The Public Accounts Committee (PAC) has said it will hold talks with the National Treasury over the growing backlog of unpaid bills owed to suppliers by government departments. The Committee raised concern that the problem has persisted despite repeated government commitments to clear the debts.

The discussion took place at Bunge Towers in Nairobi during a meeting that reviewed the Auditor-General’s report for the 2023/2024 financial year on the State Department for Correctional Services.

The session was chaired by Public Accounts Committee Chairperson Tindi Mwale (Butere). Officials from the State Department for Correctional Services appeared before the Committee, including Principal Secretary Salome Muhia-Beacco and Commissioner General of Prisons Patrick Aranduh.

The Auditor-General’s report showed that the department has pending bills amounting to Ksh4.58 billion. This includes verified funded obligations of Ksh1.21 billion and unfunded obligations of Ksh3.37 billion.

Muhia told the Committee that the funded bills had been checked and processed during the 2023/2024 financial year, but the National Treasury did not release the money. She added that the department has not received any budget allocation for the 2024/2025 and 2025/2026 financial years to clear the outstanding amounts.

She said the matter has now been forwarded to the Pending Bills Verification Committee for further review.

Lawmakers demand Treasury action

Lawmakers expressed concern over the rising unpaid bills, warning that the situation is putting pressure on suppliers and contractors who depend on government payments to stay afloat. They said the delays risk weakening trust between the state and private sector partners.

Committee members questioned why the debts continue to grow even after repeated assurances that pending bills would be cleared. They said the situation affects not only the Correctional Services department but also several other government agencies.

Mwale said the Committee will summon senior officials from the National Treasury to explain the delays and propose a clear plan for payment.

“As a Committee, we are committed to resolving this matter. Suppliers must be paid on time. We will engage the Cabinet Secretary for the National Treasury, the Principal Secretary, and the Pending Bills Verification Committee to find a lasting solution,” he said.

The Committee also noted that the backlog of pending bills has become a recurring issue in public financial management. Members said failure to settle verified debts could lead to stalled government projects, legal claims, and higher costs for taxpayers.

They urged the National Treasury to improve cash flow planning and ensure that approved obligations are funded within the budget cycle.