Lusaka challenges counties to avoid over-reliance on national govt disbursements

Senate Speaker Kenneth Lusaka has challenged the leadership of County Governments to boost revenue collection and reduce over-reliance on transfers from national government.

Lusaka says gains in revenue collection by county governments was unstable.

The five day Summit between The Senate and the County Assemblies Forum that began on Saturday is being held at the Grand Royal Swiss hotel in Kisumu.

“I want to encourage the County Governments to work towards self-sustainability. It may not work overnight but it is viable,” said Lusaka.The speaker pointed out that if adhered to this will greatly reduce the perennial problem of pending bills that the County governments have been experiencing.

In recognition of the potential impact of land rates as a key revenue source for County Governments, the Senate initiated, debated and passed The Land Value Index Bill.

The Bill, which was referred to the National Assembly, is pending Mediation after the two houses disagreed on various clauses.

According to the National Treasury, the Counties’ revenue potential stands at Sh124.7 billion annually.While property taxes and land rates bear greatest revenue potential, county governments may explore business licences, vehicle parking fees, liquor licences, outdoor advertising charges and building permits, among others.


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