Home GENERAL NEWS KRA takes over revenue collection in Nairobi

KRA takes over revenue collection in Nairobi

by biasharadigest

It will come in to effect in 21 days from the date of the execution/FILE

, NAIROBI, Kenya Feb 26 – The
Kenya Revenue Authority is set take-over the revenue collection in Nairobi once
an agreement to signed yesterday to surrender key county functions back to the
national government take effect on March 25.

According to a
Special Gazette Notice detailing how the transferred will executed, shows that
the KRA will be the principal revenue collector in the capital city, taking
charge of parking fees, business licenses, land lease fees and buildings’
approval charges.

Notice which
makes public the Deed of Transfer signed by Nairobi Governor Mike Sonko and
Devolution Cabinet Secretary Eugene Wamalwa states that agreement which was
signed at State House Nairobi and witnessed by President Uhuru Kenyatta; Senate
Speaker Ken Lusaka gives the National Government the responsibility of
collecting and remitting all revenues accruing from the transferred functions.

It will come
in to effect in 21 days from the date of the execution.

The landmark
agreement which was made public by State House Spokesperson Kanze Dena-Mararo
will see National Government take over the operation relating to County Health
Services, County Transport Services, County Public Works, Utilities and
Ancillary Services and County Government Planning and Development respectively.

The Deed of
Transfer of Functions further states that the functions shall be drawn from
either or both the Consolidated Fund and the County Revenue Fund.

Nairobi City County Government shall ensure that the transferred functions are
fully funded from the County Revenue Fund. The level of funding for each
transferred function shall be determined by the National Government in
consolation with the County Government, but in any case the budgetary
allocation shall not be less than the amount last appropriated by the County
Assembly in the preceding financial year,” the Deed reads.

According to
the Gazette Notice, the National Government and Nairobi County Government shall
review the performance of the transferred functions as it remains in force for
an initial renewable period of 24 months from the date of execution.


As regards,
human resource allocation the Deed of Transfer states ‘the Nairobi County
Public Service Board shall in consolation with the Public Service Commission
formulate the necessary human resources’.

National Government shall carry out a comprehensive capacity assessment in line
with Article 190 of the Constitution, as read with Section 121 of the County
Governments Act, 2012: and in addition to the capacity building measures
identified in the Capacity Assessment and Rationalization of the Public Service
Programme Review Report (CARPS), the Parties shall develop a capacity building

survey conducted in the 47 counties in June 2016 revealed that the devolved
units are overstaffed.

In Nairobi
County, for instance, has been struggling with a bloated workforce costing it a
monthly wage of Sh1.1 billion.

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