Governors threaten to petition Parliament to remove CoB Nyakang’o from office over funds disbursement row

The Council of Governors (CoG) is now threatening to initiate the removal of Controller of Budget (CoB) Margaret Nyakang’o through a petition to the National Assembly, accusing her of being a major impediment to the smooth functioning of devolved units.

In the past, National Treasury Cabinet Secretary John Mbadi has shifted blame on the Controller of Budget over the perennial late disbarment of sharable revenue to counties accusing her of creating unnecessary bottlenecks.

The county chiefs have described her conduct as “intransigent and unreasonable,” claiming she has subjected counties to unnecessary bureaucratic bottlenecks when accessing funds, a situation they say is not only frustrating but unacceptable.

Wajir governor Ahmed Abdullahi who also doubles as the CoG Chairperson warned that the Council is ready to take legal action, including petitioning Parliament for Nyakang’o’s ouster, in a bid to end what he termed as persistent financial gridlocks that have paralysed county operations and hurt ordinary citizens.

“I want to send a clear warning to her: as a Council, we are now ready to go the legal route. We will petition both Houses of Parliament for her removal because she has made it nearly impossible for the average Kenyan to benefit from county government services,” said Governor Abdullahi.

He was speaking in Wajir during the launch of the #DontHideMe campaign, an initiative aimed at empowering children with disabilities in the county.

“The biggest threat to devolution today is the Controller of Budget’s office. There seems to be one set of rules for the national government and another, more punitive one for county governments,” he lamented. “Why should we carry invoices, contracts, and receipts all the way from Wajir to Nairobi and queue in her office for weeks just to access funds?”

The governor described the situation as a form of systemic sabotage that undermines the spirit of devolution, warning that it has far-reaching implications for service delivery.

The latest standoff between the Council of Governors and the Office of the Controller of Budget has been sparked by the introduction of a new set of disbursement conditions, referred to as the “blue checklist,” which counties must now comply with before funds are released to their accounts.

“When we sought clarification on why she was introducing a new checklist at the tail end of the requisition process, she refused to meet with the Council or offer any explanation. She seems hell-bent on frustrating counties from utilizing their budgets,” one governor said.

He further accused Controller of Budget Margaret Nyakang’o of high-handedness and bias, alleging that counties had yet to receive their April and May allocations due to her refusal to approve their budgets.

“Because of her bad manners and constant mistreatment of counties, we are yet to receive funds for April and May. She has refused to approve the expenditure plans,” the governor added.

“This is hell. Every county is going through the same ordeal. As a country, we must ask ourselves: are we truly committed to devolution? Why is it so difficult for counties to access funds that have already been appropriated to them, especially when they only receive 9% of the national budget?” he posed.

Governor Abdullahi further decried the ripple effect of the delays, noting that counties are now struggling to pay school fees and sustain key development programs due to the financial chokehold, even after presidential pronouncements in support of timely disbursements.

“The president has spoken on this issue, but government bureaucrats are still making life difficult for everyone. It’s time for action, not more talk,” he concluded.

Late last year during a consultative meeting with governors in Naivasha, National Treasury Cabinet Secretary John Mbadi blamed the Controller of Budget over the perennial late disbarment of sharable revenue to counties.

Mbadi accused Nyakango of introducing unnecessary bottlenecks in the disbursement process.

“I wish the controller of the budget was here, I have a problem with her office. Once we transfer money to counties, let that money reach the counties, there should be no bottlenecks. There is no reason governors, that your officers are always in Nairobi to clear with the office of CoB,” Mbadi said.

Mbadi termed the way of clearing funds for disbursement as “rent-seeking” saying it was hampering county government operations.

He said it was unfair that county officials in the finance department had to travel from as far as Turkana to get their monies cleared, yet that would be an assignment done on the phone.

Mbadi was responding to queries from the governors on the late disbursement of funds as well as calls for the increase of county allocations during the quarterly high–level consultative meeting.

The CS said there should be a working system that does not have artificial human interference to ensure funds reach counties immediately after they are disbursed.

“I have always wanted a forum where I can tell her (CoB) publicly, that she must reign in on her officers and that does not mean I’m attacking her, I am criticising her. She is also open to criticise me,” Mbadi said.