Bill Kerrow destroys Mt Kenya entitlement.

[RV Pundit]

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MT KENYA WRONG ON COUNTY REVENUE STANDOFF
The stalemate on the new county revenue sharing formula in the Senate is fueled by false sense of entitlement by Mt Kenya region leaders as demonstrated below. It all started in November 2018 when over 70 elected leaders from the region declared in Naivasha that the region was sidelined in development. They stated that whilst the region generated 60% of the country’s GDP, it only received 20% of county revenue share.
The 9 counties that make up the region do not generate 60% of our GDP. And they don’t get 20% of the revenue too – they get less and correctly so. GDP is the total value of goods and services produced in a country. Our GDP is valued at sh 10 trillion. The revenue shared between the counties is actual tax revenues collected by KRA, which was sh 1.4 trillion in 2018/19 financial year. 
VAT is the largest source, at sh 410B, & is paid by all Kenyans because it is charged on 99% of items used/consumed/ imported by Kenyans. For instance, the bottle of water purchased by a pastoralist in Lodwar has 14% VAT, paid at source, mainly Nairobi or other major towns where industries were set up because infrastructure is available. PAYE is next, at sh 293B paid by 3.8 million Kenyans in employment. The largest source is company workers, teachers & civil servants working across the country, but PAYE is deducted at source, again mostly in Nairobi.
Corporation taxes by companies is next at sh 296B, followed by excise duty at 196B and customs duty at 105B. Nearly 80% of these taxes are collected in Nairobi, and Mombasa ( VAT & import duty). Our industries & businesses are generally located in Nairobi where the taxes are paid. Similarly, we all import our goods mainly through Mombasa where we pay the VAT, Duties, IDF, etc. Yet, all these goods are supplied across the country. This was the wisdom behind centralization of revenue collection in our Constitution.
KNBS reported in 2019 that Nairobi contributes 21.7% to GDP, yet it generates nearly 60% of the tax revenues. Similarly, Mombasa’s GDP is only 4.7%, well behind Nakuru at 6.1% and Kiambu at 5.5%, but it generates over 20% of the taxes through the port. Hence, higher GDP does not necessarily correspond to higher tax generation. Taxes paid by one large petroleum, telecom or cigarette company may be more than taxes collected from all regions outside Nairobi & Mombasa combined.
Nairobi got sh 16B from the 2020/21 sh 316B county revenue allocation. That represents 5% despite contributing nearly 60% of the tax revenues. If Nairobi were to use GDP as these leaders suggest, it would seek 21.7% of the total county allocations, amounting to shs 69B! Similarly, Mombasa got only sh 7B, being 2% of the county allocations and not 20% of the taxes generated by the port.  If Mombasa were to use GDP ratio, it get double the amount.
Is Mt Kenya region sidelined in revenue allocation? No. The 9 counties have a population of 8.5 million, representing 18% of the national total. In 2020/21 allocations, they receive sh 53.3B, being 17% of the total county revenues. On per capita basis, sh 316.5B will work out to sh 6,600 per person. This region’s allocation works out to per capita of sh 6,200. Hence, if we base the sharing on population which they deem essential, they got their one man one shilling mantra fulfilled.
So what’s the issue? The region’s leaders believe naively that their numbers are probably half the country! They also think they generate all the taxes. In 2003, when examining the cost of devolved governments, we established that Central Kenya contributed 2% of the tax revenues. Not much has changed since. Most of our farm produce such as tea, coffee, flowers etc are for exports; KRA only gets income taxes from these businesses. There are no taxes on the cabbage, beans or maize on the farms. Productivity is quite apart from tax revenue generation. They need to study KRA sources of revenue to understand which sectors/ areas raise the taxes.
The new formula has been carefully crafted to channel resources to already developed regions by selecting parameters such as hospitals beds, access roads, farm homesteads etc. This is inequitable and ultra vires the Constitution that sets out factors to be considered. It must be rejected

[Kadudu]

I think the Mt Kenya leaders consider Nairobi to be theirs forgetting it is cosmopolitan.
Also this issue has been discussed several times. One cannot only use population as the benchmark for distributing resources. The size of the area, development record, poverty index etc play a big role. Mt Kenya leaders are just being selfish and seeing the end of their heydays in sight are out to try and grab as much levy for the future as possible.
Also the Mt kenya folk is the most spread out across the country. Even giving out cash to NFD benefits a kikuyu more than a Kisii. Guys should stop being myopic and think beyond their noses.

[audacityofhope]

I think the Mt Kenya leaders consider Nairobi to be theirs forgetting it is cosmopolitan.
Also this issue has been discussed several times. One cannot only use population as the benchmark for distributing resources. The size of the area, development record etc play a big role. Mt Kenya leaders are just being selfish and seeing the end of their heydays in sight are out to try and grab as much levy for the future as possible.

Mt. Kenya claiming Nairobi is as absurd as Whites claiming America. See they found red Indians there. Nairobi was inhabited by Maasai. But this is not even the issue.
Mt. Kenya need to be reminded all the time that many of their lot live in "diaspora" and for that lot to benefit, equity and economic wellbeing of wherever they reside is in their interest...

[Nowayhaha]

MT KENYA WRONG ON COUNTY REVENUE STANDOFF
The stalemate on the new county revenue sharing formula in the Senate is fueled by false sense of entitlement by Mt Kenya region leaders as demonstrated below. It all started in November 2018 when over 70 elected leaders from the region declared in Naivasha that the region was sidelined in development. They stated that whilst the region generated 60% of the country’s GDP, it only received 20% of county revenue share.
The 9 counties that make up the region do not generate 60% of our GDP. And they don’t get 20% of the revenue too – they get less and correctly so. GDP is the total value of goods and services produced in a country. Our GDP is valued at sh 10 trillion. The revenue shared between the counties is actual tax revenues collected by KRA, which was sh 1.4 trillion in 2018/19 financial year. 
VAT is the largest source, at sh 410B, & is paid by all Kenyans because it is charged on 99% of items used/consumed/ imported by Kenyans. For instance, the bottle of water purchased by a pastoralist in Lodwar has 14% VAT, paid at source, mainly Nairobi or other major towns where industries were set up because infrastructure is available. PAYE is next, at sh 293B paid by 3.8 million Kenyans in employment. The largest source is company workers, teachers & civil servants working across the country, but PAYE is deducted at source, again mostly in Nairobi.
Corporation taxes by companies is next at sh 296B, followed by excise duty at 196B and customs duty at 105B. Nearly 80% of these taxes are collected in Nairobi, and Mombasa ( VAT & import duty). Our industries & businesses are generally located in Nairobi where the taxes are paid. Similarly, we all import our goods mainly through Mombasa where we pay the VAT, Duties, IDF, etc. Yet, all these goods are supplied across the country. This was the wisdom behind centralization of revenue collection in our Constitution.
KNBS reported in 2019 that Nairobi contributes 21.7% to GDP, yet it generates nearly 60% of the tax revenues. Similarly, Mombasa’s GDP is only 4.7%, well behind Nakuru at 6.1% and Kiambu at 5.5%, but it generates over 20% of the taxes through the port. Hence, higher GDP does not necessarily correspond to higher tax generation. Taxes paid by one large petroleum, telecom or cigarette company may be more than taxes collected from all regions outside Nairobi & Mombasa combined.
Nairobi got sh 16B from the 2020/21 sh 316B county revenue allocation. That represents 5% despite contributing nearly 60% of the tax revenues. If Nairobi were to use GDP as these leaders suggest, it would seek 21.7% of the total county allocations, amounting to shs 69B! Similarly, Mombasa got only sh 7B, being 2% of the county allocations and not 20% of the taxes generated by the port.  If Mombasa were to use GDP ratio, it get double the amount.
Is Mt Kenya region sidelined in revenue allocation? No. The 9 counties have a population of 8.5 million, representing 18% of the national total. In 2020/21 allocations, they receive sh 53.3B, being 17% of the total county revenues. On per capita basis, sh 316.5B will work out to sh 6,600 per person. This region’s allocation works out to per capita of sh 6,200. Hence, if we base the sharing on population which they deem essential, they got their one man one shilling mantra fulfilled.
So what’s the issue? The region’s leaders believe naively that their numbers are probably half the country! They also think they generate all the taxes. In 2003, when examining the cost of devolved governments, we established that Central Kenya contributed 2% of the tax revenues. Not much has changed since. Most of our farm produce such as tea, coffee, flowers etc are for exports; KRA only gets income taxes from these businesses. There are no taxes on the cabbage, beans or maize on the farms. Productivity is quite apart from tax revenue generation. They need to study KRA sources of revenue to understand which sectors/ areas raise the taxes.
The new formula has been carefully crafted to channel resources to already developed regions by selecting parameters such as hospitals beds, access roads, farm homesteads etc. This is inequitable and ultra vires the Constitution that sets out factors to be considered. It must be rejected

Truthfully speaking apart from Uhuru supporters(Kangati et all)  - There is no enthusiasm on this issue amongst Mt Kenya electorate . Its actually a blessing in disguise , where Uhuru is trying as much to leave a legacy . His partners in BBI are plotting to change the electoral structure  .Leave alone this impasse if the BBI goes through the Minority will lead the majority . Luckily Ruto is not in the mix and Mt Kenya leaders who were in for front dethroning Ruto allies have been exposed to who they are actually are - clueless politicians . They have tried (Uhuru bloggers )to sell this as Ruto being the "against " sponsor but you have Nandi senator rooting for it -

Uhuru is albeit unknowingly is taking Kenya back to the 41 vs 1  Toxic politics very unfortunate as he together with Ruto had defeated this type of politics  twice.  Will Uhuru and his supporters smell the coffee - its already confirmed as many times - Raila can never be relied on . He you are

[RV Pundit]

Uhuru reckleness is confounding. He will end up alone. GEMA are not ready to go back into 41v1. I know they are those hoping they can play Mt Kenya nationalism so they can advance their candidature but only an idiot would want a combine Ruto-Raila force against them.

I see Mt Kenya lait have refused to be driven into a wall where they will suffer the most as the Uhuru live in protected fotress. They don't care if they incite war against Raila and Ruto. They care less about the fate of 1m of their diaspora.

Truthfully speaking apart from Uhuru supporters(Kangati et all)  - There is no enthusiasm on this issue amongst Mt Kenya electorate . Its actually a blessing in disguise , where Uhuru is trying as much to leave a legacy . His partners in BBI are plotting to change the electoral structure  .Leave alone this impasse if the BBI goes through the Minority will lead the majority . Luckily Ruto is not in the mix and Mt Kenya leaders who were in for front dethroning Ruto allies have been exposed to who they are actually are - clueless politicians . They have tried (Uhuru bloggers )to sell this as Ruto being the "against " sponsor but you have Nandi senator rooting for it -

Uhuru is albeit unknowingly is taking Kenya back to the 41 vs 1  Toxic politics very unfortunate as he together with Ruto had defeated this type of politics  twice.  Will Uhuru and his supporters smell the coffee - its already confirmed as many times - Raila can never be relied on . He you are

[Nowayhaha]

Uhuru reckleness is confounding. He will end up alone. GEMA are not ready to go back into 41v1. I know they are those hoping they can play Mt Kenya nationalism so they can advance their candidature but only an idiot would want a combine Ruto-Raila force against them.

I see Mt Kenya lait have refused to be driven into a wall where they will suffer the most as the Uhuru live in protected fotress. They don't care if they incite war against Raila and Ruto. They care less about the fate of 1m of their diaspora.

Truthfully speaking apart from Uhuru supporters(Kangati et all)  - There is no enthusiasm on this issue amongst Mt Kenya electorate . Its actually a blessing in disguise , where Uhuru is trying as much to leave a legacy . His partners in BBI are plotting to change the electoral structure  .Leave alone this impasse if the BBI goes through the Minority will lead the majority . Luckily Ruto is not in the mix and Mt Kenya leaders who were in for front dethroning Ruto allies have been exposed to who they are actually are - clueless politicians . They have tried (Uhuru bloggers )to sell this as Ruto being the "against " sponsor but you have Nandi senator rooting for it -

Uhuru is albeit unknowingly is taking Kenya back to the 41 vs 1  Toxic politics very unfortunate as he together with Ruto had defeated this type of politics  twice.  Will Uhuru and his supporters smell the coffee - its already confirmed as many times - Raila can never be relied on . He you are

Ruto can never support Raila - Take that to the bank . Support Raila and become a PM ?  If he never did that in  2013 what makes you think he will do it now ? To spite Uhuru? Come one

[RV Pundit]

I don't think they will combine forces; but they will individual work against GEMA elite; if they don't pick either. Ruto has is gameplan. He aint changing it. He will pick Mwangi Kiunjuri or someone like him from GEMA - and go for it.

Raila obviously intends to run for PORK. I doubt GEMA elite will agree to Raila's PORK - no I don't doubt - I am sure they wont.

That leave GEMA elite (I am talking pro-Uhuru-dynasty) with two options
1) Try to back Kaloi or Gideon - if they cannot stand either Ruto or Raila.
2) Try to back their own candidate - PK or Kimunya - and hope they can get a Matiangi or another tribe including desperate Kalonzo to deputize them.

In any case, we are dealing with 3 candidates.
1) Ruto
2) Raila
3) GEMA-elite candidate.

The idea will be for GEMA elite candidate to become No 2 - and have Raila become No 3 - so Raila can be forced to make coalition - in the 2nd round with Gema candidate.

Uhuru reckleness is confounding. He will end up alone. GEMA are not ready to go back into 41v1. I know they are those hoping they can play Mt Kenya nationalism so they can advance their candidature but only an idiot would want a combine Ruto-Raila force against them.

I see Mt Kenya lait have refused to be driven into a wall where they will suffer the most as the Uhuru live in protected fotress. They don't care if they incite war against Raila and Ruto. They care less about the fate of 1m of their diaspora.

Truthfully speaking apart from Uhuru supporters(Kangati et all)  - There is no enthusiasm on this issue amongst Mt Kenya electorate . Its actually a blessing in disguise , where Uhuru is trying as much to leave a legacy . His partners in BBI are plotting to change the electoral structure  .Leave alone this impasse if the BBI goes through the Minority will lead the majority . Luckily Ruto is not in the mix and Mt Kenya leaders who were in for front dethroning Ruto allies have been exposed to who they are actually are - clueless politicians . They have tried (Uhuru bloggers )to sell this as Ruto being the "against " sponsor but you have Nandi senator rooting for it -

Uhuru is albeit unknowingly is taking Kenya back to the 41 vs 1  Toxic politics very unfortunate as he together with Ruto had defeated this type of politics  twice.  Will Uhuru and his supporters smell the coffee - its already confirmed as many times - Raila can never be relied on . He you are

Ruto can never support Raila - Take that to the bank . Support Raila and become a PM ?  If he never did that in  2013 what makes you think he will do it now ? To spite Uhuru? Come one