Speaking before the Senate Committee on Devolution, Sakaja said the county inherited a huge financial burden but has spent the last three years cleaning up the mess.
The Governor explained that when he took office, City Hall was facing pending bills amounting to KSh118 billion, including debts left behind by the former Nairobi Metropolitan Services (NMS).
The Governor explained that when he took office, City Hall was facing pending bills amounting to KSh118 billion, including debts left behind by the former Nairobi Metropolitan Services (NMS).
He said the figure has now dropped to KSh86 billion, noting that the county has been working carefully to pay verified bills and reject questionable claims.
Sakaja added that digitising Nairobi’s revenue systems has played a big role in stabilising the county’s finances.
Sakaja added that digitising Nairobi’s revenue systems has played a big role in stabilising the county’s finances.
Instead of multiple permits that confused traders and opened room for corruption, the county now uses a single business permit system. According to him, this has simplified service delivery and increased revenue collected.
The Governor also revealed that Nairobi has recorded its highest-ever own-source revenue, collecting KSh13.8 billion this year.
The Governor also revealed that Nairobi has recorded its highest-ever own-source revenue, collecting KSh13.8 billion this year.
This is a major rise from the KSh10.8 billion recorded three years ago. He said the improvement shows that residents are responding well to the new systems and that the county aims to raise even more before the end of the financial year.
On development, Sakaja told the Senate that Nairobi has been using the Ward Development Fund to deliver projects across all 85 wards.
On development, Sakaja told the Senate that Nairobi has been using the Ward Development Fund to deliver projects across all 85 wards.
These include road works, Early Childhood Development centres, upgraded social halls and several sports facilities. Construction of stadiums such as Woodley, Kihumbuini and the City Stadium is ongoing.
He also highlighted challenges in street lighting, saying the county could install lights faster if it received a fair share of electricity-related levies.
He also highlighted challenges in street lighting, saying the county could install lights faster if it received a fair share of electricity-related levies.
Nairobi residents pay about KSh8 billion in power bills every year, including a Rural Electrification Levy that does not benefit urban areas. Sakaja said discussions are underway to correct this.
The Governor further raised concern about the national road-funding structure, noting that counties manage most of the country’s roads but receive only a small part of the development budget.
The Governor further raised concern about the national road-funding structure, noting that counties manage most of the country’s roads but receive only a small part of the development budget.
He urged senators to push for a fairer allocation model so that counties can complete ongoing projects and improve service delivery.
Sakaja appeared before the committee as part of routine oversight on Nairobi’s spending and the status of its development plans.
Sakaja appeared before the committee as part of routine oversight on Nairobi’s spending and the status of its development plans.
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