MCAs to miss Sh 2 Million car grants after controller of budget pours cold water to SRC

 

MCAs celebrate in Mombasa after President Uhuru Kenyatta said they would get car grants. Photo
MCAs celebrate in Mombasa after President Uhuru Kenyatta said they would get car grants. FILE

The controller of budget Margaret Nyakang'o pours cold water on the MCAs car grants as announced by President Uhuru Kenyatta.

The State controller of budget says already the counties had budgeted for car and home loans.

Mortgages and Car loans budgets were approved and funds disbursed to counties. The majority of Speakers and MCAs are now paying their loans while others finished.

" How can the loans in county assemblies be converted to grants where already others have paid their loans? How can the SRC be so quick in agreeing to something controversial? " the controller said.

The move comes after the Office of the Controller of Budget(OCOB) sought advisory from the Salaries Commission.

OCOB noted that most counties budgeted for a car loan facility and not a car grant.

“The car loan facility is being implemented through legislation enacted to create a revolving fund. This legislation does not provide for the issuance of a car grant,” OCOB said in a letter dated February 17, 2021.


OCOB is mandated to among others authorise for the withdrawal of funds.


OCOB said it has since received numerous requests from county governments on the implementation of the review of the car loan benefit to speakers and members of county assemblies.


The letter further said most counties merged the car loan and mortgage facility into one fund.

“Some counties are operating one mortgage and one car loan fund for the staff and members of the county assembly. It should be noted that in some counties, the fund is not fully funded,” added the letter.

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