In a significant move towards administrative accountability, the Senate Committee on County Public Investments and Special Funds, led by Vihiga Senator Godfrey Osotsi, convened to interrogate the financial conduct of Kitui County's water and sanitation entity. Julius Malombe, the Governor of Kitui County, appeared before the Committee to respond to the Auditor General’s queries arising from the financial statement reports of Kitui Water and Sanitation Company Limited (KITWASCO) for the fiscal years 2018/19, 2019/20 and 2020/21.

The Committee has subsequently issued several directives aimed at rectifying the identified anomalies. These orders, geared towards financial integrity and operational efficiency, are enumerated below:

In a bid to ensure effective management, the Governor has been tasked with a total restructuring of KITWASCO's Board of Directors. This exercise, to be conducted within 60 days from the date of the meeting, involves recruitment in line with predefined guidelines, confirmation of a Managing Director, and the introduction of performance contracts for all staff to bolster productivity.

Governor Malombe is also directed to enforce compliance of KITWASCO with the Water Services Regulatory Board (WASREB)'s notification dated 6th April 2023. The Governor is expected to facilitate the full ownership transfer of the water company to the County Government as prescribed by the Water Act, 2016 within 30 days. Following this transfer, a copy of the certificate of incorporation (CR-12) is to be submitted to the Committee.

The Committee has further urged the County Government to cooperate with the County Assembly to create and enact a County Water Act, an instrumental move that will bolster the operations of the KITWASCO.

Recognising the discrepancies in the audited financial statements, the Committee has recommended the Office of the Auditor General review and adjust the Company’s Accounting Software (ERP) to guarantee the accuracy of financial ledgers.

To rectify a significant Kshs. 240,924,034 outstanding receivable, strategic measures are to be implemented by the County Government to recover the amount. The Office of the Auditor General will verify these steps and provide a progress report during the subsequent audit cycle.

The Committee also noted the high Non-Revenue Water at 55% and has directed the County Government to submit comprehensive measures to reduce this loss within 30 days. Both physical and commercial losses are to be addressed, and the efficacy of these measures will also be subject to Auditor General's verification.

Lastly, in light of potential corruption in the water company, the Committee has requested the Ethics and Anti-Corruption Commission (EACC) to launch investigations into the high Non-Revenue Water. The findings are to be subsequently filed with the Committee.

The meeting was presided over by Senator Godfrey Osotsi, alongside committee members including Vice Chair Prof. Tom Ojienda, Karungo Thangwa, William Kisang,

Tabitha Mutinda, Miraj Abdullahi Abdulrahman, and Hamida Kibwana. Enoch Wambua, the Kitui Senator, attended the hearing as a friend of the committee.