Based on the Work Plan (combining the procurement plan with the other recurrent costs), the Finance and Economic Planning department compiles the Cash Flow Forecast, which sets the cashflow requirements, based on expected payment dates and amounts, for each department and the county government as a whole. Cash flow forecasts must be approved by the Controller of Budget before funds are released to counties, and they are prepared at least quarterly, or more often monthly.
Upstream: Budget Estimates, Budget Appropriation, Budget Implementation Circular, Work Plan, Procurement Plan
Downstream: Budget Execution, Exchequer Releases
Based on procurement plans developed, Departments will work with County Finance and Economic Planning to prepare Annual Cash Flow Forecasts which are divided into quarterly installments. These forecasts translate scheduled acquisition of resource inputs in the procurement plan into cash needs based on anticipated supplier payment terms.
The Consolidated Cash Flow Forecast, when approved by the County Executive Committee, is required by law to be submitted to the Controller of Budget, National Treasury and Intergovernmental Budget and Economic Council by 15th June, or two weeks before the forthcoming financial year,
During the year, Departments will then prepare and submit monthly (and rolling quarterly) cash flow forecasts to the Controller of Budget in line with budget implementation progress and day-to-day cash flow needs.
For a more detailed description, follow this link: Cash Flow Forecast - step by step