A proposal to stop conflicts over the management of money collected by public health facilities has received the backing of the National Assembly Health Committee, paving the way for changes that seek to ensure the funds are protected and used to improve healthcare services.
The committee approved the Facilities Improvement Financing (Amendment) Bill, 2026, saying the proposed law will provide a clear legal framework for managing Facility Improvement Funds while addressing gaps created by differing county laws.
The Bill, sponsored by MP Martin Owino (Ndhiwa), seeks to make the National Facilities Improvement Financing Act the main law governing Facility Improvement Funds across the country. It aims to end situations where counties continue to operate under separate laws that contradict the national legislation.
According to the Memorandum of Objects and Reasons, Owino says the National Facilities Improvement Financing Act already contains adequate provisions on the management of Facility Improvement Funds, making separate county legislation unnecessary.
"There is therefore no need for counties to enact their own county laws," states Hon. Owino.
The committee, chaired by MP James Nyikal (Seme), adopted its report after carrying out pre-publication scrutiny of the legislative proposal and concluded that the amendment would improve the management of funds collected by public health facilities.
Addressing the committee during the meeting, Nyikal said the proposed changes would help bring order to the health sector.
"The proposed amendment Bill is very important and it will restore sanity in the key health sector," he said.
In its report, the committee noted that Facility Improvement Funds play an important role in helping public health facilities meet operational and maintenance expenses. It added that although the National Facilities Improvement Financing Act came into force in 2023 to guide the management of the funds, some counties have continued implementing their own laws instead of following the national framework.
"Despite the law coming into force, some counties do not adhere to the provisions of the Act and instead implement county Facility Improvement Funds laws that are contrary to the national law," the report states.
Before adopting its report, the committee received submissions from the Office of the Attorney-General and Department of Justice, the Kenya Law Reform Commission, the Ministry of Health, and the Kenya Institute for Public Policy Research and Analysis (KIPPRA), which formed part of the pre-publication scrutiny process.