A proposed law prohibits Commercial Banks, landlords, utility firms, employers, and auctioneers from penalizing those individuals affected by COVID19.
The law seeks to stop the charging of penalties, evicting rent defaulters, disconnecting water and electricity or repossessing properties of those individuals whose economic status or purchasing power has been affected by the COVID19 pandemic.
The Pandemic Response Management Bill, drafted by Senator Johnson Sakaja, Chairperson, Ad-Hoc Committee on COVID-19 Situation in Kenya, and dated 14th April 2020, lists measures to be taken to cushion those affected by the COVID 19 pandemic.
For instance, Treasury Cabinet Secretary with the approval of Parliament, will be required to introduce various tax measures to cushion all affected persons for the duration of the pandemic.
The bill proposes that employers be stopped from dismissing those who are unable to fulfil their contractual obligations as a result of the pandemic.
These measures shall apply during the pandemic and up to three months after its end.
All measures under the proposed law will have the necessary legal backing as soon as The Pandemic Response and Management Bill, 2020 is passed into law.
President Uhuru Kenyatta is yet to declare COVID19 a National pandemic.
Latest figures on Coronavirus disease in Kenya puts the number of confirmed cases at 225, with 53 recovered and 10 deaths. This is against 2,064,815 confirmed cases worldwide.
The bill seeks to shield borrowers who default on their loan repayments and asks those affected to enter into an arrangement with respective banks to review repayment modalities.
Banks will not impose penalties on a defaulter or forward their names to a credit reference bureau.
Lenders are also prohibited from charging any fees, interest or any other penalty for non-payment or late payment of obligations during the pandemic period.
Where the pandemic has affected the financial capacity of a tenant, the affected shall give a notice in writing to the landlord or contracting party that they are unable to meet their obligations because of the COVID19 pandemic.
The contracting parties shall enter into an agreement on how the tenant shall meet their obligation at the end of the pandemic.
Where a pandemic adversely affects the ability of an employer to pay salaries or wages, an employer shall not terminate a contract of service or dismiss an employee, or coerce an employee to take a salary cut.
Where an employer is unable to meet his obligations to pay salaries or wages, the employer shall permit an employee to take leave of absence without pay for the duration of the pandemic.
The National and County governments will put in place social safety schemes designed to support vulnerable persons, vulnerable households and informal sector workers whose incomes have been disrupted by COVID19 pandemic.
These measures include unconditional cash transfers to support the identified groups to meet their daily basic necessities.
The Bill proposes that on-site meetings or business meetings will be held remotely via appropriate electronic means and the resolutions made during such meetings shall be valid.
The Speakers of the respective Houses of Parliament are to make guidelines on the conduct of plenary and committee sittings remotely. The same applies to respective county assemblies’ plenary and committee sittings remotely.
Court proceedings may be held remotely and the Chief Justice may make Rules for the conduct of such proceedings.
Respective heads of institutions may make guidelines on how business shall be transacted remotely.
STIFF PENALTIES
County governments will be required to suspend fees payable on renewal of trade licenses and payment of property rates during the COVID19 pandemic.
The Bill propose stiff penalties for those who make false claims for purposes of obtaining any relief assistance or other benefits.
For instance, one who makes or circulates a false alarm or warning as to a pandemic or its severity or magnitude leading to panic commits an offence and is liable on conviction to a fine not exceeding KSh 1 Million or to imprisonment for a term not exceeding one year, or to both.
Penalty for misappropriation of relief money or materials include a fine not exceeding KSh 10 million or to imprisonment for a term not exceeding ten years, or both.
NATIONAL PANDEMIC RESPONSE COMMITTEE
The Bill provides for the establishment of a National Pandemic Response Committee as an ad-hoc committee whenever a pandemic is declared.
The Committee is required to spearhead the implementation of activities geared towards preventing the spread and mitigating against the negative impact of a pandemic such as COVID19
PANDEMIC FUND
The Bill seeks to establish a Pandemic Fund whenever a declaration of a pandemic is made. The Fund would serve as a mechanism for ensuring that there are adequate resources geared towards containing the spread and mitigating against the impact of a pandemic.
The fund is to be administered by the Principal Secretary responsible for The Pandemic Response and Management Bill,2020. This Act shall apply only during the period of a pandemic.
The National Committee shall consist of Health Cabinet Secretary as chairperson and Treasury CS as well as other Cabinet and Principal Secretaries as the President shall consider.
The Committee shall be an ad-hoc committee whose tenure shall lapse two months after the President declares the end of a pandemic.
The National Committee will, during the period of the pandemic, prepare and submit to Parliament bi-weekly status reports providing the rate of infection, measures taken and challenges.
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