(2) The report in subsection (1) shall include information on— (a) the date of incorporation and objects of the county corporation; 109 No. 18 of 2012 Public Finance Management [Rev. 2020] (b) the amount of county government shareholding, directly or indirectly, in the county corporation; (c) any changes in the shareholding of the county corporation during the financial year; (d) the amount of any funding in the form of grants or subsidies provided by the county government to the county corporation or public entity, excluding profit making entities, during the financial year; (e) the amount of any loans made by the government to the county corporation, during the financial year; (f) the cumulative amount of undischarged loans in respect of the corporation; (g) the amount of profit or loss of the County corporation for the financial year; (h) the amount of any revenue received by the county government from the county corporation during the financial year, including dividends, interest and proceeds from any divestiture of assets of the county corporation; (i) the payments made, or losses incurred, by the county government to meet contingent liabilities as a result of loans during the financial year, including payments made in respect of loan write-offs or waiver of interest on loans; and (j) an assessment of the financial and related non-financial performance of the county corporation for the financial year.

(3) Once every three years, the County Executive Committee member responsible for matters relating to public investments shall prepare a report on the need for the county government continued involvement in, or funding of, the County Corporation or county government-linked company.

(4) Copies of the reports prepared in subsections (1) and (3) shall be submitted to the Controller of Budget, the Commission on Revenue Allocation and the Auditor- General.

186. Definitions for purposes of sections 182, 183 and 184 For the purposes of sections 182, 183 and 184— (a) “county government-linked corporation” means a county corporation in which the county government is a shareholder with less than fifty percent of the share capital of the corporation; and (b) “invest” means any form of funding, or potential funding, provided to a County corporation, including providing share capital, loans, grants or subsidies.

PART V – RELATIONS BETWEEN NATIONAL AND COUNTY GOVERNMENTS ON BUDGET AND ECONOMIC MATTERS Establishment of the Intergovernmental Budget and Economic Council

187. Establishment, purpose and composition of the Intergovernmental Budget and Economic Council (1) There is established a council to be known as the Intergovernmental Budget and Economic Council comprising— 110 [Rev. 2020] Public Finance Management No. 18 of 2012 (a) the Deputy President who shall be the Chairperson; (b) the Cabinet Secretary; (c) a representative of the Parliamentary Service Commission; (d) a representative of the Judicial Service Commission; (e) the Chairperson of the Commission on Revenue Allocation or a person designated by the Chairperson; (f) the Chairperson of the Council of County Governors; (g) every County Executive Committee member for finance; and (h) the Cabinet Secretary responsible for intergovernmental relations.

(2) The purpose of the Council is to provide a forum for consultation and cooperation between the national government and county governments on— (a) the contents of the Budget Policy Statement, the Budget Review and Outlook Paper and the Medium-Term Debt Management Strategy; (b) matters relating to budgeting, the economy and financial management and integrated development at the national and county level; (c) matters relating to borrowing and the framework for national government loan guarantees, criteria for guarantees and eligibility for guarantees; (d) agree on the schedule for the disbursement of available cash from the Consolidated Fund on the basis of cash flow projections; (e) any proposed legislation or policy which has a financial implication for the counties, or for any specific county or counties; (f) any proposed regulations to this Act; and (g) recommendations on the equitable distribution of revenue between the national and county governments and amongst the county governments as provided in section 190; and (h) any other matter which the Deputy President in consultation with other Council members may decide.

(3) An appointed member of the Council holds office for two years and is eligible for re-nomination and re-appointment at the end of a term of office for another term not exceeding two years.

(4) The National Treasury shall provide secretariat services to the Council and assign or appoint such support staff as may be necessary for the Council to effectively perform its functions.

(5) The Council shall meet at least twice a year and the Deputy President shall decide the time and agenda for meetings of the Council in consultation with the other members of the Council.