Kenyan legislation

The Government Financial Management (Hospital Management Services) Regulations, 2009

Edition: 2009-10-16 · Repealed

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1. Citation

These Regulations may be cited as the Government Financial Management (Hospital Management Services) Regulations, 2009.

2. Interpretation

In these Regulations, unless the context otherwise requires—"Committee" means the respective Committee established under regulation 5;"financial year" means the period of twelve months ending on the 30th June, in each year;"Fund" means Hospital Management Fund established under regulation 3;"hospital" means gazetted provincial, district or sub-district hospital including registered faith based equivalent hospitals;"Minister" means the Minister for the time being responsible for matters relating to Medical Services;"National Committee" means the National Hospital Services Committee established under regulation 6;"officer administering the fund" means the accounting officer of the Ministry for the time being responsible for matters relating to Medical Services; and"user charges" means cost-sharing charges.

3. Establishment of the Hospital Management Services

(1)There is established a Hospital Management Services Fund to consist of—

(a)monies appropriated by Parliament;

(b)grants or donations;

(c)monies received as user charges; and

(d)income generated from the proceeds of the services.

(2)The expenditure incurred by a medical facility on the services shall be on the basis of, and limited to, the annual allocation or grants and authority to incur expenditure.

(3)The receipts, earnings, accruals and the balance of the services at the close of each financial year shall not be paid into the Consolidated Fund but shall be retained by the respective hospitals or medical facility for the purpose for which the service is established.

4. The objects and purposes of the Fund

The Objects and purposes of the hospital services are to—

(a)provide financial resources for medical supplies, rehabilitation and equipment of hospitals in the country;

(b)support capacity building in management of hospitals;

(c)give more powers to hospitals and medical facilities to plan and manage the resources under them; and

(d)improve the quality of health care services in the hospitals.

5. Health Facilities Management Committees

(1)There are established Provincial, District and Sub-District Hospital Management Committees whose composition and functions are as specified in the Schedule.

(2)The Committees established under paragraph (1) shall exercise their specified functions in relation to such public hospitals as may, from time to time, be Gazetted by the Minister.

6. National Hospital Services Committee

(1)There is established a National Committee to be known as the National Hospital Services Committee.

(2)The National Committee shall consist of—

(a)a chairman, not being a public officer, appointed by the Minister;

(b)the Permanent Secretary of the Ministry for the time being responsible for matters relating to Medical Services or his representative duly nominated by him in writing;

(c)the Permanent Secretary of the Ministry for the time being responsible for finance or his representative duly nominated by him in writing;

(d)the Director of Medical services who, shall be the secretary; and

(e)three persons of whom two shall be women appointed by the Minister and of whom—

(i)one who shall be appointed by virtue of his knowledge or experience in financial management;

(ii)one who shall be appointed by virtue of his experience in medical care delivery management; and

(iii)one who shall be appointed by virtue of his expertise and experience as a medical practitioner;

(f)one person nominated by a health non-governmental organizational network in Kenya appointed by the Minister; and

(g)one person nominated by religious hospital association or network in Kenya appointed by the Minister.

(3)A person shall not be appointed as chairman under paragraph (2)(a) unless that person—

(i)holds a university degree; and

(ii)has at least five years experience in financial, business, or economic administration matters.

7. Functions of National Committee

The National Committee shall—

(a)approve the work plans prepared by the facilities;

(b)ensure equitable distribution of resources to the medical facilities; and

(c)review and approve annual expenditure statements.

8. Delegation of functions

The National Committee may delegate its functions specified under Regulation 7(a) to an appropriate person where it deems necessary.

9. Fees

The fees payable as user charges under the cost-sharing programme, which shall be notified in the Gazette, shall be reviewed from time to time by the Minister in consultation with the Treasury.

10. Application of the financial and procurement regulations

The existing Government Financial and Procurement Regulations and procedures shall apply in the administration of the Fund.

11. Administration of the Fund

The Officer administering the Fund shall—

(a)prepare, sign and transmit to the Controller and Auditor-General in respect of each financial year and within three months after the end thereof, a statement of account relating to the Fund specifying all contributions to the Fund and the expenditure incurred from the Fund, and such details as the Treasury may from time to time direct, in accordance with the provisions of the Public Audit Act (No. 12 of 2003);

(b)furnish such additional information as he may be required that is proper and sufficient for the purpose of examination and audit by the Controller and Auditor-General in accordance with the provisions of the Public Audit Act (No. 12 of 2003);

(c)develop the criteria for the allocation of funds for approval by the National Committee;

(d)prepare annual distribution of resources by hospitals;

(e)if he thinks fit, in consultation with the National Committee, impose conditions on the use of expenditure authorized by him or on his behalf and may impose any reasonable prohibition, restriction or other requirement concerning such use of expenditure;

(f)institute prudent measures for the proper utilization for monies deposited in the Fund using suitable internal controls and appropriate mechanism for accountability including audit of accounts by internal auditors of the Ministry responsible for matters relating to finance;

(g)cause to be kept proper books of accounts and records relating to all receipts, payments, assets and liabilities of the Fund and to any other activities and undertakings financed by the Fund.

12. Winding up of the Fund

In the event of winding up of the Services, the cash balances shall be transferred to the Exchequer while other assets of the Fund shall be transferred to the ministry for the time being responsible to the matters relating to Medical Services.

Source: Kenya Law · Imported 4 October 2026