The Ministry of Education has rolled out a new set of guidelines in regard to financial management within schools. The new guidelines, shared in several memoranda to the county directors, put emphasis on approved budget estimates and procurement plans based on the Board of Management-approved budgets for various institutions.
A memo read, attention is drawn to Section 16(1) of Part 1 of the Fourth Schedule of the Basic Education Act, 2013, that every public institution of basic education shall prepare annual estimates of revenue and expenditure. These estimates are to be in such form and sent at such times as may be prescribed by the Cabinet Secretary.
Further, school heads are expected to prepare quarterly financial reports within 15 days after the end of each quarter. They are also supposed to prepare monthly trial balances and send them to the County Director of Education through respective Sub-County Directors of Education. Quarterly reports should capture both financial and non-financial performance data.
Principals are supposed to ensure that monthly bank reconciliations are done on time; cash surveys are performed with proof accompanied by adequate documentation to verify the accuracy of cash at hand. Finally, they are required to present audited accounts of all revenues received and collected within a period of three months after the close of every financial year.
Compliance with approval processes for Maintenance and Improvement Funds (MIF) and Transitional Infrastructure Grants (TIG) is required, following circulars from January 30, 2019, February 12, 2020, and any subsequent directives.
This is after some few weeks ago, Education Cabinet Secretary Ezekiel Machogu announced that school principals would soon appear before Parliamentary committees to answer questions in regard to school funds. In a speech read on his behalf during the KESSHA conference in Mombasa, Machogu said with the new classification of schools as audit units, they may be accountable to Parliament.
“My friends things are changing. Machogu has been answering questions on your behalf, that will not be the case anymore as secondary schools have now been declared as an audit unit, he said.”.
Principals will be invited by parliamentary committees to respond to queries, as opposed to the current practice where they are represented by the Education CS or Principal Secretary. The CS also warned principals against imposing unapproved levies, stating that they will face severe consequences if summoned by the parliamentary committee.