NAIROBI, Kenya – A fresh audit has exposed the illegal diversion of millions of taxpayers’ money from county governments to fund the operations of the Council of Governors (CoG) and other unregistered regional caucus bodies.
The report by Auditor-General Nancy Gathungu shows that 21 counties collectively spent Sh87.8 million on payments that violate the Intergovernmental Relations Act, 2012, which mandates that the CoG’s operational expenses be covered in the national government’s budget.
Among the biggest spenders, Nyeri County topped the list, sending Sh8 million to the CoG, while Kiambu County followed with Sh6.6 million, which also included payments to the Kenya Inter County Sports and Cultural Association (Kicosca).
Kicosca organizes annual games for county employees to promote collaboration among the 47 devolved units.
However, such contributions were not accounted for under legally recognized budgetary provisions, raising concerns about financial accountability.
In addition to payments to the CoG, some counties were flagged for making contributions to unregistered regional blocs.
Samburu County paid Sh3 million to the CoG and Sh3.6 million in subscription fees to the Frontier Counties Development Council (FCDC) while Wajir County transferred Sh3.5 million to the CoG and another Sh3 million to the FCDC.
The FCDC, which claims to represent economic interests of counties in arid and semi-arid regions, is not formally recognized under Kenyan law.
“The statement of receipts and payments reflects the use of goods and services amounting to Sh1.45 billion, including Sh437 million in other operating expenses, out of which Sh3 million and Sh3.6 million were paid as annual subscriptions to the Council of Governors and the Frontier Counties Development Council, respectively,” Gathungu wrote regarding Samburu County.
The revelations have once again put county governments under scrutiny over unauthorized expenditure.
This comes amid persistent concerns about mismanagement of devolved funds, with county officials often accused of directing public resources to questionable entities.
While the CoG plays a critical role in advocating for devolution, its funding is supposed to come from the national budget, not county governments.
The Auditor-General’s findings are likely to spark further debate on how counties manage public funds, especially in a period when many devolved units struggle to finance essential services.
