President William Ruto on Wednesday December 4, 2024 assented to the Division of Revenue (Amendment) Bill, 2024, the Rating Bill 2024, and the Water (Amendment) Bill, 2024.
The president signed the Bills in the presence of deputy president Kithure Kindiki, chief cabinet secretary Musalia Mudavadi among other senior government officials during an event at State House, Nairobi.
The Division of Revenue (Amendment) Act, 2024, provides Ksh387 billion as equitable share of revenue to counties for the financial year 2024/2025.
Initially, the Finance Bill, 2024, had allocated Ksh400 as equitable share of revenue to counties, but the Bill’s rejection forced the figure to be reviewed downwards to Ksh380 billion.
Eventually the National Assembly and the Senate struck an agreement at KSh387 billion for counties, representing 24.67 per cent of the most recent audited revenue.
This is way above the 15 per cent minimum threshold constitutional requirement. The Act has allocated KSh2.2 trillion to the national government.
The Rating Act, 2024, creates a standard framework for valuation and rating, and clear guidelines for counties on how to assess property values and impose rates, among others.
Meanwhile, the Water (Amendment) Act, 2024, provides for Public Private Partnerships in financing the development of water works by the National Government Agencies.
