Foreword
One of the key features of Kenya’s constitution that was promulgated in August 2010 is the provision for a devolved government. This provision should be seen against the backdrop of inequalities, marginali- zation and poor service delivery that characterised decades of centralized governance in Kenya. While frameworks to implement devolution have largely been put in place, diverse challenges exist a year into devolution. One year into devolution represents a good point
at which to review performance and deter- mine bottlenecks that can be resolved at this early stage. Similarly, a review of the experiences of the first year of county governments provides a useful basis to evaluate the extent to which they have adhered to the legal and institutional frameworks for managing public finances. This is important because County governments’ ability to deliver the promise of devolution depend on their efficient use of funds while preventing waste and
pilferage.
The principles of the budget process are outlined in the Constitution and put into practice by the Public Financial Management Act (PFMA). Under Chapter 12 on public finances, the constitution emphasises openness, accountability, participation, prudence and equity in county governance.
This study has been enriched by published reports such as those of the Office of the Controller of Budget to assess the extent of adherence of county governments to the legal and institutional framework of public financial management. As such, the assessment comprises an audit of the financial years (FY) 2012/2013 and 2013/2014 county budgets, identifies and analyses any shortcomings to the county budgeting processes in these financial years, specifically with respect to the principles of transparency, accountability, openness and public participation; and finally examines the good practices employed in these county budgeting processes.
It emerges from this report that effective capacity building among county officers, successful civic educa- tion for more effective public participation and subsequent planning and budgeting are especially criti- cal towards the successful delivery and fulfillment of county government responsibilities.
Accordingly, AfriCOG hopes that this report and the recommendations contained in it contribute to im- proving county budgeting in Kenya, and ultimately to the realization of the devolution promises. A sim- plified summary of this report is also being prepared for wider distribution to contribute to the goal of improved civic education.