Bursary billions feud: Governors defend role as State firms grip

The tussle over control of billions of shillings in the education sector between the national and county governments has escalated following a directive by the Controller of Budget banning governors from disbursing bursaries to secondary schools.

This development comes just weeks after the Senate County Public Investments and Special Funds Committee (SCPI&SFC) tabled a report in the Senate pointing out that funding for primary, secondary, tertiary, and university education is not part of devolved functions.

The Orange Democratic Movement (ODM) has joined the fray, warning that county education programmes risk collapsing due to a directive from the Controller of Budget, Margaret Nyakang’o, imposing funding restrictions on county governments.

In her directive issued on Wednesday, Nyakang’o told county officials that the Constitution assigns primary and secondary education functions to the National Government, with counties only responsible for pre-primary education and local services.

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READ: Senator Thang'wa files motion seeking to consolidate bursaries

Acting ODM Party Leader Anyang’ Nyong’o condemned the move, stating that it violates devolution principles and undermines constitutional governance. He criticized the National Government for persistently encroaching on devolved functions, such as health and housing, without facing consequences.

Overstepping mandate

The Council of Governors defended county governments, asserting that they are not overstepping their mandate by offering bursaries to needy children. Instead, they emphasized that counties are fulfilling their role in ensuring that vulnerable students can access education.

Chairperson Ahmed Abdullahi stated that the law does not explicitly assign the responsibility of managing bursaries to either level of government. He referred to Article 43 of the Constitution, which emphasizes social protection and guarantees every person the right to education.

“Article 43(3) of the Constitution obligates both the National and County Governments to provide appropriate social security—interpreted as social protection—to individuals unable to support themselves and their dependents. If the Constitution intended this obligation to rest solely with the National Government, it would have explicitly stated so,” said Abdullahi.

He stressed that the principles of social protection aim not to render beneficiaries more vulnerable but to progressively restore their dignity. 

Abdullahi noted that county budgets, including those for bursaries, undergo public participation and are approved by the community, with bursaries being a priority.

“To this end, we urge the Controller of Budget to respect and uphold decisions made by County Assemblies on approved budgets. The Controller should address governance and policy matters directly with County Governors,” said Abdullahi.

The Intergovernmental Relations Technical Committee (IGRTC), in its statement, acknowledged the interconnected nature of pre-primary, primary, and secondary education institutions. IGRTC also admitted that there is currently a legislative gap regarding the regulation of bursaries and scholarships within the country.

The report tabled by the Senate County Public Investment and Special Funds Committee recommends that Governors abolish all county-established bursary funds. The committee noted that counties have been allocating funds for bursaries across primary, secondary, tertiary, and university levels, diverting resources from their constitutionally devolved functions.

“Under the Fourth Schedule of the Constitution, county governments are responsible for pre-primary education, polytechnics, homecraft centres, and childcare facilities, while the National Government oversees universities, tertiary institutions, primary and secondary schools, special education, and research institutions,” the report stated.

The proposal is expected to spark a clash between Senators on one side and Governors and Members of County Assemblies on the other. Governors and MCAs, who have been issuing bursaries to their constituents, argue that the funds are essential to supporting needy individuals.

The report comes even as Kiambu Senator Karungo Thang’wa has filed a motion proposing that the Ministry of Education consolidate funds distributed by various government entities and agencies. The aim is to channel these funds directly to schools as supplementary capitation to support the realization of free secondary education.

“In the Financial Year 2024/25, Sh656 billion was allocated to the education sector, yet it is challenging to determine the specific funds granted to each student. The lack of transparency in the disbursement of bursaries across various agencies makes it difficult to ascertain the total allocations in a financial year, hampering efforts to ensure equitable access to education for financially disadvantaged students,” said Thang’wa.

Duplication

In many counties, Governors’ bursaries are managed by the Executive, while Members of the County Assembly (MCA) manage separate bursaries. The Senate Committee noted that this duplication often leads to cases of students receiving multiple bursaries, disadvantaging those in greater need.

ALSO READ: Showdown looms over proposal to abolish county bursaries

The Senate Committee observed that some Bursary Fund regulations were enacted by County Executive Committee Members (CECM) under the National Public Finance Management (PFM) Act, Cap 412A. However, Section 205(1) of the Act grants the authority to make regulations exclusively to the Cabinet Secretary responsible for Finance.

Thangw’a questioned why the Ministry of Education, tasked with ensuring universal access to education, manages a scholarship programme, the Elimu Kenya Scholarship Fund, valued at Sh4 billion. He argued that consolidating all available funds could create a substantial kitty of approximately Sh122 billion.

“They have the Elimu Kenya Scholarship Fund amounting to Sh4 billion. Adding it to Sh93.4 billion brings the total to Sh97.4 billion.  If you include Sh11 billion from the NG-CDF, the sum rises to Sh108.4 billion. Additionally, counties contribute about Sh300 million annually, totalling nearly Sh14 billion across all counties. Even without factoring in contributions from Woman Reps because, as I lack their figures, the total reaches about Sh122.4 billion,” said Thang’wa.

Nominated Senator Raphael Chimera supported Thangw’a’s motion, urging fellow Senators to back it. He described it as “an idea whose time has come,” while acknowledging concerns that some might perceive the initiative as a political attack, particularly on those managing bursary funds.