Local Authorities Transfer Fund Act No 8of 1998 - as Plain Text by MWakili

LAWS OF KENYA LOCAL AUTHORITIES TRANSFER FUND ACT No.

8 of 1998 Revised Edition 2012 [1998] Published by the National Council for Law Reporting with the Authority of the Attorney-General www.kenyalaw.org [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund NO.

8 OF 1998 LOCAL AUTHORITIES TRANSFER FUND ACT ARRANGEMENT OF SECTIONS Section 1.

Short title.

2.

Interpretation.

3.

Establishment of Fund.

4.

Object and purpose of the Fund.

5.

Sources of the Fund.

6.

Payments out of the Fund.

7.

Surplus funds.

8.

Advisory Committee.

9.

Powers and functions of the officer administering the Fund.

10.

Regulations.

3 [Issue 1] [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund NO.

8 OF 1998 LOCAL AUTHORITIES TRANSFER FUND ACT [Date of assent: 31st December, 1998.] [Date of commencement: 10th June, 1999.] An Act of Parliament to provide for the establishment of a Local Authorities Transfer Fund, to provide for the sources, purposes and the administration of the Fund and for matters incidental thereto [L.N.

81/1999, Act No.

4 of 1999, Act No.

9 of 2000.] 1.

Short title This Act may be cited as the Local Authorities Transfer Fund Act, 1998.

2.

Interpretation In this Act, unless the context otherwise requires Advisory Committee means the Advisory Committee appointed under section 8; financial year means the period of twelve months ending on the 30th June in each year; Fund means the Local Authorities Transfer Fund established under section 3; local authority has the meaning assigned to it in section 2 of the Local Government Act (Cap.

265); Minister means the Minister for the time being responsible for matters relating to Finance; officer administering the Fund means the accounting officer of the Ministry for the time being responsible for matters relating to local authorities or an officer deputed in writing for that purpose pursuant to the provisions of section 3.

3.

Establishment of Fund There is established a Fund to be known as the Local Authorities Transfer Fund which shall be administered by the accounting officer of the Ministry for the time being responsible for matters relating to local authorities, or an officer of the rank of Deputy Secretary or above deputed by the Permanent Secretary to the Treasury in writing.

4.

Object and purpose of the Fund The object and purpose of the Fund shall be to facilitate the disbursement of the funds specified under section 5 to local authorities to supplement the financing of the services and facilities they are required to provide under the Local Government Act (Cap.

265).

5 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund 5.

Sources of the Fund (1) The initial capital of the Fund shall be two percent of all tax collected under the Income Tax Act (Cap.

470) during the 1999/2000 financial year.

(2) There shall be paid into the Fund in subsequent financial years, five percent of all tax collected under the Income Tax Act in the year or such other proportion of the said tax as the Minister may, with the approval of the National Assembly, from time to time, specify.

(3) The treasury shall open a special account for the Fund into which all Funds payable into the find pursuant to this section shall be credited.

[Act No.

4 of 1999, s.

106.] 6.

Payments out of the Fund (1) There shall be paid out of the Fund to local authorities, such amounts and in such manner as the Minister, on the advice of the Committee, may specify.

(2) The cost of administering the Fund shall not be charged to the Fund but shall form a charge against the respective vote of the Ministry for the time being responsible for matters relating to local authorities.

(3) Notwithstanding subsection (2), one half per centum (0.5%) of the contributions received by the Fund may be used for the following operational expenditure (a) dissemination of relevant information to local authorities; (b) monitoring of compliance by local authorities with Fund disbursement conditions; and (c) reporting by the Administrator on Fund activities.

[Act No.

9 of 2000, s.

126.] 7.

Surplus funds (1) All receipts, savings 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 for the purpose for which the Fund is established and any deficiency realised in any year shall, subject to the approval of the Treasury, be offset against the realised surplus.

(2) Any balance in the fund shall be held in Treasury securities except that portion of the balance the officer administering the funds considers necessary for meeting the disbursement requirements of the Fund, which shall be held on deposit in such banks as the Treasury shall, from time to time, approve.

[Act No.

4 of 1999, s.

107.] 8.

Advisory Committee There shall be an Advisory Committee to advise the Minister generally on the operations of the Fund which shall consist of (a) a chairman, not being a public officer, appointed by the Minister; (b) the officer administering the Fund; (c) the Director of Fiscal and Monetary Affairs in the Ministry of Finance or his representative; [Issue 1] 6 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund (d) the Director of Budgetary Supplies in the Ministry of Finance, or his representative; (e) the Accountant-General of the Ministry of Finance or his representative; (f) three persons appointed by the Permanent Secretary in the Ministry for the time being responsible for local authorities; (g) three persons, not being public officers, appointed by the Minister, in consultation with the Minister for the time being responsible for local authorities, by virtue of their knowledge or experience in matters relating to the development, financial or legal affairs of local authorities.

9.

Powers and functions of the officer administering the Fund The officer administering the Fund shall (a) supervise and control the administration of the Fund; (b) cause to be kept all proper books of accounts and other records relating to the Fund and to the various facilities and services financed from the Fund; and (c) prepare, sign and transmit to the Controller and Auditor-General, in respect of each financial year and within four months after the end thereof, a statement of accounts relating to the Fund specifying the income to the Fund and showing the expenditure incurred out of the Fund, in such detail and with such additional information as he may deem proper and sufficient for the purpose of examination and audit by the Controller and Auditor-General in accordance with section 18 (2) of the Exchequer and Audit Act and every statement of account shall include details of the balance between the assets and the liabilities of the Fund and reflect the true and fair financial status of the Fund as at the end of the financial year concerned.

10.

Regulations The Minister may, in consultation with the Minister for the time being responsible for matters relating to local authorities, make regulations generally for the better carrying out of the provisions of this Act and in particular but without prejudice to the generality of the foregoing, such regulations may provide for (a) the criteria for the disbursement of monies from the Fund to the various local authorities; (b) the procedure for appointment of the members of the Advisory Committee to be appointed under paragraphs (f) and (g) of section 8; (c) the meetings and procedure of the Advisory Committee.

7 [Issue 1] [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] NO.

8 OF 1998 LOCAL AUTHORITIES TRANSFER FUND ACT SUBSIDIARY LEGISLATION List of Subsidiary Legislation Page 1.

Local Authority Transfer Fund Regulations, 1999.

11 9 [Issue 1] [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] LOCAL AUTHORITY TRANSFER FUND REGULATIONS, 1999 ARRANGEMENT OF REGULATIONS PART I PRELIMINARY Regulation 1.

Citation.

2.

Interpretation.

PART II APPOINTMENT OF COMMITTEE MEMBERS 3.

Functions of the Advisory Committee.

4.

Co-opted members.

5.

Tenure of office.

6.

Vacation of office.

7.

Establishment of subcommittees.

8.

Remuneration of Committee members.

9.

Qualification of Committee members.

10.

Committee meetings.

PART III THE CRITERIA FOR DISBURSEMENT OF FUNDS 11.

General disbursement criteria.

12.

Funds Accounts.

13.

Distribution of Funds.

14.

Annual estimates.

15.

Publishing of disbursement criteria.

16.

Transitional payments.

17.

Qualification for funds.

18.

Payments of funds.

19.

Payment of debts.

PART IV POPULATION BASED DISBURSEMENT CRITERIA 20.

Criteria for allocation of funds.

21.

New criteria for allocation of funds.

PART V PERFORMANCE BASED DISBURSEMENT CRITERIA 22.

Performance based disbursements.

23.

Payments based on performance criteria.

24.

Hiring of consultants.

25.

Auditing of accounts.

26.

Carry forward of funds.

27.

Documents to meet performance criteria.

28.

Reporting requirements of authorities.

29.

Reporting requirements of Fund.

30.

Records maintained by Fund.

11 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] Regulation 31.

Reporting on Fund.

32.

Disbursement of Fund money.

SCHEDULE [Issue 1] 12 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] LOCAL AUTHORITY TRANSFER FUND REGULATIONS, 1999 [L.N.

142/1999, L.N.

5/2000, L.N.

44/2000, L.N.

108/2000, L.N.

57/2001, L.N.

83/2001, L.N.

57/2002, L.N.

38/2003, L.N.

22/2004, L.N.

23/2005, L.N.

17/2006, L.N.

53/2010.] PART I PRELIMINARY 1.

Citation These Regulations may be cited as the Local Authority Transfer Fund Regulations, 1999.

2.

Interpretation In these Regulations, unless the context otherwise requires Authority means a Local Authority established under the Local Government Act (Cap.

265); Chairman means the chairman of the Advisory Committee; Committee means the Advisory Committee; Council means a council of city, county, municipality, town or other local authority established under the Local Government Act (Cap.

265); Fund means Local Authority Transfer Fund.

PART II APPOINTMENT OF COMMITTEE MEMBERS 3.

Functions of the Advisory Committee The Committee on the Local Authority Transfer Fund established under section 8 of the Act shall advise the Minister on (a) the criteria for the disbursement of monies from the Fund to the local authorities; (b) the rules and procedures related to the disbursement and management of funds; (c) the funding needs to support the objectives of the Fund; and (d) all other issues related to the operation of the Fund.

4.

Co-opted members (1) The Committee may co-opt up to three members from outside the Committee whenever necessary with such knowledge or expertise in specific aspects of inter- governmental finance and local government affairs as the Committee may determine to be necessary to assist in carrying out the functions of the Committee.

(2) Such persons may be co-opted for specific assignments or for general purposes.

(3) The Chief Executive of the Association of Local Authority of Kenya and the Chairman of the Institute of Certified Public Accountants of Kenya shall be co-opted as members of the Committee.

(4) Co-opted members will not be voting members of the Committee.

5.

Tenure of office A member of the Committee other than an ex-officio member shall hold office for a period not exceeding three years, on such terms and conditions as may be specified by the Minister, but shall be eligible for re-appointment for one more term of a period not exceeding three years.

13 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] 6.

Vacation of office A member other than chairman or an ex officio member may (a) at any time resign from office by notice in writing to the Minister; (b) be removed from office by the Minister if the member (i) has been absent from three consecutive meetings of the Committee without permission from the chairman; or (ii) is adjudged bankrupt or enters into a composition scheme arrangement with his creditors; or (iii) is convicted of an offence involving dishonesty or fraud; or (iv) is convicted of a criminal offence and sentenced to imprisonment for a term not exceeding six months or to a fine exceeding ten thousand shillings; or (v) is incapacitated by prolonged physical or mental illness; or (vi) is otherwise unable or unfit to discharge his functions.

7.

Establishment of subcommittees (1) The Committee may appoint such subcommittees, as it may consider necessary for the performance of its functions under this Act.

(2) The Committee may co-opt onto a subcommittee up to three suitable persons, who may be persons employed in the public service to assist in carrying out the functions of the sub-committee.

8.

Remuneration of Committee members Members of the Committee shall be paid such remuneration or allowances as may be determined by the Minister and as provided for in the respective vote of the Ministry for the time being responsible for matters relating to local authorities.

9.

Qualification of Committee members (1) Committee members appointed under section 8(f) of the Act shall be officials at the level of Deputy Secretary or higher responsible for (a) the financial management and accounting of local authorities; (b) urban development and capital investment of local authorities; (c) co-ordinating the local government reform efforts of the Ministry.

(2) Committee members appointed under section 8(g) of the Act shall not be public officers and shall be experts with experience and knowledge in matters relating to the development, financial and legal affairs of local authorities.

10.

Committee meetings (1) The Committee shall meet at such times as the chairman may determine which shall be not less than once in every three months.

(2) The chairman shall preside at all meetings of the Committee at which he is present but in his absence, the members present shall appoint one of them who shall, for the purposes of that meeting and the business transacted thereat, have all the powers of the chairman.

(3) The Committee shall appoint a Secretary from amongst its members.

(4) Decisions at any meeting of the Committee shall be by a majority of the members present and voting and in the event of equality of voters, the chairman shall have a casting vote in addition to his deliberative vote.

[Issue 1] 14 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] (5) The quorum at any meeting of the Committee shall be five.

(6) Subject to paragraphs (4) and (5), the Committee shall regulate its own procedures.

(7) Ordinary meetings of the Committee shall be convened by at least fourteen days written notice to the members by the chairman.

(8) The chairman may, at his discretion, and shall at the written request of not less than four members of the Committee, and within seven days of such request, convene a special meeting of the Committee to transact any extraordinary business on a date specified in a written notice which shall be sent to the members at least three days prior to the date of the meeting.

(9) The minutes of every meeting of the Committee shall be recorded in a register by the Secretary of the Committee and confirmed at the next succeeding ordinary meeting, and a copy of the minutes shall be made available to the Ministers for the time being responsible for Finance and for local authorities.

PART III THE CRITERIA FOR DISBURSEMENT OF FUNDS 11.

General disbursement criteria (1) Disbursement from the Fund to all authorities shall be based on the disbursement criteria in these Regulations.

(2) The disbursements from the Fund shall be made directly to authorities and be utilised by the authorities to improve service delivery to the public, to improve financial management and accountability, and to reduce outstanding debts.

[L.N.

22/2004, s.

2.] 12.

Funds Accounts The Fund shall be divided into three accounts (a) service delivery account; (b) performance account; (c) transitional account; and (d) higher performance account.

[L.N.

53/2010, s.

2.] 13.

Distribution of Funds (1) Funds disbursed from the service delivery account shall be allocated to authorities on such payment date as the Minister may specify by notice in the Gazette published pursuant to regulation 15.

(2) Subject to any transitional adjustment specified in regulation 16, the share of the total funds received by the Fund that shall be deposited in the service delivery account shall be not less than sixty per centum, and the remainder shall be deposited in the performance account.

(3) The share specified in paragraph (2) shall be reviewed every three years from the commencement of operations of the Fund and changes shall be gazetted by the Minister.

[L.N.

83/2001, s.

2.] 15 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] 14.

Annual estimates (1) Except as provided for the paragraph (3), no authority shall receive any disbursement from the Fund in the financial year 2000/2001 unless it submits by 15th August, 2000 and fourteen or more days prior to the commencement of each subsequent financial year to the Ministry for the time being responsible for local authorities (a) annual estimates in accordance with section 212 of the Local Government Act (Cap.

265), approved by the Council of the local authority in such form as the Minister may prescribe; and (b) information sheets for all capital expenditure projects as specified in Forms 1A and 1B set out in the Schedule.

(2) Except in the financial year ending in the year 2000, the annual estimates shall include the estimated receipts and expenditures based on disbursements from the Fund.

(3) In the financial year ending in the year 2000, authorities shall submit by 15th March, 2000 a separate estimate to account for the receipt and expenditure of such amounts from the Fund, together with summary information on capital expenditure projects as specified in Form 2 set out in the Schedule.

(4) The documentation specified in this regulation shall be submitted to the Ministry for the time being responsible for Finance, and the Ministry for the time being responsible for local authorities, with copies to the applicable Provincial Local Government Officer, the Chief Finance Officer and the officer responsible for co-ordinating the local government reform efforts of the Ministry for the time being responsible for local authorities.

(4A) The documents referred to in this regulation shall be submitted in accordance therewith on or before the 31st March of each year, failing which approval for payment out of the Fund shall not be given.

(5) Local authorities which submit their budget estimates by 15th August, 2000, shall receive forty per centum of the service delivery and transitional account by 15th October, 2000.

[L.N.

5/2000, s.

2, L.N.

44/2000, s.

2, L.N.

108/2000, s.

2, L.N.

38 of 2003, s.

5, L.N.

23 of 2005, s.

2.] 15.

Publishing of disbursement criteria (1) In the financial year ending in the year 2000, the Minister shall by the 31st October, 1999, and by the 12th May, 2000 and by the 1st March in each subsequent year, publish in the Gazette the disbursement criteria, together with the amounts allocated to each local authority under each of the three accounts specified in regulation 12, and according to each of the factors used in the disbursement criteria.

(2) No funds shall be disbursed to any authority whether out of the service delivery account, the performance account or the transitional account, until the authority has complied with the provisions of regulations 14 and 27 relating to submission of documents, in addition to any other conditions relating to the accounts: Provided that where the documents specified are submitted (i) on or before the prescribed date, one hundred per cent of the amount gazetted under paragraph (1) shall be disbursed to the Authority; (ii) within thirty days after the prescribed date, eighty-five per cent of the amount gazetted shall be disbursed to the Authority; (iii) after the expiry of thirty days, but on or before the expiry of sixty days after the prescribed date sixty per cent of the amount gazetted shall be disbursed to the Authority, and no disbursement shall be made to an Authority where the documents are submitted after the expiry of more than sixty days after the prescribed date.

[Issue 1] 16 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] (3) Where circumstances beyond the control of an Authority are reasonably expected to delay the submission of the documents specified under regulations 14 and 27 within the prescribed time, the officer administering the Fund may, upon consultation with the Permanent Secretary in the Ministry for the time being responsible for matters relating to finance, extend by notice in the Gazette, the date for submission of the documents by up to forty-five days from the prescribed date.

(4) The Officer Administering the Fund shall take appropriate disciplinary action in accordance with the provisions of the Public Service Regulations for local authorities, or the Local Government Act (Cap.

265), as the case may be, against any officer of a local authority or councilor who is found to have caused delay in the submission of documents as required under subregulation (1).

[L.N.

44/2000, s.

3, L.N.

57/2001, s.

2, L.N.

53/2010, s.

3.] 16.

Transitional payments (1) Authorities for which the loss of revenue from the abolition of the local authority service charge might exceed the allocation they will receive under the Fund, shall receive a transitional payment from the transitional account.

(2) The amount allocated to an authority under the transitional account shall apply only for the years 2000/2001 and 2001/2002 and 2002/2003 and the amount in the latter years shall be less than the amount in the first year.

(3) The transitional amount shall be calculated based on the difference between the total amount allocated to that authority out of the service delivery account of the Fund and the amount actually collected by that authority under the local authority service charge in the financial year 1996/1997, as recorded in that authoritys budget document submitted to the Ministry for the time being responsible for local authorities or other official record of that Ministry received in or before the financial year 1998/1999.

[L.N.

57/2001, s.

2.] 17.

Qualification for funds (1) For the purposes of this regulation and regulations 18 and 19 capital expenditures include all expenditures on land, buildings, capital plant and equipment and parts thereof, and on capital services; capital services include any projects for construction, extension, expansion, rehabilitation, repair and maintenance of land, buildings, capital plant and equipment; personnel expenditures includes all salaries, wages, allowances and benefits paid to officers and councilors of an authority and all salaries, wages, allowances and benefits paid to any consultant or contractor other than a consultant or contractor providing capital services or a consultant or contractor providing services directly to the public under contract with the authority; statutory creditor means any person or institution to whom payments are due from a local authority under any written law; statutory charges include provident fund contributions, social security payments, taxes, duties and similar charges prescribed in any written law.

(2) To qualify for receipt of funds from the service delivery account an authority shall, through its budget submission specified in regulation 14 demonstrate that (a) at least sixty-five per centum of the allocation from the service delivery account of the Fund has been budgeted for capital expenditures; 17 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] (b) expenditure on personnel does not exceed fifty-five per centum of the total expenditure of that authority in the financial year 2006/2007, fifty per centum in the financial year 2007/2008, forty-five per centum in the financial years thereafter; (c) the authority has paid all statutory charges that became payable in the 2000/2001 financial or in a subsequent financial year up to and including the financial year immediately preceding the financial year for which the allocation is made.

(2A) The requirement in paragraph (2)(c) shall be deemed to be met if the total payments to a statutory creditor on or after 1st July, 2000 equal or exceed the statutory charges described in that paragraph, even if the creditor credits the payments towards other debts.

(3) Authorities in receipt of an additional allocation in respect of the level of poverty in their area, as determined under regulation 20, shall be required to indicate how those funds will be used to assist the poor in a format and by a date to be specified by the Minister.

(4) Where an authority is unable to meet any of the requirements specified in this regulation in any particular year, it shall provide a detailed written explanation.

[L.N.

38/2003, s.

4, L.N.

22/2004, s.

3, L.N.

17/2006, s.

2.] 18.

Payment of funds (1) On submission of the documents required under regulation 14, payment shall be made to the authority of the amount due to that authority from the service delivery account, without requiring prior verification or approval.

(2) The Officer administering the Fund shall verify that the information supplied is accurate and conforms to the requirements specified in regulation 18(3), and if the annual estimates, including the information required on capital expenditures, submitted by an authority do not conform to the requirements specified in regulation 17, or if the written explanations offered as to why the requirements have not been met are deemed to be unsatisfactory, the Officer administrating the Fund may require the authority to be unsatisfactory, the Officer administrating the Fund may require the authority to resubmit its estimates and, if the resubmitted estimates are still deemed to be unsatisfactory, then part or all of the payments of the service delivery account element for that year may be recovered from the subsequent years allocation: Provided that any request by the Officer administering the Fund for explanations or resubmission of the required documents shall be made before the 31st December of the financial year concerned.

(3) If the authority is dissatisfied with the decision of the Officer administering the Fund, it may appeal to the Committee, which shall consider the appeal and make its recommendations to the Minister, whose decision shall be final.

[L.N.

38/2003, s.

3.] 19.

Payment of debts (1) Starting in the 2009/2010 financial year, no amount shall be disbursed from the Fund to an Authority unless the Authority has paid all outstanding debts, described in paragraph (2), from previous years.

(2) The debts referred to in paragraph (1) are amounts owed to employees or councillors for salaries, allowances or other emoluments, including any amounts deducted from such salaries, allowances or other emoluments that the Authority is required to pay to a third party.

[L.N.

22/2004, s.

4.] [Issue 1] 18 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] PART IV POPULATION BASED DISBURSEMENT CRITERIA 20.

Criteria for allocation of funds (1) Allocation of disbursements from the service delivery account to authorities shall be based on the relative population of the authority, and any other objective criteria reflecting the service demand and responsibilities of an authority, that the Committee may recommend.

(2) The disbursement criteria in paragraph (1) may verify, amongst others, adjustments for (a) urban local authorities relative to rural local authorities; (b) minimum disbursement amounts; and (c) objective measures of relative poverty levels.

21.

New criteria for allocation of funds The Committee shall advise on new criteria at least once every three years or within one hundred and eighty days of the Central Bureau of Statistics publishing new population statistics, whichever is the sooner.

PART V PERFORMANCE BASED DISBURSEMENT CRITERIA 22.

Performance based disbursements (1) In each financial year, a portion of the Fund shall be reserved for payments that are conditional on performance criteria being met by each authority, which portion shall be equal to not less than thirty per centum of the total fund monies to be distributed in each financial year.

(2) The maximum amount available to each authority in return for meeting each performance criterion in each financial year shall be determined by the Minister, subject to the advice of the Committee, and published in accordance with regulation 15.

(3) Local authorities shall submit documentary evidence as specified in regulation 27.

(4) Failure by an authority to submit one or more documents required for a particular performance criterion shall be deemed to be failure to meet that performance criterion, and late submission of one or more documents required for a particular criterion shall be deemed to be failure to meet that criterion.

23.

Payments based on performance criteria (1) Where all performance criteria are met by an authority, then the maximum amount available to that Authority for that year, as determined by these Regulations, shall be payable on the next payment date, being such date as the Minister may specify by notice in the Gazette pursuant to regulation 15.

(2) Where one or more performance criteria are not met by an authority, the amount payable shall be reduced in respect of each criterion that is not met.

[L.N.

83/2001, s.

3.] 23A.

Payments out of the higher performance account (1) Allocation of funds to local authorities for disbursement from the higher performance account shall be based on the indicators of higher performance in the previous year as set out in subregulation (3) below.

(2) The amount to be allocated to the higher performance account shall be recommended to the Minister by the Committee in each financial year, subject to a maximum of five (5%) percent of the total Fund allocation for that financial year.

19 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] (3) To qualify for disbursement of funds from the higher performance account in any financial year, a local authority shall meet all the criteria prescribed for disbursement from the service delivery account and the performance accounts, and shall satisfy the committee that (a) more than seventy-five (75) percent by number and value of the projects budgeted in the previous financial year were completed within the same year; (b) the actual expenditure in the previous year on the civic and personnel expenses did not exceed the approved budget for such expenses by more than five (5) percent; (c) the actual revenue from local sources in the previous financial year was more than ninety (90) percent of the approved budget amount for that year; (d) the actual revenue from local sources in the previous financial year exceeded that of the year preceding it by ten (10) percent; (e) the local authority has a strategic plan which was updated in the previous year and is under implementation; and (f) the local authority has an unqualified external audit report for the previous financial year.

(4) Allocations from the higher performance account shall be applied in the implementation of capital projects identified through the Local Authorities Service Delivery Plan, in addition to the funds for such projects specified under regulation 17.

(5) A local authority may apply for the funds in respect of any of the criteria of th disbursement under subregulation (3) before the 15 January of every year to the Ministry for the time being responsible for local government and the application shall be accompanied by such documentary evidence in support thereof as may be specified by the Officer Administering the Fund.

(6) Where the application for disbursement of funds from the higher performance account is found to be fraudulent, the Officer Administering the Fund shall take the following action (a) if the fraud is discovered before the funds are disbursed, the funds shall not be disbursed, and a penalty of twenty per centum of the amount due to the local authority from the higher performance account shall be deducted in the financial year following the year in which the application is made; (b) if the fraud is discovered after the amount is disbursed, a penalty of twenty percent (20%) shall be deducted from the amount due to the local authority from the higher performance account in that financial year, and the total amount disbursed shall be recovered from the allocation on the performance account in the financial year following that in which the fraud is discovered; (c) the Officer Administering the Fund shall take disciplinary measures against the officers who certify the fraudulent claim in accordance with the provisions of the Local Government Act (Cap.

265) or the Public Service Regulations, as the case may be.

(7) The percentage of funds payable from the higher performance account in respect of each criterion shall be specified by the Minister by notice in the Gazette.

(8) The funds payable in respect of each criterion specified in subregulation (3) shall be shared among all the local authorities applying therefor and which fulfill the particular [Issue 1] 20 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] criterion, taking into account the total allocation to each respective local authority from the performance and service delivery accounts in the previous financial year: Provided that no local authority shall receive an allocation exceeding the percentage specified under subregulation (7) relative to its total allocation from the performance and service delivery accounts in the previous financial year.

[L.N.

53/2010, s.

4.] 24.

Hiring of consultants Local authorities may hire consultants to assist with preparation of the documents specified in regulation 27 in accordance with section 143 of the Local Government Act (Cap.

265).

25.

Auditing of accounts (1) The Controller and Auditor-General shall be responsible for auditing all accounts submitted by the local authorities.

(2) The authority audits shall be conducted either by the Controller and Auditor-General staff or by private sector auditors appointed by the Controller and Auditor-General, or selected by the local authority from a list of auditors approved by the Controller and Auditor- General.

(3) The Minister for the time being responsible for local authorities shall approve the use of private accountants where an authority requires their assistance to prepare accounts.

26.

Carry forward of funds Any amount not paid by virtue of failure to meet the performance criteria, or payments recovered by the Minister in the event of false, misleading or incomplete statements, shall be carried forward in the Fund to the next financial year for general distribution.

27.

Documents to meet performance criteria (1) For the financial year 1999/2000, documents concerning two performance criteria shall be submitted as specified in regulation 25 by 31st January, 2000, as follows (a) a statement of revenues, expenditures, cash and bank balance for the financial year 1998/1999, as specified in Form 3 set out in the Schedule which statement shall not be required to be audited or verified in advance of submission; (b) a statement of debtors and creditors as at 30th June, 1999, or any other specific date between 30th June and 31st January, 2000 which the authority may choose, as specified in Form 4 set out in the Schedule, together with a brief statement of the authoritys plans for paying its own debts within the subsequent three-year period.

(2) For the financial year 2000/2001, the documents concerning the four criteria shall be submitted by 15th February, 2001 in the case of subparagraphs (a) and (b), and by 1st April, 2001 in the case of subparagraphs (c) and (d) as follows (a) a statement of revenues, expenditures, cash and bank balances for the financial year 1999/2000, as specified in Form 3 ready to be duly certified as a true record by an auditor appointed under regulation 25; (b) a statement of debtors and creditors as at 30th June 2000, as specified in Form 4, together with a brief statement showing the authoritys progress in implementing the previous years plan for paying its own debts, certification 21 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] of the debt payments made in the 1999/2000 financial year and statement of the plan for debt repayment within the next two-year period, which shall be accompanied by statements signed by the creditors accepting the same; (c) a revenue enhancement plan for the year 2001/2002 showing the means by which the authority intends to enhance its policies and administration of revenues in Form 5 set out in the Schedule; (d) a statement specifying the number of businesses in each category of business specified in the current Circular relating to the Single Business Permit, together with the Gazette Notice specifying the tariff set for the Single Business Permit adopted by the Council for that year.

(3) For the financial year 2001/2002, the documents concerning four criteria shall be submitted by 30th September, 2001 in the case of subparagraphs (a)(i) and (b), and by 31st December, 2001 in the case of subparagraph (a)(ii) and by 28th February, 2002 for paragraphs (c) and (d) (a) (i) a statement of revenues, expenditures, cash and bank balances for the financial year 2000/2001, as specified in Form 3 ready to be duly certified as a true record by an auditor approved under regulation 25; (ii) submission of a full abstract of accounts for the financial year 1999/2000, as required under section 229 of the Local Government Act (Cap.

265) and Regulations issued under that Act, ready for auditing by the Controller and Auditor-General; (b) a statement of debtors and creditors as at 30th June, 2001, as specified in Form 4, together with a brief statement showing the authoritys progress in implementing the previous years plans for paying its own debts, and updating the plan for the coming year, which plan shall be accompanied by signed agreements by the statutory authorities to which payments are due that the plan is acceptable; (c) a revenue enhancement plan for the year 2002/2003 showing the progress with implementing the previous years revenue enhancement plan and updating the plan for the coming year to show how the authority intends to enhance its revenues in Form 5; (d) a Local Authority Annual Service Delivery Plan setting out the authoritys plans for improvement of local services for the year 2002/2003, in accord- ance with regulations issued by the Minister for the time being responsible for local authorities.

(4) For the financial year 2002/2003, the documents concerning the criteria set out in the following subparagraphs shall be submitted by the 30th September, 2002, in the case of the subparagraphs (a) and (b), the 31st December, 2002, in the case of subparagraph (c) and the 28th February, 2003, in the case of subparagraphs (d) and (e) as follows (a) a statement of revenues, expenditures, cash and bank balances for the financial year 2001/2002, as specified in Form 3, ready to be duly certified as a true record by an auditor appointed under regulation 25; (b) a statement of debtors and creditors as at 30th June, 2002, as specified in Form 4 together with (i) a brief statement of the authoritys progress in implementing the previous years plans for paying its own debts; (ii) certification of the debt repayments made in the year; (iii) a statement of its plans for repaying its debts within the next two year period, which shall be accompanied by agreements signed by the creditors accepting the plans; [Issue 1] 22 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] (c) submission of a full abstract of accounts for the 2000/2001 financial year as required under section 229 of the Local Government Act and the Regulations issued under that Act, ready for auditing by the Controller and Auditor-General; (d) a revenue enhancement plan for the financial year 2003/2004 showing the means by which the authority intends to enhance its policies and administration of revenues, in Form 5 set out in the Schedule; (e) a Local Authority Annual Service Delivery Action Plan (LASDAP) setting out the authoritys plans for improvement of local services for the year 2003/2004, in accordance with regulations issued by the Minister for the time being responsible for local authorities.

(5) (a) For the 2003/2004 financial year, the documents concerning the criteria specified in the subparagraphs set out in (b) hereunder shall be submitted as follows (i) in the case of subparagraphs (aa) and (bb) on or before the 30th September, 2003; (ii) in the case of subparagraph (cc), on or before the 31st December, 2003; and (iii) in the case of subparagraphs (dd) and (ee), on or before the 28th February, 2004.

(b) The subparagraphs referred to in (a) above are (aa) a statement of revenues, expenditures, cash and bank balances for the financial year 2002/2003, as specified in Form 3, ready to be duly certified as a true record by an auditor appointed under regulation 25; (bb) a statement of debtors and creditors as at 30th June, 2003 as specified in Form 4, together with (i) a brief statement of the authoritys progress in implementing the previous years plan for paying its own debts; (ii) certification of the debt repayments made in the year; (iii) a statement of its plan for repaying its debts within the next two-year period, which shall be accompanied by agreements signed by the creditors accepting the plan; (cc) a full abstract of accounts for the 2001/2002 financial year and for the 2002/2003 financial year as required under section 229 of the Local Government Act (Cap.

265) and the Regulations issued under that Act, ready for auditing by the Controller and Auditor-General; (dd) a revenue enhancement plan for the financial year 2004/2005 showing the means by which the authority intends to enhance its policies and administration of revenues, in Form 5 set out in the Schedule; (ee) a Local Authority Service Delivery Action Plan (LASDAP) setting out the authoritys plans for improvement of local services for the year 2004/2005.

(6) For each financial year (referred to as the current financial year in this paragraph and in paragraph (7)) after the 2003/2004 financial, an Authority shall submit the following documents (a) a statement of revenues, expenditure, cash and bank balances for the financial year immediately preceding the current financial year, as specified in Form 3 of the Schedule, ready to be duly certified as true record by an auditor appointed under regulation 25; 23 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] (b) a statement of debtors and creditors as at 30th June immediately preceding the current financial year, as specified in Form 4 of the Schedule, together with (i) a brief statement of the Authoritys progress in implementing the previous years plans for paying its debts; (ii) certification of the debt repayments made in the financial year immediately preceding the current financial year; and (iii) a statement of the Authoritys plan for reducing its debts over the two- year period consisting of the current financial year and the immediately following financial year; (c) a full abstract of accounts of the Authority for the financial year immediately preceding the current financial year, ready for auditing by the Controller and Auditor-General; (d) a revenue enhancement plan for the financial year immediately following the current financial year, in Form 5 of the Schedule, showing the means by which the Authority intends to enhance its policies and administration of revenues; and (e) a Local Authority Annual Service Delivery Action Plan (LASDAP) setting out the Authoritys plans for improvement of local services for the financial year immediately following the current financial year.

(7) The documents described in paragraph (6) are due (a) for the documents described in paragraphs (6)(a) and (6)(b), on or before 30th September in the current financial year; (b) for the documents described in paragraph (6)(c), on or before 31st December in the current financial year; (c) for the documents described in paragraph 6(d), on or before 28th February in the current financial year; (d) for the document described in paragraph 6(e), on or before 30th November in the current financial year.

[L.N.

5 of 2000, s.

2, L.N.

44/2000, s.

4, L.N.

57/2001, s.

3, L.N.

83/2001, s.

4, L.N.

57/2002, s.

3, L.N.

38/2003, s.

4, L.N.

22/2004, s.

5, L.N.

23/2005.] 28.

Reporting requirements of authorities (1) The documents specified in regulation 27 shall be submitted to the Ministry for the time being responsible for Finance, and the Ministry for the time being responsible for local authorities, with copies to the applicable Provincial Local Government Officer, the Chief Finance Officer and the officer responsible for co-ordinating the local government reform efforts of the Ministry for the time being responsible for local authorities, and for criteria (a) and (b) in each year, copies of the documents shall also be sent to the Controller and Auditor-General.

(1A) The documents referred to in subparagraph (1) shall be submitted in accordance therewith on or before the 31st March of each year, failing which approval for payment out of the Fund shall not be given.

(2) (a) The Officer administering the Fund shall examine the documents which have been submitted, and determine the accuracy of the statements submitted therein.

(b) Where it is found that false, misleading or incomplete statements have been made, the Officer administering the Fund shall have the discretion to recover sums paid in respect of a year from subsequent allocations made to that authority under the service delivery account in the following year.

[Issue 1] 24 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] (c) The Officer administering the Fund may make use of reports submitted by the Controller and Auditor-General or any other relevant information and may additionally or alternatively require the re-submission of documents.

(4) If the authority is dissatisfied with the decision of the Officer administering the Fund made under subregulation (2), it may appeal to the Committee which shall consider the appeal and make its recommendations to the Minister, whose decision shall be final.

[L.N.

38/2003, s.

6, L.N.

23/2005.] 29.

Reporting requirements of Fund (1) The Officer administering the Fund shall submit to each authority a report of the amount paid to that authority through the service delivery account, the performance account and the transitional account which report will provide the reason why any amounts have been withheld.

(2) In the event that the full amounts are not received by the authority, the Council shall seek and receive an explanation from the Clerk as to the reasons and steps being taken to correct the problem.

(3) The Officer administering the Fund shall provide information to the Committee on a quarterly basis concerning the payments made to each authority from the service delivery, performance and transitional accounts of the Fund, together with the reasons why any money has been withheld.

30.

Records maintained by Fund (1) The Officer administering the Fund shall maintain records, including a computerized database with all the information submitted by authorities in compliance with the Fund regulations related to performance.

(2) The Committee shall, after the end of each financial year, review the amounts of money which were paid to each authority under each account, and examine the reasons why any money was withheld.

31.

Reporting on Fund The following reports shall be published and issued by the Officer administering the Fund as follows (a) a copy of each regulation issued under the Local Authority Transfer Fund Act shall be sent to each authority; (b) (i) disbursement amounts from each account of the Fund to be allocated to each authority shall be published in a newspaper of national circulation on an annual basis; (ii) for the financial year ending in the year 2001 and subsequent years, the disbursement amounts shall be published by the 1st March of the prior financial year, and for the financial year ending in the year 2000, the disbursement amounts shall be published by 31st October, 1999; (c) the amounts of Fund monies disbursed from each account of the Fund to each authority shall be published in a newspaper of national circulation on a quarterly basis; (d) (i) the Committee shall cause to be published by the 31st December of each year, an annual report on the operations of the Fund for the preceding financial year, which report shall contain a summary of the aggregate revenues and expenditures of the Fund, the disbursement amounts from each account of the Fund to each authority, an explanation 25 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] concerning those authorities not receiving the full amount of the performance component, a summary of the information received from authorities, and any other information that the Committee or the Minister may deem necessary; (ii) copies of the annual report shall be made available to Members of Parliament, the Ministries responsible for local authorities and Finance, all authorities, and any other agency as deemed necessary by the Committee and the Minister; (iii) an annual report received by authority shall be tabled before the Council within sixty days of its receipt.

[L.N.

44/2000.] 32.

Disbursement of Fund money Disbursements shall be paid directly from the Fund to the bank accounts of the respective authorities through a direct bank deposit, and notification by the Officer administering the Fund confirming the transfer shall be given to the Committee and the authorities.

SCHEDULE [L.N.

44/2000, s.

6.] Form 1A (Regulation 14.) SUMMARY OF LOCAL AUTHORITY TRANSFER FUND PROJECT INFORMATION SHEETS For financial year ./.

.

Council of.

All figures in K.

Shillings Project Total Annual Annual Annual Project Name Priority Development O + M Revenue Surplus Rank Cost Costs (Deficit) 1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

[Issue 1] 26 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued Project Total Annual Annual Annual Project Name Priority Development O + M Revenue Surplus Rank Cost Costs (Deficit) 14.

15.

16.

Total Form 1B (Regulation 14.) LOCAL AUTHORITY TRANSFER FUND PROJECT INFORMATION SHEET For financial year ./.

.

Council of.

One form (2 pages) to be completed for each capital project proposed from financial year 2000/01 onwards.

All figures in K.

Shillings unless otherwise stated.

Project Title 1 Project Priority Rank 2 Short Description 2.1 Reasons for Undertaking Project 2.2 Description of Proposed Measures 2.3 Location 3 Project Costs 3.1 Land Acquisition 3.2 Construction Cost 3.3 Additional Infrastructure 3.4 Design and Supervision 3.5 Contingencies 3.6 Total Development Cost 3.7 Annual Operating Costs 3.8 Annual Maintenance Costs 3.9 Annual Revenue Generated 3.10 Annual Net Surplus/Deficit 4 Project Assessment 4.1 Land Ownership/Acquisition Process 4.2 Conformity with Physical and Development Priorities 27 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued Project Title 4.3 Estimated Supply and Demand for the Project 4.4 Impact on Low income Population 4.5 Expected benefits for Local Population 4.6 Environmental Impact 5 Sources of Finance 5.1 Development Costs 5.2 Operating and Maintenance Costs 6 Staffing and Maintenance Arrangements 7 Relationship with other projects 8 Timeframe: Dates 8.1 Feasibility Study 8.2 Design and Tendering 8.3 Construction 8.4 Expected Completion Date 9 Progress Report 9.1 % of project already completed 9.2 Reasons for non-completion 9.3 New Expected Completion Date Form 2 (Regulation 14.) SUMMARY OF LOCAL AUTHORITY TRANSFER FUND PROJECT For financial year 1999/2000 only.

Council of.

Project Title Brief Description Capital Cost (KShs.) Total [Issue 1] 28 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued Form 3 (Regulation 27) STATEMENT OF RECEIPTS, PAYMENTS AND BALANCES [L.N.

44/2000.] This Form contains Tables A, B, C, D and E For year ended 30th June.

.

Council of.

Actual figures, not Budgeted or Probable: Figures in Kenya Shillings A: All Receipts for FY ./.

KSh.

1.

Property Rates/Land Rates/Area Rates 2.

Contribution in Lieu of Rates 3.

Interest/Penalties on Rates (if levied) 4.

Poll Rates 5.

Plot Rents 6.

Single Business Permit (SBP) 7.

Interest/Penalties on SBP (if levied) 8.

Total Cess Receipts (include all cesses) 9.

Game park receipts 10.

Market charges 11.

Bus Parks fees/charges 12.

House Rents 12.

Charges for Water and Sewerage 13.

Conservancy (solid waste) fees/charges 14.

Other fees/charges (specify) 15.

Other fees/charges (specify) 16.

Other fees/charges (specify) 17.

Other fees/charges (specify) 18.

Other fees/charges (specify) 19a.

LASC on Businesses 19b.

LASC on Employees 20.

Road Maintenance Levy Fund Transfer 21.

LATF Transfers 22.

Bank Interest Received 23.

Sales of Assets 24.

New Loans 25.

Other receipts specify 29 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued A: All Receipts for FY ./.

KSh.

26.

Other receipts specify 27.

Total Receipts Notes on Table A include ALL RECEIPTS.

Do not include overdrafts in Table A: these should be shown in Table D.

B: Recurrent Payments for FY.

/.

KSh.

Repairs and Debt Total Personnel Operations Maintenance Resolution/ Payments Interest 12345=1+2+3+41.

Council/Civic 2.

Clerks Dept.

3.

Treasures Dept.

4.

Markets 5.

Bus Park 6.

Engineers/Works 7.

Social Services 8.

Water Dept.

9.

Housing Dept.

12345=1+2+3+4 10.

Other Dept.

(specify) 10.

Other Dept.

(specify) 11.

Other Dept.

(specify) 12.

Interest/Loan xxxxxxx xxxxxxx xxxxxxx Repayment 13.

Debt Resolution xxxxxxx xxxxxxx xxxxxxx 14.

Total Recurrent Payments % of Gross Expenditure 100% Notes on Table B: Where the local authoritys account show interest and loan repayments (or debt charges) as part of departmental expenditure, show this in column 4 of the line for that department.

Where accounts show interest and any repayment or resolution of debt as a consolidated amount, show in line 12 or 13.

C: Capital Payments by funding source for FY./.

KSh.

General/ Project Title Rate LASC LATF Water Housing Grants/ Fund a/ca/ca/ca/ca/c Loans Other Total 1.

2.

3.

[Issue 1] 30 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued General/ Project Title Rate LASC LATF Water Housing Grants/ Fund a/ca/ca/ca/ca/c Loans Other Total 4.

5.

6.

7.

8.

9.

10.

Total Capital Table D: Cash and Bank Balances at 30 June.

Figures in Kenya Shillings KSh.

D: Cash and Bank Balances at 30th June.

A/C Number KSh.

O/d1.

Cash in hand N/a2.

Imprest Advances N/a3.

Bank: General/Rate Fund A/C4.

Bank: LASC account 5.

Bank: LATF account 6.

Bank: Water account 7.

Bank: Housing account 8.

Bank: Other account: (specify) 9.

Bank: Other account: (specify) 10.

Net Total D Notes: Table D: 1.

Holdings of cash should be shown in Table D as a single total for all cash holdings.

2.

Bank balances (including overdrafts) on each account hold should be shown separately.

3.

A bank reconciliation as at 30th June is required to account for items for which cheques have been issued but not presented.

E: Summary Table for FY ./.

KSh.

Total A: All Receipts Less: Total B: Recurrent Payments Less: Total C: Capital Payments Equals: Net Operational Surplus (Deficit) for FY.

/.

31 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] yy ed.

mm / Amount to be recover dd.

FY ed.

/ Amount to be recover.

FY ed.

/ Amount to be recover.

FY.

Closing Balance June 30 continued.

/ (L.N.

44/2000.) Actual.

Local Authority Name Receipts for FY SCHEDULE.

/ Receipts Due for.

DEBTORS LIST AND DEBT RECOVERY PLAN FY.

Opening Balance 1 July Rents (Specify) Form 4-1 Local Authority Code Debtor Identification Property Rates, Land Rates, Area Rates, Including Penalties Rates owed by parastatals Contribution in lieu of Rates (CILOR) Plot Local Authority Service Charge owed by GoK Local Authority Service Charge owed by others Water owed by GoK Water owed by others House Rents in arrears Advances to Councillors and Staff (Details in Form 4-3) Other [Issue 1] 32 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] yy ed.

mm / Amount to be recover Liability (KSh.) (E=C+D) dd.

Total Annual CILOR FY ed.

/ recover.

based on Amount to be FY (D) ed.

Area Rating /.

Annual CILOR Amount to be recover FY.

Closing Balance June (C=A*B) 30 Annual CILOR Valuation Roll continued Local Authority Name Liability based on.

/ Actual.

(L.N.

44/2000.) Local Authority Name Receipts for FY SCHEDULE.

(%) (B) / Rate Struck Receipts Due for.

CONTRIBUTION IN LIEU OF RATES FY.

ublic Opening Balance 1 July Total Value of PValuation Roll in KSh.

TOTAL Debtor Identification (Specify) (Specify) (Specify) Current Year Local Authority Code Other Other Other Form 4-2 Local Authority Code (A) 33 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued Form 4-3 LOCAL AUTHORITIES TRANSFER FUND FORM 4-3: ADVANCES TO COUNCILLORS AND STAFF (L.N.

44/2000.) Local Authority Code Local Authority Name Name of Personal ID Amount Advances Repayments Amount Councillor/Officer Number Outstanding made received during Outstanding at 1 July.

FY ./.

FY ./.

30 June.

(A) (B) (C) (D=A+B-C) TOTAL [Issue 1] 34 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] yy 2004 .) mm KSh June( 30 (I=D-E-F-G-H) .dd Outstanding Amount / .) .) / H .(KSh .Amount to be paid FY( .) .) / G .(KSh Amount to be paid FY( .) / ) F .(KSh Amount to be paid FY( .) .) / E continued .(KSh Amount to be paid FY( (L.N.

44/2000.) .) June KSh SCHEDULE Local Authority Name Closing Balance 30 (D=A+B-C)( .) / ) C LOCAL AUTHORITIES TRNASFER FUND made .(KSh Payments FY( .) .) / B Due (KSh Payments .( FY .) .) A (KSh Opening Balance 1 July ( FORM 4-4: CREDITORS LIST, DEBT REPAYMENT PLAN AND FUNDING SOURCES FOR FY Fund : : 12 Creditor U Arrears Identification UOOF Provident WTCC IGCC Local Authority Code HL OAA Form 4-4 KRA: Income Tax (PAYE) NSSF NLG Superannuation Fund LA KCSSSalary Councillors Allowance Arrears 35 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] yy 2004 .) mm KSh June( 30 (I=D-E-F-G-H) dd Outstanding Amount TOTAL .) .) / H .(KSh Amount to be paid FY( .) .) / G.

.(KSh / Amount to be paid FY( .) / ) F .(KSh.

Amount to be paid FY( Other (Specify) 1.

4.

.) .) / E continued .(KSh Amount to be paid FY( .) June KSh SCHEDULELocal Authority Name Closing Balance 30 (D=A+B-C)( .) / ) C made .(KSh Payments FY( Local Revenues 30th June should be recorded in Table 4- 30th June should be recorded in Table 4- .) .) / B Due (KSh Payments .( FY FUNDING SOURCES FOR DEBT REDUCTION IN FY .) .) A (KSh Opening Balance 1 July ( TOTAL LATF LGLA NHC (Specify) Creditor om om Each amount owing to the council as atEach amount owed by the council as at Identification frfr Debt Local Authority Code Contractors Loans Loans Other Loan 1 (Specify) Other Loan 2 (Specify) Other Notes for Tables 4-1, 4-2, 4-3, and 4-4.

1.

2.

[Issue 1] 36 [Rev.

2012] No.

8 of 1998 Local Authorities Transfer Fund [Subsidiary] is f the local olution plan).

ious fiscal years.

the amount of recovered during ncil.

Enter the is the additional es following three evious fiscal year eriod of five years.

al year.

Column Dpr l year.

Column B is the l year.

Column B is the own as creditors during include CILOR arrears.

tes.

a previous years debt r venues expected to be he council during the preve amme, if known) and the name oes any advance from the cou ea and the unit rcouncil during the previous fisc council as of the beginning of the fiscasource owed to council.

Column E should beof the beginning of the fiscal year.

Column Bcouncil as of the beginning of the fiscah were included in the outstanding local debts be paid within a pty other than overdrafts should be sh tually received by tbeing the amount of rents actually paid by the council during the s that H are the payments expected to be paid during the the next fiscal year (Column E).

e continued councillor or officer who ow enya Local Government Reform Progr annual central government liability for the CILOR.

Do not ments actually received by the ear.

Columns F epay of 30 June 2004.

SCHEDULE explanation as necessary on the total ar however, loans to the local authori 1st July (column A) are debts owed to the he next fiscal year, with Column F and Gd personal ID number of the ent plans for each year.

LATF requir the end of the previous fiscal year.

ee-year debt reduction plan for each revenue of 1st July (column A) owed to the council as of 1st July (column A) are debts owed by the evious fiscal year.

Column C are the paymthe end of the previous fiscal year.

outstanding amount asce of funding for the Debt Reduction Plan for evious fiscal year.

Column C is the payments ache prannual payments due as well as the payments whic be paid in the coming fiscal yd of the previous fiscal year.

shown in these tables evious fiscal year.

Column C is the r es of the advances as.

ed to the council in the pr owed by the council in t For each Form, enter the Local Authority Code (as given by KauthorityFor Table 4-1, the opening balances as ofdebt owColumn D is the closing balance as of Column E through G is the councils thrrevenues expected to be recovered during tthe following two years.

For Table 4-2, please only include the information on the currentFor councils that have area rating, please include furtherFor Table 4-3, please include the name anopening balancadvances made in the prthe closing balance as of the enFor Table 4-4, the opening balances as liabilities(these figures should contain the Column D is the closing balance as of Column EH represent the creditor repaymColumn E should be the amount toyears.

Column I should be the expected For Table 4-4, please specify the sourBank overdrafts should not bethe (Column A).

3.

4.

5.

6.

7.

8.

9.

37 [Issue 1] No.

8 of 1998 [Rev.

2012] Local Authorities Transfer Fund [Subsidiary] SCHEDULEcontinued Form 5 (Regulation 27.) REVENUE ENHANCEMENT PLAN For financial year ./.

.

Council of.

Indicate here the plans the Council has for increasing revenue in the coming year.

This could include such things as revaluation of property for Rates updating property registers for Rates following up on Rates defaulters updating registers for Single Business Permit, through field inspection following up on businesses without Business Permits adopting a higher tariff set for the Single Business Permit increasing charges for services collecting arrears and pursuing debtors improvements in revenue administration and collection processes.

In each case, indicate the expected increase in revenue as a result.

From financial year 2001/02, indicate the progress made with implementing the previous years Revenue Enhancement Plan, and identify reasons for any shortfall.

[Issue 1] 38.