Members of the National Assembly are set to be awarded Sh569.4 million after the Public Accounts Committee (PAC) defended Parliament's decision to pay them mileage allowances.
In a report tabled and adopted on Thursday, PAC argued that the Salaries and Remuneration Commission (SRC) issued two contradictory circulars in 2013 and Parliament cannot be blamed for it.
PAC cleared the allowances without clear guidelines clarifying queries raised by the Auditor-General Edward Ouko on more than Sh500 million spent over two years.
[caption caption="File image of Auditor-General Edward Ouko"]
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Mr Ouko had raised concerns about the payment of Sh 569.4 million over the 2014/15 and 2015/16 financial years without clear guidelines.
Ouko has noted that when asked, Parliament's Accounting Officer stated that the mileage allowance is payable to MPs who travel beyond 750 km per month.
The Clerk of the Senate explained that MPs are paid the mileage on the basis that they have to travel between their offices in Nairobi and their constituencies.
It is reported that the SRC had released a circular on June 2013 providing guidance to the PSC, and told it to award mileage based on the rates of the Automobile Association and the distance from the MPs home.
Before that circular was issued, PSC had entered into a Memorandum of Understanding with the SRC stating that for the first 750 km, each MP would get Sh356,525 per month.
The accounting officer argued that they were faced with two apparently contradicting circulars from the SRC, the PSC interpreted them as per the law and paid using the rates that the Auditor-General later flagged as irregular.
The PAC noted: “Noting that the SRC circular dated June 11, 2013, is clear and precise on the processing of mileage allowance, the committee resolves that the PSC be guided by the said circular, thereby resolving the audit query.”
[caption caption="File image of MPs during a parliament session"]
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