State House warns budget cuts could threaten its operations

Plans to renovate State House Nairobi and eight State lodges have been postponed due to budget cuts.

State House Comptroller Katoo Ole Metito on Thursday revealed that State House budget has been reduced by 54 per cent from Sh9.496 billion to Sh4.382 billion, which will have a huge impact on the running of State House.

Speaking before the National Assembly Committee on Administration and Internal Security, Ole Metito pleaded with the legislators to reconsider the significant cuts, warning that State House operations could grind to a halt.

"If you put yourself in the shoes of the President, he says we can't be pushing for budget cuts in other ministries without leading by example, but in the end, we might bring to a halt all the activities of the office. Let us reduce reasonably, not close the office," he said.

In the documents seen by The Eastleigh Voice, renovations of State lodges have been greatly affected as the development allocation of Sh1.55 billion has been revised to zero.

The projects include refurbishment of buildings at State House in Nairobi and Nakuru. Others are State Lodges in Eldoret, Sagana, Mombasa, Kakamega, Kisumu, Kisii and Mtito Andei.

Budges to purchase a specialized plant, construction and other civil works and mechanical garage have been revised to zero.

State lodges are places used by the President of Kenya for official and private functions.

They are a symbol of the power and prestige of the Kenyan government and are located in scenic and secluded areas.

Equipped with state-of-the-art security features, State lodges offer a variety of amenities, including swimming pools, tennis courts, and golf courses.

Besides Kisii, the others are in Eldoret, Kisumu and Kakamega, with the Sagana one being the most used.

Going further, Ole Metito told the committee that the staff in the Office of the First Lady and her advisors will be the most impacted by the recent budget cuts.

The Sh547 million that was allocated for their salaries has been removed following the president's announcement that the office will be closed.

However, Ole Metito cautioned that terminating the staff's contracts without adhering to labour laws could lead to legal issues. He is urging the committee to reinstate the funds.

"We are requesting that those funds be retained for now as we try to regularize. These people had contracts; most were not permanent and pensionable. They serve during the tenure of the presidency. Stopping their contracts just like that will have some legal repercussions," he said.

The State House Comptroller also expressed concern over the withdrawal of funds intended for confidential use in the Office of the President. He stated that this could have serious repercussions on the functioning of the entire government.

Expenditures on presidential visits, national celebrations, state hospitality and maintenance of both residential and non-residential buildings have also been reduced.

Ole Metito despite acknowledging that while economic times are tough and every government institution is cutting expenses, it is essential to strike a balance to ensure the government continues to function effectively.

"Look at the vote like confidential expenditure; it has been reduced to zero, and yet that is the heart of government operations," he said.

"What we were requesting is that out of the Sh5.1 billion that is being reduced, you add us some Sh1.7 billion so that the budget cut is Sh3.3 billion, which will be around a 36 per cent budget cut," Ole Metito added.

In addition to that, benefits for retired presidents have also been reduced by Sh99 million as part of austerity measures to align with the newly revised FY 2024-2025 budget.

Benefits allocated to retired presidents have been lowered from Sh646.69 million to Sh 547.45 million.

On July 5, 2024 President Ruto announced a Sh 177 billion budget cut to seal the budget hole left after the withdrawal of the finance bill, 2024.

It came after protests led to the cancellation of contentious tax hikes, which has since resulted in the deaths of 50 people.

"We will be proposing to the National Assembly a budget cut of not the entire 346, but a budget cut of 177 billion and borrowing the difference (around 169 billion shillings)," Ruto said then.