Embu only spent Sh642m on projects out of Sh1.5bn – Ouko

‘Out of the to­tal bud­get, only Sh3.9 bil­lion was re­alised, re­sult­ing in a rev­enue short­fall of Sh1 bil­lion. Only Sh390m was col­lected, re­sult­ing in a rev­enue short­fall of Sh357m’

The Star (Kenya) - - Counties Eastern - REUBEN GITHINJI @githin­jireuben

Embu’s Sh4.9 mil­lion bud­get for the fi­nan­cial year 2014-15 was un­re­al­is­tic, the Au­di­tor Gen­eral has said.

The county spent very lit­tle on de­vel­op­ment and missed rev­enue tar­gets, he said. The county al­lo­cated Sh1.5 bil­lion to de­vel­op­ment and Sh3.4 bil­lion to re­cur­rent ex­pen­di­ture.

The an­nual report and fi­nan­cial state­ment for the year ended June 30, 2015, notes that out of the to­tal bud­get, only Sh3.9 bil­lion was re­alised. This re­sulted in a rev­enue short­fall of Sh1 bil­lion.

It at­tributes this deficit to the county gov­ern­ment’s in­abil­ity to meet the bud­geted rev­enue tar­get of Sh748 mil­lion.

The report, signed by Au­di­tor Gen­eral Ed­ward Ouko, re­veals that only Sh390 mil­lion was col­lected, re­sult­ing in a rev­enue short­fall of Sh357 mil­lion.

CASH UN­DER­UTILISED

This trans­lates to a 52 per cent short­fall in pro­jected rev­enue. The au­di­tor says the un­der­per­for­mance by the rev­enue de­part­ment is yet to be ex­plained.

Fur­ther, out of the Sh1.5 bil­lion de­vel­op­ment bud­get, only Sh642 mil­lion ( 40.5 per cent ) was utilised, re­sult­ing in un­der-ex­pen­di­ture of Sh941 mil- lion. The rev­enue short­fall and de­vel­op­ment un­der-ex­pen­di­ture ren­der the en­tire bud­get un­re­al­is­tic, Ouko stated.

“In the cir­cum­stances, the de­vel­op­ment un­der-ex­pen­di­ture of more than Sh900 mil­lion de­nied the res­i­dents of Embu county ex­pected ser­vices dur­ing the year un­der re­view,” reads the report.

The Au­di­tor Gen­eral says this in ef­fect pours cold wa­ter on the pur­pose of bud­get­ing for Embu’s projects as it fails to utilise money set aside for them in a largely un­der­de­vel­oped county.

The au­dit report has also queried the spend­ing of Sh6.6 mil­lion on re­pairs and main­te­nance of ve­hi­cles dur­ing the year un­der re­view.

/ REUBEN GITHENJI

Embu town, head­quar­ters of Embu county. The Au­di­tor Gen­eral says the county un­der­utilised funds in 201415

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