The Council of Governors has welcomed the historical ruling by Supreme Court of Kenya on the Division of Revenue.
CoG chairman H.E FCPA Wycliffe Oparanya said the ruling means the National Government cannot proceed to pass Appropriation Bill without involving County Governments.
“This gives the Senate mandate and chance to protect devolution in the country,” said Oparanya.
The Governor said the ruling also makes it mandatory for the Commission of Revenue Allocation (CRA) to have input on the Division of Revenue.
The long awaited Supreme Finding on the Division of Revenue case filed by COG is eventually here. Kudos to Devolution Gurus. Summary of the Advisory Reference on the Division of Revenue.
- The recommendations of CRA to Parliament are not binding but must be considered. Parliament cannot casually ignore them. If Parliament does not consider the recommendations CRA any DRB they pass will be unconstitutional.
- The National Assembly cannot pass Appropriation Act for the National Government before passage of the Division of Revenue Act.
- The National Government’s Appropriation Act can only be based on equitable share of revenue tp the National Government as provided for in the Division of Revenue Act. This is a major finding against the National Assembly and National Treasury. It is a win for devolution.
- Counties entitled to access 50% of previous year DORA in case there is impasse by end of Financial year. This affords Parliament a political opportunity to resolve the impasse.
- The opinion of the Supreme Court is not a suggestion. It is law and therefore binding.