Wa Iria: County finance officers to be liable for deliberate non-payment of contracts
According to Wa Iria, the Public Procurement Regulatory Authority will escalate cases of non-compliance to relevant enforcement agencies for appropriate action.
County finance chiefs now risk being surcharged for exposing public assets to auction due to poor procurement planning and delayed payments.
The Public Procurement Regulatory Board (PPRB) has stepped in to address rising complaints from suppliers, contractors and service providers over unpaid bills for goods, works, and services delivered to county governments.
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PPRB Chairman Mwangi Wa Iria stated that the authority is intensifying its review of court rulings on procurement and asset disposal cases.
"Where it is established that public resources have had to be used to pay costs unrelated to planned and budgeted contractual obligations, such costs will be borne by the responsible officers who will be surcharged by the procuring entity for the loss resulting from their actions or inaction," he said.
In a recent circular, the Public Procurement Regulatory Authority (PPRA) affirmed its commitment to monitoring compliance and holding individual accounting officers accountable for deliberate non-payment of contracts.
According to Wa Iria, the authority will escalate cases of non-compliance to relevant enforcement agencies for appropriate action.
"Public procurement must serve as an engine for economic growth, not a source of financial distress," he said.
"I therefore urge all county governments to act immediately and ensure that payments are processed without further delay. We will not tolerate instances where public officers deliberately frustrate suppliers. Those responsible for non-payment of legitimate invoices will be held accountable," Wa Iria said.
PPRA has called on county governments to take immediate action to clear the backlog of unpaid invoices, warning that failure to meet contractual obligations violates the Public Procurement and Asset Disposal Act and threatens Kenya's economic growth and financial stability.
"We cannot continue to ignore the severe impact that delayed payments have on businesses, particularly micro, small, and medium enterprises which form the backbone of our economy," Wa Iria stated.
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