Related documents
- Is amended by 24th Annual Supplement
- Amends County Governments Act

LAWS OF KENYA
COUNTY GOVERNMENTS RETIREMENT SCHEME ACT
CAP. 189B
- Assented to on 18 September 2019
- Commenced on 7 October 2019
- [Revised by 24th Annual Supplement (Legal Notice 221 of 2023) on 31 December 2022]
Part I – PRELIMINARY
1. Short title
This Act may be cited as the County Governments Retirement Scheme Act.2. Interpretation
In this Act, unless the context otherwise requires—"actuary" has the meaning assigned thereto in the Retirement Benefits Act (Cap. 197)."administrator" means the person appointed as such under section 23;"annuity" means a pension purchased under a contract with a registered insurer;"approved issuer" means an approved issuer appointed by the Trustee to provide the services of approved issuer in accordance with the Retirement Benefits Act (Cap. 197);"associated organization" means any person, firm, company or organization of employees or association of employers created by, owned by or associated with county governments, urban areas and cities or any other institution, established under the County Governments Act (Cap. 265), the Urban Areas and Cities Act (Cap. 275), or their staff or any other person or body providing services to county governments or to their employees and includes those organizations whether associated with county governments or not that choose to participate in the Scheme by signing a deed of adherence;"Authority" means the Retirement Benefits Authority established under the Retirement Benefits Act (Cap. 197);"Board" means the Board of Trustees established under section 6;"Cabinet Secretary" means the Cabinet Secretary responsible for the National Treasury;"child" means any child of a deceased member including a natural child, an adopted child or a step-child who has not attained eighteen years of age or, if the child is receiving full time education, not more than twenty-five years of age and was at the time of the death of the deceased wholly or mainly dependent on the deceased, and includes an unborn child who, if already born, would have been a child of the deceased;"commencement date" means the date of coming into force of this Act;"contribution" means the amount payable by a member or sponsor into the Scheme under this Act;"county public service" means the collectivity of individuals performing a function within a county government;"custodian" means a person appointed as such under section 22 of the Act;"deed of adherence" means the legal instrument to be executed by the employer who joins the Scheme after the commencement date of the Scheme and which shall bind that employer to the Scheme's rules;"dependant" in relation to a deceased member, means a relative of the deceased who survives the deceased and who, on the date of the deceased's death, was—3. Objects and purpose of the Act.
Part II – ESTABLISHMENT OF THE COUNTY GOVERNMENTS RETIREMENT SCHEME
4. Establishment of the County Governments Retirement Scheme
5. Membership of the Scheme
A county public officer or any other person approved by the Board may become a member of the Scheme under the auspices of a sponsor.6. Board of Trustees of the Scheme
7. Qualifications for appointment of Trustees
A person is qualified for appointment as a Trustee if that person—8. Disqualification from appointment as a Trustee.
A person shall not be appointed as a Trustee if that person—9. Tenure of office
10. Removal from office
11. Vacation of office
A person ceases to be a Trustee if the person—12. Filling of vacancy
Where a vacancy occurs in the membership of the Board under section 10 or 11, the Cabinet Secretary shall appoint a new Trustee in accordance with the provisions of this Act.13. Functions of the Board
The Board shall—14. Powers of the Board
15. Committees of the Board
16. Remuneration of Trustees
The Trustees shall be paid such remuneration as the Authority may determine in accordance with the Retirement Benefits Act (Cap. 197).17. Meetings of the Board
18. Chief executive officer of the Scheme
19. Employees of the Scheme
20. Common seal of the Scheme
Part III – ADMINISTRATION OF THE SCHEME
21. Fund manager
The Board shall appoint a fund manager of the Scheme who shall, in addition to the duties prescribed under the Retirement Benefits Act—22. Custodian of the Scheme
23. Administrator
24. Contributions
25. Vesting of benefits
All the benefits derived from contributions by a member and a sponsor shall vest immediately in the member.26. Withdrawal of membership or benefits
27. Retirement from service
28. Early retirement
29. Payment of retirement benefits.
30. Particulars of member and dependants of the member
31. Dispute on nomination
32. Benefits to be paid upon the death of a member
If upon the death of a member, benefits are paid to a person validly nominated under this Part, no other person shall have any other claim to the benefits against the Fund.33. Death of a member in service
34. Presumption of death of member
35. Death of member in retirement
36. Prohibited payments from the Scheme
The retirement benefits under this Act shall not be paid by the Scheme to—Part IV – FINANCIAL PROVISIONS
37. County Governments Retirement Scheme Fund
There is established a Fund to be known as the County Governments Retirement Scheme Fund which shall be administered by the Board in accordance with this Act and other relevant written laws.38. Sources of funds
39. Reserve account
40. Annual estimates
41. Accounts and audit.
42. Financial year
The financial year of the Scheme shall be the period of twelve months ending on the thirtieth June in each year.43. Annual distribution of profits.
The annual investment income earned by the Scheme shall after deduction of all expenses and costs properly paid out of the Scheme and any appropriation to a reserve account approved by the Board be credited to members' accounts on a pro-rata basis.44. Actuarial review of the Scheme.
Part V – MISCELLANEOUS PROVISIONS
45. Conflict with other written law
Where there is a conflict between the provisions of this Act and the provisions of the Retirement Benefits Act, the provisions of the Retirement Benefits Act shall prevail.46. Duty of care
47. Protection from personal liability
No action or omission by any member of the Board, or employee of the Scheme shall, if the act was done in good faith for the purpose of carrying out the provisions of this Act or any other law, subject the person to any liability, action, claim or demand.48. Offences
49. Proceedings for recovery of deductions from sponsors
50. General penalty
A person who—51. Regulations
The Cabinet Secretary may, in consultation with the Board, make regulations generally for the better carrying into effect the provisions of this Act.52. Repeal and revocation
Part VI – SAVINGS AND TRANSITION
53. Extent of exemption from other statutory schemes
The sponsors and members of the Scheme may be exempt from making Tier I 1 contributions to the National Social Security Fund.54. National government employees transferred to county governments
55. Transition of closed funds to the Scheme
56. Local Authorities Provident Fund and the Local Authorities Pensions Trust Fund
57. New employees
58. Date of transition
The provisions of sections 52 and 55 shall come into effect at the end of five years from the commencement date.59. Amendment of section 132 of No. 17 of 2012
The County Governments Act is amended by deleting section 132.History of this document
31 December 2022 this version
Revised by
24th Annual Supplement
07 October 2019
Commenced
Read this version
18 September 2019
Assented to
Cited documents 3
Act 3
1. | Income Tax Act | 841 citations |
2. | Retirement Benefits Act | 206 citations |
3. | Pensions Act | 49 citations |