.

Oparanya revealed that counties have not yet received their November allocation and most of them were now unable to pay salaries.

The CoG chairman took issue with the National Treasury for its stance that counties with pending bills would not receive funds, arguing that the bills have been occasioned by untimely release of monies.

He called on the National Government to adhere to the Public Finance Management Act which stipulates that monies to the counties be disbursed latest on the 15th day of the month.

The CoG chairman said delays had prompted his administration to intensify local revenue collection which has assumed an upward trajectory in the past four months.

“We have been able to pay salaries from the local revenue and I am appealing to all the legible tax payers to pay taxes so as to enable us to offer the services in return,” he said.

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