ADVOKS GLOBAL · KENYA
Public Finance Management Act
96. Stoppage of funds process in county government
Edition: 2026-09-25 · In force
96. Stoppage of funds process in county government
(1)Where the. Cabinet Secretary finds a State organ which is a county government entity to be in serious or persistent material breach of its obligations or financial commitments, the Cabinet Secretary shall, in accordance with Article 225 of the Constitution, immediately stop the transfer of funds.(2)Within seven days of stopping the transfer of funds under subsection (1), the Cabinet Secretary shall inform—(a)the accounting officer, of the State organ or public entity; or(b)the Cabinet Secretary responsible for matters relating to intergovernmental relations;(c)County Executive Committee member responsible for finance;(d)the Controller of Budget;(e)the Commission on Revenue Allocation; and(f)Intergovernmental Budget and Economic Council.(3)The Cabinet Secretary shall in the alternative promptly—(a)inform the County Executive Committee member responsible for finance; and(b)request the Auditor-General to—(i)determine the reasons for the breach;(ii)assess the county government financial state; and(iii)submit to the Cabinet Secretary and County Executive member for finance a report within thirty days from the date of the request.(4)The Cabinet Secretary may prescribe regulations in relation to the process of stoppage of transfer of funds.