The National Assembly has passed the County Public Finance Laws (Amendment) Bill, Senate Bill No. 39 of 2023, paving the way for tighter regulation of county government finances and improved transparency in the management of public resources.

The Bill, which sailed through the Committee of the Whole House without amendments, was read a Third Time and passed on Tuesday , July 29th 2025.

Sponsored through the Senate, the County Public Finance Laws (Amendment) Bill seeks to amend various county public finance laws to align them with the national framework under the Public Finance Management (PFM) Act, 2012. It introduces key reforms aimed at streamlining budgeting, improving oversight by county assemblies, and promoting accountability in the use of public funds at the devolved level.

County governments will now be required to submit their budgets within strict timelines, harmonized with national government deadlines, to avoid delays in service delivery and county governments must involve residents and stakeholders more meaningfully in the budget-making process, through public forums and disclosures

To enhance standardized financial reporting the Bill mandates counties to prepare and submit financial statements in formats prescribed by the National Treasury, promoting consistency and easier audit processes.

County Assemblies will have enhanced oversight powers, including mandatory reports on budget implementation and quarterly expenditure reviews by county executives.

Leader of the Majority Party Hon. Kimani Ichung’wah (Kikuyu) moved the Motion for the Third Reading of the Bill, terming it a necessary step in enforcing discipline in county spending.

“The Bill provides for better coordination between the county and national governments on matters of public finance, while also ensuring that citizens can hold their county leaders accountable,” said Ichung’wah.

The Motion was seconded by Hon. Betty Njeri Maina (Murang’a County), who said the amendments would reduce wasteful expenditure and corruption in counties.

Speaking on clearer timelines and procedures for county budget approval and submission, Hon. Linet Chepkorir Toto (Bomet County) said, “Streamlining financial procedures will empower counties to plan and implement development projects more effectively.”

The Bill now proceeds for Presidential assent.