Act No: No. 18 of 2012
Act Title: PUBLIC FINANCE MANAGEMENT
SUBSIDIARY LEGISLATION
Arrangement of Sections

LOCAL LOAN REGULATIONS, 1948

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Transfer of stock.

4.

Joint stockholders of stock.

5.

Powers of stockholders to act by majority.

6.

Stockholder becoming of unsound mind.

7.

Appointment of agents.

8.

Marriage of a female stockholder.

9.

Amendment of names and descriptions.

10.

Death of a stockholder in sole account.

11.

In joint account.

12.

Last survivor in a joint account.

13.

Death of executors or administrators.

14.

Methods of payment by Permanent Secretary to the Treasury.

15.

Replacement of lost certificates.

16.

Indemnity of Government and officers.

17.

Saving for rights of third parties.

18.

Information as to stock accounts.

LOCAL LOAN REGULATIONS, 1948 REGULATIONS MADE UNDER SECTION 19 OF THE LOCAL LOANS ACT (NOW REPEALED) AND APPLIED BY SECTION 20
[Cap. 248 (1948), Sub. Leg.]
1.
Citation

These Regulations may be cited as the Local Loan Regulations.

2.
Interpretation

In these Regulations, “approved” means approved by the Permanent Secretary to the Treasury.

3.
Transfer of stock

An instrument of transfer in connection with the transfer of any stock shall be under seal.

4.
Joint stockholders of stock
(1)

Subject to the provisions of these Regulations, an application with respect to stock in the names of two or more persons as joint stockholders shall be made by all such persons.

(2)

The joint stockholders of stock may authorise any person, including one of themselves, to act as their agent in respect of such stock, and the provisions of these Regulations relating to the authorisation of agents shall apply accordingly.

(3)

Where stock is registered in the names of two or more persons as joint stockholders, the Permanent Secretary to the Treasury may, unless other arrangements with respect to the payment of interest have been made in accordance with these Regulations, pay any interest thereon to the stockholder whose name appears first in the register.

(4)

A receipt for the payment of interest on any stock which is given by any one of two or more joint stockholders of such stock shall, unless notice in writing to the contrary has been received by the Permanent Secretary to the Treasury from any other joint stockholder of such stock, be a full discharge to the Permanent Secretary to the Treasury for the payment of that interest.

5.
Powers of stockholders to act by majority
(1)

Where stock is registered in the names of three or more stockholders and an application in that behalf is made in respect of such stock in accordance with this regulation, all things required to be done for the purpose of any dealing with such stock may, subject to the provisions of these Regulations, be done and given by a majority of the persons who are the stockholders at the date when the application is made, or, in the case of the death of any of such persons, by a majority of the survivors of them.

(2)

An application for the purpose of this regulation shall be transmitted to the Permanent Secretary to the Treasury in writing in the approved form.

(3)

A person who is registered as one of the stockholders of any stock with respect to which an application has been made under this regulation may give notice in writing in the approved form to the Permanent Secretary to the Treasury that the application is revoked, and on notice being so given the provisions of this regulation shall, as from the receipt of the notice by the Permanent Secretary to the Treasury, cease to apply to such stock.

6.
Stockholder becoming of unsound mind
(1)

If the stockholder of any stock becomes of unsound mind or otherwise subject to legal disability, anything which under these Regulations may be done by or to such stockholder may be done by or to the person having power in law to administer the property.

(2)

If one of two or more joint stockholders of any stock who have made an arrangement for the payment of interest thereon becomes of unsound mind or otherwise subject to legal disability, the arrangement shall not thereby be rendered void.

(3)

Where the Permanent Secretary to the Treasury is satisfied that any person being one of two or more joint stockholders of stock has become of unsound mind or otherwise subject to legal disability, he may, upon receiving an application in writing in the approved form in that behalf made by the remaining joint stockholder or joint stockholders, treat him or them as being entitled to receive any interest accruing thereon.

7.
Appointment of agents
(1)

Subject to the provisions of these Regulations, any stock-holder may give an authority in the approved form authorising any person to act as his agent with respect to stock held by him or with respect to any interest arising therefrom, and any such authority may—

(a)

relate to the whole or to any specified part of the stock which may at any time be held by the person giving the authority or to the whole or to any specified part of the stock which is held by him at the time when the authority was given; and

(b)

authorise the person to whom the authority is given to deal with the stock or interest to which it relates either generally at his discretion or subject to any directions contained in the authority.

(2)

An authority given under this regulation shall be of no effect unless and until it is delivered to the Permanent Secretary to the Treasury.

(3)

An authority given under this regulation may be revoked at any time by the person by whom it was given, and shall be determined by the death, bankruptcy or legal disability of that person:

Provided that any payment duly made by the Permanent Secretary to the Treasury under these Regulations in compliance with an authority given under this regulation shall, notwithstanding the revocation or determination of such authority, be deemed for all purposes to be a valid payment unless notice in writing of the revocation had been received by, or the death, bankruptcy or disability has come to the knowledge of, the Permanent Secretary to the Treasury at the time when the payment was made.

(4)

An authority given under this regulation shall, subject to the terms thereof, until revoked or determined—

(a)

remain in force notwithstanding any increase or decrease in the nominal value of the stock to which it relates;

(b)

entitle the person to whom it is given to make any application and sign any document mentioned in these Regulations and to receive any payment made in pursuance thereof.

8.
Marriage of a female stockholder
(1)

On the marriage of a female stockholder, her name and description shall be altered in the register with respect to stock standing either in her name solely or jointly with any other persons, on such stockholder exhibiting to the Permanent Secretary to the Treasury her marriage certificate, and notifying her change of address, if any, and giving full particulars of the accounts in which it is desired to have the alteration made.

(2)

Specimens of her present and former signatures must also be furnished.

(3)

The husband shall not be required to join in the notification.

9.
Amendment of names and descriptions
(1)

In the event of stock being registered incorrectly owing to mistakes in the requests for registration or transfer, the account shall be amended by a letter or declaration (as the case may require), stating how the error arose.

(2)

In the event of alteration of any name or names in an account which has been raised by means of a transfer, a re-execution of the transfer by the transferor or by his attorney shall be required.

10.
Death of a stockholder in sole account

The death of a stockholder in a sole account shall be registered on production of probate of the will or letters of administration, and, where necessary, a declaration as to the identity of the deceased shall be made by some disinterested person.

11.
In joint account
(1)

The death of a stockholder in a joint account with other stockholders may be proved by production of probate of the will, letters of administration or certificate of death, and, where necessary, a declaration as to identity shall be made in like manner as before mentioned.

(2)

On completion of the proof of death in a joint account, the stock shall be held at the disposal of the survivor or survivors, but the name of the deceased stockholder shall not be removed from the account.

12.
Last survivor in a joint account

The death of the last survivor in a joint account shall be proved by production of probate of the will or letters of administration in the same manner as in a sole account, and the stock and interest thereon shall be at the disposal of the executors or administrators of such last survivor.

13.
Death of executors or administrators

In the case of stock remaining in the name of a deceased person and the death of the executors taking place, the stock shall be at the disposal of the executors of the last surviving executor on the usual proof being lodged with the Permanent Secretary to the Treasury; but, should the said executor die intestate, the administrator cannot act, nor can executors of an administrator be recognised, and a grant de bonis non to the estate of the stockholder must be exhibited.

14.
Methods of payment by Permanent Secretary to the Treasury
(1)

Except where the Permanent Secretary to the Treasury otherwise directs, all payments made by him in respect of any stock shall be made by a warrant in the approved form, and any such form shall provide for a receipt for the amount payable by the warrant to be signed by the payee or his duly authorised agent.

(2)

No warrant issued under these Regulations shall be paid until the receipt thereon for the amount thereby payable has been duly signed, and such receipt shall be a full discharge to the Government and to the Permanent Secretary to the Treasury for the payment of the sum named in the warrant.

(3)

The posting of a letter containing a warrant sent by the Permanent Secretary to the Treasury in pursuance of these Regulations addressed to any person at the last address furnished by that person to the Permanent Secretary to the Treasury shall, as regards the liability of the Government and of the Permanent Secretary to the Treasury, be equivalent to the delivery of the warrant to the person to whom the letter was addressed.

(4)

Where, in pursuance of these Regulations or in accordance with any authority given thereunder, any payment is to be made by the Permanent Secretary to the Treasury to a firm or body of persons, whether corporate or unincorporate, a receipt for the payment given by any person purporting to be an agent or officer of that firm or body and to be authorised to receive the payment shall be a full discharge to the Government and the Permanent Secretary to the Treasury for the amount paid.

15.
Replacement of lost certificates
(1)

The loss or destruction of any certificate issued by the Permanent Secretary to the Treasury in pursuance of these Regulations shall be notified in writing to him as soon as practicable by the person entitled to the possession thereof.

(2)

Upon receipt of any such notification, the Permanent Secretary to the Treasury shall cause to be published in the Gazette, at the cost of the person giving such notification, a notice stating that the certificate has been lost or destroyed, as the case may be, and that he proposes after the expiration of thirty days from the date of such notice to issue a duplicate of such certificate.

(3)

If the Permanent Secretary to the Treasury is satisfied that any certificate issued in pursuance of these Regulations has been lost or destroyed, or if he is of opinion that any such certificate has been issued in error or has been tampered with, or is in such a condition as to render its replacement desirable, he may, subject to the provisions of subregulation (2), issue a duplicate certificate in lieu thereof to any person who satisfies him that he is entitled to the possession thereof.

16.
Indemnity of Government and officers

The Government, the Permanent Secretary to the Treasury and any person acting under his authority shall not be liable in respect of any payment duly made or act duly done in accordance with these Regulations, and any such payment shall, subject to the provisions of these Regulations for saving the rights of third parties, be deemed to have been a valid payment, and the receipt of the person to whom the money was paid shall be a full discharge to the Government and to the Permanent Secretary to the Treasury for the amount of the payment.

17.
Saving for rights of third parties

Nothing in these Regulations for the protection of the Government and of the Permanent Secretary to the Treasury in respect of any act done or any money paid shall operate to prevent the recovery by any person or his representative of any stock or money lawfully due to him from the person to whom such stock was transferred or such money was paid by or under the direction of the Permanent Secretary to the Treasury, or from the representative of that person.

18.
Information as to stock accounts

Information with regard to a stock account shall not be furnished except at the request of a stockholder to whom such account relates.

KENYA SAVINGS BONDS (1ST ISSUE) REGULATIONS, 1959
[L.N. 326/1959.]
REGULATIONS UNDER SECTION 20
1.

These Regulations may be cited as the Kenya Savings Bonds (1st Issue) Regulations.

2.

(1) An issue of bonds shall be made under the Act, on the 1st September, 1959, to be known as the Kenya Savings Bonds (1st Issue); these bonds shall be issued in multiples of £5.

(2)

For the purpose of these Regulations—

(a)

the date of registration of a bond shall be the first day of the month following the receipt of the full subscription by the Government; and

(b)

the effective date for the calculation of the period for which a bond has been held shall be the last day of the month in which the application for encashment or redemption is received by the Treasury.

(3)

The bonds shall not carry interest, but shall bear capital appreciation at the following rates—

(a)

if held for a period of less than thirty completed calendar months from the date of registration, to be encashable at par;

(b)

if held for a period of thirty completed calendar months from the date of registration, but not exceeding fifty-four completed calendar months, to be encashable at £5 10s. per £5 subscribed;

(c)

if held for a period of fifty-four completed calendar months, but not exceeding seventy-two completed calendar months, to be encashable at £6 per £5 subscribed;

(d)

if held for a period of seventy-two completed calendar months, but not exceeding eighty-four completed calendar months, to be encashable at £6 10s. per £5 subscribed;

(e)

if held for a period of eighty-four completed calendar months, to be encashable at £7 per £5 subscribed.

(4)

The Minister may, by giving six months’ notice in the Gazette, redeem after a period not less than thirty completed calendar months from the date of registration all or part of the issue of bonds, but, in the absence of any such notice, the bonds shall be redeemed or converted seven years after registration.

(5)

The Minister may, by giving three months’ notice in the Gazette, terminate the issue of the bonds.

3.

(1) The Treasury shall keep and maintain a register of bonds (hereinafter referred to as the Register) in which shall be recorded the names and addresses of all holders of the bonds and the value and serial number of all bonds and the value and serial number of all bond certificates.

(2)

On the issue, cashing or redemption of any bond the Treasury shall make the necessary entries in the Register.

(3)

The Register, or a certified extract thereof, shall be prima facie evidence of the title of any person named therein in respect of the bonds of which he is the registered holder.

4.

(1) Applications to purchase bonds may be made by any individual person to the Treasury or to any of the other persons named in the prospectus to be issued in respect thereof and such persons are authorised to receive applications and subscriptions therefor; but applications may not be made by corporations, joint holders, trustees or partnerships, or by or on behalf of funds or trusts.

(2)

The Treasury may pay to any bank specified in the prospectus commission at the rate of one-quarter per centum in respect of applications of not less than £25 bearing the bank’s stamp.

5.

(1) An applicant may subscribe on the approved form for bonds in multiples of £5 to a maximum holding of £1,000.

(2)

On making a purchase of bonds from an office of a District Commissioner the applicant shall be given a provisional receipt on an approved form; the Treasury shall send to the purchaser a certificate in an approved form stating the date of registration and showing that bonds to the value specified therein have been registered in the name of the purchaser; and such certificate shall be prima facie evidence of the title of the holder of the certificate to the bonds specified therein.

(3)

The bonds shall not be transferable (other than as provided in regulation 7) but may be encashed at the values set out in subregulation (3) of regulation 2, on submission of the appropriate form to the Treasury.

6.

(1) Bonds may be subscribed for, purchased, held and encashed by a person notwithstanding the fact that he is a minor provided that he has attained his seventh birthday at the date of registration.

(2)

A receipt given for encashment or redemption shall be a full and valid discharge notwithstanding the fact that the person giving the receipt was a minor.

7.

In the event of a registered holder of bonds dying or becoming of unsound mind or subject to some other legal disability, anything which under these Regulations may be done by the registered holder of the bonds may be done by the person having power in law to administer the estate of such registered holder:

Provided that the maximum holding laid down in subregulation (1) of regulation 5 shall not apply to any person who is holding bonds in excess of the maximum solely by virtue of this regulation.

8.

(1) The loss, destruction or damage of any bond certificate shall be reported in writing to the Treasury by the person entitled to be in possession thereof as soon as practicable.

(2)

The Treasury on receipt of such report shall cause to be published in the Gazette a notice, the cost of which shall be borne by the registered holder, stating that the certificate has been lost, destroyed or damaged and that, after the expiration of thirty days from the date of such notice, it is proposed to issue a duplicate of such certificate:

Provided that, in his discretion, the Permanent Secretary to the Treasury may remit all or part of the cost of such notice.

(3)

Subject to the provisions of subregulation (2), the Treasury may issue a duplicate certificate in lieu of the original certificate, to any person who satisfies him that he is entitled thereto.

GOVERNMENT FINANCIAL MANAGEMENT (YOUTH ENTERPRISE DEVELOPMENT FUND) REGULATIONS, 2006
[L.N. 167/2006.]

Revoked by L.N. 81/2019, r. 4.

GOVERNMENT FINANCIAL MANAGEMENT (KENYA SLUM UPGRADING, LOW COST HOUSING AND INFRASTRUCTURE TRUST FUND) REGULATIONS, 2006

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of Fund.

5.

Initial capital of the Fund.

6.

Surplus and deficient funds.

7.

Annual approval of budget.

8.

Retention of receipts and earnings.

9.

Administration of the Fund.

10.

Trustees.

11.

Trustees recommend amendments.

GOVERNMENT FINANCIAL MANAGEMENT (KENYA SLUM UPGRADING, LOW COST HOUSING AND INFRASTRUCTURE TRUST FUND) REGULATIONS, 2006
[L.N. 168/2006.]
1.
Citation

These Regulations may be cited as the Government Financial Management (Kenya Slum Upgrading, Low Cost Housing and Infrastructure Trust Fund) Regulations, 2006.

2.
Interpretation

In these Regulations, unless the context otherwise requires—

“Act” means the Government Financial Management Act, 2004 (No. 5 of 2004);

“financial agreement” means the final document and its annexure on the management of the Fund, signed between the Government of Kenya and any other person or institution;

“financial year” means the period of twelve months ending on the 30th June in each year;

“Fund” means the Kenya Slum Upgrading, Low Cost Housing and Infrastructure Trust Fund established under regulation 3;

“Minister” means the Minister for the time being responsible for matters relating to Housing and “Ministry” shall be construed accordingly;

“officer administering the Fund” means the accounting officer of the Ministry for the time being responsible for matters relating to Housing;

“trustee” means a trustee of the Fund appointed under regulation 10.

3.
Establishment of the Fund
(1)

There shall be a Fund known as the Kenya Slum Upgrading, Low Cost Housing and Infrastructure Trust Fund.

(2)

The Fund shall consist of—

(a)

monies appropriated by Parliament;

(b)

grants or donations;

(c)

any monies from any other source provided for, generated, lent or donated to the Fund.

(3)

The Fund shall include the amounts stipulated in the relevant financial agreements, protocols and memoranda of understanding.

4.
Object and purpose of Fund

The object and purpose of the Fund is to provide funds for slum upgrading, low cost housing and infrastructure programmes to support housing development.

5.
Initial capital of the Fund

The initial capital of the Fund shall be the sum of four hundred million shillings appropriated by Parliament in the 2006/2007 financial year.

6.
Surplus and deficient funds
(1)

Any surplus funds realised in a financial year from the operations of the Fund shall be retained in the Fund and shall be used by the Fund for the purpose of the Fund.

(2)

Any deficiency incurred in a financial year shall, subject to the prior approval of the Treasury be offset against the realised surplus held in the Fund.

7.
Annual approval of budget
(1)

The expenditure on activities on housing development programmes shall be paid from the Fund and shall be on the basis of and limited to the annual work programs and cost estimates.

(2)

The officer administering the Fund shall submit to the trustees the annual budget based on the annual work programs and cost estimates at least three months prior to the beginning of the related financial year for consideration and recommendation to the Minister for approval.

(3)

The Minister shall consider and approve the budget before the beginning of the related financial year.

(4)

Any revision of the approved budget—

(a)

within the approved ceiling, shall be referred to the trustees for approval;

(b)

above the approved ceiling, shall be referred to the Minister for approval.

8.
Retention of receipts and earnings

All receipts, earnings and accruals of the Fund and the balance of the Fund at the close of each financial year shall not be paid into the Consolidated Fund but shall be retained by the Fund for the purposes of the Fund.

9.
Administration of the Fund

The officer administering the Fund shall—

(a)

supervise and control the administration of the Fund;

(b)

consult with the trustees on matters relating to the administration of the Fund;

(c)

impose conditions on the use of any expenditure authorised by him on his own behalf, and may impose any reasonable restriction or other requirement concerning use of expenditure;

(d)

cause to be kept proper books of accounts and other books and records relating to the Fund;

(e)

prepare, sign and transmit to the Controller and Auditor-General within three months after the end of each financial year a statement of accounts relating to the Fund for that year, in accordance with section 18 of the Act; and

(f)

engage such staff as may be necessary to assist in the management of the Fund.

10.
Trustees
(1)

The trustees of the Fund shall comprise of—

(a)

the Permanent Secretary in the Ministry for the time being responsible for matters relating to Housing or his duly appointed representative;

(b)

the Permanent Secretary to the Treasury or his duly appointed representative;

(c)

the Permanent Secretary in the Ministry for the time being responsible for matters relating to Local Government or his duly appointed representative;

(d)

the Head of the Department for the time being responsible for Slum Upgrading, Low Cost Housing and Infrastructure or his duly appointed representative;

(e)

the Secretary-General of the Association of Local Government Authorities of Kenya;

(f)

two representatives of private sector stakeholder organisations;

(g)

two representatives of non-governmental organisations and community-based organisations;

(h)

two representatives of development partners.

(2)

The trustees under paragraphs (f), (g) and (h) shall be appointed by the Minister for a period of three years renewable at the discretion of the Minister and the appointments shall conform to the following criteria—

(a)

not more than two-thirds of the appointments shall be from one gender; and

(b)

the persons appointed shall have knowledge and experience in matters relating to housing, slum upgrading, small and micro enterprise finance and development and mainstreaming of poverty reduction strategies in urban development.

11.
Trustees recommend amendments

The trustees may, from time to time, recommend amendments to these Regulations.

GOVERNMENT FINANCIAL MANAGEMENT (WOMEN ENTERPRISE FUND) REGULATIONS, 2007
[L.N. 147/2007.]

Revoked by L.N. 80/2019, r. 5.

GOVERNMENT FINANCIAL MANAGEMENT (MEMBERS AND STAFF OF THE ELECTORAL COMMISSION CAR LOAN SCHEME FUND) REGULATIONS, 2007

ARRANGEMENT OF REGULATIONS

1.

Citation and commencement.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of the Fund.

5.

Initial capital.

6.

The Loan Approval Committee.

7.

Operation of the Fund.

8.

Conditions for disbursement of funds.

9.

Loan amount for Commissioner.

10.

Interest rate.

11.

Maximum loan and deductions for staff.

12.

Loan repayment.

13.

Insurance.

14.

Loan discharge.

15.

Administration of the Fund.

16.

Revocation of L.N. 46 of 2001.

GOVERNMENT FINANCIAL MANAGEMENT (MEMBERS AND STAFF OF THE ELECTORAL COMMISSION CAR LOAN SCHEME FUND) REGULATIONS, 2007
[L.N. 155/2007.]
1.
Citation and commencement

These Regulations may be cited as the Government Financial Management (Members and Staff of the Electoral Commission Car Loan Scheme Fund) Regulations, 2007, and shall be deemed to have come into operation on the first of July, 2007.

2.
Interpretation

In these Regulations, unless the context otherwise requires—

“Committee” means the Loans Approval Committee established under regulation 6;

“Commissioner” means a member of the Electoral Commission of Kenya;

“financial year” means the period of twelve months ending on the 30th June, in each year;

“Fund” means the Members and Staff of the Electoral Commission Car Loan Scheme Fund established under regulation 3;

“officer administering the Fund” means the Secretary to the Electoral Commission of Kenya; and

“staff” means an employee of the Electoral Commission of Kenya.

3.
Establishment of the Fund
(1)

There is hereby established a Fund to be known as the Members and Staff of the Electoral Commission Car Loan Scheme Fund.

(2)

The Fund shall be the successor to the Members of the Electoral Commission Car Loan Scheme Fund established under the Exchequer and Audit (Members of the Electoral Commission Car Loan Scheme Fund) Regulations, 2001 (L.N. 46/2001) and all rights, duties and obligations of the Members of the Electoral Commission Car Loan Scheme Fund existing on the date of coming into operation of these Regulations shall be transferred to the Fund, and any reference to the Members of the Electoral Commission Car Loan Scheme Fund in a contract or document shall, for all purposes, be deemed to be a reference to the Fund established under this regulation.

4.
Object and purpose of the Fund

The object and purpose of the Fund shall be to provide a loan scheme for the purchase of motor vehicles by Commissioners and staff.

5.
Initial capital
(1)

The initial capital of the Fund shall be forty-four million shillings appropriated by Parliament in the 2000/2001 financial year.

(2)

All the monies of the Fund shall be paid into a special account operated by the officer administering the Fund.

6.
The Loan Approval Committee
(1)

There is established a committee to be known as the Loan Approval Committee which shall consist of—

(a)

the vice-chairman of the Electoral Commission of Kenya, who shall be Chairman;

(b)

the Permanent Secretary in the Ministry for the time being responsible for finance or his representative;

(c)

the Clerk of the National Assembly or his representative;

(d)

one Commissioner;

(e)

the Attorney-General or his representative; and

(f)

the Secretary of the Electoral Commission of Kenya, who shall be the Secretary.

(2)

The Committee shall meet once every month or at such other time as may be necessary for the discharge of its duties.

(3)

The quorum for meetings of the Committee shall be the Chairman and any three members.

(4)

The Committee shall consider and may approve loan applications presented by the officer administering the Fund.

7.
Operation of the Fund
(1)

Any Commissioner or staff who wishes to apply for a loan from the Fund shall present to the officer administering the Fund a duly completed application form in such form as the Committee may prescribe.

(2)

The officer administering the Fund shall satisfy himself of each applicant’s financial status and capacity to repay the loan applied for and where so satisfied shall forward the application form to the Committee for consideration.

8.
Conditions for disbursement of funds
(1)

A loan approved by the Committee under the foregoing regulations shall be released from the Fund in such manner, taking into account the security of the funds, as may be prescribed by the Committee.

(2)

The log-book of a motor vehicle subject to a loan from the Fund shall be issued jointly between the Government and the Commissioner or staff receiving the loan and shall be kept in the custody of the officer administering the Fund until the loan is repaid in full by the Commissioner or staff.

(3)

The officer administering the Fund shall issue a caveat prohibiting the transfer of the motor vehicle and shall notify the Registrar of Motor Vehicles accordingly.

(4)

The Registrar of Motor Vehicles shall confirm in writing to the officer administering the Fund, that a caveat issued under paragraph (3) has been entered and noted in the appropriate motor vehicle file in the registry of the Registrar of Motor Vehicles.

9.
Loan amount for Commissioner
(1)

The amount of loan which a Commissioner may receive shall be the value of the motor vehicle he proposes to purchase, subject to a maximum amount of two million shillings.

(2)

For the purposes of these Regulations, the value of a new vehicle shall be as quoted on the invoice from the supplier whereas the value of a used vehicle shall be as determined by a report from the body known as the Automobile Association of Kenya or a Government department dealing with similar matters.

10.
Interest rate
(1)

A loan granted to a Commissioner or staff under these Regulations shall carry an initial interest rate of three percent per annum, which shall be subject to review from time to time by the Treasury.

(2)

The interest charged under paragraph (1) shall be utilized to defray the administrative expenses of Fund.

11.
Maximum loan and deductions for staff
(1)

The maximum loan that may be given to a member of staff shall be one million shillings.

(2)

No staff shall receive a loan the repayment of which shall result in a salary deduction exceeding forty per cent of the staff’s monthly emoluments.

(3)

A loan advanced to staff shall be repaid over a maximum period of forty-eight months, or the remainder of the staff’s term of office, whichever is less.

12.
Loan repayment
(1)

A loan advanced under these Regulations shall be paid in full—

(a)

in the case of purchase of a new motor vehicle, over a maximum period of forty-eight months; or

(b)

in the case of purchase of a second-hand vehicle, over a maximum period of thirty-six months; and

(c)

in both cases, (a) and (b) above, within the remaining term of office of the Commissioner or staff.

(2)

No default in repayment shall be allowed by the Committee except in the event of force majeure in which case there shall be a grace period of not more than three months, after which the car which is subject to the loan shall be repossessed and sold to recover the balance of the loan.

(3)

For the purposes of this regulation, the term of office of a Commissioner shall be deemed to be five years.

13.
Insurance
(1)

A Commissioner or staff shall take out a comprehensive insurance cover in respect of any vehicle purchased through the Fund.

(2)

Where a Commissioner or staff is unable to raise the funds required for the initial insurance premium, such funds may be advanced from the Fund subject to an approval limit, but subsequent annual premiums shall be paid by the Commissioner or staff concerned.

(3)

A Commissioner or staff who is unable to pay the subsequent annual premiums referred to in paragraph (2) may apply to the Fund for a loan for such payment, which shall be repaid within a period of one year or, in the case of a Commissioner, the remainder of the Commissioner’s term of office, whichever is less.

(4)

Every loan granted under these Regulations shall be insured for the benefit of the Commissioner or staff and the premium in respect thereof shall be debited to the Commissioner’s or staff’s account.

14.
Loan discharge
(1)

Upon full repayment of the loan, a Commissioner or staff shall receive from the Committee a signed loan discharge form in such form as the Committee may prescribe, which shall have the effect of discharging the Commissioner or staff from any further financial obligation in respect of the loan.

(2)

The Committee shall forward a copy of the loan discharge form referred to in paragraph (1) to the Registrar of Motor Vehicles.

15.
Administration of the Fund
(1)

The officer administering the Fund shall—

(a)

supervise and control the administration of the Fund;

(b)

if he thinks fit, impose conditions on the use of any funds under his control and may impose any reasonable restriction or other requirement concerning such use;

(c)

approve such expenditure out of the Fund as may be necessary for the administration of the Fund pursuant to the provisions of these Regulations;

(d)

cause to be kept books of accounts and other books and records in relation to the Fund and the loans financed therefrom;

(e)

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 accounts relating to the Fund, prepared and signed by him, specifying the income of the Fund and showing the expenditure incurred from the Fund in such details as the Treasury from time to time direct in accordance with the provisions of the Public Audit Act, 2003 (No. 12 of 2003);

(f)

furnish such additional information as he may deem to be 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, 2003 (No. 12 of 2003).

(2)

Every statement of account made under this regulation shall indicate the financial status of the Fund as at the end of the financial year concerned.

16.
Revocation of L.N. 46 of 2001

The Exchequer and Audit (Members of the Electoral Commission Car Loan Scheme Fund) Regulations, 2001 are hereby revoked.

GOVERNMENT FINANCIAL MANAGEMENT (COMMUNITY DEVELOPMENT TRUST FUND) REGULATIONS, 2007

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of the Fund.

5.

Surplus and deficient funds.

6.

Annual approval of the budget.

7.

Procurement of goods and services.

8.

Retention of receipts and earnings.

9.

Administration of Fund.

10.

Revocation of L.N. 303/1996.

GOVERNMENT FINANCIAL MANAGEMENT (COMMUNITY DEVELOPMENT TRUST FUND) REGULATIONS, 2007
[L.N. 172/2007.]
1.
Citation

These Regulations may be cited as the Government Financial Management (Community Development Trust Fund) Regulations, 2007.

2.
Interpretation

In these Regulations, unless the context otherwise requires—

“financial agreement” means the final document and its annexures on the management of the Fund, signed between the Government of Kenya and the Commission of the European Union or between the Government of Kenya and any other person;

“final document” means a legally binding document drawn in accordance with the Lome Convention and the enhancements provided under a memorandum of understanding between the Government of Kenya and the Commission of the European Union, on the National Indicative Program of Kenya or between the Government of Kenya and any other person;

“financial year” means the period of twelve months ending on the 30th June in each year;

“Founders” means the Government of Kenya and the Commission of the European Union;

“Fund” means the Community Development Trust Fund established under regulation 3;

“Lome Convention” means the Trade and Aid Agreement between the European Union and the African, Caribbean and Pacific Countries, first signed in February 1975 in Lome, Togo and any annexes and protocols thereto;

“officer administrating the Fund” means the accounting officer of the Ministry of the time being responsible for matters relating to the Fund;

“Project Management Unit” means the team responsible for the day-to-day operations of the Fund, recruited by the Trustees;

“rules and regulations” means the rules and regulations governing the operations of the Fund;

“Trustee” means a person entrusted and jointly appointed by the Founders to operate the Fund.

3.
Establishment of the Fund
(1)

There shall be a Fund known as the Community Development Trust Fund.

(2)

The Fund shall be the successor to the Community Development Trust Fund established under the Exchequer and Audit (Community Trust Fund) Regulations, 1996. (L.N. 303/1996).

(3)

Subject to these Regulations, all rights, duties and obligations of the Community Development Trust Fund existing at the commencement of these Regulations shall be transferred to the Fund and any reference to the Community Development Trust Fund in a contract or document shall, for all purposes be deemed to be a reference to the Fund established under subsection (1).

(4)

The Fund shall consist of—

(a)

monies appropriated by Parliament for that purpose;

(b)

grants or donations made to the Fund; or

(c)

any monies from any other source provided for, lent or donated to the Fund.

4.
Object and purpose of the Fund

The object and purpose of the Fund is to provide funds for development projects addressing basic needs of communities and individuals in Kenya.

5.
Surplus and deficient funds
(1)

Any surplus funds realized in a financial year from the operations of the Fund shall be retained in a reserve account of the Fund and shall be used by the Trustees for the purpose of the Fund.

(2)

Any deficiency realized in a financial year shall, subject to the prior approval of the Treasury, be offset against the realized surplus held in the reserve account of the Fund.

6.
Annual approval of the budget
(1)

The expenditure on development projects shall be paid from the Fund and shall be on the basis of, and limited to, the annual work programs and cost estimates.

(2)

The Project Management Unit shall submit to the Trustees, the annual work program and cost estimates relate.

(3)

Any revision of the approved annual work program and cost estimates shall be referred to the Trustees for fresh approval.

7.
Procurement of goods and services

The Lome Convention in force and any other financial agreement shall govern the procurement of goods and services and the regulations and procedures on procurement of goods and services shall be adhered to.

8.
Retention of receipts and earnings

All receipts, earnings and accruals of the Fund and the Balance of the Fund at the close of each financial year shall not be paid into the Consolidated Fund but shall be retained in a reserve account for the purposes of the Fund.

9.
Administration of Fund

The officer administering the Fund shall—

(a)

supervise and control the administration of the Fund;

(b)

consult with the Trustees on matters relating to the administration of the Fund;

(c)

impose conditions on the use of any expenditure authorized by him on his own behalf, and may impose any reasonable restriction or other requirement concerning use of expenditure;

(d)

cause to be kept proper books of account and other books and records relating to the Fund; and

(e)

prepare, sign and transmit to the Controller and Auditor-General within three months after the end of each financial year, a statement of accounts relating to the Fund for that year, in such form as the Treasury may direct.

10.
Revocation of L.N. 303/1996

The Exchequer and Audit (Community Development Trust Fund) Regulations, 1996 is revoked.

GOVERNMENT FINANCIAL MANAGEMENT (KENYA ENERGY-SECTOR ENVIRONMENT AND SOCIAL RESPONSIBILITY PROGRAMME FUND) REGULATIONS, 2007

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of the Fund.

5.

Payments out of the Fund.

6.

Expenditure on the Fund.

7.

Retention of receipts and earnings.

8.

Application of financial and procurement regulations.

9.

Administration of the Fund.

10.

Closure of the Fund.

GOVERNMENT FINANCIAL MANAGEMENT (KENYA ENERGY-SECTOR ENVIRONMENT AND SOCIAL RESPONSIBILITY PROGRAMME FUND) REGULATIONS, 2007
[L.N. 188/2007.]
1.
Citation

These Regulations may be cited as the Government Financial Management (Kenya Energy-sector Environment and Social Responsibility Programme Fund) Regulations, 2007.

2.
Interpretation

In these Regulations, unless the context otherwise requires—

“financial year” means the period of twelve months ending on the 30th June in each year;

“Fund” means the Kenya Energy-sector Environment and Social Responsibility Programme Fund established under regulation 3; and

“officer administering the Fund” means the Permanent Secretary of the Ministry for the time being responsible for matters relating to Energy.

3.
Establishment of the Fund
(1)

There is hereby established a Fund to be known as the Kenya Energy-sector Environment and Social Responsibility Programme Fund.

(2)

The Fund shall consist of—

(a)

monies appropriated by Parliament;

(b)

contributions from—

(i) Kenya Petroleum Refineries Limited;
(ii) Kenya Power and Lighting Company Limited;
(iii) Kenya Electricity Generating Company Limited (KENGEN);
(iv) Kenya Pipeline Company Limited;
(v) National Oil Corporation of Kenya Limited;
(vi) Electricity Regulatory Commission;
(c)

grants and donations;

(d)

income generated from the proceeds of the Fund.

4.
Object and purpose of the Fund

The object and purpose of the Fund is to finance activities relating to—

(a)

the production of wood fuel, power distribution poles and energy crops for production of bio-fuels; and

(b)

growing of trees in order to conserve soil and preserve catchment areas for hydro-power dams, including provision of a sink for carbon dioxide generated through combustion of fossil fuels.

5.
Payments out of the Fund

There shall be paid out of the Fund payments in respect of any expenses incurred in pursuance of the object and purpose for which the Fund is established.

6.
Expenditure on the Fund

The expenditure incurred on the Fund shall be on the basis of, and limited to, annual work programmes and cost estimates which shall be prepared by the officer administering the Fund at the beginning of the financial year to which they relate.

7.
Retention of receipts and earnings

All receipts, earnings and accruals to the Fund, and the balance of the Fund at the close of each financial year shall be retained by the Fund for purposes for which the Fund is established.

8.
Application of financial and procurement regulations

Existing Government financial and procurement regulations and procedures shall apply in the administration of the Fund.

9.
Administration of the Fund
(1)

The officer administering the Fund shall—

(a)

open and operate a bank account at a bank to be approved by the Minister for the time being responsible for finance into which all the monies due to the Fund shall be paid;

(b)

supervise and monitor expenditures to ensure compliance with approved annual budgets;

(c)

cause to be kept books of accounts and other books and records in relation to the Fund of all activities and undertakings financed from the Fund;

(d)

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 accounts relating to the Fund and showing the expenditure incurred from the Fund, and such details as the Minister for the time being responsible for Finance may from time to time direct, in accordance with the provisions of the Public Audit Act, 2003 (No. 12 of 2003); and

(e)

furnish such additional information as he may deem to be 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, 2003 (No. 12 of 2003).

(2)

Every statement of account shall include details of the balance between the assets and liabilities of the Fund, and shall indicate the financial status of the Fund as at the end of the financial year concerned.

10.
Closure of the Fund

In the event of winding-up of the Fund, the cash balances shall be transferred to the Exchequer while other assets of the Fund shall be transferred to the Government.

GOVERNMENT FINANCIAL MANAGEMENT (HEALTH SECTOR SERVICES FUND) REGULATIONS, 2007

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

The objects and purposes of the Fund.

5.

Health Facilities Management Committees.

6.

National Health Services Committee.

7.

Functions of National Committee.

8.

Fees.

9.

Application of the financial and procurement regulations.

10.

Administration of the Fund.

11.

Winding up of the Fund.

12.

Revocation of L.N. 268/1990.

SCHEDULE —

COMPOSITION AND FUNCTIONS OF HEALTH FACILITIES MANAGEMENT COMMITTEES

GOVERNMENT FINANCIAL MANAGEMENT (HEALTH SECTOR SERVICES FUND) REGULATIONS, 2007
[L.N. 401/2007, L.N. 79/2009.]
1.
Citation

These Regulations may be cited as the Government Financial Management (Health Sector Services Fund) Regulations, 2007.

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 the Health Sector Services Fund established under regulation 3;

“health facility” means a health centre, dispensary or a nursing home and includes the equivalent registered faith based health facilities;

“Minister” means the Minister for the time being responsible for Public Health and Sanitation;

“National Committee” means the Committee established under regulation 6;

“officer administering the Fund” means the accounting officer of the ministry for the time being responsible for Public Health and Sanitation;

“user charges” means cost-sharing charges.
[L.N. 79/2009, r. 2.]

3.
Establishment of the Fund
(1)

There is hereby established a Fund to be known as the Health Sector Services Fund.

(2)

The Fund shall consist of—

(a)

Monies appropriated by Parliament for that purpose;

(b)

Grants or donations made;

(c)

Monies received as user charges;

(d)

Income generated from the proceeds of the Fund.

(3)

There shall be paid out of the Fund payments in respect of any expenses incurred in pursuance of the object and purpose for which the Fund is established.

(4)

Any expenditure incurred by a health facility on the Fund shall be on the basis of, and limited to, the annual allocation and the Authority to incur Expenditure.

(5)

The receipts, earnings, accruals and the balance of the Fund at the close of each financial year shall not be paid into the Consolidated Fund but shall be retained for the purpose for which the Fund is established.

4.
The objects and purposes of the Fund

The objects and purposes of the Fund are to—

(a)

provide financial resources for medical supplies, rehabilitation and equipment of health facilities in the country;

(b)

support capacity building in management of health facilities;

(c)

support and empower rural communities to take charge of improving their own health;

(d)

provide grants for strengthening of the faith based health facilities through their respective secretariats; and

(e)

improve the quality of health care services in the health facilities.

5.
Health Facilities Management Committees
(1)

There are established Health Centre and Dispensary Management Committees whose composition and functions are specified in the Schedule.

(2)

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

[L.N. 79/2009, r. 3(1).]

6.
National Health Services Committee
(1)

There is hereby established a National Committee to be known as the National Health 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 Public Health and Sanitation or his representative duly nominated by him in writing;

(c)

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

(d)

the Director of Public Health and Sanitation, who shall be the Secretary; and

(e)

three persons appointed by the Minister, of whom two shall be women 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 health care delivery management;
(iii) one who shall be appointed by virtue of his expertise and experience as a medical practitioner; and
(iv) one who shall be nominated by Health Non-Governmental Organisations Network.
(f)

A maximum of three other persons as the Committee may deem

(3)

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

(a)

holds a university degree; and

(b)

has at least five years experience in financial, business or economic management.

(4)

The quorum at any meeting of the Committee shall be five members and the Committee shall meet four times in each financial year.

[L.N. 79/2009, r. 4.]

7.
Functions of National Committee

The National Committee shall—

(a)

approve the work plans prepared by a health facility;

(b)

ensure equitable distribution of resources to the health facilities; and

(c)

review and approve annual expenditure statements of the health facilities.

7A.

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

[L.N. 79/2009, r. 5.]

8.
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.

9.
Application of the financial and procurement regulations

The existing Government financial and procurement regulations and procedures shall apply in the administration of the Fund.

10.
Administration of the Fund

The officer administering the Fund shall—

(a)

supervise and control the administration of the Fund;

(b)

open and operate a bank account at a bank approved by the Minister for the time being responsible for finance;

(c)

develop a criteria for the allocation of funds for approval by the National Committee;

(d)

prepare annual distribution of resources to facilities;

(e)

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

(f)

institute prudent measures for the proper utilization for monies deposited in the Fund using suitable internal controls and appropriate mechanisms 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;

(h)

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);

(i)

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).

11.
Winding up of the Fund

In the event of winding up of the Fund, 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 for matters relating to Public Health and Sanitation.

[L.N. 79/2009, r. 6.]

12.
Revocation of L.N. 268/1990
(1)

The Exchequer and Audit (Health Care Services Fund) Regulations, 1990 are revoked.

(2)

On coming into operation of these Regulations, all the assets and liabilities of the Health Care Services Fund existing under the Exchequer and Audit (Health Care Services Fund) Regulations, 1990 shall be transferred to and vest in the Fund.

SCHEDULE
[Rule 5, L.N. 79/2009, r. 7.]
COMPOSITION AND FUNCTIONS OF HEALTH FACILITIES MANAGEMENT COMMITTEES

Health Centre and Dispensary Health Facilities Management Committees:

1.

The total membership of each committee shall be at least seven and not more than nine members.

2.

(1) Each Committee shall consist of—

(a)

a representative from the provincial administration in the area of jurisdiction;

(b)

the person in charge of the health facility who shall be the secretary;

(c)

the District Medical Officer of Health or his representative duly nominated by him in writing;

(d)

the person in charge of the local authority health facilities or the area councilor; and

(e)

the following persons, who shall be residents of the area of jurisdiction, appointed by the Minister or any other person authorized by him in writing—

(i) one person who shall have knowledge and experience in finance and administration; and
(ii) four persons of whom three shall be women.
(2)

Each committee shall appoint a chairman, who shall not be an ex officio, from among its members.

(3)

A member of a committee, apart from the ex officio, shall hold office for a period of three years and shall be eligible for re-appointment for one further term.

(4)

A committee may, if necessary, appoint sub-committees that shall carry out specific functions.

(5)

A committee shall meet at least four times a year and shall maintain records of its deliberations.

(6)

The quorum for the meeting of a committee shall be five of all the members including the secretary.

(7)

A committee shall be responsible to the officer administering the Fund.

3.
Each committee shall—
(a)

supervise and control the administration of the funds allocated to the facilities;

(b)

open and operate a bank account at a bank to be approved by the Minister for the time being responsible for finance;

(c)

prepare work plans based on estimated expenditures;

(d)

cause to be kept basic books of accounts and records of accounts of the income, expenditure, assets and liabilities of the facility as prescribed by the officer administering the Fund;

(e)

prepare and submit certified periodic financial and performance reports as prescribed; and

(f)

cause to be kept a permanent record of all its deliberation’s.

GOVERNMENT FINANCIAL MANAGEMENT (HUMANITARIAN FUND FOR MITIGATION OF EFFECTS AND RESETTLEMENT OF VICTIMS OF POST-2007 ELECTION VIOLENCE) REGULATIONS, 2008
[L.N. 11/2008, L.N. 17/2008.]
1.

These Regulations may be cited as the Government Financial Management (Humanitarian Fund for Mitigation of Effects and Resettlement of Victims of Post-2007 Election Violence) Regulations, 2008.

2.

In these Regulations, unless the context otherwise requires—

“Board” means the Advisory Board constituted under regulation 6;

“Fund” means the Humanitarian Fund for Mitigation of Effects and Resettlement of Victims of Post-2007 Election Violence established under regulation 3;

“Minister” means the Minister for the time being responsible for Special Programmes; and

“victim” means a person adversely affected by the post-2007 election violence as the Board may determine.

3.

(1) There is hereby established a Fund to be known as the Humanitarian Fund for Mitigation of Effects and Resettlement of Victims of Post-2007 Election Violence.

(2)

The object and purpose of the Fund is to provide ex gratia funding for—

(a)

the resettlement of persons displaced as a result of post-2007 election violence;

(b)

the replacement of basic household effects destroyed as a result of post-2007 election violence;

(c)

enabling the victims of the post-2007 election violence to restart their basic livelihood;

(d)

the reconstruction of basic housing, rehabilitation of community utilities and institutions destroyed as a result of post-2007 election violence.

4.

The Fund shall consist of—

(a)

monies appropriated by Parliament;

(b)

grants and donations.

5.

The initial capital of the Fund shall be KShs. 1 billion.

6.
(1)

There is hereby established a Board to be known as the Advisory Board which shall consist of—

(a)

the Permanent Secretary of the Ministry for the time being responsible for Special Programmes;

(b)

the Permanent Secretary of the Ministry for the time being responsible for Finance;

(c)

the Permanent Secretary of the Ministry for the time being responsible for Lands; and

(d)

six other persons appointed by the President, one of whom shall be the Chairperson.

[L.N. 17/2008, s. 2.]

(2)

The Board shall—

(a)

report to the Minister for the time being responsible for Special Programmes;

(b)

advise the Minister generally for the effective operations of the Fund.

7.

The expenditure incurred on the Fund shall be on the basis of work programmes and cost estimates which shall be prepared by the Permanent Secretary of the Ministry for the time being responsible for Special Programmes in consultation with the Board.

8.

(1) The Permanent Secretary of the Ministry for the time being responsible for Special Programmes shall—

(a)

open and operate a bank account at a bank to be approved by the Treasury;

(b)

supervise and control the administration of the Fund;

(c)

consult with the Board on matters relating to the administration of the Fund;

(d)

cause to be kept books of accounts and other books and records in relation to the Fund of all activities and undertakings financed from the Fund;

(e)

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 accounts relating to the Fund and showing the expenditure incurred from the Fund, and such details as the Minister for the time being responsible for Finance may from time to time direct, in accordance with the provisions of the Public Audit Act (No. 12 of 2003); and

(f)

furnish such additional information as he may deem to be 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).

(2)

Every statement of account shall include details of the balance between the assets and liabilities of the Fund, and shall indicate the financial status of the Fund as at the end of the financial year concerned.

9.

Existing Government financial, audit and procurement regulations and procedures shall apply in the administration of the Fund.

10.

In the event of winding up of the Fund, the cash balances shall be transferred to the Exchequer while other assets of the Fund shall be transferred to the Government.

GOVERNMENT FINANCIAL MANAGEMENT (PARLIAMENT MORTGAGES SCHEME FUND) REGULATIONS, 2008
[L.N. 46/2008, L.N. 162/2011.]

Repealed by L.N. 67/2013, r. 21.

GOVERNMENT FINANCIAL MANAGEMENT (LIVESTOCK RESTOCKING AND ENTERPRISES DEVELOPMENT FUND) REGULATIONS, 2009

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of the Fund.

5.

Capital of the Fund.

6.

Establishment and composition of the Board.

7.

Duties of the Board.

8.

Expenditure on the Fund.

9.

Retention of receipts and earnings.

10.

Application of the financial and procurement regulations.

11.

Administration of the Fund.

12.

Winding-up of Fund.

GOVERNMENT FINANCIAL MANAGEMENT (LIVESTOCK RESTOCKING AND ENTERPRISES DEVELOPMENT FUND) REGULATIONS, 2009
[L.N. 58/2009, L.N. 148/2012.]
1.
Citation

These Regulations may be cited as the Government Financial Management (Livestock Restocking and Enterprises Development Fund) Regulations, 2009.

2.
Interpretation

In these regulations, unless the context otherwise requires—

“Board” means the Supervisory Board Constituted under regulation 6;

“Enterprise” means business ventures dealing in production, processing and marketing of livestock and livestock products;

“financial year” means the period of twelve months ending on the 30th June in each year;

“Fund” means the Livestock restocking and Enterprises Development Fund established under regulation 3;

“Minister” means the Minister for the time being responsible for livestock development;

“officer administering the Fund” means the Permanent Secretary of the Ministry for the time being responsible for livestock development;

“pastoral and agro-pastoral communities” means communities residing in the Arid and Semi-Arid Lands of Kenya whose main source of livelihood is livestock rearing;

“Restocking” means restoring livestock ownership where they have been lost through disaster.

3.
Establishment of the Fund
(1)

There is established a Fund to be known as the Livestock Restocking and Enterprises Development Fund.

(2)

The Fund shall consist of—

(a)

monies appropriated by parliament;

(b)

grants and donations;

(c)

income generated from the proceeds of the Fund.

4.
Object and purpose of the Fund

The object and purpose of the Fund is to provide—

(a)

grants to livestock producers for emergency interventions;

(b)

loans to livestock producers and pastoralists for restocking after losses occasioned by calamities;

(c)

loans to Medium and Small Enterprises dealing in livestock and livestock products; and

(d)

credit facilities for livestock related micro-enterprises in pastoral and agro-pastoral areas.

5.
Capital of the Fund

The initial capital of the Fund shall be two hundred million shillings appropriated by Parliament and additional contributions shall be on the basis of approved estimates.

6.
Establishment and composition of the Board

There is established a Board to be known as the Supervisory Board which 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 finance;

(c)

the Permanent Secretary of the Ministry for the time being responsible for Provincial Administration and Internal Security;

(d)

the Permanent Secretary of the Ministry for the time being responsible for Agriculture;

(e)

the Director of Veterinary Services;

(f)

five persons appointed by the Minister, two of whom shall be women, not being public officers and who shall have knowledge and experience in livestock management, range management, conflict management and the general political economy of livestock management Arid and Semi-Arid Lands;

(g)

the Director of Livestock Production, who shall be the Secretary.

[L.N. 148/2012, s. 2.]

7.
Duties of the Board

The Board shall—

(a)

through selection procedure, appoint Credit and Loans; Implementing Agencies under the Fund, from a network of qualifying institutions, thereafter referred to as financial intermediaries;

(b)

determine how much money is to be given out to each financial intermediary to be used as the basic credit or loan fund and the amount of agency fee to be paid to the financial intermediary;

(c)

manage the Fund and advise the Minister generally on the operation of the Fund.

8.
Expenditure on the Fund
(1)

The expenditure incurred on the Fund shall be on the basis of, and limited to, annual work programmes and cost estimates which shall be prepared by the officer administering the Fund, and approved by the Board, at the beginning of the financial year to which they relate.

(2)

Any revision of the approved annual work programmes, and of any cost estimates, shall be referred to the Board for approval.

9.
Retention of receipts and earnings

All receipts, earnings and accruals to the Fund, and the balance of the Fund at the close of each financial year shall be retained by the Fund for the purpose for which it is established.

10.
Application of the financial and procurement regulations
(1)

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)

supervise and control the administration of the Fund;

(b)

consult with the Supervisory Board on matters relating to the administration of the Fund;

(c)

cause to be kept books of accounts and other books and records in relation to the Fund of all activities and undertakings financed from the Fund;

(d)

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 accounts relating to the Fund. The statement shall be prepared in such a manner as the Treasury shall prescribe;

(e)

furnish such additional information as he may deem to be 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).

12.
Winding-up of Fund

In the event of winding up the Fund, 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 for livestock development.

GOVERNMENT FINANCIAL MANAGEMENT (HOSPITAL MANAGEMENT SERVICES) REGULATIONS, 2009

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Hospital Management Services.

4.

The objects and purposes of the Fund.

5.

Health Facilities Management Committees.

6.

National Hospital Services Committee.

7.

Functions of National Committee.

8.

Delegation of functions.

9.

Fees.

10.

Application of the financial and procurement regulations.

11.

Administration of the Fund.

12.

Winding up of the Fund.

SCHEDULE —

COMPOSITION AND FUNCTIONS OF HOSPITAL MANAGEMENT COMMITTEES PROVINCIAL HOSPITAL MANAGEMENT COMMITTEE

GOVERNMENT FINANCIAL MANAGEMENT (HOSPITAL MANAGEMENT SERVICES) REGULATIONS, 2009
[L.N. 155/2009.]
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

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;

(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.

SCHEDULE
[Rule 5.]
COMPOSITION AND FUNCTIONS OF HOSPITAL MANAGEMENT COMMITTEES PROVINCIAL HOSPITAL MANAGEMENT COMMITTEE
1.
Membership

The total membership of the Committee shall be at least seven and not more than nine members.

2.
Composition
(1)

The Committee shall consist of—

(a)

a chairman nominated by members of the Committee from among themselves and appointed by the Minister;

(b)

the area Provincial Commissioner or his representative duly nominated by him in writing;

(c)

the area Provincial Director of Medical Services or his representative duly nominated by him in writing;

(d)

the person in charge of a provincial hospital who shall be the secretary;

(e)

the person in charge of a local authority provincial hospital or its equivalent; and

(f)

the following persons, who shall be residents of the area of jurisdiction, appointed by the Minister—

(i) one person who shall have knowledge and experience in finance and administration matters;
(ii) one person nominated by women groups;
(iii) one person nominated by the Faith Based Organizations; and
(iv) not more than two persons nominated by recognized Community Based Development Organizations of whom one shall be a woman.
(2)

A person shall not be appointed as a member of the Committee under item (f) unless that person holds at least O-level certificate of education or its equivalent.

(3)

A member of the Committee, apart from the ex officio, shall hold office for a period of three years and shall be eligible for appointment for one further term.

(4)

The Committee shall meet four times a year and shall maintain records of its deliberations.

(5)

The quorum for the meeting of the Committee shall be five of all the members including the secretary.

(6)

The Committee shall be responsible to the officer administering the Fund.

3.
Functions of the Committee

The Committee shall—

(a)

supervise and control the administration of the funds allocated to a provincial hospital;

(b)

open and operate a bank account at a bank to be approved by the Minister for the time being responsible for finance;

(c)

prepare work plans based on estimated expenditures;

(d)

cause to be kept basic books of accounts and records of accounts of the income, expenditure, assets and liabilities of a provincial hospital as prescribed by the officer administering the Fund;

(e)

prepare and submit certified periodic financial and performance reports as prescribed; and

(f)

cause to be kept a permanent record of all its deliberations.

DISTRICT OR SUB-DISTRICT HOSPITAL MANAGEMENT COMMITTEE

4.
Membership

The total membership of the Committee shall be at least seven and not more than nine members.

5.
Composition
(1)

The Committee shall consist of—

(a)

a chairman nominated by the Committee from among themselves and appointed by the Minister;

(b)

the area District Commissioner or his representative duly nominated by him in writing;

(c)

the District Medical Services Officer or his representative duly nominated by him in writing;

(d)

the person in charge of a district or sub-district hospital, who shall be the secretary;

(e)

the person in charge of the local authority district or sub-district hospital or its equivalent; and

(f)

the following persons, who shall be residents of the area of jurisdiction, appointed by the Minister—

(i) one person who shall have knowledge and experience in finance and administration matters;
(ii) one person nominated by women groups;
(iii) one person nominated by the Faith Based Organizations.
(iv) not more than two persons nominated by recognized Community Based Development Organizations of whom one shall be a woman.
(2)

A person shall not be appointed as a member of the Committee under item (f) unless that person holds at least O-level certificate of education or its equivalent.

(3)

A member of the Committee, apart from the ex officio, shall hold office for a period of three years and shall be eligible for reappointment for one further term.

(4)

The Committee shall meet four times a year and shall maintain records of its deliberations.

(5)

The quorum for the meeting of the Committee shall be five of all the members including the secretary.

(6)

The Committee shall be responsible to the officer administering the Fund.

6.
Functions of Committee

The Committee shall—

(a)

supervise and control the administration of the funds allocated to a district or sub-district hospital;

(b)

open and operate a bank account at a bank to be approved by the Minister for the time being responsible for finance;

(c)

prepare work plans based on estimated expenditures;

(d)

cause to be kept basic books of accounts and records of accounts of the income, expenditure, assets and liabilities of a district or sub-district hospital as prescribed by the officer administering the Fund;

(e)

prepare and submit certified periodic financial and

(f)

performance reports as prescribed; and

(g)

cause to be kept a permanent record of all its deliberations.

FISCAL MANAGEMENT REGULATIONS, 2009

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Sensitization of public officers.

4.

Preparation of budget policy statement, etc.

5.

Inclusion of action taken on audit recommendations in Treasury report.

6.

Preparation of the annual budget by public entities.

7.

Forms for the publication of monthly revenues and net exchequer issues.

8.

Form and content of compliance report.

9.

Criteria to determine proportion of vote on account to be withheld, etc.

10.

Cases not covered by Regulations.

SCHEDULE —

FORMS

FISCAL MANAGEMENT REGULATIONS, 2009
[L.N. 163/2009.]
1.
Citation

These Regulations may be cited as the Fiscal Management Regulations, 2009.

2.
Interpretation

In these Regulations, unless the context otherwise requires “accounting officer” has the meaning assigned thereto in the Government Financial Management Act, 2004 (No. 5 of 2004).

3.
Sensitization of public officers

Every accounting officer shall bring to the attention of every public officer working under him, the provisions of the Act and these Regulations regarding the principles and practice of prudent financial management.

4.
Preparation of budget policy statement, etc.

The Treasury shall not later than 1st September in every year, issue a circular providing guidelines on the budget preparation and the calendar that leads to the budget policy statement and annual estimates in respect of the ensuing financial year.

5.
Inclusion of action taken on audit recommendations in Treasury report
(1)

Where the audit recommendations made by the National Assembly under section 9(2) of the Act have been received by the Treasury after 31st December of the preceding calendar year, the Treasury may not include a report on the implementation of the recommendations in the immediate Treasury report but shall include it in the subsequent report.

(2)

Every accounting officer shall, within thirty days after every quarter of the financial year, submit to the Treasury a report on the action taken to implement the audit recommendations made by the National Assembly.

6.
Preparation of the annual budget by public entities
(1)

Every public entity shall, by the 28th February each year, prepare its budget and submit it to its parent Ministry in form FMR-I set out in Schedule.

(2)

A parent Ministry may, as long as the substance of the form relating to revenue and expenditure prescribed in the form is included, modify form FMR-I submitted by a public entity falling under its mandate.

(3)

A parent Ministry shall keep a detailed budget in each public entity falling under its mandate.

7.
Forms for the publication of monthly revenues and net exchequer issues

For purposes of section 13 of the Act—

(a)

the actual monthly revenue shall be published in form FMR-II set out in the Schedule; and

(b)

the net exchequer issues shall be published in form FMR-III set out in the Schedule.

8.
Form and content of compliance report

The Minister shall prepare the compliance report required under section 14(1) of the Act, in the form of a quarterly economic and budgetary review which shall contain the contents provided in section 14(3) and 14(4) of the Act, within forty-five days after every quarter of the financial year.

9.
Criteria to determine proportion of vote on account to be withheld, etc
(1)

If the National Assembly decides to withhold the vote on account of a department, the withholding of such vote on account shall remain in force until the department has complied with such conditions accompanying the withholding as the National Assembly may impose, to the satisfaction of the National Assembly.

(2)

If, at the time the Appropriation Act of a particular year comes into operation, there is failure to comply with such conditions as the National Assembly may impose under paragraph (1), the National Assembly shall invoke the provisions of section 16(2) of the Act regarding withholding of amounts from the department’s vote for the year as are commensurate to the amounts in the audit queries regarding the department, or such amount as the National Assembly may deem appropriate.

10.
Cases not covered by Regulations

Any case not covered by these Regulations shall be dealt with in accordance with such instructions as the Treasury may from time to time issue.

SCHEDULE

FMR-I: FORM OF BUDGET BY A PUBLIC ENTITY

FMR-II: FORM OF ACTUAL MONTHLY REVENUES

FMR-III: FORM OF NET EXCHEQUER ISSUES

GOVERNMENT FINANCIAL MANAGEMENT (WATER TOWERS CONSERVATION FUNDS) REGULATIONS, 2010

ARRANGEMENT OF REGULATIONS

1.

Citation.

2.

Interpretation.

3.

Establishment of the Fund.

4.

Object and purpose of the Fund.

5.

Initial Capital of the Fund.

6.

Establishment and composition of the National Management.

7.

Duties of the Committee.

8.

Expenditure on the Fund.

9.

Retention of receipts and earnings.

10.

Application of the financial and procurement procedures.

11.