The Senate County Public Accounts Committee (CPAC) has raised concerns over Elgeyo Marakwet County’s accounting for biological assets, calling on the county government to tighten its reporting and monitoring practices.
The committee’s review came after Governor Wesley Rotich struggled to explain how the county tracks livestock, crops, seedlings, and other living assets, with current systems failing to clearly separate items retained by the county from those distributed to farmers.
According to the Auditor-General, the county’s records are unclear on which biological assets are still under county control and which have been handed out.
Biological assets are living plants or animals used for agricultural purposes, capable of growth, reproduction, or biological transformation, and expected to generate economic benefits.
Examples include cattle, sheep, goats, poultry, fish, field crops, fruit trees, timber trees, tea bushes, and coffee plants.
The Auditor-General noted that Elgeyo Marakwet allocated Sh274 million for biological assets but did not account for changes in fair value caused by growth or revaluation.
This omission raised doubts about the accuracy and completeness of the reported balance.
Governor Rotich defended the county, explaining that most assets are immediately distributed to farmers.
“These assets are owned by farmers. We receive them and pass them on. Nothing remains with the county, and we will only quantify them after valuation,” he said.
He added that the Sh274 million figure reflects the historical cost of all assets acquired, including seedlings and breeding stock, and that fair value adjustments would be addressed during the ongoing verification and valuation process.
He also clarified that since the assets are distributed directly to farmers, no changes in value were recorded during the financial year.
CPAC Chairperson Senator Johnes Mwaruma questioned why no valuation changes were applied, noting that livestock, semen, and crops should normally attract adjustments.
The committee concluded that biological assets distributed to farmers or other groups for support purposes should be recorded as expenses, not county assets.
In a related matter, the committee instructed the county to regularise long-term acting appointments. Records show seven senior officials have served beyond the six-month limit allowed for acting roles, with two—Director of Human Resources and Director of the Alcoholic Drinks Control Fund—having no official appointment letters.
The Director of Supply Chain Management has held an acting role since February 9, 2022, under an appointment letter dated March 10, 2022, from the County Secretary.
The County Public Service Board failed to show evidence of recruitment for substantive positions, contravening Section 34(5)(b) of the Public Service Commission Act. Governor Rotich admitted the delays but assured that steps are being taken to formalise the appointments.
