Kenya Public Investments Committee: Grills Ex-Principal over Homa Bay Imprest

• Former Homa Bay High School principal Vincent Omondi Mayienga was grilled by the National Assembly Public Investments Committee over Sh184 million in liabilities and outstanding imprest.
• Auditor-General reports revealed Sh19.07 million in imprest remained outstanding by March 2026, violating Regulation 93(5) of the Public Finance Management (National Government) Regulations, 2015.
• Mr. Mayienga attributed the financial strain to government capitation shortfalls and low fee collection, but the committee chairman rejected this, citing the Public Finance Management Act's principle of spending only available funds.
• Previous audits consistently showed outstanding imprest balances, indicating a long-standing issue at the school.
• MPs demanded personal accountability for the financial mismanagement, emphasizing strict adherence to public finance laws.

The committee chairman firmly rejected this rationale, emphasizing that public institutions are legally bound by the Public Finance Management Act to spend only what they possess, not what they merely anticipate.

A former principal of Homa Bay High School, Vincent Omondi Mayienga, recently faced intense questioning from members of the National Assembly Public Investments Committee on Governance and Education regarding significant financial irregularities at the institution. The parliamentary committee, led by Luanda MP Dick Maungu, scrutinized the school's Sh184 million in outstanding liabilities and millions of shillings in unaccounted imprest that accumulated during Mr. Mayienga's tenure.

The inquiry, held in Nairobi on September 11, focused on the financial management practices at the national school, particularly concerning the accumulation of substantial debts and the failure to properly account for funds issued as imprest. Mr. Mayienga, who was transferred to Sirembe Mixed Day Secondary School in Siaya County in May, openly acknowledged his discomfort regarding the substantial financial burden he left behind at Homa Bay High School, stating, "I don’t feel good" when pressed by the committee.

The committee's concerns stemmed from a detailed examination of Auditor-General reports pertaining to Homa Bay High School. These reports highlighted growing debts, issues with budget implementation, and persistent problems with the management of imprest, drawing the attention of the Kenya Public Investments Committee to the school's financial state.

A central point of contention in the Vincent Omondi Mayienga audit was the school's handling of imprest, a critical aspect of public finance. The Auditor-General's report for the fiscal year ending June 30, 2025, revealed that Homa Bay High School reported account receivables totaling Sh71.68 million, which included an imprest balance of Sh23.06 million. Alarmingly, by March 2026, when the audit was conducted, Sh19.07 million of this imprest remained outstanding.

This failure to surrender the imprest was explicitly cited as a contravention of Regulation 93(5) of the Public Finance Management (National Government) Regulations, 2015. This specific regulation mandates that individuals holding temporary imprest must account for or surrender it within seven working days of their return to their duty station. Further compounding the issues of Homa Bay High School financial mismanagement, the audit also noted the school's inability to provide essential documentation, including imprest warrants and a comprehensive imprest register for all issued and surrendered funds.

The problem of outstanding imprest was not new, as previous audit reports had raised similar alarms. The report for the year ended June 30, 2024, indicated an imprest balance of Sh19.08 million, while the 2023 audit report recorded Sh12.36 million. Even earlier, the 2021 report highlighted an outstanding imprest balance of Sh7.78 million, demonstrating a concerning pattern of non-compliance over several years.

During his testimony, Mr. Mayienga attributed the school's financial difficulties to two primary factors. He pointed to a significant shortfall in government capitation, explaining that while schools are expected to budget for Sh22,244 per learner, the actual government funding over the past seven years averaged only about Sh15,000 per learner. This disparity, he argued, inevitably created a financial gap.

Additionally, the former principal cited the persistent challenge of parents failing to pay school fees. He noted that although fees were capped at Sh40,000 per learner, the school typically collected only around 60 percent of the anticipated revenue, leading to another operational shortfall. However, Committee Chairman Dick Maungu swiftly dismissed these explanations.

The committee chairman firmly rejected this rationale, emphasizing that public institutions are legally bound by the Public Finance Management Act to spend only what they possess, not what they merely anticipate. Maungu underscored the principle enshrined in the Public Finance Management Act Kenya, stating that expenditure must be based on available funds, not budgeted expectations. He expressed serious concern that the school's continued spending despite insufficient funds had left it with a massive debt, rendering it "almost technically insolvent," and questioned Mr. Mayienga's commitment to governance and accountability.

The rigorous questioning of Mr. Mayienga by the National Assembly Public Investments Committee highlights the increasing emphasis on National Assembly oversight Kenya in ensuring fiscal discipline across public institutions. The committee's demand to understand why substantial imprest sums remained outstanding and whether responsible officers had been held personally accountable underscores the strict enforcement of financial regulations.

This case serves as a stark reminder of the stringent requirements under Kenya's Public Finance Management Act and its accompanying regulations, particularly concerning imprest accountability. The parliamentary scrutiny and the potential for personal liability for non-compliance, even when external factors like capitation shortfalls are cited, signal a heightened commitment to transparent and accountable public financial management.

This case highlights the strict enforcement of Kenya's Public Finance Management Act and its regulations, particularly concerning imprest accountability in public institutions. Lawyers advising public sector entities or officers involved in financial management should note the heightened parliamentary scrutiny and the potential for personal liability for non-compliance with financial regulations, even when citing external factors like capitation shortfalls.

Source: Original reporting via news reports.