A high-stakes consultative meeting between the County Assemblies Forum (CAF) and the Council of Governors (CoG) over the contentious County Allocation of Revenue Act (CARA) 2024 has failed to yield a concrete resolution, leaving county assemblies staring at a financial crisis.
The meeting, convened to address the substantial budget cuts on County Assemblies’ recurrent expenditure ceilings, saw both sides agree on the need for a united push for increased county resources. However, a deadlock ensued on whether the slashed funds would be reinstated, exposing deep rifts between governors and MCAs over fiscal control and devolution priorities.
Budget Wars: Governors vs. MCAs
The drastic budget reductions have sparked an outcry from MCAs, who claim that the financial squeeze threatens oversight functions, legislative operations, and service delivery at the county level. CAF officials warned that without urgent intervention, the cuts could cripple devolution and reduce county assemblies to mere rubber stamps for executive decisions.
In contrast, governors, while agreeing that counties need more funding, were non-committal on reversing the cuts, with some insiders suggesting that the budget slash was necessary to curb extravagant spending by county assemblies.
A Call for PFMA Review
Both CAF and CoG resolved to push for an urgent review of the Public Finance Management Act (PFMA) Regulations, arguing that the current mechanism for determining county assembly budgets is flawed and unfairly tilts financial control in favor of county executives.
Despite the show of unity in advocating for more resources, the elephant in the room remained the fate of county assemblies’ budgets, with no clear agreement on whether the allocations would be restored. This uncertainty is likely to spark fresh political battles in the coming weeks, as MCAs threaten to paralyze operations unless their demands are met.
What Next?
With no way forward on the reinstatement of the slashed budgets, county assemblies may resort to extreme measures, including boycotting key county government operations or taking legal action to challenge the budget ceilings.
Meanwhile, the National Treasury and Parliament remain silent on whether they will intervene, leaving the fate of county assemblies hanging in the balance
Will governors bend to pressure, or will MCAs be forced to operate under austerity? The battle for county resources has just begun.
