The County Licensing Uniform Procedures Bill Senate Bill no9 of 2022

REPUBLICOFKENYA

PARLIAMENT

SENATE BILLS

(Bill No. 9 of 2022)

THE COUNTY LICENSING (UNIFORM PROCEDURES) BILL, 2022

(A Bill published in the Kenya Gazette Supplement No. 196 of 29th November, 2022 and passed by the Senate,with amendments on 21st February,2024)

Clause

PARTI-PRELIMINARY

• 1 - Short title and commencement.
• 2 - Interpretation.

PARTII-OBLIGATIONS

• 3 - Guiding principles.
• 4 - General duty of a licensing authority.
• 5 - Principles of interpretation and application.
• 6 - Obligations of county governments.

PARTIII-LICENSINGPROCEDURE

• 7 - Application for granting, amendment, renewal restoration andreplacement of licence.
• 8 - Single application process.
• 9 - Notice for further information.
• 10 - Consultation.
• 11 - Advertising of applications.
• 12 - Withdrawal of application.
• 13-Period of determination of application.
• 14 -- Determination of application.
• 15 -Notice of decision on application.
• 16 - Issuance of licence.
• 17-Duration of licence.
• 18 - Conditions for issuance of licence.
• 19-Variation of conditions of a licence.
• 20 -Cancellation of licence.
• 21-Review of decisions.

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THECOUNTYLICENSING(UNIFORM PROCEDURES) BILL,2022

PARTIV-ADMINISTRATIONOFLICENSINGSCHEMES

• 22 - Change in particulars.
• 23-Administrationofregisteroflicences.
• 24 - Licensing fees.
• 25 - Service of notices.
• 26-Recovery of unpaid fees.
• 27 - General penalty.
• 28 - Regulations.
• 29 - County legislation.

THECOUNTYLICENSING(UNIFORM PROCEDURES) BILL, 2022

A Bill for

ANACTofParliament toestablishstandarduniform procedures for licensing by county governments; and for connected purposes.

ENACTED by the Parliament of Kenya, as follows--

PARTI-PRELIMINARY

1. This Act may be cited as the County Licensing (Uniform Procedures) Act,2022,and shall come into operation upon the expiry of six months from the date of assentofthisAct.

2. In this Act-

"Cabinet Secretary" means the Cabinet Secretary responsible for matters relating to licensing;

"county executive committee member" means the countyexecutivecommitteememberresponsiblefor matters relating to finance in the respective county;

"electronic communication" means any information transmitted, sent, received or stored in magnetic,optical, computer memory, microfilm or similar device; and

"licensing authority" means a person authorised by legislation to issue a licence.

PARTII-OBLIGATIONS

• 3.Aperson shall,in theimplementation of this Act or enactmentof the respective countylegislation,takeinto account-
• (a) the need to protect consumers of goods and services, ensure public safety and promote environmentalprotection;
• (b) theneedtomaintainpublicconfidenceinthe respective sectors under which thelicence is issued and that the imposition of licensingfees is carried out in a manner that doesnothamper the respective business or industry;
• (c)theneed to ensure access toinformationrelating to theconditions forissuanceof licences and

Short titleand commencement.

Interpretation.

Guiding principles.

licensing procedures and in accordance with the provisions of the Access to Information Act;

• (d) the need to ensure that the licensing procedures areNo.31 of2016. simple and thatlicensingservices are accessible to a person applying for a licence;
• (e) cost effectiveness of the licensing process;
• (f) the importance of declaring and upholding proper standards of conduct by licensees;
• (g)theneed topromoteefficiencyandeffectivenessin the administration of the licensing processes; and
• (h) the licensing processes are undertaken in a fair and transparent manner.
• 4.Alicensing authorityshallensure that theprocess of applyingfor alicencefrom therespectiveauthorityis efficient and effective by——
• (a)providing amechanism for a person to make a simultaneous applicationfor morethanone licence;
• (b)preventing multiplelicensing procedures;
• (c) ensuring thatapplicantsaregivenadequate opportunity tomake representations on an application for a licence;
• (d) adheringtotimelinesfor theprocessingof licensing applications as set out in this Act or the relevant licensing legislation; and
• (e) establishing and implementing a system that designatesdifferentcodesforthedifferent categories of licences issued by that authority.

Principlesof interpretation and application.

5. The following principles shall apply to the interpretation and application of this Act and licensing legislation enacted by a county government — 2. (a) simplicityof theprocessof applicationfora licence; 3. (b) equity, transparency and accountability in the administration oflicensingprocedures 4. (c) ensuring that the licensing frameworkis

General duty on licensing authority.

consolidatedandrequirespersons toholda minimumnumber of licences and be subjectto a minimum number of different licensing processes;

• (d) access to information relating to the licensing requirements and procedures;
• (e) enabling licence holders to respond to changes in themarket quickly with minimum regulatory friction; and
• (f) certainty by having in place clear and consistent licensing conditions.

6. A county government shall, in establishing and administering a licensingregime——

• (a) protect the rights of consumers, producers, suppliers and service providers in the respective county;
• (b)promote the regulation of developing markets;
• (c) ensure that the quality of goods produced and services delivered are of high standard;
• (d) effectively administer control over persons threatening tothelifeor healthof individuals, property and State, public interest or nature and cultural heritage;
• (e)ensure that thelicensingfees imposedwithrespect tothelicence arenotprohibitive and donot hinder the conduct of business; and
• (f) ensure that each category of the licences offered by the county government is designated a unique code.

PARTIII-LICENSINGPROCEDURE

7. (1) An application for the grant, renewal, transfer or replacementof alicenceor avariationof a conditionfor theissuanceofalicenceshall—— 2. (a) be made in writing and in the prescribed form; 3. (b) contain such information as is prescribed under the respectivelicensinglegislation; and 4. (c)besignedby the applicant or inthecaseof an

Applicationfor granting, amendment, renewal restorationand replacement of licence.

Obligationsof county governments.

application for transfer of a licence be signed by the applicant and the proposed transferee.

(2) A licensing authority shall, within three years of the commencement of thisAct,putinplacemechanismsto enable the electronic applicationfor grant,renewal, transfer orreplacement of alicence or a variation of a conditionfor the issuance of a licence.

(3)Apersonmaymakeone application tothesame licensing authority in relation to more than one licence with respect togoods or servicesfallingwithin the same sector.

(4)Apersonshallpaytothe relevant licensing authority the application fees payable under the relevant licensinglegislation.

8. A county government shall, in the enactment of Single application legislationandfortheeffectiveadministrationofthe process. licensing processes, prescribe procedures for a single than onelicence.

9.(1) A licensing authority may serve a notice on an applicant requiring the applicant to provide such further information asmayberequired to determine an application for a licence under the respective licensing legislation.

(2) A notice under subsection (1) shall be made within threedays ofreceiptofthe application andshall specify the time within which the applicant shall furnish the informationrequestedin thenotice and theperson towhom suchinformationshallbesubmitted to.

(3) The licensing authority may reject an application without dealing with it anyfurther if the applicant fails to comply with the notice under subsection (1).

(4)Aperson whose applicationhasbeenrejected under subsection (3) shall forfeit any application fees paid to the respective licensing authority.

10.(1) Where a licensing authority intends to vary the conditions of fees payablefor the issuance of a licence,the licencingauthorityshall—

• (a) undertake public participation and consult with stakeholderslikelytobeaffectedattheformative

Noticeforfurther information.

Consultation.

stage of the proposal;

• (b) undertake a regulatory impact assessment which shallincludeacostsbenefitanalysisof the proposed variation;
• (c)providesufficientinformationtomembersof the publictoenablethemtomakeaninformed decision;
• (d) allowfor adequatetimeforconsiderationof proposals by members of the public;
• (e) take into account the comments and proposals submitted under paragraph (a); and
• (f) publicise the final decision taken with respect to the proposals.

(2) In carrying out public participation under subsection(1),thelicensing authority shall adhere to the requirementssetoutundersection91of theCounty GovernmentsAct.

11. (1) A licensing authority shall where the respective legislationrequires an application tobe advertised,publish a notice of the application in at least one daily newspaper ofwidecirculationinthecountyandshall causetobe advertised in alocal radiostation or through such other electronicmedia as the authorityshall consider appropriate.

• (2) A notice under subsection (1) shall include —

2. (a) a statement for the submission, to the licensing authority by any person, of relevant information with respect to the application; and 3. (b) set out the procedure by which,andthe time within which,submissions shall be made to the licensing authority.

(3)The date referred to in subsection 2(b)shall not be earlierthanfourteendaysandnotlater thantwentyeight days after thedateonwhicha notice isfirstpublished underthissection.

Withdrawal of application.

12. (1) An applicant may withdraw an application at y any time before a licence is issued under section15.

(2) A person who withdraws an application under No.17 of 2012.

Advertising of applications.

subsection(1) shall forfeit anyfeespaid in connection with an application made under this Act or the respective county licensing legislation.

(3)Notwithstanding subsection (2), a county governmentmayenactlegislationprovidingfor circumstances under which fees paid by an applicant for a licence may be refunded.

13. (1) A licensing authority shall be deemed to have allowed an applicationif thelicensingauthorityfailsto determine the applicationwithin twenty eight days after the applicationismadeorwithinthetimeprescribedin the relevant licensinglegislation,whicheveris earlier.

• (2) In calculating a period referred to in subsection (1), the following periods shall be excluded-

2. (a)anyperiodbetween thedateonwhicharequestfor further information or supporting evidence is made under section9; 3. (b)anyperiodbetween thedateonwhichanoticeis published under section 9(2) and the date fixed by thenoticeasthedatebywhichanysubmission with respect to the application must belodged; 4. () any period,not exceeding fourteen days,between the date on which the licensing authority refers the applicationtoanotherpersonandthedateon which the authority receives a response to that referencefrom thatotherperson;or 5. (d) any period between the date on which the licensing authorityreferstheapplicantfor assessment and thedateonwhichtheauthorityobtainsorreceives the results of an assessment where the licensing authorityhasreferredtheapplicationfor assessmentinconnectionwiththedeterminationof the application. 14. A licensing authority may- 7. (a) grant an application for a licence unconditionally; 8. (b) grant the application subject to conditions authorised by therelevant licensinglegislation; or

Periodof determination of application.

Determination of application.

(c)refuse the application

15. (1) A licensing authority shall inform the applicant ofitsdecisionunder section14withinsevendaysof the decision.

(2) Where an objection has been raised with respect to an application for a licence,the licensing authority shall inform, in writing, the person objecting to the issuance of a licence of its decision with respect to the objection.

(3)If the decision of a relevant licensing authority is to refuse an application,the authority shall inform the applicant, in writing,of the reasons why the application wasrefused.

16. (1) A licensing authority that grants an application shallissuetothe applicantanoriginalorreplacement licence, as the case requires.

• (2) A licence shall be issued under subsection (1)-

2. (a)whentherelevantlicensingauthorityinformsthe applicant ofits decision to grant the licence; and 3. (b)uponthepaymentofanyfeerequiredbythe relevant licensing legislation.

• (3) A licence issued under this section shall include-

5. (a) a unique identifier; 6. (b) the code of the category of the license; 7. ()name of the licensing authority; 8. (d)thenameofthelicensee; 9. (e)the nature of thebusiness towhich thelicence relates; 10. (f) a reference to the provisions of the relevant licensing legislation; 11. (g) the authority conferred by the licence; 12. (h) conditions to which the licence may be subject; 13. (i) the date on which the licence comes into force; 14. (j) the date on which the licence expires; and 15. (k) such other information that the relevant licensing

Notice of decision on application.

Issuanceof licence.

authoritymayconsider appropriatetoinclude.

17.(1)A licence comes into force on the date on which it is issued or on a date specified on thelicence.

(2)A renewed licence comes intoforce on thedate following the expiry date of the licence it renews and for the period stipulated in the licence.

(3) Subject to the provisions of the relevant licensing legislation,if anapplicationfor renewalof alicenceis madebefore the date onwhich thelicencewould expire, thelicence remainsin forceuntil the dateon which the applicant is notified of the relevant licensing authority's decision on the application to renew thelicence.

18.(1) A licensee shall be required to observe the followingconditionsinadditiontothosethatmaybe imposed by the licensing authority or under the respective county legislation-

• (a)toprovidethe service orcarryout thebusiness specified in the licence;
• (b)to comply with all applicable laws and the conditionsforissuance of thelicence;
• (c)toprovidethelicensing authoritywithinformation with respect to any change in its directorshipor shareholding in accordance with section 22;
• (d) to pay such fees as may be prescribed; and
• (e) to maintain,and where required,submit to the licensing authoritysuchinformationasmaybe necessaryforthe continued licensing of thelicence holder.
• (2)A licensing authority shall, unless the circumstances or facts relating to the application vary and the licensing authority considers it proper,impose the same conditions for the issuance of the same type of licence.

19.(1)Subject to the provisions of this Act and licensing legislation enacted by the relevant county government, a licensing authority may vary a condition attached to a licence.

(2) Before varying a condition of a licence under subsection (1), the licensing authority shall give notice in writing to the affected licensees and by publication in a Durationof licence.

Conditionsfor issuanceof licence.

Variationof conditionsofa licence.

newspaperofnationwidecirculationandthroughsuch other mediaas thelicensing authorityshallconsider appropriate.

• (3) A notice under subsection (2) shall-

2. (a)specifythevariationintendedtobemadewith respectto the licence; 3. (b) set out the reasons for such variance; 4. ()specify the timewithinwhich thevariation shall take effect; 5. (d) require the licensee and any other person to submit anyrepresentationswithin thirtydays fromthe date ofthenotice; 6. (e) specify the place from which information relating to thevariation may be obtained; and 7. s set out such further information as the licensing authority may consider necessary. 8. (4)Where avariationis intended to remedy or prevent an act which may be against public interest, the licensing authoritymayvary thecondition andinform the licenseein writingwithinonedayofsuchvariationandreasons thereof. 20. (1) A licensing authority may cancel a licence if the licensee - 10. (a) fails to meet any condition imposed by the licensing authority; 11. (b) fails to comply with the provisions of the licensing legislation; or 12. (c) surrenders the licence to the relevant licensing authoritytogetherwithanoticesettingouta request that thelicence be cancelled. 13. 21.(1) An applicant or any other person who is aggrieved by a decision of a licensing authority with respect totheapplication or cancellationof alicencemay apply for a review of the decision — 14. (a) in accordance with the relevant licensing

Cancellationof licence.

Reviewof decisions.

legislation; or

• (b) to the extent to which the relevant licensing legislationdoes not providethe applicant with such right,to the county executive committee memberresponsibleformattersrelatingtothe subjectofthelicence.

(2)Anapplicationforreviewshallbedetermined withintwenty-onedaysof theapplicationfor reviewor such time as may be prescribed by the relevant licensing legislation,whicheveris shorter.

PARTIV-ADMINISTRATIONOFLICENSING SCHEMES

22.Aperson whoholdsalicence shall notifythe respectivelicensing authorityof any change thatoccursin the licensee's name, directorship, shareholding, address or registered particulars,within fourteen days after the change.

23. (1) A licensing authority shall keep and maintain a licence register.

• (2) A register under subsection (1) shall contain-

2. (a) information contained in a licence and specified under section 16(3); 3. (b) the type of entity to which the licence is issued; 4. (c) information withrespect toanyre-issuance, revocation, suspension, transfer or variation of a licence; and 5. (d)such otherinformation asmaybeprescribed under the respective county legislation. 6. (3)A licensing authority shall- 7. (a) make the register available for inspection by membersofthepublic;and 8. (b) provide such information with respect to a licence issued by the licensing authority upon application under the respective licensing legislation; and 9. ()make theregister accessible to the public online. 10. (4)A licensing authority to which an application for

Change in particulars.

Administration of registerof licences.

informationismademaychargeaprescribedfeefor the provisionofinformationundersubsection(3)andthefee shall not exceed the actual cost of making copies of such information nandwhere applicable, supplying the information to the applicant.

24. (1) A licensing authority shall be guided by the following principles in setting the fees for issuance of a licence under therespective county legislation-

• (a)authoritytosetthefeesand thesettingoffees within the scope of the authority;
• (b) need to ensure efficiency in the delivery of goods and services;
• (c) accountability;
• (d) public participation;
• (e)avoidanceofmultiplicityintheissuanceof licences and multipleimposition of fees where goods are transported across different counties.
• (f) cross-subsidizationwherefeescollectedfor providinga categoryofgoodsor servicescovers the costs incurred in providing goods and services in another category in accordance with existing legislation;
• (g) adherence to existing policy on the charging and collection of fees; and
• (h) avoidance of multiple licensing in a specific sector.

(2)Each county government shall formulate a licensingfeespolicyfor theimposition offees and issuance of licences by the respective county.

(3)A county government shall, in formulating a licensing fees policy, be guided by the principles set out under thisAct.

• (4) A licensing authority may impose -

2. (a) a licence fee for an application for the grant, transferorrenewalofalicence;and 3. (b) an annual licence fee for administering and monitoring a licence.

Licensing fees.

• (5) In determining the fee payable with respect to a licence, a licensing authority-

2. (a) shall act in accordance with the licensing fees policy; 3. (b)mayfixdifferentfeeswithrespecttothedifferent types of licences; 4. (c)maywaivetherequirementforfees andprescribe conditionsfor such a waiver; 5. (d) shalltake intoaccount the costs incurredin administering the licensing scheme; and 6. (e) shall ensure that the fees set do not adversely affect competition andinvestment. 7. (6)Pursuant tosection20(1)(a)and(c)of the Intergovernmental Relations Act, the Council of County Governorsshallprovideaplatformfor consultationand collaborationby county governments in— 8. (a)establishingasystem tofacilitatetheeffective implementation of thisAct;and 9. (b)establishing andimplementingharmonised processes forissuance of licences and imposition of feeswheregoods aretransported acrossdifferent counties 25. (1) Where a licensing authority is required to serve a notice on a person under this Act or any other licensing legislation,the authority shall serve the notice- 11. (a) in the case of an individual by-- 12. (i delivering it personally to the individual; 13. (ii) sendingitbyregisteredpost,addressed tothe individualattheaddressindicatedonthe application as the individual's postal address, for service of notices; 14. (ii)leavingitwithanauthorisedpersonatthe individual's place of residence or business; or 15. (iv)sendingitby means sofelectronic communicationtotheindividualatthe address indicated in the application as the

Service ofnotices.

individual's address for service for electronic communication;and

• (b) in the case of a company by--
• (i) delivering it to the person concerned in the company'smanagement andauthorizedto receive documents on behalf of the company;
• (ii) sendingit by registered post,addressed to the companyat the address indicated on the application as the company's postal address, for service of notices;
• (i) leaving it with a person authorised to accept service onbehalf of the company; or
• (iv)sendingitby means ofelectronic communicationtothe company at the address indicated in the application as the company's addressfor service for electronic communication.
• (2)A noticerequiredtobeserved onjoint applicants orjointlicenseesshallbedeemedtohavebeenservedon all of them when it is served on any of them.

26. A fee payable with respect to a licence or an applicationfor alicencemayberecoveredby therelevant licensingauthorityasadebt inacourtofcompetent jurisdiction. 27. A person who contravenes a provision of this Act commits an offence and is liable, on conviction to a fine not exceeding one million shillings or to imprisonment for a term not exceeding sixmonths or toboth. 28. (1) The Cabinet Secretary may make Regulations for the better carrying out the provisions of this Act.

• (2)For the purposes of Article 94(6)of the Constitution-
• (a) thepowerof theCabinetSecretarytomake regulations shall be limited to bringing into effect theprovisionsof thisAct andthefulfilmentofthe

Recoveryof unpaid fees.

General penalty.

Regulations.

objectives specified under subsection (1); and

• (b) the principlesandstandards set outunder the Interpretation and GeneralProvisionsAct and the Statutory Instruments Act, 2013 in relation to subsidiary legislation shall apply to regulations made under this Act.

29. (1) A county assembly may enact legislation to respective county.

• (2) Notwithstanding the generality of the provisions of subsection (1), a county assembly may enact legislation to provide for-
• (a) singular licence application framework;
• (b) conditions applicable to different categories of licences;
• (c)measures to ensure ease and mitigating the cost of doing business within the respective county;
• (d) acoding systemfor allcategoriesof licenses issued by the county government
• (e) prescribed forms for the application for a licence;
• (f) a fee that may be imposed with respect to an application made under this Act;
• (g) conditions for the refund of any fees paid with respect to an application made under thisAct;
• (h) framework for the review of a decision of a licensing authority under this Act; and
• (i) such other matter as the respective county assemblymaydeemnecessaryforthebetter carrying outoftheprovisionsof thisAct.

Cap.2. No.23of2013.

County legislation.

I certify that this printed impression is a true copy of the Bill as passed by theSenate on 21st February,2024.

ClerkoftheSenate

Endorsedfor presentation to theNationalAssembly in accordance with the provisions of standing order 161 of the Senate Standing Orders.

SpeakeroftheSenate