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The Council of Governors (CoG) has announced an emergency meeting on Friday, March 20, to address concerns over budget cuts imposed by the National Treasury. 

The county chiefs are demanding answers from Treasury Cabinet Secretary (CS) John Mbadi regarding a KSh 25 billion reduction, which they argue will negatively impact donor-funded projects.

CoG Chair and Wajir Governor Ahmed Abdullahi has urged the Senate to reject the proposed budget cuts and push for revisions before approving the final budget. 

One of the key issues in the debate is the Roads Maintenance Levy Fund (RMLF), which has become a point of contention between governors and Members of Parliament (MPs).

Abdullahi emphasized that the only agreement reached so far is to exclude the RMLF from the budget cuts since the matter is still in court. 

He further insisted that county governments should have access to the funds, as road construction falls within their jurisdiction. 

The governor also argued that the fuel levy, which finances road maintenance, should be shared fairly between the national and county governments.

"The Constitution recognizes only two types of roads: national trunk roads and county roads," Abdullahi stated. 

"If Kenyans are taxed at the pump for road maintenance, the funds should be fairly allocated between national and county governments."

Additionally, Abdullahi criticized MPs for trying to establish an alternative funding model for constituency roads, questioning the constitutionality of such a move. 

He insisted that any changes to road funding should be addressed through legal and public consultation processes.

Governors are also concerned about the impact of budget cuts on crucial grants supporting county projects. 

Some of the affected programs include the Financing Locally-Led Climate Action (FLLoCA) grant, the Food Systems Resilience Program (FSRP) grant, the National Agricultural Value Chain Development Project (NAVCDP), and the Water and Sanitation Development Project (WSDP).

Treasury CS John Mbadi has acknowledged the standoff, describing it as unfortunate. 

While appearing before the Senate Finance and Budget Committee, Mbadi urged both sides to resolve their differences to prevent service delivery disruptions.

"This matter needs to be resolved so as not to affect service delivery," he said. 

"I would like to request the two parties to find a way to resolve their political differences, as the National Treasury wants to see devolution succeed."