NAIROBI, Kenya – Senators engaged in a heated debate on Thursday, putting the Commission on Revenue Allocation (CRA) under scrutiny over its proposed revenue-sharing formula, which could see 31 counties lose funds while 16 others gain.
During a retreat in Naivasha, senators from counties facing cuts opposed the formula, questioning its rationale and fairness.
Meanwhile, those whose counties stand to gain defended the proposal, deepening divisions reminiscent of the 2020 standoff when the Senate failed ten times to agree on a revenue allocation model. T
hat deadlock was only resolved after then-President Uhuru Kenyatta intervened with a Sh53 billion bailout for counties facing reductions.
At the heart of the dispute is CRA’s newly proposed formula, set to determine county revenue allocation from 2025-26 to 2029-30.
CRA Chairperson Mary Wanyonyi presented the model to senators, revealing that population weight had been significantly increased from 18 percent to 42 percent, while geographical size and equal share weights had seen slight adjustments.
A new parameter, the income distance index, was introduced with a weight of 13 percent—raising concerns among senators.
Nyamira Senator Okong’o Omogeni dismissed the formula as unfair, arguing that reducing funds to some counties would cripple their ability to deliver services.
He particularly criticized the fact that four counties—Wajir, Mandera, Garissa, and Marsabit—would receive Sh7 billion out of an additional Sh30 billion meant for all 47 counties.
Kitui Senator Enoch Wambua questioned the origins of the income distance index, demanding clarity on whether it was a unanimous decision by the CRA or if there had been dissenting opinions within the commission.
“Where has that thing come from?” Wambua asked. “If you come to us in bad faith, then we treat you in bad faith.”
Kirinyaga Senator James Murango acknowledged the predictable split, noting that senators whose counties were losing revenue opposed the formula, while those benefiting supported it.
In defense of the proposal, Wanyonyi assured senators that counties facing reductions would be cushioned through an enhanced allocation of Sh417.42 billion in the next financial year.
She emphasized that the framework includes a stabilization mechanism to ensure no county receives less than its 2024-25 allocation.
