Senate questions Natembeya over Sh923m statutory dues, delayed projects

Trans Nzoia Governor George Natembeya was taken to task by the Senate over the failure by his administration to submit Sh923 million statutory deductions in the last four years.

Natembeya had rough time tabling evidence that the county had met its obligations.

According to the Auditor General, the county staff were deducted Pay As You Earn (PAYE) amounting to Sh530.7 million, Sh343.2 million for the National Social Security Fund (NSSF)  as well as Sh49.6 million for the defunct National Hospital Insurance Fund (NHIF) for the financial year 2023/2024.

According to the audit, no evidence was provided to show that the deductions were remitted to relevant authorities.

But Natembeya defended his administration, stating that the funds have been remitted.

“The pending statutory deductions are for former defunct local authorities that the county inherited. We have engaged KRA, NSSF, and NHIF for reconciliation with staffs and we are waiting their responses. We have already paid for PAYE, the main issue was filing and submission of remittance slip used to update the county ledger,” he told the County Public Accounts Committee.

But the team chairman, Moses Kajwang, directed the county Executive to disclose all pending bills in the format prescribed by the Public Sector Accounting Standards Board.

The Homa Bay member asked KRA to cease imposing penalties on counties for late remittances, blaming it on delays by the National Treasury.

He asked Natembeya to undertake administrative action against the officers responsible for non-remittance of statutory deductions and provide a status report within 60 days.

Kajwang asked the National Treasury to ensure timely release of funds in line with the cash disbursement schedules approved by the Senate to ensure they settle their obligations on time.

Natembeya was also taken to task over failure to follow due diligence in the construction of the Sh498.8 million county headquarters.

According to the Auditor General, physical verification carried out on September 9, 2024, revealed that a sign board costing Sh250,000 was not erected on the construction site as indicated in the Bill of Quantities, with the project having reached sixth floor and the construction of a helipad on-going.

Natembeya told the Senate that the project was 90 per cent complete at the time of the audit and was now fully complete.

“The tender evaluation committee carried out due diligence during evaluation exercise on successful bidder through verification of submitted documents with relevant authorities and firms and the same incorporated in summary evaluation report attached,” he said.

The Governor was also questioned over the slow pace of the construction of the Sh657 million Kenyatta Stadium, which was expected to be complete by February.

According to the project inspection report done in September last year, boundary disputes had delayed the construction of the fence.

Natembeya told the committee that the departments of Sports and that of Lands and Urban Development had been discussing the row even before the project design was done.

“The map was used by the consultant to prepare the drawings only to be served with court orders on development of boundary wall. The project management team has called on Lands Department to have the issue resolved.”