A fresh row has erupted over the proposed fourth revenue sharing formula, which is set to result in 24 counties losing a total of Sh12.2 billion. Governors and a section of Members of Parliament (MPs) have raised concerns, as the new formula places more emphasis on land size over population, benefiting 23 counties with larger landmasses.
According to the Commission on Revenue Allocation (CRA), the new formula, if approved, will determine revenue sharing for the next five years starting in 2025/2026. The formula introduces key parameters such as poverty (weighted at 23%), population (33%), and basic share (26%). Geographical size will account for 10%, while roads and economic activities will each hold 4%.
This shift has sparked criticism from the Council of Governors (COG), who argue that some counties will lose resources while others gain. Mandera County, for instance, is set to lose the highest amount—Sh2.19 billion annually, or Sh10 billion over five years. Other counties, like Kakamega, will lose Sh1.2 billion, while counties such as Turkana, Kajiado, and Marsabit stand to gain billions.
Kirinyaga Governor and COG Chairperson Ann Waiguru rejected the draft, calling for adjustments to prevent any county from receiving less than what it was allocated in the 2024/25 financial year. The Governors also proposed a uniform allocation of Sh1 billion for counties receiving less than Sh6 billion to ensure affirmative action.
Deputy President Rigathi Gachagua has fueled debate by advocating for a “one-man-one-vote-one-shilling” formula, which prioritizes population over land size. This stance has garnered mixed reactions, further intensifying the dispute over the revenue-sharing model.
As tensions rise, stakeholders are calling for a more balanced approach to ensure fair allocation across counties, regardless of population or land size.
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