Senate’s New County Funding Clause Pushes Division of Revenue Bill to Mediation
The Committee has proposed an allocation framework that would grant counties Ksh454.74 billion as equitable share revenue, representing 22.2 percent of audited revenues from the 2022/23 financial year. - Kenya breaking news | Kenya news today | Capitalfm.co.ke..
✨ Key Highlights
The Division of Revenue Bill for the 2026/27 financial year is headed for mediation between the Senate and the National Assembly after the Senate approved a new clause impacting county funding.
- The Senate passed a proposal for the national government to fully absorb any revenue shortfalls, protecting county allocations at Ksh454.74 billion.
- The Senate Finance and Budget Committee sponsored the amendment.
- This clause shifts the burden of potential revenue deficits to the national government.
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Treasury Unveils Changes at State Firms as MPs Question Rental Costs - May 2026
The Kenyan Treasury has initiated a significant restructuring of its Government Owned Enterprises (GOEs) by announcing dozens of new board positions according to the GOEs Act, 2025. Members of Parliament have strongly criticized the government's continued spending on rented office spaces and renovations, particularly given budget cuts threatening digitization programs. Separately, the Senate ordered the National Treasury to immediately reverse a decision to freeze funding to Meru County, citing unconstitutional procedures and potential damage to devolution. The Division of Revenue Bill for the 2026/27 financial year is now headed for mediation between the Senate and the National Assembly after the Senate approved a new clause impacting county funding.
