Kakamega: Kakamega Governor Fernandes Barasa has opposed the proposed fourth formula for allocation of sharable revenue to counties. Governor Barasa stated that the proposal by the Commission on Revenue Allocation (CRA) would disadvantage other counties, resulting in a loss of revenue compared to the third revenue allocation formula.
According to Kenya News Agency, Governor Barasa mentioned that Kakamega could lose approximately Sh1.3 billion in revenue allocation if the proposal is approved. Speaking at the Kakamega Golf Hotel during the issuance of grants to fish farmers, he urged the Commission to maintain the third revenue allocation formula, which he argued provided a fairer distribution of revenue to counties.
Governor Barasa remarked that there is no urgency to alter the allocation formula, pointing out that other countries, such as South Africa, have successfully used a single formula for over 30 years. He expressed his desire for the Senate to reject the fourth formula, highlighting that it would cause 21 counties to lose money, despite the introduction of a Sh12 billion stabilization fund intended to mitigate the impact on these counties.
The governor shared that he voiced his concerns about the formula during the Intergovernmental Budget and Economic Council (IBEC) meeting chaired by Deputy President Kithure Kindiki. He called on Senators to reject the proposal when it is brought to the Senate, emphasizing the disadvantages it poses to 21 counties.