High Court Halts County Bursary Funds in Major Setback for Students
The distribution of bursary funds by county governments has been thrown into uncertainty after the High Court issued fresh orders restricting any interference with an earlier directive by the Controller of Budget (CoB).
The ruling, delivered on Monday, could lead to further delays in bursary disbursement, affecting thousands of students relying on the funds for their education.
The case, filed by the Katiba Institute and a concerned citizen, Laban Omusundi, was presented before Justice Samuel Mukira Mohochi at the Nakuru High Court.
The petitioners urged the court to prevent any move that could alter or retract a key circular (OCOB/CIRCULAR NO. 1/2025) issued by the CoB on January 14, 2025.
In response, Justice Mohochi granted a temporary conservatory order, barring the Controller of Budget from withdrawing, amending, or interfering with the contents of the circular.
“A temporary conservatory order is hereby issued restraining the 3rd respondent (CoB) from withdrawing, retracting, and or interfering with its circular (OCOB/CIRCULAR NO. 1/2025) issued on January 14, 2025,” the judge ruled.
Additionally, the court stopped the Controller of Budget from authorizing or approving any bursary-related expenditures by county governments unless they have the necessary intergovernmental transfer agreements.
The ruling emphasized that county funds cannot be used for national government functions, aligning with constitutional provisions.
This latest ruling is a significant blow to county governments, as it effectively limits their ability to fund education beyond specific devolved functions.
According to the directive, counties are only allowed to finance pre-primary education, village polytechnics, home craft centres, and children’s welfare facilities.
Kindiki’s Agreement with Governors Blocked
The High Court also issued an order preventing the CoB from implementing any agreements made between county governments and the national government during the recent Intergovernmental Budget and Economic Council (IBEC) meeting.
The meeting, chaired by Deputy President Kithure Kindiki, had sought to establish a framework for county governments to continue funding education support programs.
“A temporary conservatory order is hereby issued restraining the 3rd Respondent from implementing any agreement reached with the 1st Interested Party during the 26th Intergovernmental Budget and Economic Council in so far as the agreement undermines the contents of the Circular and the reliefs sought under Paragraphs 104 (A), (B), and (E) of this Petition,” Justice Mohochi declared.
As a result, county governments have been prohibited from issuing new bursaries or extending financial aid to additional students beyond the current financial year.
The case is set to be heard on February 18, 2025, with all involved parties instructed to submit their responses within seven days.
Background on the IBEC Meeting
During the IBEC meeting chaired by Deputy President Kindiki, county governments and the Council of Governors had agreed that counties with designated education funds could continue issuing bursaries.
Meanwhile, counties without such funds were advised to establish them or partner with the Ministry of Education to ensure the continuation of bursary programs.
However, with the High Court’s latest orders, the future of county-funded bursaries remains uncertain, creating a major setback for students who depend on them for their education.
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