Kenya Red Cross

Annual Report 2008 Fundamental Principles of the International Red Cross and Red Crescent Movement

Humanity The International Red Cross and Red Crescent Movement, born of a desire to bring assistance without discrimination to the wounded on the battlefield, endeavours, in its international and national capacity, to prevent and alleviate human suffering wherever it may be found. Its purpose is to protect life and health and ensure respect for the human being. It promotes mutual understanding, friendship, cooperation and lasting peace amongst all people.

Impartiality It makes no discrimination as to nationality, race, religious beliefs, class or political opinions. It endeavours to relieve the suffering of individuals, being guided solely by their needs, and to give priority to the most urgent cases of distress.

Neutrality In order to continue to enjoy the confidence of all, the Movement may not take sides in hostilities or engage at any time in controversies of a political, racial, religious or ideological nature.

Independence The Movement is independent. The national societies while auxiliaries in the humanitarian services of their governments and subject to the laws of their respective countries must always maintain their autonomy so that they are able at all times to act in accordance with the principles of the Movement.

Voluntary Service It is a voluntary relief Movement not prompted in any manner by desire for gain.

Unity There can be only one Red Cross or Red Crescent Society in any one Country. It must be open to all. It must carry on its humanitarian work throughout its territory.

Universality The International Red Cross and Red Crescent Movement, in which all Societies have equal status and share equal responsibilities and duties in helping each other is worldwide.

©2008, Kenya Red Cross Society Annual Report

Editors: Titus Mung’ou, Nelly Oluoch Photography: Jacob Murimi, Alex Njoroge Translation: Titus Mung’ou

Printing: UNON, Publishing Services Section, Nairobi, ISO 14001:2004-certified. Vision To be the leading humanitarian organisation in Kenya, self-sustaining, delivering excellent quality service of preventing and alleviating human suffering to the most vulnerable in the community

Mission To build capacity and respond with vigour, campassion and empathy to those affected by disaster and at risk, in the most effective and efficient manner.

Core Values Transparency and accountability Integrity Respect national boundaries Commitment to customers of Kenya Red Cross Teamwork Results-oriented Efficiency Professionalism Good governance Environmental consciousness Respect human dignity

Kenya Red Cross Society Headquarters, Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

2 Contents

Abbreviations ...... 4 National Executive Committee ...... 6 Governor’s Statement ...... 8 Taarifa ya Gavana ...... 9 Secretary General Statement ...... 10 Taarifa ya Katibu Mkuu ...... 12 Highlights of 2008 ...... 14 Post-Election Violence in Kenya ...... 18

Disaster Preparedness and Response ...... 22 Disaster Preparedness ...... 24 Disaster Response ...... 26 Climate Change ...... 30 Tracing ...... 31

Health and Social Services ...... 32 First Aid ...... 34 HIV/AIDS ...... 36 Disease Control and Prevention Programme ...... 39 Blood Donor ...... 44 Social Services ...... 46

Water and Sanitation ...... 50 Emergency WatSan Response ...... 54

Human Capital and Organisational Development ...... 56 Capacity Building and Institutional Development ...... 59 Dissemination ...... 60 Information and Communication Technology (ICT) ...... 62 Programmes ...... 63

Regional Updates ...... 65 2008 Branch Updates ...... 66 Youth ...... 67 Human Capital Development ...... 68 Training...... 69

Supply Chain ...... 70 Procurement ...... 72 Logistics and Warehousing ...... 73 Business Development ...... 75

Public Relations ...... 78

KRCS Supporters 2008 ...... 82 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Annual Accounts Report ...... 88 Treasurer’s Report for the Financial Period Ended 31 December 2008 ...... 89 Administration and Coordination Account Financial Report for the Year Ended 31 December 2008 .....94

3 Abbreviations

ACT Artemisia Combine Therapy HCOD Human Capital and Organisational AGM Annual General Meeting Development AIDS Acquired Immuno-Deficiency HF High Frequency Syndrome HH Household Amcross American Red Cross HIV Human Immunodeficiency Virus ANC Antenatal Care HSS Health and Social Services ANNPCAN African Network for the Prevention ICASA International Conference on AIDS and Protection against Child Abuse and STIs and Neglect ICRC International Committee of the Red APDK Association of the Physically Cross Disabled of Kenya ICT Information Communication and ARCHI African Red Cross Health Initiative Technology ART Anti Retroviral Therapy IDP Internally Displaced Person ARV Antiretroviral IEC Information Education and ASAL Arid and Semi Arid Lands Communication CAS Company Agreement Strategy IFRC International Federation of Red CBFA Community Based First Aid CFA Commercial First Aid Cross and Red Crescent Societies CD Compact Disk IGA Income Generating Activity CDC Centre for Disease Control IHL International Humanitarian Law CHF Swiss Francs IRS Indoor Residual Spraying CHW Community Health Worker ITNs Insecticide Treated Nets COPA Child Online Protection Act JKUAT Jomo Kenyatta University for CPR Conflict Preparedness and Agriculture and Technology Response KRCS Kenya Red Cross Society DREF Disaster Relief Emergency Fund Ksh Kenya Shillings DMIS Disaster Management Information LLINs Long Lasting Insecticide Treated System Net DPR Disaster Preparedness and LVP Lake Victoria Partnership Response MCH Maternal Child Health DSG District Steering Group MDGs Millennium Development Goals EC European Commission MoH Ministry of Health ECHO European Community MoU Memorandum of Understanding Humanitarian Office MT Metric Tonnes EMOP Emergency Operation Programme NASCOP National AIDS & STIs Control EMOP-PEC Emergency Operation Programme- Programme Post Election Conflict NBTS National Blood Transfusion Services EOC Emergency Operation Centre NDRT National Disaster Response ERU Emergency Response Unit Training EU European Union NEC National Executive Committee FGD Focus Group Discussion NEP North Eastern Province FHHBC Family Health Home Based Care NFIs Non-Food Items FM Frequency Modulation NGOs Non-governmental organisations

KENYA RED CROSS SOCIETY CROSS RED KENYA GBV Gender Based Violence GFATM Global Fund Against Malaria, TB and Norcross Norwegian Red Cross HIV NS National Societies GIP Garissa Integrated Project OD Organisational Development GoK Government of Kenya OFA Occupational First Aid GRC German Red Cross OVC Orphans and Vulnerable Children GTZ German Agency for Technical PATUSKI Pamoja Tuangamize Umaskini 4 Cooperation PWD People With Disabilities HBC Home Based Care PEV Post Election Violence PHAST Participatory Hygiene and TR Tracing Requests Sanitation Transformation TV Television PHO Public Health Officer UHF Ultra High Frequency PLHIV People Living With HIV UN United Nations PM Prime Minister UNEP United Nations Environment PMTCT Prevention of Mother to Child Programme Transmission UNDP United Nations Development PNS Participating National Societies Programme PR Public Relations UNFPA United Nations Population Fund PRSK Public Relations Society of Kenya UNHCR United Nations High Commissioner RBTC Regional Blood Transfusion Centre for Refugees RC Red Cross UNICEF United Nations Children’s Education RCAT Red Cross Action Team Fund RCM Red Cross Message UNOCHA United Nations Office in Charge of RCRC Red Cross/Red Crescent Humanitarian Affairs RDRT Regional Disaster Response Team UNV United Nations Volunteers RFL Restoring Family Links URCS Uganda Red Cross Society SAF Safer Access Framework US$ United States Dollar SFA Senior First Aid USD United States Dollar SIDA Swedish International Development USIU United States International Cooperation Agency University SRH Sexual Reproductive Health VCA Vulnerability Capacity Association SSB Stabilized Soil Block VCT Voluntary Counselling and Testing STI Sexually Transmitted Infections VHF Very High Frequency SWAK Society of Women with AIDS in VHS Video Home System Kenya WatSan Water and Sanitation TB Tuberculosis WFP World Food Programme ToT Training of Trainers WHO World Health Organisation WRCD World Red Cross Day 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

5 KENYA RED CROSS SOCIETY Dr. Maingi S.K. Mr. StanslausM.Gachara Dr. RobinsonOcharo Mr. Maalim Mahboub Brig. Emiliano Tonui Col. Ayub (Rtd) Githiri Mr. JohnKariuki Members Capt. KSBiwott Vice Chairman E.G.H Hon. LabanKitele Chairman MEMBERS DISASTER COMMITTEE Dr. JosephSitienei Dr. EstherOgara Prof. IsaacMbeche Mr. Maalim Mahboub MzeraComm. Rachel Mrs. DolatKarim Waljee Dr. J. J. Nyamongo Mr. JohnKenduiwo Githiora Brig. Titus Justice Fred Ochieng’ CouncilOther Members Mr. SamuelNyairo Mr. JoramOranga Dr. Leah Wanjama Dr. Said Mohamud Mr. JohnKariuki Hon. LabanKitele, E.G.H. S.Biwott K. Capt. (Rtd) Hon. A. Yussuf Mr. Patrick Mwai Members Mr. Lawrence Orowe LegalCo-opted, Advisor Dr. AnisaOmar Advisor Medical Co-opted, Mr. Francis Masika Treasurer Mr. A.Molu Governor1st Deputy Mr. Paul Birech K. Governor MEMBERS EXECUTIVE COMMITTEE the ArmedForces oftheRepublic ofKenya CGH, MP, President of andCommander-in-Chief His Excellency, Hon.Mwai Kibaki, PATRON

NationalExecutive Committee2008

Kenya RedCrossSociety

Mr. DominicKiruthi Mr. Lawrence Orowe Mr. Peter MuchaiMbugua Ms. Lynette Ochola Hon. LabanKitele, E.G.H. Mr. AA.Molu Members Mr. JohnKenduiwo Vice Chairman Mr. Francis Masika Chairman MEMBERS FINANCE COMMITTEE Prof. IsaacMbeche Githiora Brig. Titus Mr.Muchemi Wanjuki Mr. ShabirAnsari Dr. Leah Wanjama Mrs. DolatKarim Waljee Mr. Francis Masika Mr. H. Abdulkadir Yussuf Hon. LabanKitele, E.G.H. Mr. A.Molu Members Mr. Patrick M.Mwai Chairman DEVELOPMENT MEMBERS COMMITTEE Biwott S.K. Cpt (Rtd) Dr. Said Mohamud Mr. JohnKariuki Julius Inyingi Eng. ZablonOonge Eng. D. M. Wanjau Dr. Muraguri Nicholas Ben Adika Prof. DanKaseje Dr. JasonGitheko Dr. Consolata M’mayi Dr. JohnSimiyu Dr. EstherOgara Members Dr. AnisaOmar Chairperson HEALTH MEMBERS COMMITTEE Kiluva Rosemary Mrs. Mr. Mutua Ezekiel Mr. Gitonga Imaita Eng. Prof. Kosgey ReubenK. Mr. JohnKariuki

PICTORIAL National Executive Committee 2008

From top, a section of the Kenya ACCOUNTS REPORT AND ANNUAL Red Cross Society NEC members during the 2008 Annual General Meeting, launch of Utu Scheme and a regular meeting. 7 Governor’s Statement

The year 2008 was the most challenging in the recent past for the Kenya Red Cross Society (KRCS). Disaster after disaster was experienced across the country, for almost the entire year.

The National Executive Committee (NEC) members, the Management and supporters of the Society worked tirelessly to ensure the implementation of the Kenya Red Cross Society Strategic Plan of 2006-2010 that mainly focuses on decentralisation of operations and attainment of financial sustainability.

Decentralisation has been a major undertaking by KRCS, Over the years, the partnership with corporate which now has six Regions namely West Kenya, Upper organisations have expanded, spreading to the water and Eastern, Lower Eastern, Coast, North Rift, North Eastern, sanitation services, disaster response and logistics. I wish South Rift and Central. The Society has 62 Branches to assure our donors and supporters that the Society has countrywide. strengthened its capacity to implement projects funded by our donors, as well as the mechanisms to ensure The December 2007 General Election sparked off the worst accountability and transparency in our operations. violence that uprooted more than 600,000 people, from their homes, with 350,000 living in temporary shelters for On behalf of NEC, I congratulate the Secretary General, several months. The coordination role played by KRCS, Mr Abbas Gullet, for guiding the Society to greater which was appointed the lead agency in humanitarian achievements especially during turbulent times in 2008, response, was the hallmark of its humanitarian activities that threatened the foundation of our nation following in modern times. I commend the donors, Red Cross the post election violence. The Secretary General, staff Movement partners, the Government, humanitarian and volunteers deserve special recognition for emereging agencies and various United Nations institutions that stronger, even after daunting tasks at their work stations. supported us throughout this period. Kenyans are proud of your exemplary work.

We have been honoured to receive special tribute in Once again, our volunteers have proved to be the pillar recognition of the Society’s work during the post election of KRCS’s success, often devoting their energies, time and violence and other disasters. Those who hailed KRCS lives to the worthy course of alleviating human suffering. exemplary work include H.E. the President, Mwai Kibaki, Their role during the post election violence, floods, fire Prime Minister, the Right Hon. Raila Odinga, Minister for tragedies and conflicts, underscored the Society’s quest to Special Programmes, Dr. Naomi Shaban, the former UN attain its mandate and objectives within the Strategic Plan Secretary General, Kofi Annan, UN agencies, various public of 2006-2010. and private institutions. The National Youth Elections held in September 2008 I thank the Kenyan public, donors and friends of the Kenya provided another platform to enable our youth to Red Cross for their immense support through donations participate fully in the Society’s decision-making and involvement in humanitarian activities. structures. As part of capacity building, some members of the youth committees attended conferences and seminars Kenya Red Cross expanded most of income generating within and outside the country. We shall involve as many projects during the year under review, thus enhancing youth in other functions that will sharpen their skills, in self-sustainability as envisaged in the Strategic Plan of readiness to lead KRCS in future. 2006-2010. The Red Court Hotel is now an ideal conference and restaurant venue in Nairobi. Phase two of the Red We have worked as a team, harnessed our efforts and Court Hotel and other Regional hotels facilities, are among resources to surmount the challenges we faced in 2008. the income generating activities under construction. We are therefore more determined to face the 2009 with renewed hope of achieving better results. This is the year The appointment of Gina Din-Kariuki, as the Goodwill when KRCS will hold events marking 150 years of the Red Ambassador also confirmed our commitment to diversify Cross Movement. And for the first time in Africa’s history, our fundraising platform. Din Kariuki’s vast experience in Kenya will host the 17th Session of the General Assembly the corporate field and resource mobilisation will be quite of the International Federation of Red Cross and Red invaluable to KRCS. Crescent Societies in November. KENYA RED CROSS SOCIETY CROSS RED KENYA

I also commend the Management for launching the I wish you a fruitful year. Utu Scheme, a fundraising initiative that aims to raise donations from Kenyans of all walks of life. it is important to nurture well the income generating projects initiated by various departments, regions and branches. Furthermore, the partnership forged by KRCS with some research and learning institutions, businesses community and corporate Mr Paul Birech 8 organisations is quite vital in integrating humanitarian Governor activities in the country’s development as a whole. Kenya Red Cross Society Taarifa ya Gavana

Mwaka wa 2008 ulikuwa na changamoto nyingi katika Katika miaka ya hivi karibuni, ushirikiano wa KRCS historia ya Shirika la Msalaba Mwekundu la Kenya na mashirika mengine umeendelea kuimarika hadi (KRCS). Mkasa baada ya mwingine ulishuhudiwa kote kuhusisha shughulikama vile maji na usafi, ukabilianaji nchini, kwa karibu mwaka mzima. na mikasa, uchukuzi na usafarishaji wa msaada wa kibinadamu. Ninawahakikishia wahisani wetu kuwa Wanachama wa Kamati Kuu ya Kitaifa (NEC) ya KRCS, Shirika limeimarisha uwezo wake wa kutekeleza miradi wasimamizi na wahisani walifanya juhudi kubwa iliyofadhiliwa na wahisani, pamoja na mipango ya kuhakikisha utekelezaji wa Mkakati wa Mipango ya kuhakikisha uwajibikaji na uwazi katika shughuli zetu. 2006-2010, hasa ugatuaji mamlaka hadi sehemu za mashinani na uimarishaji wa uwezo wa kifedha. Kwa niaba ya NEC, ninampongeza Katibu Mkuu, Bw Abbas Gullet, kwa kuongoza Shirika katika kipindi Ugatuaji wa mamlaka unaendelea kutekelezwa na kigumu zaidi mnamo 2008; kipindi kilichotishia msingi KRCS, ambapo sasa kuna Majimbo sita - Magharibi wa taifa letu kufuatia ghasia za uchaguzi na ghasia mwa Kenya, Kaskazini Kusini, Kusini mashariki, Pwani, katika sehemu kadha nchini. Katibu Mkuu, wafanya Kaskazini mwa Bonde la Ufa, Kusini mwa Bonde la Ufa kazi na wahudumu wa kujitolea wa Shirika wanastahili na Kati. Shirika lina matawi 62 kote nchini. heko kwa udhabiti wao baada ya kipindi kigumu katika sehemu zao za kazi. Wakenya wanajivunia kazi yenu Uchaguzi Mkuu nchini mnamno Desemba 2007 nzuri. ulisababisha ghasia kwa kiwango kikubwa katika historia ya Kenya ambapo zaidi ya watu 600,000 Wahudumu wa kujtolea wa KRCS ni nguzo kuu katika walitoroka makwao huku wengine 350,000 wakiishi kama wakimbizi katika kambi za muda. Jukumu kuu shughuli zetu, kwa vile kila mara walijitolea kutekeleza la Shirika la Msalaba Mwekundu la Kenya, lililoteuliwa kazi muhimu ya kuokoa maisha ya binadamu katika na Serikali kuongoza shughuli ya utoaji misaada ya mikasa. Kazi yao nzuri wakati wa ghasia za uchaguzi, kibinadamu, lilikuwa kitambulisho sahihi cha kujitolea mafuriko, mikasa ya moto na mapigano ya kijamii, ni kwetu kutoa usadizi kwa binadamu. Ninawapongeza dhihirisho la jukumu la Shirika na malengo yake katika wahisani, jamii ya Msalaba Mwekendu, mashirika ya Mkakati wa Mipango ya 2006-2010. kutoa misaada ya kibinadamu na taasisi za Umoja wa Mataifa, kwa usaidizi wao mwaka mzima. Uchaguzi wa Kitaifa wa Vijana wa KRCS ulifanyika Septemba 2008, hivyo basi kutoa fursa kwa vijana KRCS lilitambuliwa kutekeleza kazi yake nzuri. Baadhi kuhusika katika maamuzi ya Shirika. Kama njia ya ya waliotambua kazi nzuri ya Shirika letu ni Rais Mwai kuimarisha uwezo wa vijana, baadhi ya wanachama Kibaki, Waziri Mkuu, Mhe. Raila Odinga, Waziri wa wa kamati za vijana nchini walihudhuria kongamano Mipango Maalum, Dkt Naomi Shaban, aliyekuwa Katibu na warsha kadha nchini na nchi za kigeni. Tunalenga Mkuu wa Umoja wa Mataifa, Kofi Annan, mashirika kuhusisha vijana zaidi katika shughuli zingine ili mbalimbali ya umma na kibinafsi. kuongeza uwezo wao, ili kuwatayarisha kuongoza KRCS katika siku za usoni. Ninawapongeza Wakenya, wahisani na marafiki wa 2008 KRCS kwa usaidizi mkubwa kupitia michango na Tumefanya kazi pamoja, tukiweka pamoja uwezo na kujihusisha kwao katika shughuli kadha za kibinadamu. rasilmali zetu kuweza kuvuka changamoto zilizotukabili Mnamo 2008, KRCS iliongeza miradi ya maendeleo, mnamo 2008. Tumejitolea zaidi kukabili mwaka wa hivyo basi kuimarisha uwezo wa kujisimamia kifedha 2009, tukiwa na matumaini makubwa zaidi kupata kama ulivyonuiwa katika Mkakati wa Mpango wa 2006- matokeo bora. Ni mwaka ambao Shirika litakuwa 2010 wa Shirika. Hoteli ya Red Court jijini Nairobi sasa ni mwenyeji wa maadhimisho ya miaka 150 ya Shirika mahali pa kifahari kwa kumbi za mikutano na sherehe. la Msalaba Mwekundu. Kwa marak ya kwanza katika Mara tu baada ya kukamilishwa kwa sehemu ya pili ya historia ya Africa, Kenya itaandaa Kongamano la 17 hoteli ya Red Court na hoteli zingine katika sehemu la Baraza Kuu la Mashirika ya Kimataifa ya Msalaba za mashinani, uwezo wa KRCS wa kupata rasilmali, Mwendu, mwezi wa Novemba. utaimarika zaidi. Ninawatakia mwaka wa manafikio makubwa. Uteuzi wa Balozi Mwema wa Shirika, Bi Gina Din-Kariuki, pia ulithibitisha kujitolea kwetu kuimarisha uwezo wetu wa kupanua rasilmali. Tajriba ya Bi Din-Kariuki katika mashirika mbalimbali ya umma, hususan maswala ya kuongeza rasilmali utakuwa muhimu sana kwa KRCS. ACCOUNTS REPORT AND ANNUAL

Ninawapongeza pia wasimamizi wa Shirika kwa kuzindua mpango wa ‘Utu’ unaolenga kuchangisha fedha kutoka kwa Wakenya wa tabaka mbalimbali. Mpango wa maendeleo katika Makao Makuu, majimbo na matawi ya Shirika, ni muhimu katika kujumuisha Paul Birech shughuli za utoaji msaada wa kibinadamu katika Gavana 9 maendeleo ya taifa kwa jumla. Shirika la Msalaba Mwekundu la Kenya Secretary General Statement

Nations and Partner National Societies (PNS) and other donors, for their support.

The achievements by KRCS during the post election violence and other complex emergencies in 2008, was a result of many years of investment in stockpiling, disaster preparedness, disaster response, training of volunteers, establishment of vibrant branch and regional structures through the regionalisation process. Indeed, in 2008 we realised the dividends of these long-term investments.

I commend the Society’s National Executive Committee (NEC) for steering the institution to greater heights in spite of the numerous challenges we faced. Programmes’ Activities During the year under review, most departments achieved their targeted results, in spite of various emergencies that competed with their regular programmes. KRCS earmarked an expenditure of The third year of the implementation of the Kenya Red Ksh1,680,826,851 during 2008, up from the previous Cross Society (KRCS) Strategic Plan for 2006-2010 was the year’s Ksh1,295,330,611, which is a significant growth year when the organisation came of age. in our programmes. We implemented other emerging disasters during the year such as the post election The dawn of 2008 witnessed the post election violence violence, drought and floods at a cost of Ksh688,510,700, that erupted in December 2007 following the disputed both in cash and kind. results of the Presidential election. The violence left at least 1,300 people dead and displaced over 600,000 Disaster Preparedness and Response others, with 350,000 internally displaced persons (IDPs) The Disaster Preparedness and Response Department living in temporary camps across the country. coordinated humanitarian response during the post election violence, mainly the management of over 300 As a national society, we were tested the most throughout camps of internally displaced persons (IDPs). In total the year – politically, economically and emotionally. We 45,356MT of food was distributed by KRCS in 2008 operated in situations that were perceived as a preserve during the post election period, Emergency Operation of international agencies. This attests to our commitment Programme (EMOP), floods and drought disasters. to the Principles of the Red Cross Movement, irrespective of political affiliation, tribe, religion and race. Emergency relief stocks for 30,000 families were prepositioned at the Headquarters and 5,000 family kits The Society had in the past assisted larger populations in every region. At community level, a number of districts during disasters such as tribal clashes, pre-election in the North Eastern Region and Coast Region benefited violence, drought and floods. However, the post election from the Drought Recovery Rehabilitation and Recovery, violence was a unique experience as it elicited high and Floods Recovery projects activities. At the grassroots, emotions and ethnic animosity. KRCS gained legitimacy at least nine KRCS branches helped establish Community whithin hopelessness that had engulfed the country. We Disaster Management Committees. The investment in the accessed places that many people could not reach, as we Emergency Operations Centre (EOC) has bolstered the provided relief aid to victims of the violence. Society’s response during disasters. Further, the Tracing Unit reunited 689 children with their families, mainly The Kenya Red Cross Society was the first organisation during the post election violence. The establishment to bring to the attention of the world the magnitude of of a Protection Unit aims to strengthen the protective the mayhem and destruction of property in the country, environment for survivors of disasters, particularly from 1st January 2008. Video images and photographs children, young people and women. taken by the Society’s staff vividly captured the gravity of the humanitarian disaster. Thousands of people fled Health and Social Services their homes to churches, mosques and schools. The The Health and Social Services Department coordinated KENYA RED CROSS SOCIETY CROSS RED KENYA preparations we had put in place months before the the provision of First Aid and emergency health services elections, enabled us to save lives and support thousands during the post election violence from December 2007 who displaced by the violence. and attended to more than 60,000 patients. Some 55,055 IDPs received psychosocial support in the camps. Due to My heart goes out to our staff and volunteers, the heroes the quality health care provided in IDP camps, there were and heroines, who sacrificed everything to ensure no cases of disease outbreaks reported in the camps. humanitarian assistance reached the needy. I salute the The First Aid Programme trained11,265 people thereby Society’s governance, the Government, the International realising Ksh11 million while the sale of products realised 10 Committee of the Red Cross (ICRC), the International Ksh26 million. In view of this, the commercial part of First Federation of Red Cross/Crescent Societies (IFRC), United Aid including courses has been diversified to empower individuals and institutions with skills for response within their homes and work places. The Blood Donor purchased 21 light vehicles and five trucks, to boost the Programme registered 21,288 donors and helped raise relief supplies fleet. The prepositioning of stocks increased 25,762 units of bloods, which accounted for 48% of the the emergency stock levels from 20,000 to 30,000 families. target. KRCS and other stakeholders collected 60% of the national blood mobilised during the year. Finance and Administration The Finance and Administration Department provided At least 13 KRCS branches were supported by different timely and efficient financial services to all departments PNS to implement the Family Home Based Care and and clients. A significant achievement during the year Peer Education Projects, mainly to improve the HIV was the auditing of accounts in all branches and regions. and AIDS services. In Disease Prevention, the Keep-Up Furthermore, the financial capacity of most regions and Malaria Project contributed to reduction of the childhood branches was strengthened to meet the competitive mortality and morbidity. The Integrated Health Outreach economic environment. Project (IHOP), the Garissa Integrated Health Project provided disease prevention services to over 60,000 Enhanced Relations people. The re-branding of KRCS yielded positive results and improved the Red Cross brand among various institutions Water and Sanitation and publics. The Society received the highest media The Water and Sanitation Department ensured the coverage in the recent years, a record 3,130 mentions provision quality services in IDP camps countrywide. in the local electronic and print media during the year. Apart from water trucking services that supplied There was extensive online publicity including weekly 6,500,000 litres of water to IDP camps, other sanitation updates of the website. A number of institutions feted facilities were pitched in the camps and homes. Timely KRCS with awards of merit, among them a Special Award and efficient interventions were made during other from the Public Relations Society of Kenya (PRSK) for Crisis emerging disasters, such as drought and floods. Management and Media Relations Campaigns during the post election violence. At least 300,000 vulnerable groups in arid and semi-arid areas were enabled to access safe water and sanitation The appointment of the KRCS Goodwill Ambassador, Mrs services, among them 10 boreholes, 11 earth dams, 58 Gina Din-Kariuki, heralds a new approach in business latrines in schools and 29 public toilets. The integration development by the Society. of Child to Child Hygiene Promotion and Youth Peer Education in schools also benefited children and youth in Hotel Business the project areas. This was the year the Red Court Hotel made business and started to pay back the initial capital of the construction Human Capital and Organisational Development of the facility. Due to viability of the hotel business, the The Human Capital and Organisational Development Society invested in the reconstruction of a warehouse at Department coordinated the activities of the Society’s 62 the Headquarters into a world-class conference facility, branches and 70,000 volunteers, who assisted thousands and extended the Red Court Hotel in Nairobi and Eldoret of IDPs during the post election period. Some 143 staff after securing U$16.6 million (Ksh1.3 billion) 10-year loan and additional 1,600 volunteers were recruited to assist from the Equity Bank. The Red Court Hotel in Nairobi now in the camps. The implementation of the regionalisation operates at 60% occupancy rate and is projected to reach process is on course; and KRCS grassroots network has 80% by the end of 2009, before reaching100% mark by been expanded following the creation of eight regions. 2010. Plans are underway to diversify investments in the hotel industry to other towns, such as Malindi, Nyeri and 2008 The construction of offices and income generating Kisumu. projects commenced and was completed in some regions and branches including West Kenya, Laikipia, Siaya, Karen- I thank the Red Cross Movement Partners, the Langata, Kitui, Kilifi and Makueni. In ICT, the Society’s Government, donors and the public for enabling us website was redesigned and the intranet developed to realise our goals in 2008. Kenya Red Cross will be thereby improving access to information by various honoured to host the 17th Session of the General publics. Three more Regional Offices were networked Assembly of the International Federation of the Red Cross to KRCS wide area network, in addition to the Coast and and Red Crescent and the 2009 Council of Delegates, and North Eastern regions. the Global Communication Forum. A number of events are lined up to commemorate 150 Years of the Red Cross In capacity building, the Kenya Red Cross established a Movement. Training Unit for internal and external staff. During the year, some staff of KRCS were seconded to ICRC and IFRC We look forward to your continued support in 2009. to take up international assignments, while some NEC members and staff also participated in international meetings to strengthen their understanding of the Red Cross Movement. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Supply Chain The Supply Chain Department was in charge logistical support during the post election humanitarian response. Abbas Gullet The Department coordinated the distribution of over 45356MT of food during the year. In collaboration with Secretary General the Government and various donors, the IDPs house Kenya Red Cross Society reconstruction project started in North Rift Region.

The prequalification of suppliers was completed by the 11 Department and will be rolled out in 2009. The Society Taarifa ya Katibu Mkuu

Mwaka wa tatu wa utekelezaji wa Mkakati wa Mpango Sh1,680,826,851 ikilinganishwa na Sh1,295,330,611, wa 2006-2010 wa Shirika la Msalaba Mwekundu la mwaka uliopita, hivyo basi kudhihirisha kukua kwa Kenya (KRCS) ni kipindi ambacho Shirika lilifikia upeo shughuli zetu. wake. Kujiandaa na Kukabiliana na Mikasa Ni mwaka ulioshuhudia ghasia za baada ya uchaguzi Idara inayohusika na kujiandaa na kukabiliana na kuanzia Desemba 2007, kufuatia utata juu ya matokeo mikasa ilikuwa mstari wa mbele katika kuratibu usaidizi ya kura ya Urais, uliosababisha kuuawa kwa watu wa kibinadamu wakati wa vita baada ya uchaguzi. Kwa wasiopungua 1,300 huku wengine 600,000 wakitoroka jumla tani 45,356 ya chakula cha msaada zilisambazwa makwao na zaidi ya watu 350,000 wakiishi katika kambi kwa waathiriwa wa mikasa kama vile ghasia za baada za muda. Shirika lilipitia kipindi kigumu zaidi katika ya uchaguzi, ukame na mafuriko mnamo 2008. Shirika historia yake – kisiasa, kiuchumi na kihisia. Tulitekeleza liliongeza kiwango cha msaada wa kibinadamu katika majukumu yetu katika maeneo yaliyodhaniwa kuwa Makao Makuu ili kuweza kutosheleza mahitaji ya familia himaya ya taasisi za kimataifa. Hii ni kufuatia uaminifu 30,000, huku kila jimbo likiwa na uwezo wa msaada wa wetu kwa Kanuni za Mashirika ya Msalaba Mwekundu kibinadamu kutosheleza familia 5,000. – bila kujali kabila, upendeleo wa kisiasa wala rangi. Tulithamini kutambuliwa kwa Baadhi ya wilaya katika Mkoa wa Kaskazini Mashariki na Pwani zilinufaika kutokana na miradi ya kukabiliana Hapo awali, Shirika lilikuwa limetoa usaidizi kwa na ukame pamoja na mafuriko. Katika makao makuu waathiriwa wa ghasia za kikabila, ghasia kabla ya ya KRCS, Kituo cha Operesheni za Dharura (EOC) uchaguzi, mafuriko na ukame. Hata hivyo, ghasia za kiliimarishwa kuweza kukabiliana na mikasa kwa njia ya baada ya uchaguzi zilikuwa za aina yake, kwa vile haraka na ifaayo, pindi inapotokea. Kadhalika, zaidi ya ziliibua hisia kali na uhasama wa kikabila. Tulikubaliwa watoto 689 waliunganishwa na familia zao, wengi wao na kila upande, hivyo basi kutuwezesha kuingia wakati wa ghasia baada ya uchaguzi. Kubuniwa kwa maeneo ambamo watu wengi walihofia kufika, kwa kitengo kingine cha ulinzi, kinanuiwa kutoa huduma minajili ya kuwasaida waathiriwa wa ghasia hizo. kwa watoto, vijana na kina mama.

Kuanzia Januari 1, 2008, KRCS ilionyesha ulimwengu Afya na Huduma ya Jamii kiwango cha maafa na uharibifu wa mali kupitia picha Idara ya Afya iliratibu utoaji wa Huduma ya Kwanza zilizonaswa na kisha kupeperushwa na vyombo vya na matibabu ya dharura wakati wa ghasia za baada habari. Maelfu ya watu walitoroka kutoka makwao ya uchaguzi kuanzia 2007. Zaidi ya wagonjwa 60,000 na kupata hifadhi makanisani, msikitini na shuleni. walitibiwa huku wengine 55,055 wakipata usaidizi Kufuatia kujiandaa kwetu miezi kadha kabla ya wa nasaha. Kufuatia kutolewa kwa huduma ya hali uchaguzi, tuliweza kuwasaidia waathiriwa wengi mno. ya juu kambini, visa vya mkurupuko wa magonjwa havikutokea. Ninatoa heko zangu kwa wahudumu wa kujitolea wa KRCS ambao ni mashujaa waliojitolea mhanga Mpango wa Huduma ya Kwanza ulitoa mafunzo kwa kuwasaidia waathiriwa. Pia, ninawapongeza watu 11,265 na kujipatia Sh11 milioni huku mauzo ya wanachama wa Kamati Kuu ya Shirika (NEC) Serikali, vifaa vya huduma ya kwanza yakizalisha Sh26 milioni. ICRC, IFRC na wenzetu wa Mashirika ya Msalaba Mafunzo ya huduma ya kwanza yaliimarishwa ili kufaidi Mwekundu waliotuwezesha kutelekeza majukumu taasisi na watu binafsi kukabiliana na mikasa nyumbani yetu. na kazini. Mpango wa kutoa damu uliwaandikisha watu 21,288 na kukusanya paini 25,762 ya damu, hivyo Kazi nzuri iliyotekelezwa na KRCS ni matokeo ya basi kufanikiwa kufikia asilimia 48 ya malengo yake. uwezekazaji rasilmali kwa miaka mingi, hususan Kadhalika, KRCS na wadau wengine walichangisha msaada wa kibinadamu, kujiandaa na kukabiliana na asimilia 60 ya damu iliyokusanywa nchini. mikasa, mafunzo kwa wahudumu wa kujitolea, na uimarishaji wa afisi za majimbo na matawi. Matawi 13 ya KRCS yalipata usaidizi kutoka kwa mashirika ya Msalaba Mwekundu kutelekeza mipango Ninawapongeza wanachama wa NEC kwa kuongoza

KENYA RED CROSS SOCIETY CROSS RED KENYA ya afya ya nyumbani na elimu ya kuimarisha huduma KRCS kufikia maendeleo makubwa, mbali na ya kupambana na ugonjwa wa Ukimwi. Pia, mradi wa changamoto nyingi tulizokumbana nazo. kukabiliana na ugonjwa wa malaria na miradi ya afya katika wilaya za Isiolo ma Garissa iliwanufaisha watu Mafanikio ya Mipango wasiopungua 60,000.

Mnamo 2008, idara zote za KRCS zilifikia malengo Maji na Usafi 12 yao, mbali na mikasa iliyoleta ushindani mkubwa Idara ya Maji na Usafi ilitoa huduma bora katika kambi kwa shughuli za kawaida. Shirika lililenga kutumia za waathiriwa wa ghasia baada ya uchaguzi. Idara ilisambaza lita 6,500,00 ya maji katika kambi hizo, mbali Ukaguzi wa hesabu katika majimbo na matawi na vifaa vingine vilivyowekwa kambini na nyumbani. ulitekelezwa huku uwezo wa kifedha wa afisi za Kadhalika, huduma za maji na usafi zilitolewa kwa mashinani ukiimarishwa zaidi. waathiriwa wa mikasa mingine kama vile mafuriko na ukame. Kuimarisha Uhusiano Shirika lilipata mafanikio makubwa wa nembo na jina Zaidi ya watu 300,000 wanaoishi sehemu kame lake miongoni mwa taasisi na umma. Sifa ya KRCS nchini walipata maji safi na vifaa vya usafi, kama vile katika vyombo vya habari ilivuma kuzidi miaka ya hapo mabwawa 10, vyoo 58 katika shule na vyoo 29 vya awali, kwa vile Shirika lilitajwa mara 3,130 na vyombo umma. Uimarishaji wa afya miongoni mwa watoto na vya habari vya humu nchini. Hii iliwezesha KRCS vijana pia ulitekelezwa shuleni. kutunukiwa vyeti mbalimbali pamoja na cheti maalum kutoka kwa Chama cha Uhusiano Mwema na Umma Maendeleo ya Shirika nchini (PRSK). Idara ya Maendeleo ya Mipango ilisimamia shughuli za matawi 62 na wahudumu wa kujitolea 70,000 Uteuzi wa Bi Gina Din-Kariuki kuwa Balozi Mwema wa waliowasaidia waathiriwa wa ghasia baada ya uchaguzi. KRCS ulikuwa hatua muhimu ya maendeleo katika Wafanya kazi 143 na wahudumu wa kujitolea 1,600 nyanja zote. walisajiliwa kutoa huduma kambini. Utekelezaji wa mpango wa kuimarisha majimbo uliendelea vyema Biashara ya Hoteli ambapo KRCS iliongeza majimbo yake hadi kufikia Huu pia ulikuwa mwaka ambapo Hoteli ya Red nane. Court ilianza kufanya biashara na kurejesha fedha zilizotumiwa katika ujenzi. Kufuatia kuongezeka kwa Ujenzi wa afisi na miradi ya kuzalisha rasilmali faida ya hoteli, Shirika lilianza ukarabati wa ghala la ulikamilika katika jimbo la Magharibi mwa Kenya, kuhifadhi msaada wa kibinadmu katika Makao Makuu pamoja na matawi ya Laikipia, Siaya, Karen-Langata, kuwa ukumbi wa kisasa wa mikutano, pamoja na Kitui, Kilifi na Makueni. Tovuti ya Shirika pia ilifanyiwa upanuzi wa Hoteli ya Red Court ya Nairobi na Eldoret, marekebisho ili kuimarisha mawasiliano miongoni mwa baada ya kupata mkopo wa miaka 10 wa Dola 16.6 wasomaji wengi. Majimbo matatu zaidi yaliunganishwa milioni (Sh1.3 bilioni) kutoka Benki ya Equity. kwa mtandao wa KRCS, mbali na majimbo ya Kaskazini Mashariki na Pwani yaliyounganishwa hapo awali. Kiwango cha wateja katika Hoteli ya Red Court ilifikia asilimia 60 ya nafasi iliyopo na inatarajiwa kuongezeka Shirika pia lilibuni kitengo cha mafunzo kwa wafanya hadi asilimia 80 mwishoni mwa 2009, na kisha asimilia kazi na wadau wengine. Baadhi ya wafanya kazi wa 100 ifikapo 2010. Mipango ya kuwekeza rasilmali KRCS walijiunga na mashirika ya ICRC na IFRC ili katika hoteli zaidi imeanzishwa mjini Malindi, Nyeri na kuongeza ujuzi wao katika maswala ya Masharika ya Kisumu. Msalaba Mwekundu. Ninawapongeza wenzetu wa Mashirika ya Msalaba Uchukuzi na Usambazaji Mwekundu, Serikali na wafadhili kwa kutuwezesha Idara inayohusika na usimamizi wa usambazaji wa kufikia malengo yetu ya 2008. KRCS itaandaa kikao cha 2008 msaada wa kibinadamu pamoja na usimamizi wa 17 cha IFRC na Mkutano wa Wajumbe wa mwaka 2009, rasilmali za Shirika ilisafirishaji tani 45,356 mwaka pamoja na Kikao cha Mawasiliano Duniani. Kadhalika, mzima, mbali na kuwasafirisha nyumbani waathiriwa KRCS inaandaa shughuli za kuadhimisha miaka 150 24,143 wa ghasia baada ya uchaguzi. Kwa kushirikana tangu kuanzishwa kwa Shirika la Msalaba Mwekundu. na Serikali, mradi wa ujenzi wa nyumba kwa waathiriwa hao ulianzishwa Kaskazini mwa Bonde la Ufa. Ni matumaini yetu kuwa utaunga mkono mipango na shughuli zetu za 2009. Shughuli ya kuwachagua wauzaji na wasambazaji wa bidhaa za Shirika zilikamilika. Shirika llinunua magari 21 na malori 5 hivyo bas kuongeza uwezo wake wa uchukuzi na usambaji wa bidhaa. Kadhalika, kiwango cha msaada wa kibinadamu kiliimarishwa kutoka familia 20,000 hadi 30,000.

Fedha na Utawala Abbas Gullet

Idara inayohusika na fedha na utawala ilitoa huduma Katibu Mkuu ACCOUNTS REPORT AND ANNUAL za kiwango cha juu kwa idara zote na wateja wengine. Shirika la Msalaba Mwekundu la Kenya

13 Highlights of 2008

PEV Humanitarian Assistance

Following Kenya’s disputed Presidential election in December 2007, large parts of the country were affected by violence that left at least 1,300 people dead and many others seriously injured. More than 350,000 people lived in camps as internally displaced persons (IDPs) while thousands were hosted by communities. Kenya Red Cross Society (KRCS) was appointed by the Government as the lead coordinating agency for response to the emergency. House Reconstruction Project

In January 2008, KRCS launched a project to reconstruct houses for internally displaced persons (IDPs) who had resettled in their farms. Thousands of people lost their houses during the Kotulo Borehole Commissioned post election violence sparked off by the disputed Presidential election results in December 2007 In June 2008, residents of Kotulo village in General Election. The exercise started with the Mandera District welcomed the commissioning launch of 10 houses in Matharu area, Katina of a borehole constructed by the Kenya Red Cross with support from the Coca Cola Company. The village in Timboroa Division of Uasin Gishu borehole that cost approximately Ksh8.5 million District on 23rd June 2008. A number of well- will serve some 4,000 people and 3,000 livestock wishers donated funds to support the project in Kotulo and outlying areas. The 300m deep that benefitted the affected communities. borehole yields 60,000 litres of water a day. KENYA RED CROSS SOCIETY CROSS RED KENYA

14 Red Cross Goodwill Ambassador the Chairman, Vice-chairman and Treasurer, who were elected by secret ballot and eight other A renowned Public Relations Consultant, Mrs Gina members, each representing a Region. The Youth Din-Kariuki, was appointed the first Kenya Red and Volunteer Manager will be ex-officio and Cross Goodwill Ambassador. Her appointment Secretary to the Committee. was made during a colourful press conference on 19th August 2008. MOU in Malaria Control

Kenya Red Cross and the Ministry of Public Health and Sanitation’s Division of Malaria Control signed a Memorandum of Understanding for the implementation of a pilot operations research project focusing on increasing access to malaria treatment at the community level in ‘hard-to- reach’ divisions in Malindi and Lamu districts in the Coast Province. The MoU was signed on 23rd July 2008 at KRC Headquarters between the Kenya Red Cross Secretary General Mr Abbas Gullet and the Head of Division of Malaria Control at the Ministry Dr Willis Akhwale.

Superbrands Award Emergency Operation Programme The world’s largest independent arbiter of brands, Superbrands, awarded the Kenya Red Cross East Pokot District was placed under the Society the Superbrands status. KRCS was the Emergency Operation Programme (EMOP) first non-commercial and non-corporate sector implemented by KRCS. On 31st July 2008, close organisation to receive the Superbrands award to a dozen lorries ferrying relief supplies were in the East African region. The ‘Red Cross’ brand is flagged off to different divisions of the district. reliability, dependable, respected and associated The flagging off was done by the Permanent with a high level of accountability, quality service, which has earned a high visibility and trust among the external publics. 2008

Lewa Marathon Donation

Over Ksh31 million (US$ 450,000) was raised through the 2008 Safaricom Marathon. This was the highest amount ever raised by the event in a single year. Ksh3.1 million was donated to the Kenya Red Cross Society to assist people who were internally displaced following post-election violence in 2007/08.

National Youth Elections ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL The National Youth committee Election was held on 15th September 2008. Those elected to the three highest offices were the Chairperson, Joram Oranga from Mombasa, Vice Chairperson, Cecily Ndegwa from Kirinyaga and treasurer, Fedelia Mwende from Uasin Gishu Branches. 15 The 11-member Youth Committee comprises Secretary in the Ministry of Special Programme, Mr Ali Mohamed, flanked by the area Member of Parliament, who is also the Assistant Minister for Education, Hon Asman Kamama, and Kenya Red Cross Secretary General, Mr Abbas Gullet. The distribution of 460MT of food comprising maize, beans and Unimix to the residents of East Pokot District followed a rapid assessment in June 2008, which revealed high levels of vulnerability of the communities to diseases and acute shortage of food.

PM Launches Utu Scheme

The Prime Minister, Right Hon. Raila Odinga, unveiled the Kenya Red Cross Society fundraising initiative, the Utu Scheme, which aims to raise funds from people of all walks of life, to support humanitarian activities. During the official launch of Utu Scheme on 18th November 2008, in Nairobi, the PM described the initiative as a noble Cross on 30th July 2008. The magnificent facility is undertaking by the Society. situated at Garissa Provincial General Hospital. Floods Appeal

On 13th November 2008, Kenya Red Cross IFRC President Tours R/Valley launched a Preliminary Appeal to raise The Secretary General of the International Ksh585,839,514 to assist over 300,000 victims of Federation of the Red Cross & Crescent Societies floods, landslides and conflicts for three months. (IFRC), Mr Bekele Geleta, toured some of the A countrywide assessment indicated that heavy worst-affected areas during the 2007/08 post rains had caused deaths, displaced hundreds of election violence, in Kenya’s Rift Valley Province. people and destroyed property worth millions of shillings. PR Award of Excellence Blood Bank Commissioned Kenya Red Cross Society won the Special Award by the Public Relations Society of Kenya (PRSK) North Eastern Province and parts of Eastern for Crisis Management and Media Relations Province received a blood satellite centre in campaigns carried out during the 2007/08 post Garissa town, commissioned by the Kenya Red election violence in Kenya. KENYA RED CROSS SOCIETY CROSS RED KENYA

16 Memorable Quotes

“During this traumatic period, the Government supported those who were displaced by providing them food supplies and also ensuring that school-going children could continue with basic learning. I want to thank all Kenyans, and in particular, the Kenya Red Cross and other well-wishers who offered assistance to the IDPs.” HE. Hon. Mwai Kibaki, C.G.H, MP, President and Commander-in-Chief of the Armed Forces of the Republic of Kenya.

“We have seen the Red Cross volunteers in their red jackets during the time of drought, floods and more recently the post 2007 election violence. They have performed exemplary in offering invaluable support to Kenyans affected by disaster and in need of humanitarian assistance. When the roads were closed, when fires were burning, where shining machetes were the order of the day, where desperation and anarchy prevailed, and where rivers of blood flowed.” Hon. Dr. Naomi Shaban, Minister for Special Programmes

“But perhaps the most challenging aspect of this unusual emergency situation was the existing local capacity for leadership in the response. The humanitarian community appeared to have been unexpectedly surprised that in the face of a humanitarian crisis brought on by a political dispute, there were still strong local systems in place to lead in the response. I would like to congratulate the colleagues in the humanitarian community for their willingness to handle this new context and for coming together in support of the Government and the KRCS.” Elizabeth Lwanga, United Nations Resident and Humanitarian Coordinator and UNDP Resident Representative.

2008 “This year, the KRC has been under spotlights, but also under the scrutiny of the world during their remarkable intervention to assist hundreds of thousands of people affected by the post-election crisis.” Ms Cecilia Kakande, Acting Head of East Africa Zone of the International Federation of Red Cross. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

17 Post-Election Violence in Kenya

Following the disputed Presidential results during and rescue and assuring protection of IDPs as the December 2007 General election, large parts they left violent areas, provision of First aid and of Kenya witnessed violence and destruction of transportation of injured people to hospitals, property on a wide scale that left at least 1,300 family tracing and reunification of families people dead, hundreds seriously injured and separated during the violence, provision of thousands of others displaced from their homes. basic services to IDPs in temporary camps, and distribution of non-food items. Kenya Red Cross was appointed by the Government of Kenya as the lead coordinating It later became imperative to assist the victims agency for response to the emergency. KRC much longer than earlier projected. Thus, KRC was active on the ground, initially supporting revised the appeal on 25th February 2008 for internally displaced persons (IDPs) as they moved Ksh1,532,556,939 (US$21,893,671) to assist away from violent areas as well as administering 300,000 beneficiaries for 18 months. Three and First Aid and transporting injured people to a half months into the post-election violence hospitals. The Society coordinated the setting up emergency, much progress had been made in and management of over 300 temporary camps finding a political solution to the election crisis. for IDPs. At the height of the operation, KRC On 21st April 2008, KRC therefore re-examined provided a range of emergency relief services the revised appeal and launched the second to approximately 600,000 people including revised appeal for Ksh1,610,019,273 (US$ the distribution of food and non-food items, 25,555,861) to assist 300,000 people for the next family reunification and tracing, providing basic 18 months. emergency health care, access to safe water and sanitation facilities. Activities Undertaken Preliminary and Revised Appeals Search and Rescue During the initial stages of the post election Kenya Red Cross issued a Preliminary Appeal on crisis, Kenya Red Cross was actively involved in 4th January 2008 for Ksh957,127,906 (US$15.4 provision of safe passage to people fleeing from million) to assist a projected 500,000 people volatile zones, providing First Aid, transportation for one month during the post election crisis. of injured people to hospitals and support to The appeal was for a range of immediate relief families in identification and collection of dead services to people affected by the violence. bodies. These services were focused on initial search KENYA RED CROSS SOCIETY CROSS RED KENYA

18 Peace and Reconciliation: Former UN Secretary General, Kofi Annan (in blue shirt) with a team of African Eminent Persons, listen to the KRC personnel in an IDP camp, in an assessment of the situation in North Rift Region. IDP camp: KRC was lead agency responsible for management of over 300 camps in the country. Camp Management Tracing and Family Links At the height of the violence, KRC was responsible Kenya Red Cross handled at least 2,836 for management of more than 300 IDP camps and tracing cases by the end of 2008. Some 799 coordinated activities of various organisations unaccompanied minors were registered and 622 on the ground. Minor camps and assembly sites reunited with their families. KRC attended to 25 such as churches, police stations were supported vulnerable persons, out of which 16 were reunited. through provision of relief, health, water and The Society also received 2,061 tracing requests, sanitation and tracing services. KRC received out of which 1,721 were closed. support in various aspects of camp management from a number of organisations including ICRC, The Society worked with a number of organisations UNHCR, IOM and Oxfam. including ICRC (supported KRC in training Distribution of Food volunteers in aspects of registration, identification, tracing and reunification), the Children’s

Kenya Red Cross supported the World Food Department of the Ministry of Home Affairs (placed 2008 Programme and the Government of Kenya in unaccompanied minors in Children’s Homes and distribution of relief food to thousands of people vetted the families as they came forward), Save the affected by the crisis in Rift Valley, Nyanza, Children and UNICEF (provided training to staff Western, Central and Nairobi provinces. Much and volunteers in child protection), Independent Medical Legal Unit (IMLU), and worked with its of the food distributed came from donations Social Services Department to provide counselling by individuals and corporate entities. KRC also and psychosocial support to the children. supported UNICEF in distribution of fortified food (CSB) in IDP camps to address malnutrition Health and Hygiene among children, pregnant and lactating women. The focus was provision of emergency health care Distribution of Non-Food Items (including psychosocial support) for the affected population, including First Aid, health education Kenya Red Cross had significant stocks of non- and medical evacuation. KRC worked closely food items in its warehouses in Nairobi and at ACCOUNTS REPORT AND ANNUAL a number of Regional offices Preparedness in with the Ministry of Health through a network of terms of vehicles pre-positioned in the Regions focal persons working with technical MoH staff was essential for response achieved during the to coordinate emergency health activities and operations. The family kits consisted a set of reinforced by staff temporarily redeployed from standard items conforming to the International other parts of the country. The response also built Federation of Red Cross/Crescent Societies upon pre-positioned emergency First Aids kits standards and Sphere Minimum Standards. throughout the country. 19 Kenya Red Cross set up and serviced eight IDP hygiene through PHAST (Participatory hygiene clinics (each with static and mobile components) and sanitation transformation) and WASH that attended to more than 66,000 patients. The (Water, Sanitation and Hygiene) sessions, with clinics were staffed in part by medical students importance of proper latrine use, drinking treated and trained volunteers. KRC supported health water and hand washing to prevent diarrhoeal clinics, while the MoH was responsible for the diseases being emphasised. Staff and volunteers provision of drugs, vaccines, insecticides and supported resettled IDPs to access safe water and transportation. Health promotion activities were latrine structures. carried out together with a range of partners including WHO, UNICEF, UNFPA, Goal, Merlin, IOM, Capacity Development MSF, Save the Children and Oxfam. With a network of 58 branches and 69,000 volunteers, Kenya Red Cross personnel attended Some 350 counsellors from the Ministry of Health to the needs of thousands of people affected by and Nairobi Women’s Hospital attended to more the election violence. KRC recruited 143 staff and than 55,055 psychosocial cases among IDPs. additional 1,600 volunteers to support various Regular counselling sessions were also provided activities. The Society established a Security to all staff and volunteers at the Headquarters Office in partnership with the ICRC. and Regions. Dissemination and Communication Water and Sanitation A wide range of activities were undertaken to The focus was on the provision of safe water to improve awareness of KRC activities during IDPs living in camps. At least 58 bladder tanks the post election violence period, as well as provided for water storage in IDP camps were the Red Cross Fundamental Principles. These distributed in Eldoret, Kisumu and Nakuru camps. include massive awareness through the media, Over 6,470,000litres of water was trucked and dissemination security agencies, journalists and five small water purification kits deployed to IDPs. support the basic health units. Three mass water purification plants were deployed to Kisumu (2) and one in North Rift, to provide water to more Logistical Support than 2,000 people each. Kenya Red Cross transported at least 12,731MT More than 1,684 pit latrines and 1,157 bathrooms of food, provided storage and distributed non- were constructed in IDP camps, and 863 garbage food items through its logistical hubs. The staff pits dug. KRC was also responsible for drainage, and volunteers were also transported to various fumigation and hygiene services, which were response points. provided by staff and volunteers. People were trained to prevent water and sanitation- House Reconstruction related diseases and maintain good personal In June 2008, Kenya Red Cross initiated the housing reconstruction project in areas affected by the violence in the North Rift Region. This included the involvement of the affected communities in selection of beneficiaries and building of the houses. By the end of 2008, some 310 had been constructed through support from the Netherlands Red Cross, 120 houses and KENYA RED CROSS SOCIETY CROSS RED KENYA Kipsangui and Sugoi school buildings (Vodafone and Safaricom Foundations), 10 houses (Australian High Commission), 10 houses (Kenya Commercial Bank) and Ngarua School building (Africa Online). 20 Model IDP house The Secretary General of the International Federation of the Red Cross & Crescent Societies (IFRC), Mr Bekele Geleta, distributes relief food in North Rift. Below, flagging off relief supplies in East Baringo District. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

21 Disaster Preparedness and Response

• Disaster Preparedness • Disaster Response • Climate Change • Restoration of Family Links - Tracing KENYA RED CROSS SOCIETY CROSS RED KENYA

22 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

23 Introduction

Kenya like many other countries, has had its share of disasters that have resulted in injuries, deaths or destruction of assets.

The main objective of the Disaster Preparednes and Response Department is to minimise vulnerabilities and disaster risks and limit the adverse effects of disasters. In line with its mandate, the Kenya Red Cross Society has responded with agility to most disasters with the core aim of alleviating human suffering.

The Society has also engaged in activities geared towards pre-emption as well as reduction of the effects of catastrophies. KRCS is managing disasters though Disaster Preparedness and Disaster Response programmes, among others. Disaster Preparedness

Disaster Preparedness is a key component of the disaster management programmes of the Kenya Red Cross Society (KRCS). The National Society has been a vocal advocate of Disaster Risk Reduction (DRR) aimed at strengthening disaster preparedness tools, instruments and institutions. The process is supported by the International Federation of the Red Cross and Red Crescent Societies (IFRC), which works through its member National Societies and in partnership with the United Nations, governments, donors and civil society to meet the objectives of the Hyogo Framework for Action 2005–2015.

However, the glacial pace in endorsing policies, strategies, plans and Acts at the national level has led to compromised capacities and response mechanisms. Based on the experiences of past disasters, there has been a renewed commitment on behalf of the Government of Kenya, UN agencies, national and local organisations to intensify efforts toward disaster management. Lately, a paradigm shift is emerging in disaster management in Kenya, from a mainly relief-driven approach to a more preparedness-driven focus.

The preparedness strategy of the National Society also includes holding emergency relief stocks (tarpaulins, blankets, jerricans, soap, mosquito nets, kitchen sets) for 30,000 families at the national KENYA RED CROSS SOCIETY CROSS RED KENYA

24 State-of-the-art technology: KRC Emergency Operation Centre that enables the Society to detect and alert on earthquakes, traffic and weather in disaster prone areas. headquarters, and 5,000 family kits in every rescue, First Aid, psychosocial counseling and fire- region. The depleted stocks are refilled through fighting. funding from core and non-core funding sources. Kenya Red Cross Headquarters invested in Objective Emergency Operations Centre (EOC), which doubles up as the Disaster Management and The main tasks of the DPR Department include: Training Centre. The EOC incorporates the integration of real-time streaming media and • Community-Based Disaster Preparedness web portals to detect and alert on earthquakes, Programme in Coast Region traffic, and weather in disaster-prone sites. This • Integrated Community Based Disaster information is then relayed to the Red Cross Management Programme in Coast Region Action Team leaders on the ground using the • Integrated Community Based Disaster Short Messaging Service (SMS) and email that Management Programme in Tana River is made possible using the GSM Wireless Data • Disaster Risk Reduction Technology. • Emergency Operations Centre Trial • Community Based Disaster Management Communities in disaster-prone areas such • Emergency Preparedness and Response as Kwale, Kilifi, Mombasa, Lamu, Tana River, Machakos, Nairobi and Nyando initiated small- The Preparedness projects based at the Coast scale disaster mitigation projects. This was made of Kenya focus on initiatives that address possible through the use of vulnerability and the impacts of 26th December 2004 Tsunami capacities assessment (VCA) tools, developed which caused destruction of property (nets, by IFRC, to design and implement relevant, fishing gears, boats, etc), human injuries and community-owned and sustainable risk reduction contamination of sea and domestic water. Three micro-projects. sites in Kenya are implementing disaster risk reduction projects - based on a selection of three The National Society engaged partners at different hazards. The project sites are in Nairobi, different levels of disaster preparedness, Machakos and Nyando addressing fires, road including the Government, UN agencies, national traffic accidents and floods respectively. and local organisations to help raise the profile of disaster preparedness in Kenya. Main Achievements Mombasa, Kwale, Kilifi, Lamu, and Nyando 2008 In 2008, the DPR Department established branches installed VHF (Very High Frequency) and Community Disaster Management Committees in HF (High Frequency) radio base stations as part Kwale (10), Kilifi (15), Mombasa (8), Lamu (5), Tana of the early warning system. The radio network is River (7), Machakos (3), Nairobi (5), and Nyando linked with the Society’s Headquarters in Nairobi, (8), trained committee members to develop which receives and transmits information directly disaster management plans. from the Emergency Operations Centre and other national and regional disaster monitoring Disaster Management Committees were agencies. established in Kwale, Kilifi as well as the development of disaster management plans for Tsunamis.

In Nairobi, KRCS trained and pre-positioned fire-fighting equipment among committees ACCOUNTS REPORT AND ANNUAL in Mathare, Blue estate, Mukuru Kwa Njenga, Mukuru Kayaba and Land Mawe. The Department has trained staff and volunteers from participating Branches in various disaster management skills including mass casualty management, vulnerability and capacities 25 assessment, incident command, sea and land agencies will engage in the Multi-stakeholder Disaster Response Taskforce on Social Protection, Resilience Emergency Operation (EMOP) Building and Drought Management and joint programming. The World Food Programme (WFP) emergency operation programme (EMOP) in Kenya supports The EMOP distribution via community-based people affected by climatic shocks in arid and targeting and distribution approach promotes semi-arid lands and populations displaced or accountability of all stakeholders, transparency of affected by the post-election conflict. the process, verification of correct procedures at FDP and correct entitlements to recipients, with The operation is part of the larger Inter-Agency minimal losses and damage to commodities. Standing Committee recovery plan for Kenya, in support of the Government recovery plans. Coverage The improvement in food security in the previous The Emergency Operation 10745 has been three seasons was reversed in the arid and semi- operational in the drought affected arid areas in arid lands (ASAL) by poor short rains in 2007/08. North and North-East, and in the post-election crisis areas. The operation covers 1st July 2008 The multi-sectoral short rains assessment to 31st March 2009, a period used as a transition conducted in February 2008, noted that 883,000 toward a more recovery-oriented operation from people in ASAL and over 300,000 internally- April 2009. displaced people (IDPs) required emergency food aid.

The current food aid assistance for 1.18 million people started in July 2008 and was expected to end in March 2009.

EMOP in Community Development

EMOP is expected to develop into a dynamic relief and recovery operation (PRRO), which will include EMOP: PS Ministry of Special Programmes, Ali Mohamed a major focus on asset creation and support (centre) distributes relief food to residents of Baringo East capacity development. WFP and its partner District.

Table 1: Monthly general food distribution movement

% people Total Targeted Ration in need of TOTAL District Lead Partner Population population Level Food Aid Cereals Pulses Veg Oil CSB Salt MTS

Marsabit Kenya Red Cross 136,772 64,312 75% 47% 666 116 39 77 9.6 907

Garissa Kenya Red Cross 244,706 45,907 75% 19% 475 83 28 55 6.9 647

Tana River Kenya Red Cross 209,583 41,579 75% 20% 430 75 25 50 6.2 586

East Pokot Kenya Red Cross 29,022 75% 19% 300 52 17 35 4.4 409

Malindi Kenya Red Cross 353,793 20,709 50% 6% 214 37 12 25 3.1 292 KENYA RED CROSS SOCIETY CROSS RED KENYA Grand Total 973,876 201,529 2,086 363 121 242 30 2,842

Food movement and actual targeted reached in 2008

Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec

Planned 1601 1601 1601 1601 1601 1601 3773 3373 3772 6044 6044 3821

26 Distributed 1185 1297 1914 878 1893 1313 2989 2405 2762 3734 4520 3926

% 74.0 81.0 119.6 54.8 118.2 82.0 79.2 71.3 73.2 61.8 74.8 102.7 Kenya Drought Operation and Special Projects

Drought Rehabilitation/Recovery Project (Swedish Red Cross)

In 2008, Mandera and Wajir KRCS branches underwent major capacity development and achieved a number of objectives in reduction of the impact of drought and improved access to safe and sustainable water and sanitation facilities.

More achievements • Improved access to clean, safe and sustainable water and sanitation facilities • Dissemination of hygiene messages to Drought rehabilitation: KRC supports provision of water for 20,000 people livestock during drought season. • Construction of 28 latrines in collaboration with communities • Opened and managed two Cholera Wards • Public waste management using in Mandera community-based groups • Supported 40 conflict and fire victims with • Improved capacity of branches non-food items • 45 persons trained in disaster • Provided First Aid and ambulance management in Mandera including staff, evacuation to 11 people injured along the volunteers and DSG members Mandera-Rhamu road • Trained 80 members of Wajir Girls High • Undertook water trucking in Mandera School Red Cross Club West following two months drought • Equipped Wajir Branch hall and • Responded to conflicts in Rhamu accommodation facility with furniture, • Managed thee Cholera Wards in Wajir conference equipment, cutlery and and responded to Wajir High School fire crockery incident. 2008 • Improved management of capacity of communities in local resource • Trained 106 members of Water Users associations in Water Resources Management in El Ram, Kutulo, Dilmanyale, Gagab, Salalmac and Khorof Harar. • Trained 20 trainers of trainers in PHAST modules • Erected eight (8) billboards in public places in Wajir and Mandera.

In October 2008, a monitoring review exercise

was carried out together with the IFRC and a ACCOUNTS REPORT AND ANNUAL number of observations made, which were discussed with field teams and the donor. Completion of the current phase of the project was in June 2008.

Drought rehabilitation: Preparation of a water pan for rain harvesting 27 Floods Recovery Project (Garissa, Ijara and Tana River)

Communities living along the embankment of River Tana experienced drought and floods in 2005 and 2006 respectively, but the impacts of the floods were more severe to communities living along the River Tana. Many people were still recovering from the effects of drought, when heavy floods affected livelihoods and the infrastructure.

The Floods Recovery Project started in April 2008 and was earmarked to end in April 2009. Planned activities for the year were implemented except Bumper harvest: KRC Special Programmes Manager, the Food Security training which was delayed due Abdishakur Othowai, joins a beneficiary of the Floods to procurement processes. Recovery Project, in his farm. distributed. At least 21 donkeys and 12 donkey The following activities were implemented in carts were also distributed, eight needy farms 2008: identified and each given a new water pump.

Coordination and Networking: Kenya Red Hydrological water survey in Ohio and Bangale Cross participated in coordination forums centre were carried out and procurement and like DSGs and internal coordination of project donation of theatre facilities for Ijara District activities, trained 99 volunteers on Community Hospital completed. Similarly, procurement Basic First Aid, disinfected 200 latrines in three and donation of medical outreach drugs for districts and carried out three campaigns. Some Balambala, Hola and Ijara hospitals was done, as 100 community members were trained on oral well as purchase and distribution of 6,000 LLIN Rehydration and Critical Hygiene techniques and through medical outreach to lactating mothers 3000 banana tissue culture suckers distributed and vulnerable groups. to over 200 farmers in the three districts. Some 6000 Jembes, 6000 slashers, 40 wheelbarrows, 80 Some 500 fishing nets and gears were distributed Axes, 80 Knapsack sprayers were purchased and to Beach Management Committee in Kipini. KENYA RED CROSS SOCIETY CROSS RED KENYA

28 The impact of floods recovery project in Garissa. Right, a genset donated by KRC for farming along River Tana. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

Resident of Madogo, Tana River I have always known that Kenya Red Cross gives us food whenever we are hungry. The First time I experienced their generosity was when my house was swept away by ranging floods in 2006. The floods came at night and I thank29 God that no one in my family was hurt. We lost everything. The next morning Kenya Red Cross personnel arrived. They comforted us and asked us to register all the name of those who were affected. Then a surprise followed. Relief items came in immediately such as blankets, cooking utensils, tents, water jerricans and food. A few days later they came back with doctors who treated us and gave us free medication. I didn’t know that Red Cross could do so much. (During handover of Genset worth over Ksh4million by the Kenya Red Cross for the floods recovery project in Tana River District). Climate Change

Kenya Red Cross recognises the link between disasters and climate change. In 2008, the Society signed a memorandum of understanding (MOU) with the Red Cross Red Crescent Climate Centre hosted by the Netherlands Red Cross Society. In line with the MOU, KRCS conducted an awareness workshop attended by staff and stakeholders from the Office of the President, Kenya Meteorological Service and non-governmental organisations (NGOs).

Kenya Red Cross implemented the second step of the process, which is the preparation of a background document on ‘Climate Change and Risk Reduction in Kenya.’ The Society participated in the third step, the convening of a regional

conference on climate change held in Mombasa Providing relief food to flood victims in October 2008. KRCS implemented the fourth step, distribution of IEC materials on climate change, and partly sponsored the October- Millennium Village Project December 2008 edition of the Reach Out newsletter, where four pages covered articles on Kenya Red Cross implemented various activities the subject. in Borehole 11 village in Elwak, Mandera Central District, mainly to address eight Millennium Development Goals (MDGs). The main achievements were:

• Restocking of 100 households in Borehole 11 village in Elwak • Extension of a pipeline by six kilometers in Borehole 11 village • PHAST cascading to 6000 inhabitants of the village

The Society is constructing a maternity wing for Borehole 11 dispensary. Some 100 members of the local community have been trained in stabilised soil block technology production, to be organised into a business for selling blocks.

Kenya Red Cross also participated in dissemination activities titled ‘Localizing MDGs to districts and rural areas’ supported by the

KENYA RED CROSS SOCIETY CROSS RED KENYA Ministry of Planning and National Development in Partnership with the Government of Finland. Six sessions were conducted in Maikona, Kalacha and North Horr, targeting women and youth groups in these locations. Dissemination sessions were held November 2008 targeting women and Floods in NEP: Kenya Red Cross provided relief food, non- youth groups in Loiaynagalani, Korr, Laisamis and 30 food items, sanitation and medical services to more than 300,000 victims of floods in the country. Merille. Tracing

The Tracing Programme undertakes a range UNICEF, and Independent Medico Legal Unit. of activities that prevent separation and The Unit was instrumental in noticing the gaps disappearance, restores and maintains contact and cracks that existed in child protection, and between family members, and clarify the fate took the initiative to prepare the first draft for of persons reported missing. Tracing involves establishment of a child protection unit. It was collection of information about missing persons, part of the Child Protection Working Group dead persons and vulnerable groups such meeting organised by the Children’s Department as children separated from their families and and UNICEF. The Tracing Programme members persons deprived of their freedom. It also involves participated in workshops such as Child tracing persons unaccounted for, organising Protection in Emergencies as well as a workshop the exchange of family news and transmission one development of a Situational Analysis for of documents when normal means of Children in Kenya. communication has broken down; and organising family reunifications. Kenya Red Cross invited the Children’s Department to be a member of the Society’s quarterly Disaster Committee meetings.

The Tracing Programme integrated with the Youth and Volunteer Programme to tap into the potential of the youths in the Society. The Programme was represented during the national youth camp held at Laikipia in November 2008 and attended by more than 68 youth.

A sensitisation session for 20 key tracing volunteers from 12 branches who were involved in restoration of family links during the 2007 post election violence, was done in Mpeketoni in Malindi, Lamu, Mombasa and Kwale during inter- A smile and tears of joy. Assisting in reunification branch visits. Main Achievements A needs assessment was conducted in over 10 prison facilities in the country to establish the Following the post election violence in 2007/2008 necessity of Red Cross Messages in restoration that displaced over 350,000 people in the country, of family links among local and foreign inmates. the Tracing Programme carried out identification, The assessment conducted in Mombasa, Kisumu, 2008 registration, tracing and reunification of missing Kakamega, Bungoma and Busia revealed the need persons, especially special categories such as for Red Cross intervention in restoration of family children and vulnerable groups. links, since not every inmate can communicate constantly with their families. Currently, Kenya has The Programme registered over 800 92 prisons that need RFL services. unaccompanied children, traced and reunited over 689 children with their families. The team The Tracing Programme held a two-day regional gained much experience from the International RFL workshop organised by ICRC in Nairobi, Committee of the Red Cross (ICRC) on focusing on the role of the Red Cross on migrants management of mortal remains. and asylum seekers in the Horn of Africa. Capacity building for over 150 volunteers was carried out through regional training sessions in areas affected by the post election violence such as Eldoret/Nakuru/Nairobi/Nyeri/Mt Elgon/ Bungoma and Kisumu. The volunteers were ACCOUNTS REPORT AND ANNUAL trained on tracing of missing persons during emergencies and benefited from child protection sessions facilitated by UNICEF and the Children’s Department.

The Tracing Programme established and built relationships with other stakeholders and 31 partners such as the Children’s Department, A victim of the post election violence of 2007/08, reunited to Legal Resource Foundation, Save the Children, his family by KRCS. Health and Social Services Department

• First Aid • HIV/AIDS • Disease Control and Prevention • Blood Donor • Social Services KENYA RED CROSS SOCIETY CROSS RED KENYA

32 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

33 Introduction

The Health and Social Services Department comprises the Blood Donor, First Aid, Disease Prevention and Control, HIV and AIDS, and Social Services programmes.

Despite the post election violence (PEV) witnessed in the first quarter of 2008, bringing out the need for realignment of Health and Social Service project activities, the Department implemented its routine programmes countrywide. Numerous community volunteers trained in various subjects including community based First Aid, basic counselling skills, blood donor recruitment, blood safety, HIV/AIDS prevention care and support, proved crucial in the PEV response as well as continuity of the routine activities.

The following section highlights the 2008 achievements:

in place to record and follow up invoicing and First Aid ensure stocks are well-maintained to meet the required demands. First Aid Programme empowers people to Main Objective respond effectively and efficiently to emergencies occasioned by sudden illnesses or accidents. This To improve First Aid service delivery during is achieved through First Aid training services emergencies and increase the level of financial and sell of First Aid kits through KRCS branches sustainability of the Kenya Red Cross, through countrywide. In 2008, the main theme was to Commercial First Aid. set benchmarks for achievement, put systems Main Achievements

Commercial First Aid In 2008, some 11,265 people were trained in First Aid throughout the country. Men accounted for 46% and women 44% of those trained. Most of those trained paid for by their respective organisations. A total Ksh11,269,400 were raised from training sessions.

In total, 5,921 kits and 2,704 manuals were sold in 2008. A number of assorted First Aid items were also sold, generating Ksh1,109,519. The First Aid: KRC personnel during in a First Aid drill to enahnce total amount raised from kits and manuals was their response skills.

KITS SOLD IN 2008

3500

KENYA RED CROSS SOCIETY CROSS RED KENYA 3000

2500

2000

1500

1000

500

0 34 Occupatinal kits Car kits Universal kits Personal kits Volunteers kits TYPE OF KIT First Aid: KRC personnel were actively involved in emergency health during various disasters and the post election violence.

Ksh14,847,718. The accrued profit from sale of highlighting their important role in profiling the service and products amounted to Ksh26,117,118. image of KRCS in the community since they are This points to increasing opportunities within the the first on site whenever disasters occur, and commercial part of First Aid services particularly often the last to leave the scene after a response. the potential to not only sustain its self, but also generate income to cover the Department’s core More than 120 CHWs under IHOP project trained running costs. on the Revised CBFA, focusing on programme implementation using a community-based Community First Aid Services approach. Some 43 DRR, floods recovery First Aid and ambulance services were volunteers were trained on Modified SFA. The provided in 10 public events by the Red Cross programme also trained 13 new instructors and volunteers, among them the University of had a refresher course for 63 existing instructors Nairobi’s graduation ceremony, Strathmore in the country. University graduation ceremony, World Aids Day commemoration, HIV and AIDS road show A number of partnership meetings were held in in Nairobi and Jamhuri Day celebrations. First 2008, mainly for social marketing and strategic Aid services were also provided during Mandera programme implementation. The meeting on strategic programme implementation clan conflict where two medical evacuations 2008 were done with assistance of the First Aiders and involved a meeting with the National Council for ambulance team. Resuscitation Committee members to discuss the inclusion of KRCS in the Council. A meeting First Aid volunteers responded to a number of with the Aga khan Hospital University was held fire and road traffic incidents during the year, to discuss partnership in training of Emergency Medical teams. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

35 First Aid: KRC personnel assist victims of a conflict in Upper Eastern Region to receive urgent medical attention. HIV/AIDS

Kenya Red Cross HIV and AIDS Programme contributes significantly in the overall Government strategy of reducing HIV prevalence and the impact of AIDS in the country. The Programme collaborates with the Government and other partners to increase knowledge on HIV transmission and prevention as well as improvement of coping mechanisms. Further, it endeavours to improve the quality of life of people living with and affected by HIV and AIDS.

At least 13 KRCS branches received funds from different PNS members and partners to Awareness creation: KRC promotes awareness on HIV and AIDS during various community events implement the Family Home Based Care and Peer Education projects. The branches implementing The post election violence that erupted in the projects are Nakuru (Swiss Red Cross through the country in December 2007 hampered the IFRC), Siaya (funded by Norcross), Malindi, Busia completion of the project site in Molo and the and Rachuonyo (funded by Swedish Red Cross), implementation of targets set for 2008. Violence Garissa (funded by Danish Red Cross), Mombasa in Molo started in September 2007 and took a (funded by German Red Cross) and Meru (funded twist for the worst after the post election violence by Netherlands Red Cross). Peer Education is until May 2008. Despite the chaotic situation in implemented in Mpeketoni, Lamu and Nairobi the country, some key activities in the project (funded by the Netherlands Red Cross), Kilifi and area were met as a result of strengthening of the Kwale (funded by German Red Cross). volunteers capacity to work within emergency settings through training and close collaboration During the year, there was strengthening with key stakeholders. of integration of HIV and AIDS in other departmental programmes, among them those Main Achievements funded by the Danish RC, Japanese RC and Finnish RC. Activities No Youth reached during peer education 5,570 Below are specific project achievements in 2008. sessions

Community members reached with 16,411 Family Health Home Based Care messages on general HIV and AIDS

Programme Nakuru Branch Molo/ Volunteers and staff reached during Work 231 Sachangwan Locations Place Programme

The Family Health Home Based Care (FHHBC) Clients referred for ART 70 Nakuru project is a five-year project funded by Clients supported with NHIF contribution 10 the Swiss Red Cross through IFRC and covers Clients reached through Home Based Care 2740 two divisions - Sechangwan and Molo. The interventions project’s overall objectives include reduction of Support group members sensitized on 60 KENYA RED CROSS SOCIETY CROSS RED KENYA HIV and AIDS prevalence, impact of behaviour sustainable agricultural practices from IGA change, communication and improved care. model farm

Other objectives are the support for people living CHWs and religious leaders trained on 190 with and affected by HIV and AIDS, reduction PMTCT and HIV counseling and testing of morbidity and mortality among women and Clients put on ART 432 children through awareness on reproductive health. CHWs and Community Own Resource 227 36 Persons (CORP) trained on HBC Netherlands Supported FHHBC Tsunami Rehabilitation Programme and Peer Education Projects The project is funded by the German Red Cross The Family Health Home Based Care (FHHBC) and covers Mombasa, Kwale and Kilifi districts. and Peer Education projects in Nairobi, Meru, Overall project objectives are reduction of HIV/ Lamu and Mpeketoni funded by the Netherlands AIDS prevalence and its impact by promoting Red Cross is a three-year project with an overall behaviour change, communication and improved objective of strengthening the capacity of KRCS care, support to people living and affected by to deliver and implement effective youth HIV/ HIV/AIDS, reduction of morbidity and mortality AIDS prevention and anti-stigma/discrimination among women and children through awareness programmes in order to reduce the risk of and reproductive health issues. individuals becoming infected with the HIV virus, and to reduce stigma and discrimination towards PLHIV and OVC.

Major achievements in the project during the year are outlined below.

Beneficiaries of the Project, 2008

Activities Statistical achievements

Youth trained on peer education 333

Community members reached with 10,000 messages on general HIV and AIDS information during peer education sessions.

Youth reached during peer education 1050 sessions

Condoms distributed 3000 HIV/AIDS: Some books and audio visual materials used to promote messages. TOTs and Community Health Workers 80 trained as HBC facilitators Beneficiaries of the Project in 2008 Home visits 879 Statistical Activity Achievements 2008 People reached with information on 1000 HIV/AIDS and VCT during the Maulid Community members reached with medical camp. messages on general HIV and AIDS during peer education sessions 36,337 Support groups introduced to K-Rep 3 bank Condoms distributed 13,580

Youth trained in peer education 190

Clients referred for VCT services 1849

Clients referred for ART 213

Clients referred for TB treatment 349

OVC supported in education 20

PLWHA who received relief food 62 ACCOUNTS REPORT AND ANNUAL

IEC materials procured 1310 Inmates reached during peer education 312

OVC supported in vocational studies 13

Edutainment: KRC uses this medium to tackle taboo 37 subjects such as HIV/AIDS. Family Home Based Care FHHBC Programme – Malindi, Programme – Siaya Branch Busia and Rachuonyo

The Family Health Home Based Care (FHHBC) The Family Home Based Care (FHHBC) project funded by the Norwegian Red Cross Programme is funded by the Swedish Red located in Siaya, Sega Division, has improved the Cross. The overall project objective is to reduce health of community members through capacity HIV/AIDS prevalence and its impact through building, resource mobilisation, dissemination behaviour change, communication and improved of materials/information to promote behaviour care, and support of people living with/affected change and implementation of home based care by HIV/AIDS. The project also aims to reduce services. morbidity and mortality among women and children through awareness and reproductive As this was the final year of the Norwegian health, dissemination of information and funding to the project, key activities for continuity community outreach activities, VCT services, were identified to ensure sustainability and referral of HIV positive clients to support groups discussions were held with Amcross to include and health care facilities. The programme these key activities in the upcoming partnership further initiates income generating activities for for Siaya and Busia. beneficiaries.

Edutainment: Using drama to tackle taboo subjects such as HIV/AIDS. Chanuka Challenge:HIV and AIDS quiz. Beneficiaries of the Project, 2008

Activities Statistical Beneficiaries of the Project, 2008 Achievements

Activities Statistics Youth reached during peer education 902

Youth reached during peer education 13,263 community members reached with 22,348 sessions messages on general HIV and AIDS.

New clients recruited for ART services 669 Inmates reached through peer 1400 education Clients put on ARVs 120 Volunteers and staff reached during 1250 Clients who received nutritional support 127 the Work Place Programme Clients referred for VCT services 184 Clients referred for VCT services 150 Youth supported through psychosocial 133 New clients recruited for HBC 189 KENYA RED CROSS SOCIETY CROSS RED KENYA support vocational training Number of home visits made 530 OVC supported through education 60 PLHA received food distribution 1640 PLHA support groups that received water 60 treatment products OVC supported through payment of 15 school fees Condoms distributed 6000 Clients referred 538 38 Community members reached with 1435 messages on general HIV and AIDS Condoms distributed 15,500 Disease Control and Prevention Programme

Malaria MOU: KRC Secretary General, Abbas Gullet (centre) signs a memorandum of understanding for Malaria control programmes with the Head of Division of Malaria Control at the Ministry of Public Health and Sanitation, Dr Willis Akhwale. In 2008, Kenya Red Cross implemented projects Keep-Up Malaria Project geared towards enhancing improved community health through key primary health interventions. Keep-Up is a three-year community based malaria The key target activities under this programme prevention and control project funded by the include: NORCROSS through IFRC since November 2007. The overall goal of the project is to contribute • Control and prevention of childhood to long-term reduction in childhood mortality vaccine preventable disease, malaria, and morbidity by influencing household and diarrhoeal diseases, respiratory infections. community practices following mass measles • Sexual and reproductive health-related vaccination and long lasting insecticide treated

conditions bed nets distribution undertaken in 2006. Areas 2008 • Other common communicable and non- Main Achievements in 2008 communicable diseases as per community Activities Statistical context. Achievements

New children registered 17,072 This was done through implementation of long- term community health programmes as well People reached with malaria and 71,268 as supporting communities in handling health immunisation messages care during emergencies. To accomplish its Nets distribution during community 12,644 objective under this programme, the Department and households sessions has worked closely with several partners key to IPT - Pregnant women reached with 15,756 which the tripartite partnerships between KRCS IPT messages and ICRC, Ministry of Medical Services (Division Defaulters followed up and referred for 84,014 of Malaria Control) and WHO which has seen vaccination ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL the initiation of a pilot operational research Children who received Vitamin A 9,740 programme on Home Management of Malaria supplementation in two districts that have poor access to health Volunteer home/household visits 5,503 facilities and are endemic to Malaria. The section below provides additional information on the ITNs retreatment 35,920 2008 achievements under the Disease Prevention Medical Camps - Children immunised 347 Programme: 39 Volunteer and MoH training 201 of operation are three malaria endemic districts Isiolo Integrated Health Outreach Project is a (Kilifi, Kisumu and Siaya) and one malaria five-year activity that started in November 2007 epidemic district (Bureti) with support from the Japanese Red Cross. The project covers Sericho and Garbatulla divisions of Notable achievements during the year was the new Garbatulla District (former Isiolo District). increased knowledge and practice on mosquito The project has contributed to the reduction bed net utilisation in addition to reduction in of morbidity and mortality resulting from immunisation defaulters among children aged communicable diseases among children aged below 5 years by about 5% as compared to 2007. below 5 years.

Integrated Health Outreach Project The implementation is by use of three (IHOP) methodologies, namely the promotion of health behaviour change among targeted communities, supporting enhancement of the enabling systems for improved health services and strengthening of the operational capacity of KRCS Isiolo Branch.

Sexual and Reproductive Health (SRH) Project

SRH: KRC health worker during an outreach immunisation of polio in Isiolo. Right, discussing sexual reproductive health issues in a public meeting, in Turkana District.

Main achievements in 2008

Activity Statistical Achievement

A baseline survey was done and results presented Completed and results presented

Community health workers(CHWs) training One training of 32 CHWs

ARCHI tool kits distribution 10 volunteers benefited

Volunteers & CHWs) training in PHAST for 10 days. 27 ToTs

Malaria activities – IRS in households 320 houses sprayed

PHAST training – 10 day 87 volunteers trained

Mosquito bed nets retreatment 544 nets retreated

IEC Materials – procured and distributed 233 T-shirts, 200 caps and 2,500 posters with health

KENYA RED CROSS SOCIETY CROSS RED KENYA messages

Distribution and education on mosquitoes bed nets 151 bed nets issued

Installation of radio systems Installed 3 and repaired 3 health facilities

Medical outreaches conducted (5 camps in seven locations) 4,441 people treated, 360 children vaccinated 749 – Vitamin A supplementation, 506 children dewormed, 10,000 reached with health education, 500 benefited 40 from VCT services, 167 mothers received ANC services. Kenya Red Cross received a grant from the approved Ministry of Health curriculum. European Commission (EC) under the Programme • Procurement and distribution of office of Aid for Policies and Actions on Reproductive furniture and equipment, logistical and Sexual Health and Rights in developing support (bicycles, motorbikes, two countries through the Finnish Red Cross (FRC) to ambulances and two land cruisers, implement actions for improvement of access 100 bicycles, two ambulances, four to sexual and reproductive health services and motorbikes, staff furniture and stationery) information for communities living in conflict done. and post-conflict areas in North Eastern Kenya. The 36-month project started in July 2007 and Garissa Integrated Health Project is implemented in three phases - project set-up phase, implementation phase and closedown (GIP) phase. The project sites are in Sigor (West In 2004, the Danish Government introduced a Pokot District), Njoro (Nakuru District), Katilu special programme for assistance to countries and Kaaleng (Turkana District) and Merti (Isiolo hosting large numbers of refugees. In Kenya, District). this translated into support to refugees and communities hosting them in Dadaab in Garissa Main Achievements District, and Kakuma in Turkana District. The Danish Red Cross funded KRCS to implement an • Four staff and 132 volunteers recruitment integrated health project for host communities and orientation done in all four project living within 50km radius of Dadaab Division. The sites. project is in its second phase of implementation • Project entry and stakeholder sensitisation and serves over 100,000 beneficiaries. done in all areas of operation at all levels – provincial, district and community. • Identification and training of 292 Main Achievements community health workers done in four • 1200 beneficiaries received disease areas. prevention messages through volunteer • Base line survey carried in Nakuru, household visits translating to increased West Pokot and Turkana; and a report knowledge. presented. • 2,268 mosquito nets were issued to • CBFA training benefited 428 staff, pregnant women and children aged

volunteers and community health below 5 years. Volunteers conducted 2008 workers. household and community hang-up • Some 72 health providers including sessions to ensure utilization. nurses, clinical officers were trained in • 30 local volunteers equipped with skills sexual reproductive health modules using on water treatment using PUR and water guard. • 12 field day demonstrations on water treatment techniques held in the community. • 44 medical camps carried out where 5,488 patients treated, 1,875 children vaccinated, 298 pregnant mothers attended with ante-natal care services.

• Four village health committees formed ACCOUNTS REPORT AND ANNUAL and became operational. • 41 PHAST ToTs trained and embarked on training community members on hygiene and sanitation. • 41 demonstration latrines constructed. • 252 clean-up campaigns held. 41 Sexual reproductive health services target the vulnerable • 56 hand washing facilities installed. groups. • 70 blood donor mobilisation sessions held, benefiting over 8,500 people who donated 748 units of blood. • 325 campaign and awareness sessions on HIV/AIDS held benefiting 11,425 people. • 500 Home Visits to PLWHAs conducted to ensure compliance, care and support. • 39 new PLWHAs recruited to the project and 315 clients visited to assess their needs.

Home Management of Malaria Health Clinic: KRC health worker attends to patients in East Project Baringo.

The Abuja Declaration (2006) includes a goal Clinical Trials and applied for waiver to that at least 80% of those suffering from malaria have volunteers handle malaria drugs. have prompt access, and correctly use affordable • 113 volunteers recruited for each target and appropriate treatment within 24 hours of hard-to-reach village. the onset of symptoms of malaria. Poor access • Request for proposals for baseline survey to public health facilities is an impediment to advertised. KEMRI selected to conduct the achieving this goal. KRCS through support from baseline survey, and y the end of 2008, the Canadian Red Cross and in partnership with data collection process had been finalised. the Ministry of Medical Services (Departmental • A project coordinator and two project of Malaria Control) and WHO is implementing an officers were hired (Lamu & Malindi). operations research project in 113 hard-to-reach • Planning for training of 12 ToTs done, villages of Lamu and Malindi districts in Coast Province. This involves engaging community including nine coaches and three project volunteers in fever detection within 24 hours staff. of onset and administration of ACT malaria • Review of training manuals, data treatment to children aged between 2-59 collection and coaches’ summary tools. months. • Procurement of office furniture, equipment and project logistics commenced and by the end of the year, Main Achievements most project support structures had been • Obtained ethical approval to conduct the put in place. pilot project from Ethical Committee on Emergency Health

In 2008, Kenya Red Cross coordinated several emergency operations among them the post election violence, disease outbreaks, floods and drought. With strong capacity within the staff and volunteers, KRCS played a key role in rapid assessment, running the operation, coordination and recovery operations.

KENYA RED CROSS SOCIETY CROSS RED KENYA The Society’s operations during PEV involved provision of First Aid, identification of mortal remains, health education and promotion, general curative services, referrals and support to health facilities with medical supplies. KRCS Health team successfully coordinated the 42 Emergency Health activities in the Regions Malaria control: A boy after receiving a treated mosquito net and improved partnership with the Ministry of Medical Services and Ministry of Public Health As a follow up to the 2008 emergencies, KRCS and other partners during PEV and cholera with the support of partners including ICRC, IFRC, outbreak interventions. At the height of the German Red Cross and Japanese Red Cross set up operations the Society was running eight medical three Emergency Health Basic Health units that outreaches in the largest IDP camps hosting could rapidly be deployed and operate within more than 23,000 people such as Eldoret, Molo, 48 hours. In addition, KRCS has a minimum of 10 Naivasha and Trans Nzoia. In total, there were 110 Interagency Health Kits stock piles for emergency health workers, both from the Medical School and operation that can serve up to 10,000 people Government ministries. The entire operations in for a period of three months per kit. As part of IDP camps did not experience disease outbreaks. preparedness, a pool of volunteers in each Region was identified for future recall in disasters in order The floods operations in Mandera later in the to shorten the response time and thereby reduce year, was a complex emergency as residents were mortalities caused by emergencies. already facing drought and clan conflicts that had displaced hundreds from their homes. KRCS During the post election violence, KRCS received in conjunction with MoH and other stakeholders funding from IFRC, ICRC, German RC, Netherlands facilitated medical camps in the most affected RC, Swedish RC, Japanese RC, individual well- areas. In total, 11,123 patients received general wishers and corporate companies, among others. curative care, referrals, First Aid, nutritional The German Red Cross donated 11 Inter-Agency supplementation and health education. Emergency Health Kits and supported volunteers in field operations. ICRC donated body bags and Disease outbreaks in the country were prevalent a cooling container for preservation of bodies at in 2008 and KRCS presence was quite evident the Moi Teaching and Referral Hospital in Eldoret, in affected areas. Nyanza Region recorded and dispatched a team of medical experts to cholera cases of more than 1,200 people with support the hospital in specialised treatment and 42 mortalities. The Society played a leading identification of bodies. role in improving access to safe water and sanitation facilities. In addition, KRCS supported Below were outputs from KRCS clinics: the setting up and running of isolation wards in Interventions Outputs Nyando, Busia and Kisumu districts’ hospitals to General curative treatment 83, 114 supplement the interventions by the Ministry of 2008 Medical Services. Medical referrals 1,677 Nutritional screening and food 26,555 supplementation

Vitamin A supplementation 17,383

Deworming done 40,150

Expectant mothers who benefited from 679 ANC

Mothers who received family planning 2,474 services

Condom distribution and education on 234,415 proper use

Psychosocial services - counselling 96,000 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Orphans who received school fees 60

Family Health Home Based Care: Providing health service in Health education and promotion 383,669 West Kenya Region.

43 Blood Donor

The Blood Donor Programme operates in 25 females 9,711), 27,762 units of blood collected branches of the Kenya Red Cross Society (KRCS) out of the targeted 52,410 units, accounting countrywide, and collaborates with the Kenya for 48% of the target. At least 440,000 people National Blood Transfusion Services (NBTS) and received messages on blood donor and blood other partners. The Blood Donor Project is funded safety through the media, while 6,835 repeat by PEPFAR through KNBTS and CDC through CHF. donors were registered out of the targeted 10,000 people. This was a positive indication of improved In 2008 the Blood Donor Programme remained probability of blood safety. focused to its objective “to contribute to the collection of adequate supply of safe blood for The blood collection jointly done by KRCS and transfusion, through recruitment and retention other stakeholders such as NBTS accounted for of voluntary, non-remunerated blood donors 60% of the national blood mobilised. Towards thereby reducing the spread of HIV and AIDS. the end of 2008, KRCS proactively engaged NBTS in putting joint plans for aggressive blood donor drives aimed at bringing together more Main Achievements stakeholders to support the bleeding sessions, During the year, some 272,056 potential donors which were considered a major factor affecting were identified through health talks. Other the numbers collected. 21,288 donors were registered (males 11,572 and The World Blood Donor Day was commemorated on 14th June 2008 under the theme ‘Am big hearted I give blood’. The event was graced by the Assistant Minister for Medical Services, Hon. Danson Mugantana, who highlighted the importance of leadership engagement in blood donor recruitment.

QUATERLY DISTRIBUTION

8000

7000

6000

5000 UNITS OF BLOOD

4000 NO. OF DONORS

NO. OF SESSIONS 3000

2000

1000

0 1ST. QUARTER 2ND QUARTER 3RD QUARTER 4TH QUARTER A bleeding session: KRC mobilises over 60% of blood QUATER collected in the country every year.

2008 Annual Blood Donation Summaries Potential Region Target Female Male Donors Health Postponed Repeat Mobilized Donation Total Units Donors Donors Reached Talks Sessions Donors Sessions Sessions Units Nairobi 15,850 2860 3304 79,456 179 75 1996 199 124 8,458 Nakuru 6,900 2,166 2141 55,290 70 41 1664 137 96 5,031 KENYA RED CROSS SOCIETY CROSS RED KENYA Mombasa 8,850 1,344 2629 63,178 151 43 891 150 107 3,973 Kisumu 4,350 200 200 5,240 17 15 100 19 4 364 Eldoret 2,300 373 410 23,598 68 40 225 66 26 1,089 Embu 10,800 2,012 1406 31,802 79 29 1360 107 78 5,356 44 Garissa 1,360 23 249 2,155 6 0 20 20 20 1,144 PEV 2,000 733 1238 11,337 17 0 579 16 10 2,347 Grand Total 52,410 9711 11577 272,056 587 243 6835 714 465 27,762 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Mohammed Ali, Councilor Shimbir Fatuma Ward, Mandera West For some time we thought we had been forgotten. I assure my community that now there is hope. Kenya Red Cross is truly our hope. Thank you for the good work you are doing all over the country. (During drought assessment in North Eastern Kenya) 45 Social Services

The Social Service Programme’s main objective No of PWDs is to contribute to the strengthening of social Camp No of IDPs interviewed service initiatives with emphasis on support to Naivasha Stadium 1,738 6 children’s homes, homes for the elderly, people with disabilities, OVC, prisons, refugee camps and Kedong Naivasha 1,522 4 psychosocial support and rehabilitation of people Nakuru Afraha 983 12 affected by disasters and conflicts. Molo Saw Mill 2,114 7

The Social Service Programme emerged from Matharu 4,301 8

what used to be the ‘Soup Kitchen Programme for Eldoret Show ground 15,106 31 the Vulnerable.’ The main objective was to provide food for vulnerable groups especially the elderly Burnt Forest 6,022 10 people, vulnerable children and PoW within the Turbo 2,653 25 ICRC context. The initiative has grown over time Endebess 8,081 18 to broaden its scope to include almost every aspect of human endeavour and welfare. Situational analysis on Phase II interventions was Main Achievements carried out in four Regions of KRCS countrywide, to map activities for the second phase of PEV. The exercise was conducted by a consultant from the Global Psychosocial Initiatives.

The report and recommendations were released and disseminated internally and adopted in part, thereby forming the basis for the establishment of a Protection Unit at KRCS.

The activity was further extended to cover people with special needs in IDP camps. The Society collaborated with the Association for Physically the Handicapped, DEAFAID Kenya and Karen School for the Deaf. The team came up with recommendations and pertinent issues/concerns which were addressed adequately. Psychosocial Service: KRC supports the vulnerable groups in the society .Right, promoting child protection.

Psychosocial Support during PEV Interventions The psychosocial interventions were organized to support victims of PEV, especially IDPs, in coping with trauma after traumatic experience during the election violence. Activities centred on KENYA RED CROSS SOCIETY CROSS RED KENYA psychological support, First Aid, group debriefing sessions, referrals for specialised care or treatment and support in accessing basic needs. Outreach programmes were also conducted in institutions of learning and OVC centres that hosted the 46 displaced children. Some of the gaps identified included lack of basic Medical Care infrastructure for PWDs, lack of interpreters to bridge communication barriers between the deaf, Besides the outreach mobile clinics in IDP camps, communication barriers to facilitate counselling the Programme facilitated referrals for a total for deaf IDPs amidst fears of infection and re- of 55 special cases to Kenyatta, Pumwani, Moi infection, lack of records and disaggregated Referral and Mbagathi. In IDP camps elsewhere, data in camp management to facilitate a holistic the psychosocial team worked in collaboration approach in response, among others. with other stakeholders and the emergency public health programme of KRCS to offer psychosocial support and facilitate referral to GBV Training health institutions within the regions – mostly the district and provincial hospitals. The referrals Kenya Red Cross in collaboration with other were mostly for specialised treatment, corrective stakeholders such as UNFPA, GOK, UNHCR and surgery, X-rays, MCH, OBS, GYNA etc. Liverpool VCT conducted training sessions in designated areas among them Kisii, Kisumu, Eldoret, Nakuru and Nairobi, to build the Collaboration and Networking local capacity in addressing GBV issues in IDP camps. Counselling services were provided To achieve this, KRCS worked closely with: by counsellors drawn from, among other • Nairobi Women Hospital institutions, the Nairobi Women Hospital and • Kenya Counselling Association Ministry of Health. Medical cases were referred • National Alliance of Churches to Nairobi and provincial/district hospitals in the • University of Nairobi vicinity. The activity was quite timely in terms of • USIU capacity building and enhancing mechanisms for • COPA (Community Organization future response. Practitioners Association) • Karen School for the DEAF Hygiene/Welfare Promotion in the • ANNPCAN (African Network for the IDP Camps Prevention and Protection Against Child Abuse) The programme contracted Health Care • Health Care Assistance Kenya Assistance Kenya during PEV to undertake • Kenya Institute of Education assessment and provision of basic health care • UNHCR and hygiene materials in the camps. During • Liverpool VCT 2008 the interventions, the team assisted by KRCS • UNFPA volunteers conducted clean-ups in IDP camps • GTZ (Kenya)/MoH Health Project disinfecting sanitary facilities, distributing clothes, sanitary material/ware, recreational materials for After the exercise, KRCS printed IEC materials children and undergarments. such as T-shirts to enhance visibility. Appreciation letters to acknowledge the role of volunteers and stakeholders who supported the Programme during various interventions were also issued. Apart from enhancing visibility of the project, long-term strategies were explored and activities scaled up. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Provision of Orthopaedic Equipment and Appliances

Some 120 wheel chairs were received from APDK and other well-wishers during the year

IDP camp: KRC coordinated provision of basic health care and 90 were distributed in the IDP camps, and hygiene materials in camps. while the rest were distributed through Kiambu 47 District Hospital, Meru, Branch, Nairobi Branch, During PEV period, the Social Services Lugari, Eldoret, Branch and Mombasa. Out of 30 Programme worked closely with the Society’s wheelchairs, 14 were distributed to Joy Town Tracing Unit, the Children’s Department, SOS, Thika as part of the rehabilitation programme Zabibu Centre and ANNPCAN, among others, for students affected by PEV, whose plight was to ensure the custody of thousands of children highlighted in a local daily. displaced or affected by the election violence.

Integration with other programmes

School Fees for OVC During PEV, the Society received Ksh750,000 from DEAFAID Kenya donated by the DEAF community in Norway. The Social Servides Programme disbursed Ksh594,000 to the deaf children in affected regions such as Central, Nakuru, North Rift and Nyanza.

Support to OVC

At least Ksh210,000 was disbursed to five KRCS Branches - Embu, Nyeri, Malindi, Lamu, Meru, Nairobi and Meru. The process was participatory and aimed at building the capacity of children to be more proactive and objective in resource mobilisation for their basic needs. Beneficiaries were selected through participation in competitions on HIV/AIDS messages through

essay writing, poems and skits. The best three The Social Service Programme ensures care and support for a entries in the competitions were selected for the vulnrable child.ren awards.

KENYA RED CROSS SOCIETY CROSS RED KENYA

48 Branch Chairman of Nakuru Mr. Paschal Mbeche, hands over a cheque to the School Principal of Ngala School for the Deaf. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

49 Water and Sanitation Department KENYA RED CROSS SOCIETY CROSS RED KENYA

50 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

51 Introduction

In line with the Kenya Red Cross Society’s strategic restructuring and in view of enhancing the water and sanitation programming, the Water and Sanitation Department was formed in 2008. The Department’s main focus is on enhancing efficiency and effectiveness in serving the vulnerable. The Department scaled up its interventions in 2008 to continue building communities’ capacity to facilitate improved access to safe and affordable water and sanitation facilities for the vulnerable groups.

Key strategies employed include: vulnerable communities in target areas using • Rehabilitation of non-functional water village level technologies; improvement of lives systems of the vulnerable communities through provision • Construction of new water systems of sustainable water and sanitation systems in • Rehabilitation and/or construction of Mandera, Wajir, Moyale, Marsabit, Samburu, Isiolo, sanitation facilities Makueni, Kitui, Mwingi, Kajiado, Tana River, Lamu • Hygiene promotion and education and Kilifi. • Partnerships • Capacity building Whenever and wherever disasters occur in • Community involvement Kenya, the Department is involved in saving • Provision of emergency water and and improving lives of disaster affected and sanitation facilities to needy disaster vulnerable groups with water and sanitation affected populations. facilities.

Main Objectives Main Achievements

The Department’s main objectives include In 2008, the WatSan Department enhanced its improvement of access to safe water and technical capacity for efficient and effective sanitation through construction/rehabilitation programme management. The year witnessed of sustainable water systems to serve the improved programme coordination, streamlining of systems and structures for greater outputs and staff capacity building. Significant milestones were achieved in improving access to safe water and sanitation for the vulnerable groups in ASAL areas and in disaster affected areas of the country serving more than 300,000 people.

This was done through strong community engagement and capacity building, pipeline extensions (25.5km), drilling, rehabilitation and equipping of 10 boreholes, construction of 11 earth dams, eight sand dams, 20 djabias, rainwater harvesting systems in eight schools,

KENYA RED CROSS SOCIETY CROSS RED KENYA construction of 58 latrines in schools and 29 public latrines and distribution of 2,853 san plats to families for latrines, spring protection, rehabilitation of two health centres to ensure access to essential health care. A total of 80 operators were trained in operations and 52 maintenance of water facilities, and 16 water Thank you: This girl could not hide her joy after KRC installed management committees were also trained. a water tank in her school. Creating awareness: Promotion of water and sanitation messages to the public. .

In view of enhancing sustainable hygiene behaviour, 148 PHAST trainers of trainers were trained, while PHAST cascading benefited over 6,500 households.

As part of disaster risk reduction and building community resilience, 800m of flood control gabions were constructed in Mandera. In addition, support was given to farmers through provision of materials, farm tools and seeds. 2008 Some 20 agricultural coaches and agricultural committees were trained and received technical support to help harness flood water, improve farm techniques thus enhancing food security in vulnerable areas. Further, enhancement of food security and promotion of drought-resistant crops was undertaken in Machakos through provision of drought resistant seeds to farmers and development of 17 demonstration farms to provide a learning forum for the community. High quality high yield toggenberg goats were distributed to 25 vulnerable families to improve household nutrition as well as income. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

Communities’ capacity for water facility management was built through formation and training of water point management committees. Community based hygiene promotion was also done using the Participatory Hygiene and Sanitation Transformation (PHAST) methodology, A beneficiary of high quality yield goats distributed in Eastern 53 mobilisation of children and youth through Province. interventions were implemented in integrated projects in collaboration with the Health and DPR departments in Tana River, Meru and Garissa. Furthermore, rehabilitation activities were conducted in the post election violence affected areas in Nyanza, North and South Rift regions.

Emergency WatSan Response

Emergency WatSan interventions were conducted in different parts of the country in response to the post election violence, floods, and conflicts that occurred at different times. Major interventions include the deployment of water treatment units, distribution of water treatment products, tap stands, bladder tanks, construction of bathrooms and latrines; technical teams were deployed. Hygiene promotion activities including PHAST in emergencies were conducted targeting IDPs and other emergency affected populations.

These interventions resulted in successful control

Empowering communities: KRC has empowered of cholera and other disease outbreaks during communities to manage their water projects. . emergencies.

Child to Child Hygiene Promotion, among other Coordination, Monitoring and Evaluation strategies. Continuous monitoring and evaluation visits were made by the KRCS Headquarters and Regional At least 24 Red Cross Clubs were established in WatSan staff to the branches to implemented 2008, which witnessed the integration of Child WatSan projects. Regular follow up and to Child Hygiene Promotion and Youth Peer supervision meetings were held with the trained Education in schools with a view to reaching volunteers and Water Management Committees out to children and youth, who in turn reach in collaboration with the Ministry of Water and out to their peers to promote proper hygiene Irrigation and other stakeholders. Partnership behaviour and prevent the spread of HIV/AIDS. with key stakeholders was also enhanced. The communities have been empowered with knowledge and skills for better hygiene and sanitation practices, which in turn safeguard their health.

During the year, more than 165,000 beneficiaries accessed WatSan facilities and services. The NS continued to scale up efforts which recorded improved completion rates of projects that had been delayed. A total 10 branches implemented WatSan projects through financial support

KENYA RED CROSS SOCIETY CROSS RED KENYA from PNS, among them Machakos (EU through Spanish RC and IFRC/Spanish RC), Makueni (EU through German RC), Kitui (Finnish RC), Isiolo Drought Mitigation Project (ECHO through Danish RC), Kilifi and Lamu Tsunami Recovery Project, (American RC), Kajiado and Mandera/ 54 Rhamu (Norwegian RC), (Swedish RC), Moyale and Marsabit (ICRC). The WatSan Department WatSan projects also target provision of water for livestock. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

55 “This borehole is a testimony of our commitment to supporting sustainable water projects not only in Kenya but also in the region where we operate.” Coca- Cola’s Public Affairs Communication Director, Ms Norah Odwesso. Human Capital and Organizational Development Department

• Institutional Development • Youth • Branch Annual Reports • Information Technology • Human Resource • Dissemination • Training KENYA RED CROSS SOCIETY CROSS RED KENYA

56 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

57 Introduction

Organizational Development (OD) Department supports the institutional development of the Kenya Red Cross Society (KRCS) and works closely with other departments in the discharge of its mandate.

The Departments’ key objectives include strengthening the capacity base of KRCS to effectively coordinate and monitor Regional and Branch programmes and activities; and strengthen the capacity of the Regions and Branches to address the needs of the vulnerable members in the Community.

Main Achievements three UN bodies. UNDP through UNV partnered with KRCS to form Emergency Neighbourhood New Staff:New staff were hired including Volunteers to promote peace building in conflict the Head of Human Capital and Organisation areas. Members of the community from Kibera Development, Youth and Volunteer Development and Mathare in Nairobi were trained in peace Manager, Security Officer, Dissemination Officer, building and humanitarian response and Youth and Volunteer Assistant, Programme deployed to their communities to disseminate Assistant and Human Capital Manager. the information.

Governance Training: Through a Special Council UNHABITAT organised a similar programme, meeting, the Society postponed the 2008 Society although participants were volunteers from KRCS elections to 2010 in view of the prevailing Nairobi branches. UNEP partnered with KRCS to situation (post election violence) in the country. plant 10,000 trees in Karura and Ngong Forests Governance training sessions aimed at ensuring as part of the Million Tree Campaign. The project, that the Board members understand their roles which was extended to March 2009, employed and responsibilities were held in Kakamega on 180 IDPs and 20 volunteers for two areas, thereby 15th December 2008 for the West Kenya Region, improving livelihoods of the displaced persons. where 74 participants attended. On 29–30 December 2009, Branch Committee members Electronic Volunteer Database: The database from Lower Eastern/Nairobi were trained on was developed with the support of the governance at the Red Court hotel, Nairobi. Netherlands Red Cross and users were trained in September 2008. The database, which will be Partnership and Networking: In 2008, the developed to increase the fields, is already in use Department established solid partnership with by branches. KENYA RED CROSS SOCIETY CROSS RED KENYA

58

Nakumatt Supermarket officials donate forestry implements to KRCS Secretary General, Abbas Gullet (second left) and UNEP’s representative, Dr Nehemiah Rotich (left) to support the IDPs tree planting activity in Karura Forest, Nairobi. Capacity Building and Institutional Development

Kajiado Branch office was developed with In the North Region, a facility was purchased support from the Water and Sanitation by ICRC as a part of the Red Court Hotel. The Department; and was officially handed over to refurbishment of the building will be complete by KRCS in November 2008. The building comprises December 2009. two offices for the youth, while part of it is leased out to generate income for the Branch. The Siaya Branch office was constructed through support of the HIV and AIDS Programme in Laikipia Branch opened their office in July 2008, Sega and Norwegian Red Cross (Norcross). It which was jointly built by the Society and well- was officially opened in December 2008 by the wishers. Laikipia Branch office in Nanyuki, built Minister for Lands, Hon James Orengo. Central with the support of the Swedish Red Cross was Regional Centre, which will comprise Regional officially opened by the Chairman Organizational offices, a restaurant and conference facilities was Development, Mr. Patrick Mungai. constructed through support from Norcross. The Central conference centre will be part of the Red The Department embarked on the second Court Hotel and an income generating project for phase of the Red Court Hotel which includes the the Region. construction of a multi-level conference centre and office block for the hotel and KRCS staff. The Other institutional achievements include the Conference Centre and hotel were expected to be West Kenya Regional office, supported by the complete by March and May 2009. Netherlands Red Cross, Busia Branch office supported by the Swedish Red Cross and Laikipia Karen-Langata Branch through the twinning Branch office. Preliminary construction plans were programme with Norwegian Red Cross started processed for Kitui, Kilifi and Makueni Branches, the construction of a multi-purpose hall as an through the support of WatSan programmes and income generating project. other partners. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

59 KRC Central Region Complex: Offices and Nyeri Red Court Hotel Dissemination

The Dissemination Unit aims to improve the The land clashes in Mt Elgon District became understanding of the Kenya Red Cross Society critical following a security operation ‘Okoa (KRCS) humanitarian work and international Maisha’ that was conducted by a combined force humanitarian law. It targets everyone through of the police and the military from March 2008. activities for local administrators, disciplined This action necessitated increased Red Cross forces, opinion leaders, youth, schools and humanitarian activities in the area. Experience teachers, staff, volunteers and members. from the field activities indicated that there was low knowledge about the nature of the Red Cross among locals and administrators. Objective

To promote the understanding of Red Cross and During 2008, the Dissemination Unit conducted Red Crescent Movement’s fundamental principles, an inter-Branch Competition in International humanitarian values, International Humanitarian Humanitarian Law. The overall goal of the Law and emblem use, among other activities. competition was to improve knowledge of the This is to ensure that the ideals are understood, Red Cross and Red Crescent Movement among respected and applied in Kenya. KRCS Branches countrywide. It sought to promote awareness and understanding of IHL and the humanitarian principles guiding the law. Main Achievements An inter-university workshop on IHL was The post election violence in 2007/08 in held in December 2008, bringing together Kenya presented a major challenge for the representatives of various Universities to improve Dissemination Programme. The Society their knowledge in the Red Cross Movement responded to PEV in a large magnitude that and IHL. The aim was to make them good necessitated intensive dissemination among the ambassadors among their college colleagues public aimed at ensuring that the activities of the and the public. The workshop was attended by Red Cross were well-understood and respected. 30 students from the universities of Nairobi, Moi, Egerton, JKUAT, Maseno and Kenya Methodist Staff and volunteers benefited from dissemination University. simulation sessions that ensured their safety in access to and conducting activities. KENYA RED CROSS SOCIETY CROSS RED KENYA

60 Dissemination: Engaging the military on their obligations under IHL. Other achievements include restructuring of the National Committee on IHL, a gazzeted body that mandated to advice the Government on implementation of IHL and monitoring of respect and observance of IHL. On 23rd July 2008, the Attorney General gazetted the new structure and names of members of the Committee. Under the new set up, Kenya Red Cross will be represented as an institution and not by individuals.

The activities of the World Red Cross Day (WRCD) were marked from 5-10 May 2008 under the theme “Together for Humanity”. The theme highlighted the importance of partnership in addressing the humanitarian consequences of climate change.

The annual meeting of legal advisors and other National Society personnel in charge of IHL issues Dissemination: At community level. Below, activities during was held in Geneva from 8-10 September 2008. World Red Cross Day The purpose of the meeting was exchange of information within the movement on current issues in IHL and other topical issues. Kenya Red Cross was represented during the forum by the Legal Advisor, Mr Lawrence Orowe, and the Dissemination Officer, Idris Ahmed. It was during this meeting that the African Legal Forum was established under the guidance of KRCS team. The forum is an avenue for African National Societies to exchange ideas and support each other on legal matters. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

61 Information and Communication Technology (ICT)

The Information and Communication KRCS wide area network in addition to Coast Technology (ICT) Unit is mandated to enhance and North Eastern regional offices. This enabled communication through the networking of deployment of mail services, antivirus solution Regional Offices and Branches, capacity building and Navision system to the regional offices. Plans and cost reduction by enhancing radio network, are underway to network other regional offices. improving efficiency, reporting and staff output through shared and distributed services over the During the year, the ICT Unit constructed seven Wide Area Network. The Unit also ensures reliable triangular masts in North Rift, South Rift, West and secure infrastructure is in place, proper Kenya, Coast, Kisumu, Bungoma and Lamu utilization and performance of ICT equipment Branches to enhance radio communication in as well as Branch capacity building through the Regions. In addition, three VHF repeaters deployment of ICT equipment. and three base radios were installed in Nakuru, Bungoma and Eldoret. Portable VHF radios were deployed to assist Branches to respond to the post election violence during the year.

Three new base HF radios were set up in Nyando, Kilifi and Kwale Branches. Other HF radios in Kisumu, Mandera, Wajir, Lamu, Mombasa and Isiolo were serviced. Through the Japanese Red Cross IHOP Programme, three other HF radios were installed in health facilities (Garba-Tula, Malka-Daka and Iresa-Boru) and others in Sericho and Isiolo District Hospital were serviced to enhance communication in Isiolo District. Radio use training was conducted in Nyando, Kisumu and Nairobi. ICT Unit developed a standard radio ICT lesson: Use of HF radios manual for use during various operations. Eight new mobiles were installed and fitted with both Activities HF and VHF radios.

Exchange mail service: The Society’s mail system Structured Cable network supporting both migrated from MDaemon to Exchange to extend voice and data was done in Kisumu and Nakuru the service to Regional offices and allow office Branches, while a new PABX with 12 extensions mobility operation areas. Staff in the field with was installed Kisumu. portable modem can now access their mail through web mail. The ICT unit supported and maintained computers at KRCS Headquarters, Regional KRC website and intranet: In line with the new Offices and Branches. Plans were completed to logo, KRCS website was redesigned to reflect new set up an Emergency Operations Centre at the KENYA RED CROSS SOCIETY CROSS RED KENYA face and other development during the recent Society’s Headquarters to improve coordination years. Intranet has been developed and will soon of response activities during disasters. be launched to enable the sharing of common internal documents.

With support from the Kenya Data Network, three 62 regional offices were networked (West Kenya, North Rift and South Rift) and are now part of Programmes

Lake Victoria Project There included the Regional Manager, Regional Finance Officer, Regional Health The Lake Victoria Partnership Project is sub- Officer Regional Disaster Manager and regional programme being implemented by five three Branch Coordinators for Kisumu, National Societies from Eastern Africa, thus Kenya, Migori and Rachuonyo. Uganda, Tanzania, Rwanda and Burundi. Swedish • Four Regional Board meetings and three Red Cross with financial support from SIDA is Regional Youth Committee meeting were the main sponsor of the project. The Programme held during the period under review. has been on since 2003. In Kenya, this project is Key achievements realised included located in West Kenya Region and is implemented harmonisation of Branch participation by seven out of 12 branches covered by the in PEV activities, organisation of Region. The seven branches are: Kisumu, Migori, fundraising events, appointment of an Busia, Nyando, Homa Bay, Siaya and Rachuonyo. audit firm for all branches in the Region; Branch compliance to constitutional The main goal of the project is to assist the requirements, among others. This most vulnerable in the communities along ensured necessary policies for smooth the Lake Victoria Basin improve the quality of implementation and enhancement of their livelihood through the development of management performance. comprehensive programs that address disaster • Four Branch coordination meetings were preparedness and response management, health held and attended by staff in the Region. and care and create self-reliance. Main achievements included setting up of performance targets for 2008 as well as Main Achievements joint appraisal teams for the staff. Busia, Homa Bay and Nyando developed project • Staff Recruitment: During the period under proposals; Nyando Branch proposal on review five critical staff were hired for the flood mitigation was approved and funds region to boost the Programme outcomes. disbursed to KRCS for a three year floods 2008

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63 mitigation project. Rachuonyo Branch Main Achievements received a financial boost of about Ksh500, 000 to upscale their Malaria prevention The refurbishment of the Children’s Home in activities. Bungoma Branch and construction of a bigger • Construction of Busia Branch offices kitchen and borehole for water supply and started off while the Migori Branch plot dissemination of Red Cross principles in Western was supported to fence off their plot. Region, through the dissemination assistant in Bungoma.

Branch Twinning Procurement of income generating items for the Branch including a public address system as well The main objective of the Branch Twinning as tents and chairs for hire; and establishment Programme is to build the capacity of selected of a Mountain Rescue team in Nyeri Branch Branches to effectively respond to community which to serve as an income generating activity needs. The Twinning Progamme is sponsored by and promote safety during mountain climbing the Norwegian Red Cross and Swedish Red Cross. expeditions.

Under the Norwegian Red Cross Bungoma, Karen- Strengthening of Peer Education Programme in Langata and Nyeri Branches are twinned with Karen Branch and school clubs in surrounding three Branches from Norway. The programmes areas, through soccer tournaments and a have been in operation for three years in dedicated team of peer educators, and the Bungoma and Karen since 2006, while the Nyeri construction of a multi-purpose hall to be used as Branch activities continue for five years from 2006. an IGA for the Branch, was done.

Malindi Twinning Programme with South East The establishment of a women group to weave Branches of Swedish Red Cross agreement is baskets for sale and support the feeding ongoing, since January 2008 to December 2010. programme for the less fortunate in the society. This is the third agreement between the parties. KENYA RED CROSS SOCIETY CROSS RED KENYA

64 West Kenya Regional Office Regional Updates

Central Region Coast Region

The Region comprises Nyeri, Murang’a, Maragua, There were staff changes in the Region with Kilifi, Kirinyaga, Laikipia and Thika branches. Kwale and Malindi receiving new Branch coordinators at the end of the year to enhance efficiency. Governance: Quarterly Regional Board meetings were held to provide strategic direction. Board There was a spate of violence in the Region earlier, members were active in operations during the which volunteers in Mombasa Branch responded post election violence, both for displaced persons to immediately and efficiently. KRCS visibility and resettlement of IDPs returning home. The six was greatly increased during public holidays as Branches in the Region held Branch Committee volunteers were present and responded to any meetings monthly. emergencies. Public beaches were constantly manned by KRCS volunteers. Fundraising initiatives Branch Activity Date Amount West Kenya Region Raised

Nyeri Walk May 450,000 West Kenya Region comprises 12 Branches: Gucha, Homa Bay, Kisumu, Migori, Nyamira, Nyando, Nyeri Dinner June 35,000 Rachuonyo, Siaya, Busia, Kakamega, Butere Muranga Walk 13th September 260,000 Mumias, and Vihiga.

Maragua Walk 20th September 600,00 West Kenya formerly Nyanza Region, actively Thika Walk 13th September 140,000 responded to the post election violence. The Thika Dinner 6th Oct 300,000 Regional purchased office premises to increase effectiveness and response capacity. The Region has Kirinyaga Walk 20th September 180,000 several rub-halls containing NFIs and food items. Total 1,425,000 The Regional Board was reconstituted following North Rift Region the dissolution of the Kisumu and Homabay Branch 2008 Committees. The new board was inaugurated in North Right Region comprises Nandi North, Nandi October 2008. South, Trans Nzoia, Uasin Gishu, Moi’s Bridge, Marakwet, West Pokot, Bungoma, Lugari Mt Elgon, and Turkana branches. Mt Elgon, Bungoma and North Eastern Region Lugari Branches were added from Western Kenya. The Branch Committee for Ijara Branch was constituted in March 2009. The Branch recruited The Region was actively involved in humanitarian more than 100 members. A Regional Manager has response during the post election violence, been recruited. mainly in camp management and emergency response. The Region maintained integrity of the Red Cross Movement during the elections Upper Eastern Region violence. ACCOUNTS REPORT AND ANNUAL Mohammed Abdinoor was recruited as the Regional Manager. The Regional Board was The Branch committees in Trans Nzoia, Marakwet inaugurated in December 2008, while the Regional and Mt Elgon were dissolved and interim Youth Board was inaugurated in August 2008. The committees put in place. The new committees Region is active in membership recruitment and held regular meetings and progressed in the the Branches recruited 400 members in 2008. management of Branches. 65 Branch Updates

Nairobi Branch Officer in February 2008, the Programme sensitised thousands of Kenyan youth and trained Through the support of well-wishers and donors, Peer Educators. The Programme hosted a Road the Branch conducted a Jirani Mwema (Friendly Show dubbed ‘Je! Wajua Hali Yako? Chanukeni’ at Neighbour) peace agents training that benefited KICC, Nairobi, in November 2008, in an effort to 74 persons from Huruma, Mathare and Mabatini raise awareness on HIV/AIDs and Branch profile. areas. This programme plans to train a group of 90 youth from Dandora, Kariobangi and Kiambiu. The Blood Donor Programme conducted The Jirani Mwema peace agents shared peace education sessions to 32,985 potential donors information with fellow neighbours. and 4,590 units of blood were collected through 65 bleeding sessions. The Programme also The Disaster Department was strengthened received a new Regional Recruiter in December in July 2008 through the support of the 2008. Headquarters and Danish Red Cross of a Disaster Risk Reduction Programme. The Programme concentrates on campaigns and awareness rising geared towards fire risk reduction in the selected hazard prone areas. The programme trained 475 people in fire risk reduction, comprising 404 people from the community level (hazard target areas) and 71 from 3 Red Cross Branches and sensitised over 2,000 persons with fire prevention and mitigation messages. Further, the programme supported 1,668 families following fire disasters through needs assessments and distribution of available relief items as well as exhibited on risk reduction during the Nairobi’s Youth event: Drama during HIV/AIDs competition Trade Fair. The Youth Programme which provided majority labour for the Branch operated successfully New Programmes during the year. In addition to supporting the Branch implementation of programmes and The Feeding Programme also known as PATUSKI activities, the Department worked towards the (Pamoja Tuangamize Umaskini), which worked achievement of Four Part Youth Programme directly with 51 family representatives composed through team/capacity building picnics, of 45 women and six men representing a community service activities, and hosted population of 230 people, started in January 80 participants drawn from KRCS Branches, 2008. The Programme supported beneficiaries University Chapters and school clubs, during a through food rations, training on income camp held at Malindi Marine Park. generating activities and life skills, health campaigns and risk reduction sensitisation. It also The Branch Committee of six members and worked closely with the Branch and supported nine staff performed the governance and an orphan at Gakoe Secondary School who management roles respectively throughout the KENYA RED CROSS SOCIETY CROSS RED KENYA joined Form One in May 2008. Materials support year with dedication. This made it possible for was worth Ksh180,600 while consultations cost the Branch to operate within Red Cross principles Ksh400,000. and achieve overall objectives. The Committee supported in resource mobilisation throughout The HIV/AIDS Programme continued to the year. These efforts also accorded the Branch a implement the Youth Peer Education activities long-term solution to land, following the Mayor’s 66 in 2008 through campaigns, awareness sessions pledge to allocate a vacant piece of land behind and trainings. Having received a new Prevention the Nairobi City Council General Stores. Youth

International Youth Camps and Conferences: Two youth volunteers attended the 53rd International Study and Friendship camp in Austria from 7-21 July 2008. The objective of the camp was to bring youth members from different countries to share experiences and chart a future for the Red Cross Movement to inspire them to think beyond the realms of relief aid. Kenya Red Cross also sent four youth volunteers to Israel from 8-18th September 2008. The theme of the conference was food security. Lessons from Israel conference were shared with other youth to conceptualise food security, at small-scale levels.

Winners: A trophy for the winning youth team Interim National Youth Committee: The revision of KRCS Constitution in 2003 and the Junior Red Cross/National Youth Camp 2008: Youth Policy provided for the establishment of The first National Junior Red Cross Camp was a National Youth Committee whose elections held in November 2008 in Rimuruti, Laikipia were held September 2008, witnessed by the District. The theme of the camp was ‘A Future Society’s Governor, Mr Paul Birech. The 11- for Humanity’ and targeted Red Cross members member Committee comprises the Chairman, aged between 13-18 years and high school clubs. Vice-chairman and Treasurer and eight members The camp set the basis for project and topics on each representing a Region. The National Youth children’s rights and protection. Chairman represents the youth in the National Executive Committee. The role of the National Youth Committee is to formulate policy and structure for youth in the Society, while working closely with KRCS Headquarters. The National

Youth Committee also seeks to address issues 2008 facing the youth in the Society and build capacity at Regional and Branch levels

National Youth Interim officials. Below, a youth camp ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

Kenyan youth during a presentation in Austria 67 Human Capital Development

Human Capital and Organisational Development employed 11 members of staff while EMOP provides a crucial link between the Headquarters, Pokot that was initiated towards the end of 2008, Regions and Branches, and through the recruited 22 members of staff. decentralisation strategy. Organisational Development facilitates the implementation of Performance Management institutional structures and support systems at The full implementation of the Performance Regional and Branch levels, as well as helping Management System was done during 2008. define the relationship between the Management Performance targets were set up and a mid- and Governance. year appraisal undertaken in June 2008. The final appraisal was done in November 2008. The new performance management system entailed renewed focus on performance targets and enhanced the performance conversation between the staff and their supervisors.

Welfare The Society’s welfare caters for staff needs such as weddings, births and deaths. It has gone a long way in supporting members during times of need. Team building: KRC staff during a retreat Main Achievements HIV/Aids Workplace Programme The Department actively participated in the Recruitment HIV/AIDS Workplace Programme, which has Kenya Red Cross programmes staff increased coordinated various sessions, World AIDS Day, from 140 to 200 as various projects started off Family Fun Day and a retreat of Peer Educators in 2008. Some 64 new long-term contract staff that witnessed the rebranding of peer educators joined the Society, among them 10 senior staff to ‘Wellness Peers’. members. During the year, 20 members of staff left the Society and have since been replaced.

The post election violence (PEV) crisis in Kenya necessitated the hiring of 150 staff on short term contracts. Several staff responded to the needs of vulnerable people during the election crisis, particularly those of internally displaced persons (IDPs) in camps, in a recruitment exercise that took four main phases. Some 36 members of staff were recruited for Camp Management, 45 for Relief, Tracing and Information, 18 for Water and Sanitation and 34 for Public Health. A peer educators session KENYA RED CROSS SOCIETY CROSS RED KENYA Some short-term contracts were extended for Training a project of relief distribution to those IDPs A number of training sessions including training who had resettled. An Emergency Operation for peer educators took place and various Post Election Conflict (EMOP-PEC) project also employees were sponsored to pursue diploma, absorbed some PEV staff to serve the South and degree and masters programmes. A member of 68 North Rift regions in an operation which had staff attended to delegates training while two 80 staff. A food distribution project for Malindi others attended the WatSan Field School. Training

The Training Unit was established in September 2008 due to increased demand for provision of quality training in Disaster Management within and without the Kenya Red Cross sessions.

A practical session on water purification

Another Disaster Preparedness and Early Recovery training was held for 17 staff of 10 civil society organisations at Soi Safari Club in Baringo from 16-21 November 2008. Participants were drawn from Kisumu and Nairobi under the coordination of SANA International and Shelter Participants during a practical session on water purification Forum. In total, Ksh224,000 was generated as gross income.

Main Achievements A trainer of trainers (TOT) course on Vulnerability and Capacity Assessment (VCA) was held held in Disaster Management Curriculum Mombasa from 1-6 December 2008, targeting the The draft Disaster Management Curriculum was Disaster Preparedness and Response Department reviewed and discussed with various stakeholders staff and volunteers. At least 30 participants at Masinde Muliro and Moi universities. The drawn from the Disaster Risk Reduction pre-testing of the curriculum was done through implementing branches of Nairobi, Machakos, 2008 facilitation of various training sessions. Makueni, Tana River, Mombasa, Kwale, Kilifi, and Lamu attended the course. In total, Ksh.394, 000 The Training Unit in collaboration with the was generated as gross income. Masinde Muliro University facilitated a training session in Disaster Response for 30 District Health During the last six months, the Training Unit Management Team (DHMT) members drawn trained 96 participants and generated from Nyanza and the Kisii from 5-7 May 2008. The Ksh2, 282,000 as gross income. project was funded by Merlin International and Ksh144, 000 was realised.

A two-week Disaster Management training comprising theory and practicals for 19 participants drawn from KRCS programmes and external clients, was held from 21st October ACCOUNTS REPORT AND ANNUAL to 3rd November 2008, at the Red Hotel and Kumpa in Kajiado, respectively. During 2008, the Unit received technical and Material support from IFRC Geneva and facilitation from the KRCS programmes, IFRC–East African Zone, UNOCHA and UNICEF, among others. A total Ksh1, 520,000 69 was generated as gross income. Participants enter data after a needs assessment session. Supply Chain Department

• Procurement • Logistics and Warehousing • Business Development KENYA RED CROSS SOCIETY CROSS RED KENYA

70 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

71 Introduction

Supply Chain Department is a cross-cutting support function of the Kenya Red Cross Society (KRCS) that aims at efficient, effective and quality delivery of service to programmes. It comprises the Procurement, Logistics, Warehousing and Business Development units. The Department is a critical value-adding support function that enables the Society to achieve its mandate. The Business Development Unit develops business systems and structures to support income generation to ensure self sustainability.

Procurement

The procurement unit streamlines systems and procedures to ensure quality standards are maintained in the goods and services that are procured.

Main Achievements in time for onward shipping to beneficiaries and programme implementation as well as facilitation To establish, develop and maintain a well- of a notable increase in overall programme functioning procurement support system that implementation. will meet the Society’s demands. In 2008, the unit made procurements valued at Ksh253,624,694.17 The total volume of procurement undertaken for various programmes as indicated below: during 2008 was higher than the previous year due to increase in number of programmes. The Procurement unit carried prequalification During the year, there was improved programme of suppliers to be rolled out in 2009, thereby implementation. raising Ksh4 million which was ploughed back into the unit. The unit enhanced dissemination The unit was registered with the Kenya Institute of procurement rules and procedures through of Supplies management according to the Laws training and orientation by Procurement staff of Kenya Act enacted in October 2007. to programme staff, especially in Branches and Regions, sourced items, procured and delivered KENYA RED CROSS SOCIETY CROSS RED KENYA

72 Members of NEC and staff during the opening of tenders. Prequalification of suppliers for 2009 helped Ksh4m. Logistics and Warehousing

KRC Warehouse: Six rubbhalls have been pitched at Regional offices to enhance capacity

The Logistics Unit ensures sustained capacity Kenya Red Cross storage capacity was further growth and improved productivity through enhanced by renting out a 19,400ft capacity provision of reliable and efficient transport warehouse along Enterprise Road, Industrial Area, network. Nairobi, following the demolition of the former warehouse to pave way to construction of part The warehousing unit controls the movement of Red Court Hotel facilities. Six rubbhalls were and storage of both food and non-food items and pitched at the Regional offices to enhance their ensures that best practices are maintained in all storage capacity.

Kenya Red Cross warehouses countrywide. 2008

Main Achievements Objective During the resettlement of IDPs in 2008 under To establish, develop and maintain a well- the Operation Rudi Nyumbani, the Department functioning logistical support system that will collaborated with the Government and meet ongoing demand of the organisation and its ensured 24,143 people in North Rift Region programmes.

In 2008, the Logistics Unit assisted in provision of logistical services during the post election violence. The unit continued to offer logistical support to programmes and other sections of the

Society through the provision of transportation ACCOUNTS REPORT AND ANNUAL and warehousing services.

During the year, the unit scaled up its efforts to support programmes by acquiring 21 light vehicles. Five new IVECO trucks with each 15 tonnes carrying capacity and a Scania semi-trailer KRC trucks provided logistical support during the post election 73 were ordered from IFRC fleet base in Dubai and violence, EMOP and other disasters. delivery is expected early 2009. were transported to their farms/homes using the Regional warehouses, hence cutting down on M6 trucks. The Department supported the response times. The Unit transported 39,350MT of emergency operation programme (EMOP) post- food and non-food items to various destinations election conflict operation with 14 landcruisers across the country 2008, which represents 213% and three 15-tonne trucks. North Rift region of volumes transported in 2007. Warehousing was allocated seven vehicles while the South facilities were set up in Nakuru and Eldoret Rift Region had seven vehicles, the Department following the post-election violence which delivered and distributed over 926MT of foods to enabled other NGOs and UN agencies to utilise 123,311 drought affected residents of East Pokot them. and Baringo districts in August and September 2008. The drought operation was funded by IFRC The Unit introduced a storage recharge system following a DREF appeal made by KRCS. where programmes were charged according to space occupied in the warehouse. A total The Supply Chain also supported the setting up Ksh3,789,373.40 was raised as a result of recharge, of EMOP operations in East Pokot and Malindi while 19,400sq ft warehouse facility along districts where warehousing facilities were Enterprise Road, Nairobi, where all the Society’s identified at Nginyang’ and Malindi branches goods are stored was rented out, hence saving respectively. Some Ksh75 million was raised on rent. The Unit boosted emergency stock through mileage recovery, which represents 75% levels from 20,000 families to 30,000 families. growth over the previous year and 21% over the The warehouse currently holds NFIs for 30,000 2009 target. Relief items were transported to families as preposition stocks, up from 20,000 1,900 families affected by floods in Taita Taveta families in 2007. and Tana River districts using M6 trucks. The Supply Chain Department supported the In an effort to build capacity for the Regions and construction element of the post election branches, some 72 staff members and volunteers violence resettlement programme and were trained in fleet and inventory management constructed 276 houses for IDPs who had in North Rift, South Rift and Coast regions. During returned to their farms. the year, the Unit hosted the Chief Accountant and Fleet Manager from Liberian Red Cross The National Society is the IFRC’s Fleet Base for five days during a learning mission of fleet largest client and beneficiary of the Federation management and mileage recovery concept. The fleet base initiative. Unit also prepositioned NFIs for 10,000 families at KENYA RED CROSS SOCIETY CROSS RED KENYA

74 Trucks during a past distribution: In 2008, KRC acquired more trucks to support is current fleet. Business Development

The Business Development Unit was created in 2008 in an effort to improve the Kenya Red Cross’ fundraising initiatives. It aims at promoting the Society, products and services to the corporate sector and other partners in order to enhance the resource base.

Launch of Utu Scheme. Below, Utu Scheme poster

Ksh 270,000. The nett collection realised through the Scheme by the end of 2008 is Ksh1, 869.015.

The 17th General Assembly of the International Federation of Red Cross and Red Crescent and Sale of merchandise: Promotional items and departmental 2009 Council of Delegates products during a public event Activities undertaken during 2008 included Main Objective identification and selection of a conference venue (UN premises, Gigiri) that is adequately equipped To develop and put in place structures and technologically, with sufficient equipment and systems to adequately support business rooms to host the conference. There was the development initiatives aimed at making the formation of a National Working Committee Society financially self-sustainable. comprising various stakeholders to provide an advisory role, identification and selection of Preparations for the 17th General Assembly of the International Federation of the Red Cross 2008 & Red Crescent and 2009 Council of Delegates, to be hosted by KRCS, started during the year. The Business Development Unit aims to ensure a successful conference in November 2009, marking the first time in the Movement’s history for the event to be held in Africa.

Fundraising Initiatives

UTU – the Fundraising Scheme During the year, the Kenya Red Cross reviewed the WEMA Account Scheme and partnership with Barclays Bank of Kenya by repositioning and ACCOUNTS REPORT AND ANNUAL rebranding the WEMA Account Scheme to UTU- The Power of One. The scheme aims to harness the Kenyan power of giving through regular contributions. The Scheme was launched by the Prime Minister, Right Hon Raila Odinga on 18th November 2008. In 2008, a number of KRCS staff 75 signed up to the Utu scheme, thereby generating 15 city hotels with suitable accommodation Annual Gala Dinner facilities for the delegates and reservation of The 2008 Annual Gala Dinner had been planned 1,300 rooms, identification and contracting of to be an outdoor event in Arboretum Forest, Gina Din Corporate Communication to facilitate Nairobi. The event was cancelled following the the conference and corporate communication, floods reported in most parts of the country and establishment of a draft working budget based clan conflict in Mandera District. A net income of on initial assessment of the conference facility Ksh921,240 had been realised through pledges and two preparatory planning missions to Nairobi and sponsorships. The sponsors accepted to with the Geneva team, to address coordination donate the funds to the humanitarian crisis. and administration issues. KRCS also approached the Government for sponsorship of the event. Sale of First Aid Kits

Goodwill Ambassador In liaison with KRCS First Aid Manager, the Supply Chain Department supported the sale of First Aid The Kenya Red Cross recruited a well-known kits to institutions and individuals. personality as the Goodwill Ambassador to highlight its humanitarian work. The Promotional Items and Collection Tins Unit supported the launch of the Good Will Surplus funds were realised from the sale of Ambassador, Gina Din-Kariuki, during an event promotional branded materials such as watches, held on 19th August 2008. sweaters, key holders and coin collection tins placed in strategic supermarkets in Nairobi. The amount raised from the activities was Ksh870,357. KENYA RED CROSS SOCIETY CROSS RED KENYA

KRCS Goodwill Ambassador, Mrs Gina Din-Kariuki (left) receives a plaque from the Governor, Mr Paul Birech.

76 2008

Mzee Macharia, Matharu in Burnt Forest I am speechless. I am so happy. My children are also happy that they are not going to sleep in a tent again. The past several months have not been good for us as a family. Cold nights in the tents were unbearable, children fell sick and we had no money to take them to hospital, leave alone money to build a house. In the IDP camp, Kenya Red Cross workers visited us to assess our needs. They took care of us and our children. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

After I returned to my farm, I learnt of plans to receive new houses built by the Red Cross. I was not sure whether I will be one of the beneficiaries. A member of the Kenya Red Cross approached me and whispered that they will mobilise funds to build houses for everyone. This brightened my face. Since then, I have been waiting for my house to be completed. Mwathani amurathime (may God bless you). 77 (During hand over of a new house built by KRCS for IDPs in North Rift) Public Relations

The Public Relations is a cross-cutting unit that aims to promote a positive image of the Kenya Red Cross Society among various publics. KENYA RED CROSS SOCIETY CROSS RED KENYA

78

The Director General of Communications Commission of Kenya, Mr. Charles Njoroge, presents the Chief Judge’s Special Commendation to the Kenya Red In the 2008 the Public Relations Unit of Solferino Campaign were initiated in the last implemented various activities supported by quarter of the year. departments and donors. The International Committee of Red Cross (ICRC) supported Advocacy and Visibility the publication of various information In 2008, the PR Unit coordinated the publication education communication (IEC) materials and of 12,000 copies of the Reach Out newsletter, advertisements in the media, mainly during the 5,000 Fundamental Principles posters, 10,000 post election violence and land clashes in Mt Swahili Emblem brochures, 5,000 Emblem Elgon District. posters, 500 Annual Report books, 5,000 Junior Red Cross brochures and 1,000 Company Agreement Strategy (CAS) books.

Also printed were Communication Policy, document folders, banners, dissemination kits, Institutional brochures, fliers, Vision and Mission posters, calendars (pocket, wall and desk calendars). Other activities include the installation of telephone on-hold message and building of library racks, printing T-shirts and caps. Thousands of IEC materials were used by departments, Regions, Branches and donor-funded projects. Special Programmes Minister, Dr Naomi Shaban, is taken through the Reach Out newsletter by PRO, Nelly Muluka. Kenya Red Cross articles featured in some external publications including the Kenya Insurer, PR Arena, Autozine and the International Networking and Collaboration Federation of the Red Cross/Crescent Societies (IFRC) website. The multi-media section covered The PR unit organised meetings, workshops various functions across the country, including and conferences, for KRCS and other partners, the first images of PEV aired by the local and 2008 during 2008. Key events organised during the international media. Coordination of production year include the World Red Cross Day, World First of the Red Alert video documentary, departmental Aids Day, Annual General Meeting and Partner documentaries, radio/TV spots, posting of images National Societies meetings. on the U-tube and website, was undertaken throughout the year. The acting Public Relations Manager, Titus Mung’ou, was nominated to join a team from the International Federation of Red Cross and Media Relations Red Crescent Societies (IFRC) to cover drought Kenya Red Cross enjoyed increased media situation in the Horn of Africa, in November 2008. visibility in 2008, mainly centred on the post The PR Officer, Nelly Muluka, represented KRCS election humanitarian response and later the during the Eastern Africa Zonal Communications floods response across the country. The PR Unit

Forum held in Nairobi in November 2008. ACCOUNTS REPORT AND ANNUAL coordinated the publication of five major PEV supplements in the Daily Nation and Standard PR officers were also involved in the preparation newspapers, TV and radio spots focusing on of a communication plan for the upcoming KRCS support and response during the election 17th Session of the General Assembly of the violence, as well as Mt Elgon land clashes. International Federation of Red Cross and Red Crescent Societies scheduled for November 79 2009. Preparations for events to mark 150 Years Media monitoring DVDs, CDs and VHS copies on media mentions of KRCS items were delivered every monthly by the Steadman Ltd and Strategic PR Ltd. The PR also supported the Society’s departments in production and airing of humanitarian features.

Quarterly media awareness workshop was organised in Nyanza, Nairobi, Western and Rift Valley Regions to bolster the post election

coverage. The PR unit produced 72 Information Journalists during a KRC function. There was increased media PEV Bulletins, Operation Updates for floods, press visibility during 2008. releases and news releases and updates, most of which were posted on the website. In November 2008, Kenya Red Cross won a Special Award by the Public Relations Society of Most media houses, local and international, Kenya (PRSK) for Crisis Management and Media hosted KRC Secretary General, Abbas Gullet, Relations campaigns during the post election and some staff in their studios discussing PEV violence. humanitarian response. Talk shows on the National Chanuka Challenge Competitions were aired on Simba FM, KBC, Radio Umoja and Capital Capacity Building FM. Kenya Red Cross staff and volunteers featured The PR Office purchased five digital cameras, one on KTN and KBC TV stations discussing HIV/AIDS laptop and one computer. The staff and tens of topics. journalists benefited from media workshops on The PR unit facilitated TV and radio interviews humanitarian response in disasters, fire safety, with the local and international media, mainly road safety and resource mobilisation. addressing the Post Election Violence, floods, conflicts and UTU Scheme. The Public Relations and Communications Manager, Anthony Mwangi, left KRCS to work Media trips were organised in North Eastern, with the IFRC in Geneva as a delegate in charge of Nyanza, Rift Valley and Western Regions during communication matters for Myanmar and China. the PEV, floods and conflict responses. Various A farewell party was organised for him at Lukenya Regional Managers, Branch Coordinators and Gateway during a staff retreat. field officers participated in diverse media events, interviews and talk shows during the year. The PR Office organised two media seminars at the Headquarters in December 2008 focusing on road and fire safety.

Branding

Reconstruction of KRCS website and setting up of the Intranet commenced in 2008. Kenya Red Cross became the first non-commercial and non- corporate sector to be awarded the Superbrands status in Eastern Africa region. The award KENYA RED CROSS SOCIETY CROSS RED KENYA confirmed that the ‘Red Cross’ brand is reliable, Special tribute: PR Manager, Tony Mwangi, receives a present dependable, respected and associated with high from the Deputy Secretary General, Dr James Kisia, ahead of level accountability, quality service and visibility his new assignment in Geneva. among diverse publics. 80 Media Distribution

2008 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT DEC TOTAL

NEWSPAPER 257 229 150 74 81 86 46 36 18 23 28 38 1048

TELEVISION 177 128 72 40 74 51 25 23 31 22 25 48 685

RADIO 246 166 145 86 139 91 71 82 84 22 27 189 1264

TOTAL 680 523 367 200 294 228 142 141 133 67 80 275 3130

Trend in Media Visibility (2007-2008)

JAN FEB MAR APR MAY JUNE JUL AUG SEP OCT NOV DEC 2008 680 523 367 200 294 228 142 141 133 67 80 275

2007 45 159 119 352 356 215 95 21 45 82 105 181 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

81 KRCS Supporters 2008

Red Cross Movement • Celtel Kenya • Zain Ltd • American Red Cross • CFC Life Assurance Co. Ltd • Australian Red Cross • Chairmania Ltd • British Red Cross • Clarkson Nottcutt Insurance Brokers Ltd • Canadian Red Cross • CMC Motors • Chinese Red Cross • Coca Cola East Africa Ltd • Danish Red Cross • Colour Creations • Finnish Red Cross • Colour Creations • French Red Cross • Commercial Bank of Africa • German Red Cross • Computer Revolution Africa • International Committee of the Red Cross • Cooperative Bank of Kenya • International Federation of Red Cross and Red • Covercraft Crescent Societies • Craft Banda • Iranian Red Crescent • Danielle Hair Design Limited • Irish Red Cross • Diamond Trust • Japanese Red Cross • Diamond Trust Bank • Monaco Red Cross • Dinesh Construction • Netherlands Red Cross • East African Breweries • Norwegian Red Cross • Eastern Cuisine • Spanish Red Cross • Eastern Delight Garden • Swedish Red Cross • Egyptian Art Gallery • Swiss Red Cross • Eveready East Africa Ltd • Turkish Red Crescent • Finesse Health and Beauty Clinic • United Arab Emirates Red Crescent • General Motors • Geokarma Construction Ltd. Corporate Supporters • Geotronics • Gina Din Corporate Communications • Aberdare Safari Hotels • Gydlites Decor • Adopt A Light • Hot Point Appliances • Akarim Agencies • Hotel Intercontinental • Alcatel Lucent • Hotel Simba Lodges • Alcatel Lucent East Africa Ltd • Hotels Sarova • Amazing Bazaar • Housing Finance Corporation of Kenya Ltd • Amiran Communications Ltd • HP Insurance • Antco Automation • HP Insurance Brokers Ltd • AON Minet • Jack Myer of USAID • Aqua Drilling & Civil Works Ltd. • Kalu Works • Avtech Systems • Kenya Airports Authority • Banana Box • Kenya Airways • Barclays Bank of Kenya • Kenya Bureau of Standards

KENYA RED CROSS SOCIETY CROSS RED KENYA • BAT Kenya • Kenya Commercial Bank • Bio Foods • Kenya Wine Agencies • Biselex • Kulgraphics • Blue Bird Aviation • Laico Regency • Brooms Limited • Lebanese Cedars Restaurant • Bunson Travel • Leisure Lodge 82 • Cadbury Limited • Leisure Lodge Beach and Golf Resort • Capital FM Radio • Linksoft Group • Magnet Ventures • State House Primary School • Mara Lodges • Suntra Investment Bank • Media Edge • Superbrands East Africa • Media-Capital FM • Tamarind Group • Media-Chemsagen Radio Station • Tech Today • Media-Kameme/K24 • Techno Relief • Media-KBC • Technology Today • Media-Kenya Times • Text Book Center • Media-KTN/Standard • The Nairobi Arboretum • Media-Nairobi Star • Tiwi Beach Resort • Media-Nation Media Group • Toyota East Africa Ltd. • Media-Royal Media Services • Uchumi Supermarket • Media-Salaam FM • Unilever East Africa • Media-The People • UUNET Kenya Ltd • Media-Waumini FM • Vega Software • Midroc Water Drilling Co. Ltd • Village market • Mitchell Cotts • VSO Jitolee • Mitchell Cotts Ltd. • Wahu • Morhphosis Limited • Windsor Golf Hotel • Nairobi Hilton Hotel • Wrigley Company • Nairobi Women’s Hospital • Yaya Towers • Nakumatt Supermarket Holdings • Nameless • Nar Enterprises Other Supporters • National Social Service Fund (NSSF) • Aga Khan Hospital University • Nestle Foods (K) Ltd • Association of Professional Societies • Open View Business Systems • Association of the Physically Disabled in Kenya • Osteria Del Chianti • Calvary Church-USA • Palacina Moonflower • Catholic Relief Services • Panari Hotel • CDC • Polytanks • Danish Refugee Council • Portcross Limited • Department Of Defense • Private Donor in Brunei • East Africa Women’s League 2008 • Proctor and Allan • Electoral Commission of Kenya • Qatar Airways • European Union • Quantymann Associates • Global Fund • Radio Simba • Glaxosmithcline • Red Court Hotel • GOAL • Roto Moulders Ltd. • Government - German • Royal Media Services Ltd • Governments - British/DFID • Rupas Gift Centre • Governments - Canadian/CIDA/HAPS • Safaricom Ltd • Governments - Netherlands • Safaricom Foundation • Governments – Swedish • Sasini Tea • Hamilton Group • Seltar Crafts • Jaza Lorry-Pamoja Youth Initiative • Serena Hotels • Kenya Association of Professional Counselors ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL • Siginon Freight • Kenya Christian Fellowship in USA • Simba Lodges • Kenya Freedom from Hunger • SIMZ Florist • Kenya Girl Guides Association • Smart Printers • Kenya Human Rights Commission • Sopa Lodges • Kenya National Resuscitation Council • Spartan Trading Ltd • Kenya Prisons • Spinners and Spinners • Kenya Scouts Association 83 • Standard Chartered • Kenya Tourist Board • National Operation Center • Kenya Wildlife Service • Nefpark network • Luke’s Foundation • NOPE • Masinde Muliro University of Science and • Norwegian Refugee Council Technology • Office of the President • Medicins Sans Frontiers • Ordina • Ministry of Agriculture • Orowe and Company Advocates • Ministry of Education • Rural Women Peace Link • Ministry of Finance • School-International School of Kenya • Ministry of Foreign Affairs • SOS Children’s Villages • Ministry of Public Health & Sanitation • St. Lukes ACK-Kitale • Ministry of Medical Services • CDC • Ministry of Labour • UN/OCHA • Ministry of Livestock and Fisheries • UNDP • Ministry of Special Programmes • UNEP • Ministry of Water • UNHCR • Ministry of Youth Affairs • UNICEF • Miss Commonwealth-Kenya • USAID • Miss Tourism-Kenya • PEPFAR • Miss World-Kenya • Verf • Moi University School of Public Health • WFP • Nairobi City Council • WHO • NASCOP/NACC • World Concern • National Blood Transfusion Services • World Vision • National Council of Churches of Kenya KENYA RED CROSS SOCIETY CROSS RED KENYA

84 Partnership: KRCS Secretary General, Abbas Gullet (front row, centre) in a meeting with Safaricom Ltd CEO, Michael Joseph (left),and other partners. Below, commissioning of Kotulo borehole supported by Coca cola East Africa Company, by the Minister for Northern Kenya and Arid Lands, Hon. Mohamed Elmi. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

85 Accounts

• Finance • Administration • Internal Audit KENYA RED CROSS SOCIETY CROSS RED KENYA

86 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

87 TREASURE’S REPORT

1. Programme Fnancing 87 1.1. 2008 versus 2007 1.2. Trend Analysis of total program incomes

2. Programme Expenditure 88 2.1. 2008 versus 2007 2.2. Programmes Income absorption 2.3. Programme Expenditure trend analysis

3. Administration and Coordination Incomes 89 3.1. 2008 versus 2007 3.2. Trend Analysis of administration and coordination incomes

4. Administration and Coordination Expenditure 89 4.1. 2008 versus 2007 4.2. Trend Analysis of administration and coordination expenditure

5. Administration and Coordination Surpluses 90

6. Investment activities - Red Court Hotel (RCH) 90

7. Approved Budgets for Year 2009 91 7.1. Comparison between approved budgets for 2009 and 2008

8. Internal Audit 91 8.1. Internal Audit 8.2. External Audit

9. Closing Remarks 91 KENYA RED CROSS SOCIETY CROSS RED KENYA

88 Treasurer’s Report for the Financial Period Ended 31 December 2008

I welcome you to this year’s Annual General Meeting of the Kenya Red Cross Society. 1. Programme Financing Funding for Post Election Violence (PEV)/drought/ floods and emergency relief operations increased 1.1. 2008 versus 2007 by Kes 425 million due to funds received from the I take great pleasure in reporting that the Society following organizations: continued to secure new and additional program • funding throughout 2008, resulting in funding of IFRC – Drought and Floods 59m • Kes 1.495billion. Netherlands Red Cross –PEV 152m • Norwegian Red Cross –PEV 23m • Spanish Red Cross –PEV 11m • PNs/Corporate partners – PEV/Drought /Floods 540m • UN WFP – Drought 183m • Total 970m

Health and Social Services Funding for Health and Social Services decreased from Kes 272 million in 2007 to Kes 227million in 2008, marking an overall decrease of 16%. This was due to the shift of Water and Sanitation related projects to Water and Sanitation Department.

Organizational Development Funding for Organizational Development increased from Kes 47 million in 2007 to Kes 68

million in 2008, marking an overall increase of 2008 Disaster Preparedness & Response Funding 45%. Disaster Preparedness & Response funding increased from Kes 679 million in 2007 to Kes Water & Sanitation 1.077 billion in 2008, marking an overall increase Funding for Water and Sanitation was Kes 122 of 58%. million in 2008.The department was part of the Health Department in 2007. Composition of DPR funding (Kes’ Millions) 1.1. Trend Analysis of total programme incomes 2008 2007 Change Change % Regular long- 107 134 -27 -20% The overall program incomes have been on an term programs upward trend fluctuating between -12% to 255% PEV/Drought/ 970 545 425 78% increment since 2002 with the funding for 2008 Floods and being the highest ever. The increases from year

emergency relief ACCOUNTS REPORT AND ANNUAL to year are as follows: The increase from 2002 to Total 1077 679 398 58% 2003 was 73%, 2003 to 2004 was 54%, 2004 to 2005 was 18%, 2005 to 2006 was 255%, 2006 to The funding for DPR regular long-term programs 2007 a decrease of 12% and an increase of 50% decreased by Kes 27 million this was due to a shift for the year 2007 to 2008. The greatest increase of Water & Sanitation related projects to the Water was in 2006 due to the drought operations. and Sanitation department. 89 Analysis of program expenditure by department and Trend analysis of Programme Income received for the percentage of overall expenditure for years 2008 and period 2002 to 2008 2007 (Kes’ millions) Year 2008 2007 2006 2005 2004 2003 2002 Department 2008 % 2007 % Kes Millions Disaster Preparedness 1,108 74% 730 72% Amount 1,495 998 1,143 322 274 178 103 and Response Change 497 -145 821 48 96 75 - Health & Social Services 201 13% 227 23% % Change 50 -12 255 18 54 73 - Organizational 65 4% 54 5% Development Water & Sanitation 131 9% 0 0% Total 1,505 100% 1,011 100%

Disaster Preparedness and Response remained our major activity during the period 2008, constituting 74% of the total programme expenditure vis a vis 72% for the year 2007, Health and Social Services at 13% of the total programme expenditure vis a vis 23% in 2007 , Organizational development at 4% of the total programme expenditure vis a vis 5% in 2007 and Water and Sanitation at 9% of the total expenditure vis a vis 0% in 2007 since department had not been formed.

2.2. Programmes Income Absorption 2. Programme Expenditure During the current year, we received an income of 2.1. 2008 versus 2007 Kes 1.495 billion with an expenditure of Kes 1.505 billion representing an absorption rate of 101%. The total expenditure for the period 2008 The income absorption rate achieved in the year amounted to Kes 1.505 billion as compared to Kes 2007 was 101%. 1.011billion in 2007. The change between the two periods is an overall increase of Kes 494 million representing a percentage increase of 49 %. The analysis of change between the two years for each department is as follows:

Analysis of program expenditure per department for years 2008 and 2007 2008 2007 Change Change % Department Kes’ millions % Disaster Preparedness and Response 1,108 730 378 52% Health & Social Services 201 227 (26) (11)% 2.3. Program Expenditure trend analysis Organizational Expenditure over the five-year period has been Development 65 54 11 20% on an upward trend fluctuating between 8% and Water &

KENYA RED CROSS SOCIETY CROSS RED KENYA 184%, where 2003 to 2004 increased by 30%, Sanitation 131 - 131 2004 to 2005 increased by 72%, 2005 to 2006 Total 1,505 1,011 494 49 increased by 184%, 2006 to 2007 increased by 8%, 2007 to 2008 increased by 49%. 90 Analysis of Programme Expenditure for the period 2003 Mileage recharge increased by 40% this was to 2008 mainly due to increased regular and non regular Year 2008 2007 2006 2005 2004 2003 operations especially the post election violence Kes Millions operation. Amount 1,505 1,011 939 331 193 148 Change 494 72 608 138 45 Program support cost decreased by 4% % Change 49% 8% 184% 72% 30% and formed 53% of the administration and coordination income. This is based on project recoveries and the % varies with different donors/ PNS within a range of 3.5% - 10%. The standard agreed percentage is however 10%.

3.2. Trend Analysis of administration and coordination incomes

Analysis of Administration & Coordination incomes (2003-2008)

160

140

120 3. Administration and coordination 100 80

60 Kes''millions incomes 40

20

0 3.1. 2008 versus 2007 2008 2007 2006 2005 2004 2003 Year

Grants & Donations 2008 2007 Change Mileage recharge Investment income Income Generating activities Kes’ millions % Program support costs Other Grants and donations 2 16 (14) (88)% Income Generating Activities 28 25 3 12% Investment income 33 9 24 267% 4. Administration and Mileage recharge 73 52 21 40% Coordination Expenditure Program support costs 153 160 (7) (4)% 4.1. 2008 versus 2007 Total income 289 262 27 10% The administration and coordination expenditure increased by Kes 27 million over last year. The Overall the administration and coordination 2008 analysis of the change is as per the table below income increased by 10% with the self-generated per expenditure categories. funds on a positive upward trend while donations and programme support costs were Analysis of administration and coordination expenditure on downward trend. This was in line with our by expense group for years 2008 and 2007 sustainability strategy of meeting our core costs. Kes’ millions Expenditure 2008 2007 Change % Grants and donations decreased by 88% most of Staff related costs 58 57 1 2% the amounts received under this line in 2007 were Establishment Costs 20 17 3 18% towards the construction of the DMTC thus the Information & high decrease for the year 2008 since most funds Communication Technology Costs 8 8 - 0% had been received in 2007. Equipment, Motor vehicle and Property Costs 79 58 21 36%

Income Generating Activities increased by Outside Professional ACCOUNTS REPORT AND ANNUAL 12% this was mainly due to increased sales of Services costs 6 5 1 20% promotional materials. Traveling and Governance support 10 10 0 0% Income Generating Investment income increased by 267% this Activities costs 15 13 2 15% represented mainly rent income from Barclays Total 195 168 27 16% Bank and Red Court Hotel, the high leap was due 91 to Rent received from Red Court Hotel with effect Staff related costs increased by Kes 1 million a from January 2008. marginal increase of 2%. Establishment costs increased by Kes 3 million, 5. Administration and an increase of 18% and this was in line with Coordination Surpluses increased operations. Surplus for the past five years has been as shown Information & Communication Technology below. Costs remained the same despite increased Trend Analysis of Administration and Coordination operations this was due to controls put in place Surpluses (Kes’ Millions) by management. 2008 2007 2006 2005 2004 Income 289 262 221 111 48 Equipment, Motor vehicle and Property costs Expenditure (195) (168) (94) (54) (44) increased by Kes 21 million, an increase of 36%. This was due to increased motor vehicle Surplus 94 94 127 57 4 expenses in line with the increased operations especially the post election violence, increase of Surplus has been on an upward trend since 2004 fuel prices in 2008 and an increase of fleet base. up to 2006, declined in 2007 and remained the same in 2008. Outside professional services which includes audit and legal fees increased by Kes. 1 million, an 6. Investment activities - Red Court increase of 20% this was mainly due to increase in legal fees. Hotel (RCH) The Red Court Hotel is registered as a Private Traveling and Governance Support costs Company Limited by guarantee. It has its own remained the same. This is both local and management and it is fully owned by the Society. international travel by the governance and The facility is managed as an autonomous income management. generating strategic business unit.

Income Generating Activities costs increased by The cost of construction of Red Court Phase I is Kes 2 million, an increase of 15% mainly because reflected in the Societies books as an investment. of stock replenishment exercise and trainings During the year the Red Court Management carried out during the year. and the Society entered into an agreement on recovery of investments which is through a lease 4.2. Trend Analysis of administration and agreement where the Hotel has been paying rent coordination expenditure of Kes. 2 mln per month. This has been in an upward trend in line with increasing project operations over the years. The management has also embarked on Red Court Phase II, which is being financed through a loan of USD 16,668,461 from Equity Bank of Kenya Ltd. The loanee is Red Court Hotel with the Society as the guarantor. The tenor of the loan is 10 years with a grace period of 24 months. The first loan repayment is due on 1st January 2011. The project is in two phases, the excavation works have since been completed and main works commenced in March 2009. The project is expected to take 78 weeks. KENYA RED CROSS SOCIETY CROSS RED KENYA In order to tap the growing market of conferences for both local and international organization the existing warehouse was converted to a conference facility and the expected date of completion is end of June 2009. 92 Our regional office in Nyeri has an office and 8.2. External Audit conference facilities, which are ready for This was a countrywide audit for Society at the occupation. The conference facility will be three levels Headquarter, Region and Branch managed by Red Court Hotel. level. For the first time in the Societies history, we had six (6) Regions and fifty eight (58) Branches Red Court Eldoret will be the next phase of audited. For the year 2007 only 12 Branches construction and the project is expected to take undertook proper audit with registered auditors 12 months. as required by the constitution.

7. Approved Budgets for year 2009 This was in an effort to strengthen the Regions and Branches and enhance accountability of the 7.1. Comparison between approved budgets Society as a whole. for 2009 and 2008 9. Closing Remarks Comparison between approved 2009 and 2008 budgets Kes’ Millions It was a very busy year for the Society where % both the overall income and expenditure levels Department 2009 2008 Change Change increased by 70%, this could not be achieved Disaster Preparedness 389 378 11 3% without the support of our Partners, General & Response public, Corporates , the Council , Executive Health and Social 634 462 172 37% Committee and the tireless efforts of our staff Services and volunteers. The society has moved a notch Water and Sanitation 254 396 (142) (36)% higher and the call to each of us is to sustain and Organizational 356 276 80 29% aim at moving to greater heights. Development Administration and 334 168 166 99% Coordination The aspiration to be a sustainable organization Totals 1,966 1,680 286 17% continue to be a core drive and the value of increased accountability and transparency cannot be over emphasized. 8. Internal Audit I would like to thank the Government of Kenya, 8.1. Internal Audit our Partners – ICRC & IFRC, Partner National The internal audit department was able to Societies, Corporate, General Public, The Council, conduct financial and system audits in thirteen The Executive Committee, Volunteers and Staff for 2008 (13) branches in the year and ten (10) function their dedication and support during the period audits at Headquarter level. Internal control then ended , the year when Kenyan’s got to know report recommendations by the external auditors the role of Kenya Red Cross Society. for both interim and 2007 audit were fully implemented and marked improvement noted in God Bless You All and God Bless the Society the current year. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

93 KENYA RED CROSS SOCIETY

Administration and Coordination Account

Financial Report for the Year Ended

31 December 2008

Table of Contents

Executive Committee’s statement of responsibilities 93

Independent Auditor’s report 94

Income and expenditure account 95

Balance sheet 96

Statement of changes in reserves 97

Cash flow statement 97

Accounting policies 98

Notes forming part of the financial statements 100-104

Appendices

I Summary of income for the year

II Summary of expenditure for the year

III Summary of income and expenditure per project

IV Detailed analysis of income and expenditure KENYA RED CROSS SOCIETY CROSS RED KENYA

94 This financial report represents the head office The Committee accepts responsibility for the activities of Kenya Red Cross – Administration annual financial report, which has been prepared and Coordination account. The Administration using appropriate accounting policies supported and Coordination account activities include by reasonable and prudent judgements and the coordination of the project activities estimates, in conformity with the organisation’s for the donors and as well as managing the accounting policy. The Committee is of the income generating activities for the Society’s opinion that the financial report gives a true and sustainability. fair view of the state of the financial affairs of the Administration and Coordination account and It is the responsibility of the Executive Committee of its results for the year. The Committee further to prepare the financial report for each financial accepts responsibility for the maintenance of year which give a true and fair view of the state accounting records, which may be relied upon in of affairs of the Kenya Red Cross – Administration the preparation of financial statements, as well as and Coordination account at the end of the adequate systems of internal financial control. financial year and of the results for that year. The Committee is also required to ensure that The Committee has made an assessment of the proper accounting records are maintained Society’s ability to continue as a going concern with respect of the Kenya Red Cross Society and has no reason to believe the organisation will Administration and Coordination account which, not continue its operations in the twelve months disclose with reasonable accuracy at any time the after approval of the financial report. financial position of the account. The Executive Committee are also responsible for safeguarding the assets of the Society.

Governor, KRCS Treasurer, KRCS

Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) Administration and Coordination Account 2008 We have audited the accompanying special Auditor’s Responsibility purpose financial report of the Kenya Red Cross – Administration and Coordination account for the Our responsibility is to express an opinion on period from 1 January 2008 to 31 December 2008 the special purpose financial report based on which comprises the income and expenditure our audit. We conducted our audit in accordance statement, the balance sheet, cash flow and notes with International Standards on Auditing. Those to the financial report as set out on pages 97 to standards require that we comply with ethical 108. requirements and plan and perform the audit to obtain reasonable assurance whether the KRCS Management’s responsibilities financial statements are free from material The management of KRCS is responsible for the misstatement. preparation and fair presentation of this financial report. This responsibility includes: designing, An audit involves performing procedures to ACCOUNTS REPORT AND ANNUAL implementing and maintaining internal controls obtain audit evidence about the amounts relevant to the preparation and fair presentation and disclosures in the financial report. The of the financial statements that are free from procedures selected depend on the auditor’s material misstatement, whether due to fraud judgment, including the assessment of the or error; selecting and applying appropriate risks of material misstatement of the financial accounting policies; and making accounting statements, whether due to fraud or error. In 95 estimates, if any, that are reasonable in the making those risk assessments, the auditor circumstances. considers internal controls relevant to the entity’s We believe that the audit evidence we have preparation and fair presentation of the financial obtained is sufficient and appropriate to provide statements in order to design audit procedures a basis for our opinion that are appropriate in the circumstances, but not for the purpose of expressing an opinion Opinion on the Financial Report on the effectiveness of the entity’s internal In our opinion, the financial report of the Society’s control. An audit also includes evaluating the Administration and Coordination Account for appropriateness of accounting policies used and the period from 1 January 2008 to 31 December the reasonableness of accounting estimates, if 2008 presents, in all material respects the income any, made by management, as well as evaluating and expenditure, balance sheet and cash flows the overall presentation of the financial in accordance in conformity with the accounting statements. policies set out on pages 101 and 102.

Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Administration and Coordination Account

Distribution of this report not prepared with the interest of anyone other This report has been prepared solely for the than you in mind and that we accept no duty or information and use of KRCS management. The responsibility to any other party. contents of this report should not be published or distributed in any way either in whole or in This report relates only to the financial report of part without the express consent in writing of the administration and coordination account for PricewaterhouseCoopers. Such consent will be the period 1 January 2008 to 31 December 2008 granted only on the basis that the report was as specified above and does not extend to any other financial report of the organisation.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

96 Income and expenditure account

2008 2007 Shs Shs Income

1,762,902 Grants and donations 15,980,314

Mileage recharge 73,452,628 52,020,265 4,825,581 Flag day materials 1,337,093

358,051 Interest earned 3,341,508

190,000 Levy from branches received 209,000

Rent received 32,597,190 5,679,727 411,077 Sale of Christmas cards 923,238

First Aid Course fees and sale of first aid kits 20,222,457 21,462,426 Programme support costs 152,727,950 159,771,775 631,000 HIV work place training income 939,000

2,000,000 Gain on sale of assets 49,535

- Write-back of Accruals 149,573

Total income 289,178,836 261,863,454

Personnel costs 58,104,970 56,957,760 Motor Vehicle 57,822,134 38,594,800 Travel expenses 6,169,245 6,660,113

First aid kits 13,476,196 11,195,487 2008 Purchase of assets 9,196,763 4,538,678 Bad debts 2,190,719 - Other expenses 47,868,545 50,179,627

Total expenditure 194,828,572 168,126,466

Surplus for the year 94,350,264 93,736,988 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

97 Balance sheet

Note 2008 2007 Shs Shs Non-current assets Property and equipment 1 33,930,678 37,992,907 Investment property 2 346,813,396 331,427,818

380,744,074 369,420,725

Current assets Amounts due from projects 3(a) 751,566 6,418,206 Amounts due from branches 4 3,035,233 2,178,462 Other Receivables 6,124,440 9,695,069 Amounts due from related party 10 110,463,797 10,000,000 Cash and cash equivalents 6 4,263,588 4,586,912

124,638,624 32,878,649

Current liabilities

Creditors and accruals 5 38,951,004 22,571,942 Amounts due to projects 3(b) 30,904,481 38,550,483

69,855,485 61,122,425

Net current (liabilities)/assets 54,783,139 (28,243,776)

435,527,213 341,176,949

Financed by:

Capital reserves 18,031,480 18,031,480 Revaluation reserves 26,348,712 26,348,712 General fund 391,147,021 296,796,757

435,527,213 341,176,949 KENYA RED CROSS SOCIETY CROSS RED KENYA

Governor, KRCS Treasurer, KRCS

98 The financial report was approved by the Executive Committee on 27th March 2009 Statement of changes in reserves

Capital Revaluation General Total Reserves Reserves Fund

Shs Shs Shs Shs Year ended 31 December 2007 At start of year 18,031,480 26,348,712 208,478,018 252,858,210

Surplus of income over expenditure - - 93,736,988 93,736,988

Transfer of deficit from the TSU/UNHCR project in IFRC - - (5,418,249) (5,418,249 )

At end of year 18,031,480 26,348,712 296,796,757 341,176,949

Year ended 31 December 2008 At start of year 18,031,480 26,348,712 296,796,757 341,176,949

Surplus of income over expenditure - - 94,350,264 94,350,264

At end of year 18,031,480 26,348,712 391,147,021 435,527,213 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

99 Cash flow statement

Note 2008 2007

Shs Shs Operating activities

Cash generated from operations 7 82,658,970 115,179,820 Investing activities Purchase of property and equipment 1 (88,160) (12,176,024) Purchase of investment property 2 (15,385,578) (108,573,671) Rent received 22,597,190 5,679,727 Interest received 358,051 3,341,604

Investing activities 7,481,503 (111,728,364)

Financing activities Loan to related party (90,463,797) (10,000,000)

(Decrease)/increase in cash and cash equivalents (323,324) (6,548,544)

Movements in cash and cash equivalents At start of year 4,586,912 19,681,260 Transfer of cash reserves from IFRC accts (TSU) - (8,545,804) Decrease (323,324) (6,548,544)

At end of year 6 4,263,588 4,586,912 KENYA RED CROSS SOCIETY CROSS RED KENYA

100 Accounting Policies • Malaria Intervention Project – Global Fund funded The principal accounting policies adopted in the • Emergency Operation Programme preparation of the financial report are set out - UN WFP Funded below: • HIV/AIDS Support Programme – Netherlands Red Cross 1.1 Basis of preparation • Kitui Watsan & Sexual Reproductive The financial report is prepared in Health Programmes – Finnish Red accordance with the historical cost Cross Funded convention on a modified cash basis and is • Home Management of Malaria presented in Kenya Shillings. Programme – Canadian Red Cross Funded This financial report is with respect of the • Integrated Health Outreach Kenya Red Cross Society Administration Programme – Japanese Red Cross and Coordination account which essentially Funded

covers the Society’s Head Office incomes • Blood Donor Recruitment Project and expenditures. The financial report – CHF International Funded excludes: 1.2 Income (i) the results of the society’s branches; Income comprises grants and donations and which are recognised when received. Other (ii) the income and expenditure relating to income is mainly from self generating the following project accounts which activities such as rental of vehicles to have been reported on separately: projects, rental income from investment • Integrated Project – Multi donor properties and sales of first aid kits is funded recognised in the year in which it is earned. • ICRC Cooperation (Bilateral) Project – ICRC funded 1.3 Expenditure • Family Health Home Based Care, Expenditure is recognised when incurred. Youth Exchange and Kajiado Water & Expenditure mainly comprises motor Sanitation Projects – Norwegian Red vehicle expenses and personnel costs. Cross funded • Branch Twinning Project – Swedish 1.4 Investments Red Cross funded Marketable securities are carried at market • Organisational Development, value. Market value is calculated by reference

Malindi HIV/AIDS and Lake Victoria to the stock exchange quoted selling prices 2008 Projects - Swedish Red Cross funded at the close of business on the balance sheet • Machakos Community date. Realised gains or losses on sale of Development, Food Security, investments are recognised in the income Tsunami/ Floods Tana River, and expenditure account during the year of Machakos Watsan and Kithyoko sale. Projects – Spanish Red Cross funded • Nakuru HIV/AIDS and Kilifi Watsan 1.5 Property and equipment Projects – French Red Cross funded Freehold land and buildings acquired • Mombasa HIV/AIDS and Tsunami before 2002 are stated at valuation less Projects – German Red Cross funded depreciation while office furniture, motor • Disaster Risk Reduction, Watsan vehicles and equipment are stated at cost Echo, and Garissa Integrated Health less depreciation. The financial report does Projects – Danish Red Cross funded not include fifteen plots of land located in various parts of the country, which were

• Blood Donor Recruitment, Tsunami ACCOUNTS REPORT AND ANNUAL Watsan & DP, and Kerio Valley donated to the Society. The relevant titles Projects – American Red Cross/CDC of ownership have not been obtained by funded the Society. These plots have not been • Blood Donor Recruitment Project- valued for inclusion in the accounts. PEPFAR funded Donated leasehold land is carried at nil value. • HIV/AIDS General, Drought & Depreciation is calculated on a straight line Emergency Relief and Other Projects basis at annual rates estimated to write 101 – IFRC funded down the cost of each asset or the revalued amounts to their residual values over their 2.2 Amounts due to/from branches estimated useful life. The annual rates used These are the amounts advanced to are as follows:- branches / received from branches but yet to be accounted for. They are carried at book • Freehold land Nil value with provisions made for amounts over • Buildings 2% six months. • Furniture, fittings and equipment 10% 2.3 Amounts due to/from projects • Computers and accessories These are amounts advanced or borrowed 30% from projects. They are carried at book value • Motor vehicles 25% and are payable in three to six months.

Gains and losses on disposal of property, plant 2.4 Accounts payable and equipment are determined by reference Payables are recognised at fair value to their carrying amounts and are taken into account in income and expenditure account.. 2.5 Non-current assets Non-current assets represent assets that 1.6 Investment property are utilised for over one year and include Investment property is property held to earn property, plant and equipment and rentals. It is stated at cost at the balance sheet investment property. date. The Society may at its discretion carry out valuations periodically. 2.6 Going concern The Society’s Administration and 1.7 Translation of foreign currencies Coordination account sources of income Transactions in foreign currencies during the include grants, donations, fund raising year are converted into Kenya Shillings at events and charitable fairs. The majority rates ruling at the transaction dates. Assets of funding of the Society’s operations and liabilities at the balance sheet date is from donors on a project basis. This which are expressed in foreign currencies are funding is not given on a long-term translated into Kenya Shillings at rates ruling commitment basis, and is often project at that date. The resulting differences from based. During the current year, the conversion and translation are dealt with in Society Administration and Coordination the income and expenditure account in the accountreceived sufficient income from year in which they arise. these sources to fund its activities, resulting in an accumulated surplus of Shs94,350,264 1.8 Cash and cash equivalents at the year end (2007:93,736,988). Its For the purposes of the cash flow statement, current assets exceeded the current cash and cash equivalents comprise cash in liabilities by Shs54,784,039 (2007: current hand, deposits held at call with banks, and liabilities exceeded the current assets by investments in money market instruments, Shs28,243,376). net of bank overdrafts. In the balance sheet, bank overdrafts are included in current The accounts have been prepared on a liabilities. going concern basis which assumes that the Administration and Coordination 1.9 Capital reserves accountof the Society will continue in Capital reserves represent an amount arising operational existence for the foreseeable from the capitalization of donated free hold future (12 months). The validity of this land. assumption depends on the Society’s ability 2.0 Revaluation reserve to obtain sufficient funds to maintain its Revaluation reserve represents surplus on on-going projects and operations which is KENYA RED CROSS SOCIETY CROSS RED KENYA revaluation of leasehold land in 2002, there demonstrated by commitments by donors. has been no movement since.

2.1 Other Receivables Receivables are carried at book value. Provisions for doubtful balances have been 102 made if balances are deemed irrecoverable or branches take more than six months to account for disbursements. Notes

1. Property and equipment

Land and Furniture, Computer & Motor TOTAL Buildings Fittings and Accessories Vehicles Equipment

Shs Shs Shs Shs Shs Cost or Valuation

At start of year 32,486,543 4,910,807 4,560,714 7,991,900 49,949,964

Additions - - 88,160 88,160 -

At year end 32,486,543 4,910,807 4,648,874 7,991,900 50,038,124

Depreciation

At start of year 2,345,731 1,485,164 3,304,310 4,820,952 11,956,157

Charge for the year 585,731 491,081 1,076,503 1,997,975 4,151,289

At year end 2,931,462 1,976,245 4,380,813 6,818,927 16,107,446

Net book value

31 December 2008 29,555,081 2,934,562 268,061 1,172,973 33,930,678

31 December 2007 30,140,812 3,425,643 1,256,404 3,170,948 37,993,807 2008

Land, buildings, property & equipment were last revalued in December 2002, by Metro Cosmos valuers. Valuations were made on the basis of open market value. Assets acquired prior to the valuation have been taken in the accounts at revalued costs less subsequent depreciation while those acquired after December 2002 are carried at cost.

2. Investment property

2008 2007 Shs Shs

At beginning of the year 331,427,818 - Additions during the year 15,385,578 108,573,671 Sold during the year - -

Reclassification from WIP to investment property - 222,854,147 ACCOUNTS REPORT AND ANNUAL

At the end of the year 346,813,396 331,427,818

The investment property represents two commercial properties constructed in 2007and are located at the Belle Vue headquarters. One of the properties is a hotel which has been leased to a management company to run. The second property is leased out as an 103 office park to a third party. These properties earn the Society rental income on a monthly basis. 3 Amounts due from/ to other projects

The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects while the amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

The project balances are as follows:

2008 2007 Shs Shs 3 (a) Amounts due from projects

Norwegian Red Cross 95,794 4,977,712 Spanish Red Cross 27,477 21,960 PEPFAR Blood Donor 270 7,922 Global Fund Malaria 143,452 143,982 German Red Cross 92,958 108,084 ICRC Co-op Account 296,281 1,092,911 Netherlands Red Cross 61,736 20,425 Kitui Watsan Finnish RC 5,955 4,500 American Red Cross 12,479 40,710 Projects Account 12,144 - Canadian RC - HMM 3,020 -

751,566 6,418,206

3 (b) Amounts due to other projects 2008 2007 Shs Shs

International Federation of the Red Cross Account 17,220,994 950,589 Bilateral Twinning Account 123,064 122,874 Projects Account - 488,207 Relief Account 13,379,055 36,706,569 Danish Account 36,189 145,010 French Account 145,179 137,234

30,904,481 38,550,483

KENYA RED CROSS SOCIETY CROSS RED KENYA

104 4 Amounts due from/ to branches and other receivables

These are amounts advanced to branches of KRCS in various parts of the country that have not been accounted for. Amounts due to branches relate to amounts spent by the branches in excess of the funds provided.

2008 2007 Shs Shs 4 (a) Amounts due from branches

Machakos branch 264,765 63,733

Mombasa branch 339,073 325,455

Thika branch 23,950 126,960

Embu branch 78,825 78,825

Nyeri branch 130,967 136,941

Meru branch 19,098 19,898

Malindi branch 424,520 80,027

Uasin Gishu branch 3,101 216,211

Rachuonyo branch 21,000 21,000

Mpeketoni branch 7,850 3,000

Nakuru branch 164,153 17,402

Wajir branch 19,429 19,429

Trans Nzoia branch 37,600 37,600

2008 Bureti branch 111,400 39,040

Kwale branch 66,541 58,915

Lugari branch 42,947 43,045

Butere Mumias branch 3,000 3,000

Kajiado branch 30,163 30,163

Nyandarua branch 3,000 3,000

Kakamega branch 6,000 6,000

ACCOUNTS REPORT AND ANNUAL Bungoma branch 10,000 19,600

Murang’a branch 5,000 5,000

Karen langata branch 33,577 25,050

Kericho branch 55,035 55,035 105

Nyando branch 3,300 3,300

Lamu branch 4,400 4,400

Makueni branch 8,100 8,100

West Pokot branch 20,000 20,000

Homa Bay branch 4,535 22,000

Gucha branch 2,000 2,000

Nandi branch 38,350 29,000

Marakwet branch 3,000 3,000

Limuru branch 1,625 1,625

Migori branch 2,000 2,000

Maragua branch 3,000 3,000

Kirinyaga branch 23,700 23,700

Kilifi branch 37,394 24,124

Turkana branch 18,134 18,134

Laikipia branch 46,630 26,730

Nyamira branch 23,000 23,000

Isiolo branch 12,280 13,000

Mwingi branch 20,000 20,000

Nandi South branch 285,448 20,000

Kisumu branch - 136,368

Garissa branch - 340,652

KRCS North Rift Region 24,040 -

KRCS Nyanza Region 20,000 -

KRCS Central Region 20,000 -

KRCS Upper Eastern Region 4,350 -

KENYA RED CROSS SOCIETY CROSS RED KENYA Nairobi Branch 308,953 -

Mt. Elgon Branch 200,000 -

106 3,035,233 2,178,462 5. Creditors and accruals

2008 2007 Shs Shs

Construction creditors 20,099,803 9,309,912 Other creditors and accruals 18,851,201 13,262,030

38,951,004 22,571,942

6. Cash and cash equivalents 2008 2007 Shs Shs

Cash at bank 4,089,520 4,424,450 Cash in hand 174,068 162,462

4,263,588 4,586,912

7 Cash generated from operations

2008 2007 Shs Shs

Surplus of income over expenditure 94,350,264 93,736,988

Adjustments for: Depreciation (Note 1) 4,151,289 4,443,001 Rental income (32,597,190) (5,679,727) Interest received (358,051) (3,341,604) Changes in working capital: 2008 Receivables and due from projects 8,379,598 (5,691,255) Creditors and due to projects 8,733,060 28,584,862 Transfers of creditors and debtors from - IFRC - 3,127,555

Cash generated from operations 82,658,970 115,179,820

8. Taxation status

The Society is exempt from taxation of income from all sources. Accordingly these accounts do not contain a tax charge. The Society applied for the renewal of the tax exemption certificate from the authorities in 2008, the renewed certificate had not been issued as at 31 December 2008.

9. Country of registration

Kenya Red Cross Society is registered in Kenya under the Kenya Red Cross Society Act (Cap 256, 1965). ACCOUNTS REPORT AND ANNUAL

107 10. Amounts due to related party

The Society has one related party the Red Court hotel which it gives financial support. At 31 December 2008, the following balances were outstanding from the Red Court hotel. The amounts are due on demand.

2008 2007 Shs Shs

Working capital financing 10,000,000 10,0000,000

Red Court phase II construction loan 90,463,797 -

Rent 10,000,000 -

110,463,797 10,000,000

11. Provision for impairment of unaccounted for funds

Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Mombasa Branch 325,455 - Susan Deverell 260,438 - Uasin Gishu Branch 216,211 - Text Book Centre 189,673 Garissa Branch 170,027 SOMAK Travel Limited 170,000 - Admin Police Training College 168,470 National Disaster Relief Fund 160,000 Danish Red Cross 155,706 Kisumu Branch 138,568 Thika Branch 126,960 Westlands Sundries 94,900 Malindi Branch 28,376 Nandi South Branch 20,000 Kenya Revenue Authority (35,565) Blood donor A/C 1,500 - 2,190,719 -

Summary of income 2008 2007 Shs Shs Income Programme support costs 152,727,950 159,771,775 Mileage recharge 73,452,628 52,020,265 KENYA RED CROSS SOCIETY CROSS RED KENYA Rent received 32,597,190 5,679,727 First Aid Course fees and sale of first aid kits 20,222,457 21,462,426 Flag day materials 4,825,581 1,337,093

Gain on sale of assets 2,000,000 49,535

Grants and donations 1,762,902 15,980,314 108 Interest earned 358,051 3,341,508

Levy from branches received 190,000 209,000

Sale of Christmas cards 411,077 923,238

HIV work place training income 631,000 939,000

Write-back of Accruals - 149,573

Total income 289,178,836 261,863,454

Total expenditure 194,828,572 168,126,466 Surplus for the year 94,350,264 93,736,988 Summary of expenditure 2008 2007 Shs Shs

Salaries and wages 54,022,363 52,454,742 Staff medical cover 4,082,607 3,337,800 Staff recruitment costs - 1,165,218 Utilities 3,667,398 4,729,762 Motor vehicle expenses 57,822,134 38,594,800 Insurance 4,662,961 6,224,468 Printing and stationery 1,799,023 3,616,816 IGA/Card expenses 1,030,522 2,224,157 Security expenses 2,425,121 933,547 Buildings – repairs and maintenance 3,308,472 4,641,787 General administration and office expenses 1,660,585 552,278 Telephone expenses 4,881,878 4,833,307 Commercial first aid expenses 13,476,196 11,195,487 E-mail and internet expenses 2,061,135 2,144,099 Postage expenses 640,508 458,979 2008 Governance expenses 4,026,420 3,099,340 Traveling expenses 6,169,245 6,660,113 Legal, valuation and other professional fees 4,424,258 2,142,906 Audit fees 1,222,680 2,835,880 Statutory contributions 909,658 478,271 Bank charges and commissions 1,328,055 1,170,296 Depreciation 4,151,289 4,443,001 Public relation expenses 2,205,568 3,637,485

Other expenses 322,204 615,422 Purchase of assets not capitalized 9,196,763 4,538,678 Branch institutional support 167,614 1,215,895

Freight clearing and warehouse expenses 2,973,196 181,932 ACCOUNTS REPORT AND ANNUAL Provision for Bad Debts 2,190,719 -

Total expenditure 194,828,572 168,126,466 109 Summary of income and expenditure Income Expenditure Surplus/ statements per project (deficit) Shs Shs Shs

Administration and Coordination (Main) Account 289,178,837 194,828,572 94,350,265 Integrated Project – Multi donor funded 548,262,724 616,808,739 (68,546,015) ICRC Cooperation (Bilateral) Project – ICRC funded 47,729,898 46,493,142 1,236,756 Organisational Development, Malindi HIV/AIDS and Lake Victoria 58,532,934 46,775,853 11,757,081 Projects – Swedish RC funded

Branch Twinning Project – Swedish RC funded 2,561,502 2,969,082 (407,580)

Family Health and Home Based Care, Kajiado Water and Sanitation 81,222,994 84,079,347 (2,856,353) and Youth Exchange Programme – Norcross funded

Nakuru HIV/AIDS and Kilifi Watsan Projects – French RC funded - 645,110 (645,110)

Disaster Preparedness & Response and Garissa Integrated Health 81,705,324 83,275,109 (1,569,785) Projects, Watsan ECHO– Danish RC funded

Blood Donor Recruitment Project – Amcross/CDC funded 289,196 144,189 145,007

Mombasa HIV/AIDS and Tsunami Projects – German RC funded 49,381,937 56,825,555 (7,443,618)

Machakos Community Development, Food Security and Kithyoko 43,578,134 40,713,126 2,865,008 Projects – Spanish RC funded

HIV/AIDS General, Drought and Emergency Relief and Other 105,712,819 112,985,316 (7,272,497) Projects – IFRC funded

Malaria Intervention Project - Funded by the Global Fund 106,800 2,719,524 (2,612,724) Blood Donor Recruitment Project- Funded by PEPFAR 10,800,000 6,062,498 4,737,502 HIV/AIDS Support Programme – Netherlands RC funded 179,906,922 144,096,474 35,810,448 Emergency Operation Programme – UN WFP funded 183,438,476 168,188,989 15,249,487 Kitui Watsan, SRH Programme – Finish RC funded 28,099,042 32,479,868 (4,380,826) Tsunami recovery & CBD Programme - Amcross funded 29,407,494 34,390,926 (4,983,432) Integrated Health Outreach Programme - Japanese RC funded 22,983,877 19,754,926 3,228,951 Home Management of Malaria Programme - Canadian RC funded 19,776,657 5,016,994 14,759,663 Blood Donor Recruitment Project- Funded by CHF International 1,120,833 450,047 670,786

1,783,796,400 1,699,703,386 84,093,014 KENYA RED CROSS SOCIETY CROSS RED KENYA

110 4 6 950 3,667,398 - - 57,822,134 Training Training Programme Total Total Programme Programs Construction of DMTC Fleet Management Special Funded Shs Shs Shs Shs Shs Shs 2008 Coordination First Aid Project Administration & ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

111 Income Grants and donationsMileage RechargeFlag Day materialsInterest EarnedLevy from branches receivedRent received 484,648 Sale of Christmas cardsFirst Aid income 102,100 31,000 Programme support costs 1,405,251 190,000 income 1,176,154 Training - 358,051 Gain in sale of assets - - 411,077 - incomeTotal 25,046,704 - 86,333,376 - Expenditure - - - - - Salaries and wages 790,042 - 20,222,457 Staff medical coverLight, water and electricity -Motor vehicle expenses - - -General insurance costs ------73,421,628 114,260,107 7,550,485 - 3,420,330 62,722,564 - 34,828,434 21,114,599 2,303,233 2,557,815 - 2,750,616 1,474,969 1,176,154 5,059,744 - 58,020 - - 1,407,000 291,430 - - - 94,395 - 70,273,049 - 48,238 - - 80,316,927 1,762,902 73,452,628 152,727, - - - 4,825,581 - 2,038,000 274,500 - - 1,364,165 - - - - 15,310,092 - - 289,178,83 - - 1,466,771 190,000 - 858,722 41,587 32,597,190 52,514,504 - 358,051 4,281,706 - 153,492 54,022,36 411,077 2,000,000 - - - 631,000 20,222,457 - 4,082,607 - 631,000 4,662,961 2,000,000 Detailed analysis of income and expenditure of income Detailed analysis 2 81,878 169,245 909,658 4,026,420 94,828,572 2,205,568 4 1,328,054 5,480 1,660,585 1,800 1,799,023 22,620 3,308,472 213,895 4,424,258 KENYA RED CROSS SOCIETY CROSS RED KENYA

112 Printing and stationery costs 587,750 827,314 - - 382,159 Seasonal cards expensesSecurity expensesBuilding – repairs & maintenanceGeneral administration expenses expensesTelephone expenses F.Aid Commercial 224,277 2,025,219 E-mail and internet expenses 347,165 1,472,622 3,000 Postage expenses 1,377,194 Governance expenses 25,187 295 Public relations expenses 3,940,016 expenses - Traveling - 2,061,135 -Legal, valuation & other prof fees 13,476,196 41,000 - Audit fees - - - 1,164,940 Statutory contributions 566,579 2,908,775 (17,984) 1,013,227 Bank charges 459,080 92,693 3,063,481 241,976 - 73,929 -Other expenses - 746,254 - 175,280 Depreciation 3,650,575 805,656 - Capital expenditure 721,164 - 437,324 -Branch Institutional Support - 884,658 - - 167,444 Freight clearing & warehouse - - 1,222,680 Provision for Bad Debts - - 12,255 1,030,52 - 31,549 - 1,173,407 67,679 - 214,763 1,100,482 expenditure -Total 167,614 24,698 426,130 2,425,121 - 284,888 3,046,868 4,8 106,431 4,151,289 46,400 - - 5,174 659,966 93,520 - 1,911,175 510,946 - - - - 1,679,773 56,341 - - 170,171 25,000 - - - - 67,571 79,410,162 13,476,196 20,633,404 6, 2,061,135 - 86 - - - 5,174 - - - - - 45,840 640,508 9,175,778 - 4,083,539 61,601 - - 83,394,912 - 2,066,356 2,850,406 2,209,143 - 16,359 - - 1 - - 1,222,680 2,973,196 - 322,204 9,196,763 - - - 167,614 4,151,289 2,190,719 KENYA RED CROSS SOCIETY

ICRC Cooperation (Bilateral) Project Funded By ICRC Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 114 – 115

Income and expenditure account 116

Balance sheet 117

Notes forming part of the financial statements 118 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

113 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the ICRC Cooperation (Bilateral) Projects funded by the ICRC

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the ICRC Cooperation obtain audit evidence about the amounts and (Bilateral) Projects (‘the projects’) for the period disclosures in the financial statements. The from 1 January 2008 to 31 December 2008 as set procedures selected depend on the auditor’s out on pages 116 to 118. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. projects for the period from 1 January 2008 to 31 December 2008 presents, in all material respects, the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 118 KENYA RED CROSS SOCIETY CROSS RED KENYA

114 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the ICRC Cooperation (Bilateral) Projects funded by the International Committee of the Red Cross (ICRC) (continued)

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the International Committee of the Red Cross. The extend to any other financial statements of the contents of this report should not be published beneficiaries. or distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

115 Income and expenditure account 2008 2007 Shs Shs Income

Grants and donations - ICRC 46,803,080 14,195,802 Bank interest 926,818 2,528

47,729,898 14,198,330

Expenditure Programme Support Costs - 23,875 Project supplies 4,560,984 847,905 Personnel costs 21,576,544 896,659 Travel and communication costs 4,528,141 2,158,571 Motor vehicle expenses 3,586,824 1,193,275 Capital expenditure 3,216,618 1,902,013 General office expenses 646,728 780,356 Workshops and training expenses 4,561,962 4,553,181 Campaign and awareness 1,554,476 821,748 Printing and stationery 1,598,621 953,137 Bank charges 61,830 12,636 Branch institutional support 1,720 6,050 Provision for impairment of unaccounted funds 598,694 -

Total expenditure 46,493,142 14,149,406

Surplus of income over expenditure 1,236,756 48,924

Statement of accumulated funds

At start of year 2,803,536 2,754,612

Surplus for the year 1,236,756 48,924

At end of year 4,040,292 2,803,536

KENYA RED CROSS SOCIETY CROSS RED KENYA

116 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash and bank balances 96,978 3,953,696 Amounts due from branches 3 5,033,389 2,337,822 Staff advances 68,704 415,871 Amounts due from other KRCS projects 4 34,944 407 Other receivables - 145,750

5,234,015 6,853,546

Current liabilities

Amounts due to other KRCS projects 4 631,965 1,645,401 Amounts due to branches 66,575 - Creditors 495,183 2,404,609

1,193,723 4,050,010

Net current assets 4,040,292 2,803,536

Financed by:

Accumulated funds 4,040,292 2,803,536 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

117 Notes

1. Program activities All assets are expensed in full in the year of acquisition. On disposal, funds received The financial report present the transactions are recognised as income in the Society’s through the bank account designated Administration and Coordination (Main) for “Kenya Red Cross Society – ICRC Account. Cooperation (Bilateral) Projects” which represents funding from the International Cash & cash equivalents Committee of the Red Cross (ICRC) during Cash and cash equivalents represent cash the year. This is a disaster preparedness, in hand and at bank as at the balance sheet response and dissemination programme. date. The disaster preparedness and response activities relate especially to clash prone Receivables areas and the dissemination programme is Receivables are carried at book value. geared towards positively enhancing the Provisions for doubtful balances have been public image of the Society and ensuring made if balances are deemed irrecoverable that the fundamental principles of the or branches take more than six months to movement are properly disseminated. The account for disbursements. project is also concerned with tracing lost or separated families. Translation of foreign currencies Transactions in foreign currencies during the 2. Significant accounting policies year are converted into Kenya Shillings at The accounts are prepared in accordance rates ruling on the transaction dates. with the historical cost convention and on a modified cash basis. The following is a Amounts due to/from branches summary of the more important accounting These are the amounts advanced to policies used:- branches / received from branches but yet to be accounted for. They are carried at book Income value with provisions made for amounts Grant income is recognised when received over six months. while income from services rendered is recognised when earned. 3. Amounts due from branches These are amounts advanced to branches Donations in kind in various parts of the country that have not Donations received in kind are not been accounted for in form of expenditure recognised in these accounts. or a confirmation.

Expenses Expenditure is recognised when incurred. Fixed assets KENYA RED CROSS SOCIETY CROSS RED KENYA

118 Branch 2008 2007

Shs Shs

Marsabit Branch 1,959,843 325,149 Mt. Elgon Branch 1,122,499 132,000 Moyale branch 346,055 554,870 Turkana Branch 303,836 174,636 Garissa Branch 244,340 38,190 Mombasa Branch 230,008 138,593 KRCS Upper Eastern Region 207,119 - KRCS Nyanza Region 190,247 - Lamu Branch - 165,000 Bungoma branch 134,142 72,268 Mandera Branch - 125,095 Isiolo Branch 86,727 275,100 KRCS Coast Region - 60,000 Kisumu Branch - 55,872 Malindi Branch 51,810 - Uasin Gishu Branch - 46,977 KRCS North Rift Region 30,555 21,800 Nakuru Branch 22,806 12,663 KRCS North Eastern Region 22,150 - Karen langata Branch 20,402 20,402 Trans Nzoia Branch 20,000 20,000 Kwale Branch 20,000 20,000 Gucha Branch 20,000 20,000 Butere Mumias Branch 11,850 11,850 Laikipia Branch 9,000 9,000 Machakos branch - 38,357 2008

5,053,389 2,337,822 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

119 4. Amounts due from/to other projects The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects while the amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

2008 2007 Amounts due from other projects Shs Shs

Administration Account 34,016 - Danish Account 928 - Norwegian Red Cross - 407

34,944 407

Amounts due to other projects

Swedish Red Cross – Organizational Development 318,077 247,577 Multi-donor Integrated fund – Relief 101,938 85,796 International Federation of the Red Cross 211,950 213,200 Administration Account - 1,097,411 Danish Account - 1,417

631,965 1,645,401

5. Currency The accounts are presented in Kenya Shillings.

6. Provision or impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds that have not been accounted for.

2008 2007 Shs Shs

Kisumu branch 55,872 - Uasin Gishu branch 46,977 - Lamu branch 165,000 - Mandera branch 125,095 - KRCS Coast region 60,000 - ICRC 45,750 - Jockey Club 100,000 - KENYA RED CROSS SOCIETY CROSS RED KENYA

598,694 -

120 KENYA RED CROSS SOCIETY

Organisational Development, Malindi HIV/AIDS and Lake Victoria Projects Funded By Swedish Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 122 – 123

Income and expenditure account 124

Balance sheet 125

Notes forming part of the financial statements 126

Appendices

I Analysis of income and expenditure by project 129 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

121 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS)on the Organisational Development, Malindi HIV/AIDS and Lake Victoria Projects funded by the Swedish Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Organisational obtain audit evidence about the amounts Development, Malindi HIV/AIDS and Lake Victoria and disclosures in the financial report. The Projects (‘the projects’) for the period from 1 procedures selected depend on the auditor’s January 2008 to 31 December 2008 as set out on judgment, including the assessment of the pages 124 to 129. risks of material misstatement of the financial statements, whether due to fraud or error. In Project Management’s responsibilities making those risk assessments, the auditor considers internal controls relevant to the entity’s The management of KRCS is responsible for the preparation and fair presentation of the financial preparation and fair presentation of this financial statements in order to design audit procedures report. This responsibility includes: designing, that are appropriate in the circumstances, but implementing and maintaining internal controls not for the purpose of expressing an opinion relevant to the preparation and fair presentation on the effectiveness of the entity’s internal of the financial report that is free from material control. An audit also includes evaluating the misstatement, whether due to fraud or error; appropriateness of accounting policies used and selecting and applying appropriate accounting the reasonableness of accounting estimates, if policies; and making accounting estimates, if any any, made by management, as well as evaluating that are reasonable in the circumstances. the overall presentation of the financial statements. Auditor’s responsibility

Our responsibility is to express an opinion on We believe that the audit evidence we have the special purpose financial report based on obtained is sufficient and appropriate to provide our audit. We conducted our audit in accordance a basis for our opinion with International Standards on Auditing. Those standards require that we comply with ethical Opinion on the Financial Report requirements and plan and perform the audit In our opinion, the financial report of the to obtain reasonable assurance whether the projects for the period from 1 January 2008 to 31 financial statements are free from material December 2008 presents, in all material respects misstatement. the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 126. KENYA RED CROSS SOCIETY CROSS RED KENYA

122 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Organisational Development, Malindi HIV/AIDS and Lake Victoria Projects funded by the Swedish Red Cross Society (continued)

Distribution of this report of anyone other than you in mind and that we This report has been prepared solely for the accept no duty or responsibility to any other information and use of KRCS management and party. the Swedish Red Cross. The contents of this report should not be published or distributed in any This report relates only to the financial report of way either in whole or in part without the express the project for the period 1 January 2008 to 31 consent in writing of PricewaterhouseCoopers. December 2008 as specified above and does not Such consent will be granted only on the basis extend to any other financial statements of the that the report was not prepared with the interest beneficiaries.

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

123 Income and expenditure account

2008 2007 Shs Shs

Income Grants and donations 57,858,928 43,213,448 Other income 649,345 37,510 Bank interest 24,661 24,464

Total income 58,532,934 43,275,422

Expenditure Programme Support Costs 4,910,174 4,356,932 Project supplies 2,600,846 1,095,493 Personnel costs 18,011,421 18,927,492 Travel and communication costs 3,826,272 4,770,195 Motor vehicle expenses 1,095,387 1,544,674 Capital expenditure 3,825,967 9,371,010 General office expenses 660,608 1,479,380 Workshops and training 4,161,177 2,424,983 Campaign and awareness 3,429,831 3,930,601 Printing and stationery 868,548 394,023 Consultancies and professional fees 54,334 1,453,725 Bank charges 100,551 76,544 Branch institutional support 207,399 - Prior year expense - 35,948 Provision for impairment of unaccounted for funds 3,023,338 -

Total expenditure 46,775,853 49,861,000

Surplus/(deficit) of income over expenditure 11,757,081 (6,585,578

Statement of accumulated funds

At start of year 7,395,459 13,981,087

Surplus/(deficit) for the year 11,757,081 (6,585,578

At end of year 19,152,540 7,395,509 KENYA RED CROSS SOCIETY CROSS RED KENYA

124 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 14,151,621 832,166 Amounts due from branches 3 5,072,529 7,274,234 Staff advances 182,829 23,671 Amounts due from other projects 4 686,438 957,319 Other debtors - 363,008

20,093,417 9,450,398

Current liabilities Amounts due to other projects 4 463,053 1,100,253 Amounts due to branches 3 89,383 191,183 Creditors 333,360 763,453 Staff Advances 55,081 -

940,877 2,054,889

Net current assets 19,152,540 7,395,509 Financed by:

Accumulated funds 19,152,540 7,395,509 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

125 Notes

1. Program activities Receivables Receivables are carried at book value. The accounts present the transactions Provisions for doubtful balances have been through the bank accounts designated for made if balances are deemed irrecoverable “Kenya Red Cross Society - Organisational or branches take more than six months to Development, Malindi HIV / AIDS and Lake account for disbursements. Victoria Project “.

Translation of foreign currencies The Organisational Development project Transactions in foreign currencies during aims at overall organisation development of the year are converted into Kenya Shillings the Society and its branches, ensuring that at rates ruling on the transaction dates. it is more strategic and has overall capacity There were no assets and liabilities at the building. balance sheet date which were held in foreign currencies. Malindi HIV / AIDS Project is concerned with HIV / AIDS Community Home Based Amounts due to/from branches Care and Awareness Programme in Malindi These are the amounts advanced to District. branches / received from branches but Lake Victoria Project aims at developing yet to be accounted for. They are carried programmes to address poverty in the Lake at book value with provisions made for Victoria Basin. amounts over six months. Notes (continued) 2. Significant accounting policies

The accounts are prepared in accordance 3. Amounts due from/to branches with the historical cost convention and These are amounts advanced to branches on an accruals basis. The following is a of KRCS in various parts of the country that summary of the more important accounting have not been accounted for in. Amounts policies used:- due to branches relate to amounts spent by the branches in excess of the funds Income provided. Grant income is recognised when received while income from services rendered is recognised when earned.

Donations in kind Donations received in kind are not recognised in these accounts.

Expenses Expenditure is recognised when incurred.

Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received KENYA RED CROSS SOCIETY CROSS RED KENYA are recognised as income in the Society’s Administration and Coordination (Main) Account.

Cash & cash equivalents Cash and cash equivalents represent cash 126 in hand and at bank as at the balance sheet date. 2008 2007 Shs Shs Amounts due from branches

Homa Bay Branch 228,548 1,049,349 KRCS Nyanza Region 814,950 - Siaya branch 572,420 229,660 Rachuonyo Branch 31,818 708,209 Busia Branch 338,659 398,909 Migori Branch 155,035 15,756 Kisumu Branch 623,498 177,219 Nyando Branch 605,763 712,647 Garsen Branch 559,255 559,255 Malindi Branch 411,055 2,771,561 KRCS Coast Region 316,974 67,675 KRCS Central Region 256,289 66,889 KRCS North Rift Region 86,323 57,289 Lugari Branch - 62,200 Koibatek Branch 38,000 38,000 Mombasa Branch 29,100 29,100 Butere Mumias Branch 4,842 78,000 Kakamega Branch - 56,044 Vihiga Branch - 100,000 Bungoma Branch - 96,472

5,072,529 7,274,234

Amounts due to branches

Nakuru Branch 30,360 30,860 Machakos Branch 27,446 13,811

Bungoma branch 23,983 - 2008 Vihiga Branch 5,175 - Mpeketoni Branch 1,300 1,300 Uasin Gishu Branch 1,119 1,119 KRCS Nyanza Region - 144,593

89,383 191,683

4 Amounts due from/to other projects

The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects while the amounts due to other projects relates to amounts paid ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL by the other Kenya Red Cross Society projects on behalf of this project.

127 2008 2007 Shs Shs Amounts due from other projects

ICRC Co-op A/c 318,077 239,170 IFRC account 217,586 22,592 Norcross A/c 72,275 72,275 Netherlands A/c 78,500 78,500 Administration A/c - 544,782

686,438 957,319

Amounts due to other projects

Bilateral Twinning a/c - 649,345 Relief A/c 450,908 450,908 Administration Account 12,145 -

463,053 1,100,253

5. Currency

The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds

Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Migori branch 15,756 - Garsen branch 599,255 - Lugari branch 62,200 - Homabay branch 1,049,349 - Rachuonyo branch 708,209 - Siaya branch 229,600 - Busia branch 358,969 -

3,023,338 - KENYA RED CROSS SOCIETY CROSS RED KENYA

128

Appendices Malindi FHHBC Total Partnership

- - - 100,551 100,551

Shs Shs Shs Shs Shs 3,017 - 350,144 2,247,685 2,600,846 321,891 - 2,020,678 680,770 3,023,339 2008 Branch Development Youth Lake Victoria ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

129 Total expenditureTotal Surplus/(deficit) of income over expenditure (41,235) 1,492,784 9,368,881 12,213,721 3,519,697 (1,908,190) 16,466,059 11,757,080 17,421,217 46,775,854 Income: Grants & donationsBank interestOther income incomeTotal Expenditure: Programme Support CostsProject supplies Personnel costs and communication CostsTravel Motor vehicle expensesCapital expenditureGeneral office expenses & trainingWorkshops Campaign & awarenessPrinting & stationeryBank charges & commissions 9,308,893 Consultancy & professional fees Branch Institutional SupportProvision for bad & doubtful debts 18,753 5,012,481 - 9,327,646 28,674,314 930,889 - 849,262 5,012,481 14,863,240 501,248 - 5,287,394 5,466 1,216,007 132,352 28,679,780 57,858,928 2,061,287 49,775 10,933 9,000 442 958,352 255,916 922,635 - 15,513,027 732,172 11,968 5,110 136,628 7,928,791 - 58,532,934 24,661 298,434 649,345 817,721 1,416,750 (20,036) 559,218 5,476 802,650 338,781 150,000 1,701,570 649,345 4,910,174 115,160 259,166 - 4,786,237 8,294 3,826,272 408,685 86,039 339,364 2,113,464 18,011,421 266,942 2,305,661 1,095,387 1,879,276 3,825,967 28,596 660,608 495,881 4,161,177 (111,930) 3,429,831 54,334 868,548 207,398 Analysis of income and expenditure by project by and expenditure of income Analysis KENYA RED CROSS SOCIETY

Branch Twinning Project Funded By Swedish Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 131 –13 2

Income and expenditure account 133

Balance sheet 134

Notes forming part of the financial statements 135

Appendices

I. Analysis of income and expenditure by project KENYA RED CROSS SOCIETY CROSS RED KENYA

130 Independent Auditors Report to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Branch Twinning Project funded by the Swedish Red Cross Society We have audited the accompanying special An audit involves performing procedures to purpose financial statements of the branch obtain audit evidence about the amounts Twining Project (the project) for the period from 1 and disclosures in the financial report. The January 2008 to 31 December 2008 as set out on procedures selected depend on the auditor’s pages 133 to 137. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. projects for the period from 1 January 2008 to 31

December 2008 presents, in all material respects, 2008 the expenditure actually and the income received for the project in conformity with the accounting policies set out on page 137. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

131 Independent Auditors Report to the Executive Committee of the Kenya Red Cross Society (KRCS)on the Branch Twinning Project funded by the Swedish Red Cross Society (continued)

Distribution of this report that the report was not prepared with the interest This report has been prepared solely for the of anyone other than you in mind and that we information and use of KRCS management and accept no duty or responsibility to any other the Swedish Red Cross. The contents of this report party. should not be published or distributed in any This report relates only to the financial report of way either in whole or in part without the express the project for the period 1 January 2008 to 31 consent in writing of PricewaterhouseCoopers. December 2008 as specified above and does not Such consent will be granted only on the basis extend to any other financial statements of the beneficiaries.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

132 Income and expenditure account 2008 2007 Shs Shs Income Grants and donations 1,853,272 3,658,482 Bank interest 555 1,539 Other income 707,675 -

Total income 2,561,502 3,660,021

Expenditure Programme Support Cost - 360,873 Project supplies 3,089 62,246 Personnel costs 1,055,920 878,178 Travel and communication costs 50,579 194,640 Motor vehicle expenses 40,407 162,251 Capital expenditure 422,000 658,830 General office expenses 30,063 160,111 Workshops and training 75,925 56,024 Campaign and awareness 32,923 29,078 Printing and stationery 2,680 22,990 Bank charges 33,180 4,327 Consultancy & Professional fees 240,120 17,400 Provision for impairment of unaccounted for funds 982,196 -

Total expenditure 2,969,082 2,606,948

Deficit of income over expenditure (407,580 1,053,073 2008

Statement of accumulated funds

At start of year 1,810,421 757,348

Surplus for the year (407,580 1,053,073

At end of year 1,402,841 1,810,421 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

133 Balance sheet

Notes 2008 2007 Shs Shs

Current assets Cash at bank 1,173,423 570,556 Amounts due from branches 3 162,273 1,166,232 Amounts due from other projects 4 122,984 772,992 Receivables 8,316

1,458,680 2,518,096

Current liabilities Amounts due to branches 3 45,817 707,675 Creditors 10,022 -

55,839 707,675

Net current assets 1,402,841 1,810,421

Financed by:

Accumulated funds 1,402,841 1,810,421

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

134 Notes

1. Programme activities Expenses The financial statements present the Expenditure is recognised when incurred. transactions through the bank account designated for Swedish Red Cross funded Fixed assets “Branch Twinning Project” during the year. All assets are expensed in full in the year of acquisition. On disposal, funds received The branch twinning project aims at are recognised as income in the Society’s building the capacity of branches and Administration and Coordination (Main) the community. This capacity will enable Account. branches to effectively and efficiently respond to the community needs and enable Cash & cash equivalents the community to address their own needs. Cash and cash equivalents represent cash in hand and at bank as at the balance sheet 2. Significant accounting policies date. The accounts are prepared in accordance with the historical cost convention and on Receivables a modified cash basis. The following is a Receivables are carried at book value. summary of the more important accounting Provisions for doubtful balances have been policies used:- made if balances are deemed irrecoverable or branches take more than six months to Income account for disbursements Grant income is recognised when received while income from services rendered is Translation of foreign currencies recognised when earned. Transactions in foreign currencies during the year are converted into Kenya Shillings at Donations in kind rates ruling on the transaction dates. There Donations received in kind are not were no assets and liabilities at the balance recognised in these accounts. sheet date which were held in foreign currencies. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

135 3. Amounts due from branches

These are amounts advanced to branches of KRCS in various parts of the country that have not been accounted for.

Branch 2008 2007 Shs Shs

Amounts due from branches

Busia Branch 162,273 234,000 Machakos Branch - 450,000 Malindi Branch - 482,232

162,273 1,166,232

Amounts due to branches

Malindi Branch 45,817 - Uasin Gishu Branch - 707,675

45,817 707,675

4. Amounts due from/to other projects The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects while the amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

2008 2007 Shs Shs

Amounts due from other projects -

Administration account 122,984 122,934 Swedish Organizational Development accounts - 650,058

122,984 772,992 KENYA RED CROSS SOCIETY CROSS RED KENYA

136 5. Currency The accounts are presented in Kenya Shillings.

6. Provision or impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Machakos Branch 332,148 - Swedish Organisational Development 650,058 -

982,206 -

Analysis of income and expenditure by project Appendix I

Malindi Machakos Uasin Busia Total Gishu Shs Shs Shs Shs Income: Grants and donations 1,853,272 - - - 1,853,272 Bank interest 555 - - - 555 Other income - - 707,675 - 707,675

Total income 1,853,827 - 707,675 - 2,561,502

Expenditure: Programme Support Costs - - - - - Project supplies - - - 3,089 3,089 Personnel costs 1,035,920 8,000 - 12,000 1,055,920 Travel and communication costs 42,779 - - 7,800 50,579 2008 Motor vehicle expenses 400 21,885 - 18,711 40,996 Capital Expenditure 422,000 - - - 422,000 General office expenses 7,996 - - 22,067 30,063 Workshops and training - 75,925 - - 75,925 Campaign & awareness 27,543 - - 5,380 32,923 Printing & stationery - - - 2,680 2,680 Bank charges & commissions 18,182 14,399 - - 32,580 Consultancy & professional fees 240,120 - - - 240,120 Provision for impairment of unaccounted for funds 101,285 332,148 548,773 - 982,206

Total expenditure 1,896,225 452,357 548,773 71,727 2,969,082

ACCOUNTS REPORT AND ANNUAL Surplus/(deficit) of Income over Expenditure (42,398 (452,357 158,902 (71,727 (407,580

137 KENYA RED CROSS SOCIETY

Integrated Project Funded by Multi Donors Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the auditors 139-140

Income and expenditure account 141

Balance sheet 142

Notes forming part of the financial statements 143

Appendices

I Analysis of income and expenditure by project KENYA RED CROSS SOCIETY CROSS RED KENYA

138 Report of the Independent auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Integrated Project funded by various donors

We have audited the accompanying special purpose financial report of the Integrated Project An audit involves performing procedures to (‘the project’) for the period from 1 January 2008 obtain audit evidence about the amounts to 31 December 2008 as set out on pages 139 to and disclosures in the financial report. The 147. procedures selected depend on the auditor’s judgment, including the assessment of the KRCS Management’s responsibilities risks of material misstatement of the financial The management of KRCS is responsible for the statements, whether due to fraud or error. In preparation and fair presentation of this financial making those risk assessments, the auditor report. This responsibility includes: designing, considers internal controls relevant to the entity’s implementing and maintaining internal controls preparation and fair presentation of the financial relevant to the preparation and fair presentation statements in order to design audit procedures of the financial report that is free from material that are appropriate in the circumstances, but misstatement, whether due to fraud or error; not for the purpose of expressing an opinion selecting and applying appropriate accounting on the effectiveness of the entity’s internal policies; and making accounting estimates, if any control. An audit also includes evaluating the that are reasonable in the circumstances. appropriateness of accounting policies used and the reasonableness of accounting estimates, if Auditor’s responsibility any, made by management, as well as evaluating Our responsibility is to express an opinion on the overall presentation of the financial the special purpose financial report based on statements. our audit. We conducted our audit in accordance with International Standards on Auditing. Those We believe that the audit evidence we have standards require that we comply with ethical obtained is sufficient and appropriate to provide requirements and plan and perform the audit a basis for our opinion to obtain reasonable assurance whether the financial statements are free from material Opinion on the Financial Report misstatement. In our opinion, the financial report of the project for the period from 1 January 2008 to 31 2008 December 2008 presents, in all material respects, the expenditure incurred and the income received for the project in conformity with the accounting policies set out on page 143. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

139 Report of the Independent auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Integrated Project funded by various donors

Distribution of this report of anyone other than you in mind and that we This report has been prepared solely for the accept no duty or responsibility to any other information and use of KRCS management and party. the project donors. The contents of this report should not be published or distributed in any This report relates only to the financial report of way either in whole or in part without the express the project for the period 1 January 2008 to 31 consent in writing of PricewaterhouseCoopers. December 2008 as specified above and does not Such consent will be granted only on the basis extend to any other financial statements of the that the report was not prepared with the interest beneficiaries.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

140 Income and expenditure account 2008 2007 Kshs Kshs

Income: 537,590,749 60,007,343 Grants and donations 2,248,895 - Bank interest 1,810,000 2,039,000 Gala night 6,558,298 - Sundry income 54,782 -

Total income 548,262,724 62,046,343 Expenditure: Programme support Costs 40,125,119 5,854,022 Project supplies 205,505,293 71,370,727 Personnel costs 129,730,508 11,550,473 Travel and communication costs 57,290,780 15,762,385 Motor vehicle expenses 78,602,506 17,609,044 Capital expenditure 30,152,146 3,454,696 General office expenses 4,450,107 157,084 Workshops and training 6,844,281 3,126,202 Campaign and awareness 12,456,849 2,099,908 Printing and stationery 5,764,800 323,796 Bank charges and commissions 358,000 157,820 Consultancy and professional fees 3,411,398 1,361,676 Branch institutional support 102,380 42,602 Fundraising expenses - 63,618 Provision for bad and doubtful debts 37,370,748 - Provision for impairment of unaccounted for funds 4,643,823 -

Total Expenditure 616,808,738 132,934,053

Deficit of income over expenditure (68,546,014 (70,887,710 2008 Statement of accumulated funds

At start of year 104,263,649 175,151,359

Deficit for the year 68,546,014 (70,887,710

At end of year 35,717,635 104,263,649

ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

141 Balance sheet Notes 2008 2007 Shs Shs Current assets Cash at bank 25,631,097 60,006,075 Amounts due from projects 4 16,784,949 32,176,823 Amounts due from branches 3 4,020,219 11,968,515 Staff advances/debtors 257,409 270,849 Other debtors 8,366,398 4,465,968

55,060,072 108,888,230

Current liabilities Amounts due to projects 4 387,443 57,118 Other creditors 14,867,056 3,255,714 Staff payables 137,244 281,407 Amounts due to branches 3 3,950,694 1,030,342

19,342,437 4,624,581

Net current assets 35,717,635 104,263,649

Financed by:

Accumulated funds 35,717,635 104,263,649

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

142 Notes

1. Program activities Fixed assets The accounts present the transactions All assets are expensed in full in the year through the bank accounts designated of acquisition. On disposal, funds received for “Kenya Red Cross Society – Integrated are recognised as income in the Society’s Project”. Administration and Coordination (Main) Account. The project is funded by several donors for the Kenya Red Cross Society General Relief Cash & cash equivalents Programme and other smaller projects and Cash and cash equivalents represent cash fundraising activities such as gala night in hand and at bank as at the balance sheet dinners. date.

2. Significant accounting policies Receivables The accounts are prepared in accordance Receivables are carried at book value. with the historical cost convention and on Provisions for doubtful balances have been a modified cash basis. The following is a made if balances are deemed irrecoverable summary of the more important accounting or branches take more than six months to policies used:- account for disbursements.

Income Translation of foreign currencies Grant income is recognised when received Transactions in foreign currencies during the while income from services rendered is year are converted into Kenya Shillings at recognised when earned. rates ruling on the transaction dates. There were no assets and liabilities at the balance Donations in kind sheet date which were held in foreign Donations received in kind are not currencies. recognised in these accounts. Amounts due to/from branches Expenses These are the amounts advanced to Expenditure is recognised when incurred. branches / received from branches but yet to be accounted for. They are carried at book value with provisions made for amounts 2008 over six months. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

143 3. Amounts due from/to branches These are amounts advanced to branches in various parts of the country that have not been accounted for in. Amounts due to branches relate to amounts spent by the branches in excess of the funds provided.

2008 2007 Kshs Kshs

Bungoma branch - 3,229,707 Bureti Branch - 178,795 Busia branch - 6,680 Embu Branch 190 - Garissa Branch - 2,251,135 Homa Bay Branch - 178,795 Ijara Branch - 4,395 Isiolo Branch - 200,626 Kajiado Branch - 277,197 Kericho Branch - 178,795 Kiambu Branch 623,700 - Kilifi Branch - 70,140 Kirinyaga Branch 3,441 - Kisumu Branch - 191,719 Kitui Branch - 178,795 KRCS Central Region - 70,950 KRCS Coast Region 14,400 219,551 KRCS North Rift Region 1,242,809 38,500 KRCS Nyanza Region - 355,357 KRCS Nyanza Region 429,849 - Lamu Branch 308,956 204,511 Lugari Branch 5,400 - Machakos Branch - 750 Malindi Branch - 745,772 Marsabit Branch 353,989 110,095 Migori Branch - 7,088 Mombasa Branch 5,600 41,576 Moyale branch 115 - Mt. Elgon Branch - 46,795 Mwingi Branch 52,180 1,029,075 Nakuru Branch 784,183 702,995 Nandi Branch - 390,992 Nandi South Branch - 2,812 Rachuonyo Branch - 178,795 Siaya branch - 217,893 Tana River Branch 47,390 178,796 Thika Branch 38,907 40,795 Trans Nzoia Branch - 178,795 Turkana Branch - 41,270

KENYA RED CROSS SOCIETY CROSS RED KENYA Wajir Branch 58,110 74,490 West Pokot Branch 51,000 144,083

4,020,219 11,968,515 144 3. Amounts due from/to branches (continued)

Amounts due to branches 2008 2007 Kshs Kshs

Bureti Branch 51,049 - Busia Branch 1,800 - Gucha Branch 46,195 - Homa Bay Branch 2,736 - Isiolo Branch 23,574 - Kericho Branch 21,455 - Kirinyaga Branch - 101,158 Kisumu Branch 37,026 - Kitui Branch 1,585 - KRCS Central Region 2,017,293 - Kwale Branch - 8,320 Laikipia Branch - 10,525 Limuru Branch 604,930 - Lugari Branch - 1,504 Makueni Branch 54,814 389 Mandera Branch 509,045 460,780 Meru branch - 211,642 Migori Branch 2,712 - Moyale branch - 155,253 Nairobi branch 64,300 - Nyamira Branch 251,024 - Nyeri branch 45,487 46,087 Rachuonyo Branch 19,934 - Turkana Branch 160,931 - Vihiga Branch 34,803 34,803

3,950,694 1,030,461

4. Amounts due from/to other KRCS projects 2008 Amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

145 Amount due from other projects 2008 2007 Kshs Kshs Swedish account 450,908 450,908 Administration Account 12,073,657 30,207,609 ICRC account 101,010 84,868 Norcross A/c 516,180 559,649 IFRC account - 862,641 Pepfar account 11,148 11,148 Global Funds account 273,360 Finnish account 217,229 - Danish account 5,262 Netherlands account 193,950 - WFP EMOP Operations 2,891,698 - Japanese IHOP account 50,547 -

16,784,949 32,176,823

Amount due to other projects

American account - 57,117 IFRC account 387,443

387,442 57,117

5. Currency The accounts are presented in Kenya Shillings.

6. Provision for bad and doubtful debts Provisions have been made against the following receivables. The receivables represent long outstanding amounts that are considered doubtful for collection.

2008 2007 Shs Shs

Administration 31,780,662 - Norwegian Red Cross 65,160 - IFRC 4,958,912 - Other receivables 566,014 -

37,370,748 - KENYA RED CROSS SOCIETY CROSS RED KENYA 7. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for. 146 2008 2007

Shs Shs

Machakos branch 750 -

Siaya branch 117,393 -

Malindi branch 221,465 -

Uasin Gishu branch 104,600 -

Nakuru branch 106,209 -

Garissa branch 2,409,619 -

Trans Nzoia branch 283,395 -

Kwale branch 104,600 -

Kajiado branch 51,301 -

Bungoma branch 322,838 -

Karen Langata branch 97,950 -

West Pokot branch 144,083 -

Nandi North branch 31,532 -

Kilifi branch 122,000 -

Lakipia branch 94,075 -

Mwingi branch 18,500 -

Mt. Elgon branch 151,395 -

Nairobi South branch 107,412 -

Nyanza region 87,655 -

Coast region 67,051 - 2008

4,643,823 - ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

147 KENYA RED CROSS SOCIETY

Emergency Operation Programme for the United Nations World Food Programme Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 149-150

Income and expenditure account 151

Balance sheet 152

Notes forming part of the financial statements 153 Appendices

I Analysis of income and expenditure by project 159 KENYA RED CROSS SOCIETY CROSS RED KENYA

148 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Emergency Operation Programme for World Food Programme

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the emergency obtain audit evidence about the amounts operation Programme (‘the projects’) for the and disclosures in the financial report. The period from 1 January 2008 to 31 December 2008 procedures selected depend on the auditor’s as set out on pages 151 to 156. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. projects for the period from 1 January 2008 to 31 2008 December 2008 presents, in all material respects the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 153. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

149 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Emergency Operation Programme for World Food Programme (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management. The December 2008 as specified above and does not contents of this report should not be published extend to any other financial statements of the or distributed in any way either in whole or in beneficiaries. part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

150 Income and expenditure account 2008 2007 Kshs Kshs Income: Grants and donations - Other income 183,438,476 212,896,699

Total income 183,438,476 212,896,699

Expenditure: Programme Support Costs 5,000,000 26,471,886 Project Supplies 8,203,806 9,096,138 Personnel Costs 52,131,697 38,828,047 Travel and Communication Costs 12,605,138 9,201,912 Motor Vehicle Expenses 83,104,043 111,419,009 Capital Expenditure 644,096 1,475,916 General Office Expenses 2,165,279 1,705,550 Campaign & Awareness 172,208 86,637 Workshops & Training 850,690 - Printing & Stationery 1,508,442 758,474 Bank Charges & Commissions 199,055 341,486 Consultancy & Professional Fees 732,422 - Provision for Bad and Doubtful Debts 872,112 -

Total Expenditure 168,188,989 199,385,055

Surplus of income over expenditure 15,249,487 13,511,644 2008

Statement of accumulated funds

At start of year 13,156,489 -

Transfers from Multi donor integrated project - (355,155

Surplus for the year 15,249,487 13,511,644

At end of year 28,405,976 13,156,489 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

151 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 3,432,998 (3,468,574 Amounts due from branches 4 4,429,665 1,413,417 Amounts due from projects 3 1,202,038 6,474,163 Staff advances/debtors 750 4,500 United Nations – World Food Programme 22,980,112 10,839,230

32,045,563 15,262,736

Current liabilities Amounts due to projects 3 2,908,248 - Other creditors 64,638 218,070 Staff payables 12,085 12,685 Amounts due from the branches 4 654,617 1,875,492

3,639,588 2,106,247

Net current assets 28,405,975 13,156,489

Financed by:

Accumulated funds 28,405,975 13,156,489

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 . KENYA RED CROSS SOCIETY CROSS RED KENYA

152 Notes

1. Program activities Cash & cash equivalents The Emergency Operated Programmes Cash and cash equivalents represent cash is an arrangement where the Kenya Red in hand and at bank as at the balance sheet Cross provides logistics to the World Food date. Programme in Ijara, Tana River, Kwale, Garissa and Marsabit districts for the Receivables distribution of food. The Kenya Red Cross Receivables are carried at book value. provides the transport, warehousing and Provisions for doubtful balances have been distribution of the food to the districts. The made if balances are deemed irrecoverable arrangement commenced in 2006. or branches take more than six months to account for disbursements. 2. Significant accounting policies The accounts are prepared in accordance Translation of foreign currencies with the historical cost convention and on Transactions in foreign currencies during the a modified cash basis. The following is a year are converted into Kenya Shillings at summary of the more important accounting rates ruling on the transaction dates. There policies used:- were no assets and liabilities at the balance sheet date which were held in foreign Income currencies. Grant income is recognised when received while income from services rendered is Amounts due to/from branches recognised when earned. These are the amounts advanced to branches / received from branches but yet Donations in kind to be accounted for. They are carried at book Donations received in kind are not value with provisions made for amounts recognised in these accounts. over six months.

Expenses

Expenditure is recognised when incurred. 2008

Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s Administration and Coordination (Main) Account. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

153 3. Amounts due from/to other KRCS projects Amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

2008 2007 Amounts due from other projects Shs Shs

Administration 531,805 5,525,020 International Federation of the Red Cross 640,683 636,183 Watson Echo Project – Danish Red Cross - 312,960 Norcross 13,000 - Relief 16,550 -

1,202,038 6,474,163

Amounts due to other projects

Multi-donor 2,908,248 -

4. Amounts due from/to branches These are amounts advanced to branches in various parts of the country that have not been accounted for in form of expenditure or a confirmation.

2008 2007 Shs Shs Amounts due from branches:

Garissa Branch 1,066,455 306,706 Malindi Branch 228,990 - Nakuru Branch 1,102,722 - Marsabit Branch 818,998 1,106,711 East Pokot Branch 150,166 - Mandera Branch 3,656 - North Rift Branch 887,442 - North Eastern Branch 171,236 -

4,429,665 1,413,417

Amounts due to branches

Tana River branch 643,708 229,844 Ijara branch 10,909 138,536 KENYA RED CROSS SOCIETY CROSS RED KENYA Lamu branch - 128,574 Kwale branch - 1,378,538

654,617 1,875,492 154 The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Danish Project inter a/c 312,960 - Garissa branch 390,142 - Marsabit branch 169,010 -

872,112 - 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

155 Total Drought Operation [East Pokot] Drought Operation [Malindi] Drought Operation [PEC] Drought Operation [Garissa] Drought Operation [T/River] Kshs Kshs Kshs Kshs Kshs Kshs Kshs Drought Operation [Marsabit] 206,333 4,248,407 6,878,615 -9,049,271 16,215,722 -1,262,869 -1,342,118 15,249,487 206,333 40,640,509 24,292,129 44,017,750 55,939,029 1,518,455 1,342,118 168,188,989 [Kwale] Drought Operation 169,010 390,142 872,112 22,463,555 13,576,044 2,421,757 19,485,667 2,103,611 27,775,791 3,836,823 3,610,271 1,197 304,426 1,800 172,000 83,304,274 12,574,707 - KENYA RED CROSS SOCIETY CROSS RED KENYA penses 841,213 212,765 422,376 628,290 11,635 30,000 2,146,279 Office Ex 156 Analysis of income and expenditure by project by and expenditure of income Analysis Total ExpenditureSurplus/(Deficit) of Income over Expenditure 1, -1, Provision for Bad and Doubtful debts and Doubtful Bad for Provision 312,960 Income: IncomeOther IncomeTotal Expenditure: CostsProgramme Support SuppliesProject Personnel Costs and Communication CostsTravel Expenses Vehicle Motor ExpenditureCapital General Training & Workshop Campaign Awareness & Stationery & Printing 125,819 Charges Commissions & Bank 44,888,916 31,170,744 Professional Fees & Consultancy 0 34,968,479 Expenses 44,888,916 Year Prior 72,154,751 31,170,744 34,968,479 255,586 72,154,751 220 255,586 3,077,879 10,886,946 183,438,476 7,241,219 930,695 11,315,699 0 1,931,915 183,438,476 21,031,214 2,004,615 677,275 5,000,000 224,912 979,344 130,980 1,645,332 90,422 52,131,697 4,400 33,790 63,560 554,347 8,203,806 24,981 7,415 639,970 131,339 500 36,681 215,615 6,000 4,440 45,711 516,696 314,371 12,070 231,270 732,422 50,900 660 16,180 85,040 39,544 1,508,441 600 5,000,000 644,096 199,055 850,690 21,410 732,422 KENYA RED CROSS SOCIETY

Tsunami Recovery And Community-Based Disaster Programmes Funded By American Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 158 – 159

Income and expenditure account 160

Balance sheet 161

Notes forming part of the financial statements 162 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

157 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Tsunami Recovery and Community Based Disaster Programmes funded by American Red Cross Society

We have audited the accompanying special and disclosures in the financial report. The purpose financial report of the Tsunami Recovery procedures selected depend on the auditor’s and Community Based Disaster Programmes (‘the judgment, including the assessment of the projects’) for the period from 1 January 2008 to 31 risks of material misstatement of the financial December 2008 as set out on pages 160 to 163. statements, whether due to fraud or error. In making those risk assessments, the auditor Project Management’s responsibilities considers internal controls relevant to the entity’s The management of KRCS is responsible for the preparation and fair presentation of the financial preparation and fair presentation of this financial statements in order to design audit procedures report. This responsibility includes: designing, that are appropriate in the circumstances, but implementing and maintaining internal controls not for the purpose of expressing an opinion relevant to the preparation and fair presentation on the effectiveness of the entity’s internal of the financial report that is free from material control. An audit also includes evaluating the misstatement, whether due to fraud or error; appropriateness of accounting policies used and selecting and applying appropriate accounting the reasonableness of accounting estimates, if policies; and making accounting estimates, if any any, made by management, as well as evaluating that are reasonable in the circumstances. the overall presentation of the financial statements. Auditor’s responsibility Our responsibility is to express an opinion on We believe that the audit evidence we have the special purpose financial report based on obtained is sufficient and appropriate to provide our audit. We conducted our audit in accordance a basis for our opinion with International Standards on Auditing. Those standards require that we comply with ethical Opinion on the Financial Report requirements and plan and perform the audit In our opinion, the financial report of the to obtain reasonable assurance whether the projects for the period from 1 January 2008 to 31 financial statements are free from material December 2008 presents, in all material respects, misstatement. the expenditure actually and the income received for the projects in conformity with the accounting An audit involves performing procedures to policies set out on page 162. obtain audit evidence about the amounts KENYA RED CROSS SOCIETY CROSS RED KENYA

158 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Tsunami Recovery and Community Based Disaster Programmes funded by American Red Cross Society (continued)

not prepared with the interest of anyone other Distribution of this report than you in mind and that we accept no duty or This report has been prepared solely for the responsibility to any other party. information and use of KRCS management and the American Red Cross. The contents This report relates only to the financial report of of this report should not be published or the projects for the period 1 January 2008 to 31 distributed in any way either in whole or in December 2008 as specified above and does not part without the express consent in writing of extend to any other financial statements of the PricewaterhouseCoopers. Such consent will be beneficiaries. granted only on the basis that the report was

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

159 Income and expenditure account

2008 2007 Shs Shs Income Grants and donations 29,395,240 35,636,335 Other interest 12,254 -

Total income 29,407,494 35,636,335

Expenditure Programme Support Cost - 1,899,428 Project supplies 16,002,873 10,914,552 Personnel costs 6,647,770 2,805,181 Travel and communication costs 2,599,701 1,150,200 Motor vehicle expenses 1,614,881 961,857 Capital Expenditure 208,568 4,368,748 General office expenses 1,468,286 153,175 Workshops and training 2,497,344 675,121 Campaign and awareness 2,043,412 84,331 Printing and stationery 157,010 14,420 Bank charges 49,710 24,073 Consultancy and professional fees 680,000 43,420 Branch Institutional Support 17,850 - Provision for impairment of unaccounted for funds 403,521 -

Total expenditure 34,390,926 23,094,506

(Deficit)/surplus of income over expenditure (4,983,432) 12,541,829

Statement of accumulated funds

At start of year 12,541,829 -

(Deficit)/surplus for the year (4, 983,432 ) 12,541,829

At end of year 7,558,397 12,541,829 KENYA RED CROSS SOCIETY CROSS RED KENYA

160 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 8,026,906 10,559,425 Amounts due from branches 3 144,270 2,666,032 Sundry debtors 5,030 39,049

8,176,206 13,264,506

Current liabilities Amounts due from projects 4 12,479 56,180 Creditors 597,080 666,497 Staff advances/imprest 8,250 -

617,809 722,677

Net current assets 7,558,397 12,541,829

Financed by:

Accumulated funds 7,558,397 12,541,829 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

161 Notes

1. Program activities Translation of foreign currencies The accounts present the transactions Transactions in foreign currencies during the through the bank accounts designated for year are converted into Kenya Shillings at “Kenya Red Cross Society – Tsunami Recovery rates ruling on the transaction dates. There and Community-Based Disaster Projects”. were no assets and liabilities at the balance sheet date which were held in foreign These American Red Cross funded projects currencies. are in support of Tsunami Recovery and community based disaster preparedness Amounts due to/from branches activities and are currently being carried out These are the amounts advanced to branches in three Kenya Red Cross branches based at / received from branches but yet to be the coast region of the country. accounted for. They are carried at book value with provisions made for amounts over six 2. Significant accounting policies months. The accounts are prepared in accordance with the historical cost convention and on 3. Amounts due from branches a modified cash basis. The following is a These are amounts advanced to branches summary of the more important accounting in various parts of the country that have not policies used:- been accounted for in form of expenditure or a confirmation. Income Grant income is recognised when received while income from services rendered is 2008 2007 recognised when earned. Shs Shs

Donations in kind Lamu Branch 108,220 928,448 Donations received in kind are not

recognised in these accounts. Kilifi Branch 36,001 1,467,584 270,000 Expenses KRCS Coast Region 49 Expenditure is recognised when incurred.

Fixed assets 144,270 2,666,032 All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s

Administration and Coordination (Main) Account. 4. Amounts due to other projects The amounts due to other projects relates to Cash & cash equivalents amounts paid by the other Kenya Red Cross Cash and cash equivalents represent cash Society projects on behalf of this project. in hand and at bank as at the balance sheet date. 2008 2007

KENYA RED CROSS SOCIETY CROSS RED KENYA Shs Shs Receivables 12,479 Receivables are carried at book value. Administration account 4,180 - Provisions for doubtful balances have been American Blood Donor Project 52,000 made if balances are deemed irrecoverable or branches take more than six months to 162 account for disbursements. 12,479 56,180 5. Currency 2008 2007 The accounts are presented in Kenya Shillings. Shs Shs 6. Provision or impairment of unaccounted for funds Kilifi branch 403,521 - Provisions have been made against the following amounts receivable from KRCS branches. The receivables represent long outstanding funds advanced to the branches that have not been accounted for. 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

163 KENYA RED CROSS SOCIETY

Machakos Community Development, Food Security, Rural Water, Tana River And Kithyoko Projects Funded by Spanish Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents Page No.

Report of the independent auditor 165–166

Income and expenditure account 167

Balance sheet 168

Notes to the financial statements 169

Appendices

Appendix I - Detailed income and expenditure by project 171 KENYA RED CROSS SOCIETY CROSS RED KENYA

164 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS)on the Machakos Community Development, Food Security, Rural Water Tana River and Kithyoko Projects funded by the Spanish Red Cross

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Machakos obtain audit evidence about the amounts Community Development, Food Security, Rural and disclosures in the financial report. The Water Tana River and Kithyoko Projects (‘the procedures selected depend on the auditor’s projects’) for the period from 1 January 2008 to 31 judgment, including the assessment of the December 2008 as set out on pages 167 to 171. risks of material misstatement of the financial statements, whether due to fraud or error. In Project Management’s responsibilities making those risk assessments, the auditor The management of the Society is responsible considers internal controls relevant to the entity’s for the preparation and fair presentation of this preparation and fair presentation of the financial financial report. This responsibility includes: statements in order to design audit procedures designing, implementing and maintaining that are appropriate in the circumstances, but internal controls relevant to the preparation and not for the purpose of expressing an opinion fair presentation of the financial report that is on the effectiveness of the entity’s internal free from material misstatement, whether due to control. An audit also includes evaluating the fraud or error; selecting and applying appropriate appropriateness of accounting policies used and accounting policies; and making accounting the reasonableness of accounting estimates, if estimates, if any that are reasonable in the any, made by management, as well as evaluating circumstances. the overall presentation of the financial statements. Auditor’s responsibility Our responsibility is to express an opinion on We believe that the audit evidence we have the special purpose financial report based on obtained is sufficient and appropriate to provide our audit. We conducted our audit in accordance a basis for our opinion with International Standards on Auditing. Those standards require that we comply with ethical Opinion on the Financial Report

requirements and plan and perform the audit In our opinion, the financial report of the 2008 to obtain reasonable assurance whether the projects for the period from 1 January 2008 to 31 financial statements are free from material December 2008 presents, in all material respects, misstatement. the expenditure incurred and the revenue received for the projects in conformity with the accounting policies set out on page 169. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

165 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS)on the Machakos Community Development, Food Security, Rural Water Tana River and Kithyoko Projects funded by the Spanish Red Cross

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the Spanish Red Cross. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

166 Income and expenditure account

2008 2007 Shs Shs Income Grants and donations 43,513,411 68,168,026 Other Income 64,723 -

Total income 43,578,134 68,168,026

Expenditure Programme Support Costs (1,489,106 ) 5,415,987 Project supplies 21,858,485 40,601,803 Personnel costs 6,913,458 8,767,048 Travel and communication costs 1,822,775 2,630,077 Motor vehicle expenses 2,387,363 3,529,361 Capital expenditure 2,828,330 2,090,484 General office expenses 544,660 797,762 Workshops and training 2,797,091 2,314,236 Campaign and awareness 1,367,737 487,262 Printing and stationery 416,158 291,304 Bank charges 54,958 57,440 Consultancies and professional fees 241,822 200,000 Branch Institutional Support 4,729 - Prior Year Expenses - 20,494 Provision for impairment of unaccounted for funds 964,666 -

Total expenditure 40,713,126 67,203,258

Surplus of income over expenditure 2,865,008 964,768 2008

Statement of accumulated funds

At start of year 15,152,493 14,187,725

Surplus for the year 2,865,008 964,768

At end of year 18,017,501 15,152,493 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

167 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 15,428,546 11,847,975 Amounts due from branches 3 2,648,134 3,695,297 Staff advances - 9,290 Receivables 10,600 18,916 Amounts due from other KRCS projects 4 - 10,800

18,087,280 15,582,278

Current liabilities

Amounts due to other KRCS projects 4 49,795 32,490 Amounts due to staff 15,184 30,670 Creditors and accruals 4,800 366,625

69,779 429,785

Net current assets 18,017,501 15,152,493

Financed by:

Accumulated funds 18, ,017,501 15,152,493

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

168 Notes to the financial statements

1. General information year are converted into Kenya Shillings at The accounts present the transactions rates ruling on the transaction dates. Some through the bank accounts designated for of the cash balances at the balance sheet “Kenya Red Cross Society – Spanish Red date were held in foreign currencies. Cross, Community Development, Water Provision Kithyoko and Tana River”. Amounts due to/from branches These are the amounts advanced to The Spanish Red Cross funded projects are branches / received from branches but yet in support of the food security activities to be accounted for. They are carried at book in Machakos District and activities are value with provisions made for amounts implemented by the Disaster Preparedness over six months. and Response Department. 3. Amounts due from branches 2. Summary of significant accounting policies These are amounts advanced to branches The accounts are prepared in accordance in various parts of the country that have not with the historical cost convention and been accounted for. on modified cash basis. The following is a summary of the accounting policies used:- Branch 2008 2007 Shs Shs Income Grant income is recognised when received Machakos branch 1,296,566 2,331,769 while income from services rendered is Tana River branch 1,351,568 1,363,528 recognised when earned.

Donations in kind Gross receivables 2,648,134 3,695,297 Donations received in kind are not recognised in these accounts.

4. Amounts due from/to other projects Expenses The amounts due from other projects relate Expenditure is recognised when incurred. to amounts paid by this project on behalf

Fixed assets 2008 of other Kenya Red Cross Society projects. All assets are expensed in full in the year Amounts due to other projects relate to of acquisition. On disposal, funds received amounts paid by the other Kenya Red Cross are recognised as income in the Society’s Society projects on behalf of this project Administration and Coordination (Main) Account. Amounts due from other projects 2008 2007 Shs Shs Cash & cash equivalents Cash and cash equivalents represent cash 10,800 in hand and at bank as at the balance sheet German Red Cross - date. 10,800 - Receivables Receivables are carried at book value. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Provisions for doubtful balances have been Amounts due to other projects made if balances are deemed irrecoverable or branches take more than six months to Administration Account 27,476 32,940 account for disbursements. IFRC Account 22,319 - Translation of foreign currencies 169 Transactions in foreign currencies during the 49,795 32,940 5. Currency 2008 The accounts are presented in Kenya Shillings. Shs

6. Provisions for impairment of unaccounted Machakos branch 964,666 for funds Provisions have been made against the following amounts receivable from KRCS branches. The receivables represent long outstanding funds advanced to the branches that have not been accounted for. KENYA RED CROSS SOCIETY CROSS RED KENYA

170 Total Total

997 2,865,008 Violence Post Election River Floods Tsunami Tana Tana Tsunami T/River Water Water Machakos Rural

Kithyoko Rehabilitation 2008

Community Development ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

171 Total income Total 7,249,099 - expenditure Total 19,644,050 5,645,250 12,343 11,027,392 43,578,134 9,796,741 322,695 13,823,415 5,612,593 144,287 11,013,395 40,713,126 Expenditure: Programme Support CostsProject suppliesPersonnel costs and communication costsTravel Motor vehicle expensesCapital expenditureGeneral office expenses and trainingWorkshops Campaign and awarenessPrinting and stationeryBank chargesConsultancies and professional fees - Branch Institutional Support 398,848 Provision for impairment of unaccounted funds 1,295 63,200 4,311,808 (1,547,081) 1,984,447 1,115,099 (Deficit)/surplus of income over expenditure 214,400 1,042,417 62,089 964,666 24,000 58,960 218,184 313,809 539,542 4,844,179 3,447 - 1,008,579 16,000 122,347 1,527,758 221,595 56,680 4,729 (2,547,642) - 805,941 - - - 3,474,243 12,575 - (322,695) - 1,756,966 250,778 2,706,371 - 1,340,569 - 4,500 3,800 783,055 - 5,820,635 238,375 231,793 63,000 - - 10,960,340 195,872 85,734 - 20,686 45,140 32,657 1,822,774 18,090 - 97,939 (1,489,106) 28,465 14,024 (131,944) 21,858,485 - - - 2,387,363 - - 1,873 - 13, 6,913,458 - - 2,000 - - - - - 2,797,091 - 54,958 544,660 - 2,828,331 - - 1,367,737 416,158 - 241,822 964,666 - 4,729 IncomeGrants & Donations Other Incomes 7,249,099 - Shs - - 19,644,050 Shs 5,645,250 - (52,380) Shs 11,027,392 - 64,723 Shs 43,513,411 Shs - 64,723 Shs Shs Detailed income and expenditure account per project account and expenditure Detailed income KENYA RED CROSS SOCIETY

HIV/AIDS General, Drought & Emergency Relief and Other Projects Funded by International Federation of The Red Cross (IFRC) Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 173 –174

Income and expenditure account 175

Balance sheet 176

Notes forming part of the financial statements 177

Appendices

I. Analysis of income and expenditure by project KENYA RED CROSS SOCIETY CROSS RED KENYA

172 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the HIV/AIDS General, Drought & Emergency Relief and other Projects

We have audited the accompanying special purpose financial report of the HIV/AIDS general, An audit involves performing procedures to drought & emergency relief and other projects obtain audit evidence about the amounts (‘the projects’) for the period from 1 January 2008 and disclosures in the financial report. The to 31 December 2008 as set out on pages 175 to procedures selected depend on the auditor’s 180. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material projects for the period from 1 January 2008 to 31 misstatement. December 2008 presents, in all material respects, 2008 the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 177. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

173 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the HIV/AIDS General, Drought & Emergency Relief and other projects (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the International Federation of the Red Cross. The extend to any other financial statements of the contents of this report should not be published beneficiaries. or distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

174 Income and expenditure account

2008 2007 Shs Shs Income: Grants & Donations 105,712,819 325,134,864 Other Income - 53,506

Total income 105,712,819 325,188,370

Expenditure: Programme Support Costs 10,217,161 35,474,138 Project Supplies 21,581,148 158,733,381 Personnel Costs 29,488,374 37,700,202 Travel and Communication Costs 9,061,700 19,239,387 Motor Vehicle Expenses 18,163,345 44,733,760 Capital Expenditure 1,416,273 12,378,628 General Office Expenses 1,499,907 850,998 Workshops & Training 8,947,358 6,276,758 Campaign & Awareness 5,607,296 5,865,644 Printing & Stationery 973,335 732,813 Bank Charges & Commissions 124,375 293,951 Consultancy & Professional Fees 104,000 1,125,065 Branch Institutional Support 127,609 117,000 Fundraising expenses - 10,000 Bad Debts written off 3,302,541 29,699 Provision for write off of branch debtors 955,757 - Provision for impairment of unaccounted for funds 1,415,137 - -

Total expenditure 112,985,316 323,561,424

2008

Deficit/(Surplus) of income over expenditure (7,272,497) 1,626,946

Statement of accumulated funds

At start of year 66,158,130 59,112,063

(Deficit)/surplus for the year (7,272,497 1,626,946

Adjustment:

Transfer of Transport Support Unit Project Balance to Main Account - 5,419,121 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

At end of year 58,885,633 66,158,130

175 Balance sheet

2008 2007 Notes Shs Shs Current assets Cash and cash equivalents 33,423,704 56,751,927 Amounts due from projects 4 17,610,290 1,201,450 Staff advances & imprest 143,317 1,745,276 Amounts due from branches 3 12,188,872 14,779,848

63,366,183 74,478,501

Current liabilities Creditors and accruals 1,406,733 3,657,318 Amounts due to projects 4 350,674 843,682 Amounts due to branches 3 2,717,225 3,697,721 Staff advance & Imprest 5,918 121,650

4,480,550 8,320,371

Net current assets 58,885,633 66,158,130

Financed by:

Accumulated funds 58,885,633 66,158,130

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

176 Notes

1. Program activities Expenses The accounts present the transactions Expenditure is recognised when incurred. through the bank accounts designated for “Kenya Red Cross Society – HIV/AIDS Fixed assets General, Drought & Emergency Relief and All assets are expensed in full in the year Other Projects”. of acquisition. On disposal, funds received are recognised as income in the Society’s The IFRC/Nestle Foods funded project is Administration and Coordination (Main) in support of HIV/AIDS prevention and Account. sensitisation activities. IFRC’s contributions to emergency operations are also included in Cash & cash equivalents this report together with other small projects Cash and cash equivalents represent cash funded by IFRC. in hand and at bank as at the balance sheet date. 2. Significant accounting policies The accounts are prepared in accordance Receivables with the historical cost convention and on Receivables are carried at book value. a modified cash basis. The following is a Provisions for doubtful balances have been summary of the more important accounting made if balances are deemed irrecoverable policies used:- or branches take more than six months to account for disbursements. Income Translation of foreign currencies Grant income is recognised when received Transactions in foreign currencies during the while income from services rendered is year are converted into Kenya Shillings at recognised when earned. rates ruling on the transaction dates. There were no assets and liabilities at the balance Donations in kind sheet date which were held in foreign Donations received in kind are not currencies. recognised in these accounts. Amounts due to/from branches

These are the amounts advanced to 2008 branches / received from branches but yet to be accounted for. They are carried at book value with provisions made for amounts over six months. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

177 Notes (continued)

3. Amounts due from/to branches These are amounts advanced to branches of KRCS in various parts of the country that have not been accounted for in. Amounts due to branches relate to amounts spent by the branches in excess of the funds provided.

Amount due from branches 2008 2007 Kshs Kshs

2,029,680 378,670 Bureti Branch Busia Branch 31,535 7,735 Butere Mumias - 47,753 Embu Branch - 13,500 Ijara EMOP Operations 219,385 - Kajiado Branch - 98,878 Karen Langata Branch - 439,404 Kilifi Branch 84,332 94,275 Kericho Branch - 300,802 Kisumu Branch 1,169,050 654,073 KRCS Coast Region 69,000 739,242 KRCS North Eastern Region 155,125 - KRCS North Rift Region 134,079 979,655 KRCS Nyanza Region 1,116,137 84,938 Kwale Branch - 380,061 Laikipia Branch - 6,600 Lamu Branch - 623,540 Lugari Branch - 2,394 Machakos Branch - 241,916 Makueni Branch - 137,600 Malindi Branch 288,885 672,804 Mandera Branch 502,046 1,389,905 Marsabit Branch - 573,505 Meru Branch - 99,814 Moi’s Bridge - 8,135 Mombasa Branch 783,741 586,431 Moyale branch 143,880 8,321 Mpeketoni Branch - 255,100 Muranga Branch - 78,750 Mwingi Branch - 11,016 Nairobi Branch - 37,651 Nakuru Branch 2,100,241 2,296,646 Nyando Branch 10,943 10,943 Rachuonyo Branch - 2,800 Siaya Branch 1,746,249 149,097

KENYA RED CROSS SOCIETY CROSS RED KENYA Tana River Branch 754,926 - Thika Branch - 332,604 Turkana Branch - 909,590 Vihiga Branch - 36,000 Wajir Branch 849,639 1,259,545 178 West Pokot Branch - 39,690 12,188,872 13,989,383 Notes (continued)

3. Amounts due from/to branches (continued)

Amount due to branches 2008 2007 Kshs Kshs

Bungoma Branch - 3,200 Garissa Branch 2,579,132 3,599,788 Kajiado Branch 121,500 - Meru branch 5,650 - Nyandarua Branch 10,943 - Uasin Gishu Branch - 94,733

2,717,225 3,697,721

4. Amounts due from/to other KRCS projects Amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

Amounts due from other projects 2008 2007 Kshs Kshs

Administration account 16,988,579 988,250 ICRC account 211,950 213,200 Multi Donor account 387,442 - Spanish account 22,319 - 2008

17,610,290 1,201,450

Amounts due to other projects

Swedish OD account 217,586 13,492 Multi Donor account - 737,302 Norcross account 92,888 92,888 WFP EMOP Operations 40,200 -

350,674 843,682 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

179 5. Currency The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Danish red cross 228,480 - International federation of red cross 26,499 - Administration account 1,160,158 -

1,415,137 -

Kisumu Branch 500,466 - Uasin Gishu Branch 16,547 - Kwale Branch 8,046 - Lamu Branch 76,735 - Mandera Branch 9,105 - KRCS Nyanza region 84,938 - KRCS Coast region 259,920 -

955,757 - KENYA RED CROSS SOCIETY CROSS RED KENYA

180 KENYA RED CROSS SOCIETY

Mombasa HIV/AIDS, Tsunami Projects and Makueni Watsan Funded By German Red Cross Financial Report for the Year Ended 31st December 2008

Table of contents

Report of the independent auditor 182 –183

Income and expenditure account 184

Balance sheet 185

Notes forming part of the financial report 186 Appendices

I. Detailed income and expenditure account 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

181 Independent Auditors Report to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Mombasa HIV/AIDS, Tsunami Projects & Makueni Watsan funded by the German Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Mombasa HIV/ obtain audit evidence about the amounts AIDS, Tsunami Projects & Makueni Watsan (‘the and disclosures in the financial report. The project’) for the period from 1 January 2008 to 31 procedures selected depend on the auditor’s December 2008 as set out on pages 184 to 187. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material projects for the period from 1 January 2008 to 31 misstatement. December 2008 presents, in all material respects, the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 186. KENYA RED CROSS SOCIETY CROSS RED KENYA

182 Independent Auditors Report to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Mombasa HIV/AIDS, Tsunami Projects & Makueni Watsan funded by the German Red Cross Society (continued)

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the German Red Cross. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

183 Income and expenditure account

2007 2006 Shs Shs Income

Grants and donations 49,381,937 26,501,190

Expenditure Programme Support Costs 120,293 3,493 Project supplies 26,149,838 1,865,560 Personnel costs 10,246,615 6,978,380 Travel and communication costs 2,814,674 3,076,043 Motor vehicle expenses 1,363,553 828,649 Capital expenditure 4,790,702 1,506,232 General office expenses 856,182 723,167 Workshops and training 4,311,036 1,691,663 Campaign and awareness 4,241,801 2,585,240 Printing and stationery 643,213 250,335 Bank charges 68,447 57,286 Consultancies and professional fees 1,104,001 163,320 Branch Institutional Support 115,200 20,450

Total expenditure 56,825,555 19,749,818

(Deficit)/surplus of income over expenditure (7,443,618 ) 6,751,372

Statement of accumulated funds

At start of year 8,505,307 1,753,935

(Deficit)/surplus for the year (7,443,618) 6,751,372

At end of year 1,061,689 8,505,307 KENYA RED CROSS SOCIETY CROSS RED KENYA

184 Balance sheet

Notes 2008 2007

Shs Shs Current assets Cash at bank 2,208,611 6,678,361 Amounts due to branches 3 1,315,243 1,641,262 Staff Advance/Imprest 23,160 - Receivables - 405,532

3,547,014 8,725,155

Current liabilities Amounts due to projects 4 114,142 108,084 Staff Advance/Imprest 2,630 - Creditors 2,368,553 111,765

2,485,325 219,849

Net current assets 1,061,689 8,505,306

Financed by:

Accumulated funds 1,061,689 8,505,306

2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

185 Notes

1. Program activities in hand and at bank as at the balance sheet The accounts present the transactions date. through the bank accounts designated “Kenya Red Cross Society – Mombasa Receivables HIV/AIDS Project, Tsunami Health Rehab Receivables are carried at book value. No Project,Tsunami Project and Makueni Watsan provisions for doubtful balances are made Project “. against receivables.

The HIV/AIDs project is concerned with Translation of foreign currencies HIV/AIDS Community Based Home Care and Transactions in foreign currencies during the Awareness Programmes in Majengo Division year are converted into Kenya Shillings at of Mombasa District. rates ruling on the transaction dates. There were no assets and liabilities at the balance The Tsunami Project aims to establish early sheet date which were held in foreign warning systems for natural disasters in the currencies. coastal region. Amounts due to/from branches The Makueni Watsan project is involved These are the amounts advanced to in the improvement of water access branches / received from branches but yet through construction of water wells and to be accounted for. They are carried at book rehabilitation of dams in various locations of value with provisions made for amounts over Makueni district. six months.

2. Significant accounting policies 3. Amounts due from branches The accounts are prepared in accordance These are amounts advanced to branches with the historical cost convention and on in various parts of the country that have not a modified cash basis. The following is a been accounted. summary of the more important accounting policies used:- 2008 2007 Shs Shs Income Grant income is recognised when received Mombasa Branch 247,274 722,826 while income from services rendered is Kwale Branch 204,517 388,186 recognised when earned. Makueni Branch 454,620 286,016 Kilifi Branch 361,482 244,234 Donations in kind KRCS Coast Region 47,350 - Donations received in kind are not recognised in these accounts. 1,315,243 1,641,262 Expenses Expenditure is recognised when incurred.

Fixed assets 4. Amounts due to other projects KENYA RED CROSS SOCIETY CROSS RED KENYA All assets are expensed in full in the year The amounts due from other projects relates of acquisition. On disposal, funds received to amounts paid by this project on behalf of are recognised as income in the Society’s other Kenya Red Cross Society projects while Administration and Coordination (Main) the amounts due to other projects relates to Account. amounts paid by the other Kenya Red Cross Society projects on behalf of this project. 186 Cash & cash equivalents Cash and cash equivalents represent cash 2008 2007 Shs Shs

Administration Account 92,552 108,084 Netherlands Red Cross 21,590 -

114,142 108,084

5. Currency The accounts are presented in Kenya Shillings.

Analysis of income and expenditure by project Appendix I

Tsunami Rehab Tsunami DP Makueni Watsan Total Health

Shs Shs Shs Shs

Income

Grants and donations 10,130,906 8,642,000 30,609,031 49,381,937

Expenditure

Programme support costs - 120,293 - 120,293

Project supplies 681,515 4,262,429 21,205,895 26,149,839

Personnel costs 3,236,002 2,752,373 4,258,240 10,246,615 2008 Travel and communication costs 1,174,789 522,069 1,117,817 2,814,675

Motor vehicle expenses 246,367 187,446 929,740 1,363,553

Capital expenditure 153,545 1,392,858 3,244,299 4,790,702

General office expenses 299,235 119,407 437,540 856,182

Workshops and training 2,831,161 299,540 1,180,335 4,311,036

Campaign and awareness 3,327,523 245,695 668,583 4,241,801

Printing and stationery 288,869 77,697 276,646 643,212

Bank charges 15,539 16,120 36,788 68,447 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

Consultancies and professional fees - 10,000 1,094,000 1,104,000 Branch institutional support 115,200 - - 115,200

Total expenditure 12,369,745 10,005,927 34,449,883 56,825,555 187 Deficit (2,238,839) (1,363,927) (3,840,852) (7,443,618)

KENYA RED CROSS SOCIETY

Blood Donor Recruitment and Kerio Valley Projects

Funded By American Red Cross/CDC Financial Report

For The Year Ended 31 December 2008

Table of contents

Report of the independent auditor 189 –190

Income and expenditure account 191

Balance sheet 192

Notes forming part of the financial statements 193 KENYA RED CROSS SOCIETY CROSS RED KENYA

188 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Blood Donation and Kerio Valley Projects funded by American Red Cross Society/CDC

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Blood Donation obtain audit evidence about the amounts and Kerio Valley Projects (‘the projects’) for the and disclosures in the financial report. The period from 1 January 2008 to 31 December 2008 procedures selected depend on the auditor’s as set out on pages 191 to 193. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. projects for the period from 1 January 2008 to 31 2008 December 2008 presents, in all material respects, the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 5. 193. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

189 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Blood Donation and Kerio Valley Projects funded by American Red Cross Society/CDC

Distribution of this report This report relates only to the Financial Report This report has been prepared solely for the of the projects for the period 1 January 2008 to information and use of KRCS management, the 31 December 2008 as specified above and does American Red Cross and CDC. The contents not extend to any other financial reports of the of this report should not be published or beneficiaries. distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

190 Income and expenditure account

2008 2007 Shs Shs Income Grants and donations – American Red Cross/CDC - 8,691,476 Other income 289,196 -

Total income 289,196 8,691,476

Expenditure Programme Support Costs - 816,321 Project supplies - 4,302,679 Personnel costs - 1,428,380 Travel and communication costs - 570,451 Motor vehicle expenses - 945,397 General office expenses - 32,363 Workshops and training - 275,843 Campaign and awareness - 819,436 Printing and stationery - 15,932 Bank charges - 16,238 Debts written off 144,189 -

Total expenditure 144,189 9,223,040

Surplus/(deficit) of income over expenditure 145,007 (531,564

Statement of accumulated funds 2008

At start of year 2,468,796 3,000,360

Surplus/(deficit) for the year 145,007 (531,564

At end of year 2,613,803 2,468,796 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

191 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 2,613,803 460,023 Amounts due from branches - 198,023 Amounts due from other KRCS projects - 2,222,045 Other debtors - 75,799

2,613,803 2,955,890

Current liabilities Amounts due to branches - 485,594 Amounts due to other KRCS projects - 1,500

- 487,094

Net current assets 2,613,803 2,468,796

Financed by:

Accumulated funds 2,613,803 2,468,796

Governor Treasurer

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

192 Notes

1. Program activities Receivables The accounts present the transactions Receivables are carried at book value. through the bank accounts designated for Provisions for doubtful balances have been “Kenya Red Cross Society – Blood Donor made if balances are deemed irrecoverable Recruitment and Kerio Valley Projects”. or branches take more than six months to account for disbursements. This American Red Cross and CDC funded project is in support of blood donations and Translation of foreign currencies mobilisation activities and is currently being Transactions in foreign currencies during carried out in 15 Kenya Red Cross branches the year are converted into Kenya Shillings across the country. at rates ruling on the transaction dates. There were no assets and liabilities at the The Kerio Valley Project deals with balance sheet date which were held in foreign rehabilitation of water systems in Kerio Valley currencies. covering Marakwet, West Pokot and East Baringo Districts. Amounts due to/from branches These are the amounts advanced to branches The projects are now closed. / received from branches but yet to be accounted for. They are carried at book value 2. Significant accounting policies with provisions made for amounts over six The accounts are prepared in accordance months. with the historical cost convention and on a modified cash basis. The following is a 3. Amounts due from/ to branches summary of the more important accounting Amounts due from branches are amounts policies used:- advanced to KRCS branches in various parts of the country that have not been accounted Income for in form of expenditure or a confirmation. Grant income is recognised when received while income from services rendered is Amounts due to branches are expenses recognised when earned. incurred by the branches in excess of the funds disbursed and which and are due for 2008 Donations in kind reimbursement by the head office. Donations received in kind are not recognised in these accounts. 4. Amounts due from/to other projects The amounts due from other projects relates Expenses to amounts paid by this project on behalf of Expenditure is recognised when incurred. other Kenya Red Cross Society projects while the amounts due to other projects relates to Fixed assets amounts paid by the other Kenya Red Cross All assets are expensed in full in the year Society projects on behalf of this project. of acquisition. On disposal, funds received are recognised as income in the Society’s 5. Currency Administration and Coordination (Main) The accounts are presented in Kenya Shillings.

Account. ACCOUNTS REPORT AND ANNUAL

Cash & cash equivalents Cash and cash equivalents represent cash in hand and at bank as at the balance sheet date. 193 KENYA RED CROSS SOCIETY

Blood Donor Mobilisation Funded By CHF International Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 195 – 196

Income and expenditure account 197

Balance sheet 197

Notes forming part of the financial statements 198 KENYA RED CROSS SOCIETY CROSS RED KENYA

194 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on Blood Donor Programme funded by CHF International

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Blood Donor obtain audit evidence about the amounts Programme (‘the project’) for the period from 1 and disclosures in the financial report. The January 2008 to 31 December 2008 as set out on procedures selected depend on the auditor’s pages 197 to 198. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. project for the period from 1 January 2008 to 31 December 2008 presents, in all material respects, 2008 the expenditure incurred and the income received for the project in conformity with the accounting policies set out on page 198. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

195 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on Blood Donor Programme funded by CHF International (continued)

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not CHF International. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

196 Income and expenditure account

2008 Shs Income Grants and donations 1,120,833

Total income 1,120,833

Expenditure Personnel Costs 206,900 Travel and Communication Costs 27,783 Campaign & Awareness 215,354 Bank Charges & Commissions 10

Total expenditure 450,047

Surplus of income over expenditure 670,786

Statement of accumulated funds

At start of year -

Surplus for the year 670,786

At the end of the year 670,786

Balance sheet Notes 2008 Shs

Current assets 2008 Cash at bank 703,789

Current liabilities Amounts due to other projects 3 24,600 Other payables 8,403

33,003

Net current assets 670,786

Financed by: ACCOUNTS REPORT AND ANNUAL

Accumulated funds 670,786

197 The financial report was approved by the Executive Committee on 27th March 2009 Notes

Translation of foreign currencies 1. Program activities Transactions in foreign currencies during the The accounts present the transactions year are converted into Kenya Shillings at through the bank account designated rates ruling on the transaction dates. There “Kenya Red Cross Society – CHF International were no assets and liabilities at the balance Blood Donor Recruitment Project”. sheet date which were held in foreign

currencies. The CHF International funded project is in support of blood donation and Amounts due to/from branches mobilisation activities and is currently These are the amounts advanced to being implemented by 21 Kenya Red Cross branches / received from branches but yet branches across the country. This project to be accounted for. They are carried at book commenced during the year under review. value with provisions made for amounts over six months. 2. Significant accounting policies The accounts are prepared in accordance 3. Amounts due to other projects with the historical cost convention and on The amounts due to other projects relates a modified cash basis. The following is a to amounts paid by the other Kenya Red summary of the more important accounting Cross Society projects on behalf of this policies used:- project.

Income Grant income is recognised when received Shs while income from services rendered is Amounts due to other projects recognised when earned. PEPFAR Account 24,600 Donations in kind Donations received in kind are not recognised in these accounts. 4. Currency The accounts are presented in Kenya Shillings. Expenses Expenditure is recognised when incurred.

Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s Administration and Coordination (Main) Account.

Cash & cash equivalents Cash and cash equivalents represent cash in hand and at bank as at the balance sheet date. KENYA RED CROSS SOCIETY CROSS RED KENYA Receivables Receivables are carried at book value. Provisions for doubtful balances have been made if balances are deemed irrecoverable or branches take more than six months to 198 account for disbursements. KENYA RED CROSS SOCIETY

Blood Donor Recruitment Project Funded by PEPFAR Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 200

Income and expenditure account 201

Balance sheet 202

Notes forming part of the financial report 203 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

199 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the PEPFAR - Blood Donor Project

We have audited the accompanying special and disclosures in the financial report. The purpose financial report of the PEPFAR – Blood procedures selected depend on the auditor’s Donor Project (‘the project’) for the period from 1 judgment, including the assessment of the January 2008 to 31 December 2008 as set out on risks of material misstatement of the financial pages 201 to 205. statements, whether due to fraud or error. In making those risk assessments, the auditor Project Management’s responsibilities considers internal controls relevant to the entity’s The management of KRCS is responsible for the preparation and fair presentation of the financial preparation and fair presentation of this financial statements in order to design audit procedures report. This responsibility includes: designing, that are appropriate in the circumstances, but implementing and maintaining internal controls not for the purpose of expressing an opinion relevant to the preparation and fair presentation on the effectiveness of the entity’s internal of the financial report that is free from material control. An audit also includes evaluating the misstatement, whether due to fraud or error; appropriateness of accounting policies used and selecting and applying appropriate accounting the reasonableness of accounting estimates, if policies; and making accounting estimates, if any any, made by management, as well as evaluating that are reasonable in the circumstances. the overall presentation of the financial statements. Auditor’s responsibility Our responsibility is to express an opinion on We believe that the audit evidence we have the special purpose financial report based on obtained is sufficient and appropriate to provide our audit. We conducted our audit in accordance a basis for our opinion with International Standards on Auditing. Those standards require that we comply with ethical Opinion on the Financial Report requirements and plan and perform the audit In our opinion, the financial report of the to obtain reasonable assurance whether the project for the period from 1 January 2008 to 31 financial statements are free from material December 2008 presents, in all material respects misstatement. the expenditure and the income received for the project in conformity with the accounting policies An audit involves performing procedures to set out on page 203. obtain audit evidence about the amounts

Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS)on the PEPFAR - Blood Donor Project (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the Ministry of Health. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express

KENYA RED CROSS SOCIETY CROSS RED KENYA consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party. 200

Certified Public Accountants 17 April 2009 Nairobi Income and expenditure account

2008 2007 Shs Shs Income

Grants and donations 10,800,000 11,700,000 Other Income - (1,566)

Total income 10,800,000 11,698,434

Expenditure

Programme support costs 1,080,000 1,063,636 Project supplies - 1,000 Personnel costs 2,887,866 8,041,092 Travel and communication costs 800,361 991,949 Motor vehicle expenses 129,733 345,611 General office expenses 65,212 37,244 Workshops and training 188,790 174,403 Campaign and awareness 337,185 81,312 Printing and stationery 108,840 118,843 Bank charges and commissions 22,499 77,502 Provision for unaccounted for funds 442,012 -

Total expenditure 6,062,498 10,932,592

Surplus of income over expenditure 4,737,502 765,842 2008

Statement of accumulated funds

At start of year 3,912,789 3,146,947

Surplus for the year 4,737,502 765,842

At end of year 8,650,291 3,912,789

ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

201 Balance sheet

Notes 2008 2007 Shs Shs Current assets Amounts due from branches 3 1,135,009 655,896 Staff advances and imprest 24,050 1,685 Cash and cash equivalents 7,519,765 5,452,386

8,678,824 6,109,967

Current liabilities Creditors and accruals 14,777 16,839 Amounts due to projects 4 11,418 2,120,850 Amount due to Branches 3 2,338 59,489

28,533 2,197,178

Net current assets 8,650,291 3,912,789

Financed by

Accumulated funds 8,650,291 3,912,789

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

202 Notes

1. Program activities The accounts present the transactions Cash & cash equivalents through the bank account designated “Kenya Cash and cash equivalents represent cash Red Cross Society – PEPFAR Blood Donor in hand and at bank as at the balance sheet Recruitment Project”. date.

The PEPFAR / United States of America Receivables Ministry of Health funded project is in Receivables are carried at book value. support of blood donation and mobilisation Provisions for doubtful balances have been activities and is currently being implemented made if balances are deemed irrecoverable by 21 Kenya Red Cross branches across the or branches take more than six months to country. This project commenced during the account for disbursements. year 2005. Translation of foreign currencies Transactions in foreign currencies during the 2. Significant accounting policies year are converted into Kenya Shillings at The accounts are prepared in accordance rates ruling on the transaction dates. Assets with the historical cost convention and on and liabilities at the balance sheet date a modified cash basis. The following is a which were held in foreign currencies related summary of the more important accounting to cash. policies used:- Amounts due to/from branches Income These are the amounts advanced to/received Grant income is recognised when received from branches but yet to be accounted for. while income from services rendered is recognised when earned. 3. Amounts due to/from branches These are amounts advanced to branches Donations in kind of KRCS in various parts of the country that Donations received in kind are not have not been accounted for in form of recognised in these accounts. expenditure or a confirmation of a debt.

Expenses 2008

Expenditure is recognised when incurred.

Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s Administration and Coordination (Main) Account. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

203 Amounts due from branches 2008 2007 Shs Shs

Bungoma Branch 35,100 5,150 Busia branch - 25,645 Embu branch 158,880 19,128 Kakamega branch - 92,445 Karen branch - 2,362 Kisumu branch - 48,065 Kwale branch 59,445 32,510 Lugari branch 55,010 7,010 Machakos branch 53,367 12,594 Makueni branch - 81,795 Malindi branch 28,526 29,954 Mombasa Branch 52,211 59,807 Mpeketoni branch - 8,294 Murang’a branch - 60,300 Naivasha branch - 6,000 Nakuru Branch 102,072 48,398 Rachuonyo branch 19,594 35,494 Siaya Branch - 57,300 Thika branch 62,525 19,245 Uasin Gishu branch 24,100 4,400 KRCS Coast Region 88,000 - KRCS North Rift Region 132,000 - KRCS Nyanza Region 132,000 - Meru branch 12,700 - Nairobi branch 71,889 - Nyeri branch 47,590 -

1,135,009 655,896

Amounts due to branches 2008 2007 Shs Shs

Molo branch 2,338 2,338 Nairobi branch - 49,701 Meru branch - 7,450 KENYA RED CROSS SOCIETY CROSS RED KENYA

2,338 59,489

204 4. Amounts due to other projects Amounts due to other projects relates to amounts paid by other Kenya Red Cross Society projects on behalf of this project.

Amounts due to other projects 2008 2007 Shs Shs

Administration account 11,418 7,922 American Red Cross – Blood donor - 2,112,928

11,418 2,120,850

5. Currency The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from branches. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

Branch 2008 Shs

Kisumu branch- 48,065 Siaya branch 57,300 Kakamega branch 92,445 Murang’a branch 60,300 Karen Lang’ata branch 2,362 Naivasha branch 6,000 Mpeketoni Branch 8,294 Busia Branch 25,645 Nyeri branch 81,795 Mombasa branch 59,806 2008

Total 442,012 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

205 KENYA RED CROSS SOCIETY

Family Health Home Based Care, Kajiado Water & Sanitation, Youth Exchange, Organisational Development and Twinning Programmes

Funded by Norwegian Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 207 –208

Income and expenditure account 209

Balance sheet 210

Notes forming part of the financial statements 211

Appendix

I. Analysis of income and expenditure by project KENYA RED CROSS SOCIETY CROSS RED KENYA

206 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Family Health Home Based Care, Kajiado Water & Sanitation, Youth Exchange, Organisational Development and Twinning Programmes funded by the Norwegian Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Family Health obtain audit evidence about the amounts Home Based Care, Kajiado Water & Sanitation, and disclosures in the financial report. The Youth Exchange, Organisational Development procedures selected depend on the auditor’s and Twinning Programmes (‘the projects’) for the judgment, including the assessment of the period from 1 January 2008 to 31 December 2008 risks of material misstatement of the financial as set out on pages 209 to 213. statements, whether due to fraud or error. In making those risk assessments, the auditor Project Management’s responsibilities considers internal controls relevant to the entity’s The management of KRCS is responsible for the preparation and fair presentation of the financial preparation and fair presentation of this financial statements in order to design audit procedures report. This responsibility includes: designing, that are appropriate in the circumstances, but implementing and maintaining internal controls not for the purpose of expressing an opinion relevant to the preparation and fair presentation on the effectiveness of the entity’s internal of the financial report that is free from material control. An audit also includes evaluating the misstatement, whether due to fraud or error; appropriateness of accounting policies used and selecting and applying appropriate accounting the reasonableness of accounting estimates, if policies; and making accounting estimates, if any any, made by management, as well as evaluating that are reasonable in the circumstances. the overall presentation of the financial statements. Auditor’s responsibility Our responsibility is to express an opinion on We believe that the audit evidence we have the special purpose financial report based on obtained is sufficient and appropriate to provide our audit. We conducted our audit in accordance a basis for our opinion with International Standards on Auditing. Those standards require that we comply with ethical Opinion on the Financial Report requirements and plan and perform the audit In our opinion, the financial report of the to obtain reasonable assurance whether the projects for the period from 1 January 2008 to 31 2008 financial statements are free from material December 2008 presents, in all material respects, misstatement. the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 211. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

207 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Family Health Home Based Care, Kajiado Water & Sanitation, Youth Exchange, Organisational Development and Twinning Programmes funded by the Norwegian Red Cross Society (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management December 2008 as specified above and does not and the Norwegian Red Cross. The contents extend to any other financial statements of the of this report should not be published or beneficiaries. distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

208 Income and expenditure account

2008 2007 Shs Shs

Income Grants & Donations 80,268,088 64,023,239 Youth Exchange Income 889,746 1,997,024 Bank Interest - 501 Other Income - 301,709 Write back 65,160 -

81,222,994 66,322,473

Expenditure Programme Support Costs 7,470,907 4,061,845 Project Supplies 25,372,203 1,959,128 Personnel Costs 18,001,539 10,480,716 Travel and Communication Costs 5,996,013 5,390,142 Motor Vehicle Expenses 5,040,490 1,507,010 Capital Expenditure 9,898,181 15,104,853 General Office Expenses 1,504,553 769,664 Workshops & Training 3,910,385 2,123,839 Campaign & Awareness 2,487,072 1,962,458 Printing & Stationery 965,878 316,299 Bank Charges & Commissions 74,010 17,282 Consultancy & Professional Fees 1,006,310 2,713,103 Branch Institutional Support 175,684 25,000 2008 Fundraising Expenses 71,218 - Provision for impairment of unaccounted for funds 2,104,905 -

Total expenditure 84,079,347 46,431,339

Surplus/(deficit) of income over Expenditure (2,856,353) 19,891,134

Statement of accumulated funds ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

At start of year 21,187,790 1,296,656

Deficit(surplus) for the year (2,856,353 ) 19,891,134

At end of year 18,331,437 21,187,790 209 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash and bank balances 17,019,782 25,774,652 Funds at field 3 2,077,969 5,257,201 Staff advances/debtors 128,957 181,074 Due from projects 4 92,888 100,888 Other debtors 243,867

19,319,596 31,557,682

Current liabilities Amounts due to branches 111,662 318,042 Staff advances and imprest 4,515 21,874 Due to projects 4 697,248 5,669,821 Creditors 174,734 4,360,155

988,159 10,369,892

Net current assets 18,331,437 21,187,790

Financed by:

Accumulated funds 18,331,437 21,187,790

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

210 Notes

1. Program activities Expenses The accounts present the transactions Expenditure is recognised when incurred. through the bank accounts designated for Norwegian Red Cross funding for Family Fixed assets Health Home Based Care (FHHBC), Kajiado All assets are expensed in full in the year Water & Sanitation and the Youth Exchange of acquisition. On disposal, funds received Programme. are recognised as income in the Society’s Administration and Coordination (Main) The FHHBC project is based in Kisumu Account.. and Siaya Districts of Kenya and aims at contributing to the districts’ efforts in Cash & cash equivalents reducing the spread of sexually transmitted Cash and cash equivalents represent cash infections and to develop further the in hand and at bank as at the balance sheet communities’ capacity to provide date. enhancement in home based provision of physical and psychological care to mitigate Receivables the consequences of the Acquired Immuno Receivables are carried at book value. Deficiency Syndrome (AIDS) for those Provisions for doubtful balances have been infected and affected. made if balances are deemed irrecoverable or branches take more than six months to The Kajiado Water and Sanitation project account for disbursements. deals with rehabilitation of water systems in Kajiado District. Translation of foreign currencies Transactions in foreign currencies during the The Youth Exchange Programme is a year are converted into Kenya Shillings at partnership agreement between Norwegian rates ruling on the transaction dates. There Red Cross Society and KRCS regarding were no assets and liabilities at the balance the specific posting, reception and/or sheet date which were held in foreign exchange of participants. The project aims currencies. at improving the lives of the most vulnerable people by mobilising the power of humanity Amounts due to/from branches 2008 among young people and to support each These are the amounts advanced to other in developing specific youth activities branches / received from branches but yet and to increase the knowledge within the to be accounted for. They are carried at book two National Societies. value with provisions made for amounts over six months. 2. Significant accounting policies The accounts are prepared in accordance 3. Amounts due from/to branches with the historical cost convention and on These are amounts advanced to branches a modified cash basis. The following is a in various parts of the country that have summary of the more important accounting not been accounted for in. Amounts due policies used:- to branches relate to amounts spent by the branches in excess of the funds provided. Income

Grant income is recognised when received ACCOUNTS REPORT AND ANNUAL while income from services rendered is recognised when earned.

Donations in kind Donations received in kind are not recognised in these accounts. 211 2008 2007 Shs Shs Amounts due from branches

Machakos Branch - 12,000 Thika Branch 303,245 14,485 Kisumu Branch - 92,111 Embu Branch 40,000 - Nyeri branch 40,000 263,644 Siaya branch - 2,780,121 Nakuru Branch 423,663 - Bungoma branch 25,000 1,064,688 Karen langata Branch 158,691 833,142 Mandera Branch 899,561 - Migori Branch - 12,000 KRCS North Rift Region - 185,000 KRCS Nyanza Region 92,000 - KRCS North Eastern Region 95,810 -

2,077,969 5,257,191

2008 2007 Shs Shs

Amounts due to branches

Lamu Branch - 9,820 Kajiado Branch - 11,859 Central Region - 296,363

- 318,042

4. Amounts due from/to other KRCS projects Amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

Amount due from other Projects 2008 2007 Kshs Kshs IFRC account 92,888 92,888 ICRC Bilateral account - 8,000

92,888 100,888

KENYA RED CROSS SOCIETY CROSS RED KENYA Amount due to other projects Swedish OD account 72,275 72,275 Administration account 95,794 4,977,898 Multi Donor account 516,180 559,648 Netherlands account - 60,000 WFP EMOP Operations 13,000 -

212 697,249 5,669,821

The corresponding entries have been recorded in the respective income and expenditure statements. These have arisen due to some activities being multi-donor funded and the recoveries and or repayments are to be made in the subsequent periods. 5. Currency The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Machakos branch 36,465 - Thika branch 14,485 - Kisumu branch 31,802 - Nyeri branch 211,246 - Siaya branch 847,097 - Nakuru branch 25,000 - Kajiado branch 262,557 - Bungoma branch 599,697 - Karen Langata branch 13,568 - Migori branch 12,000 - KRCS North Rift region 12,890 - KRCS Nyanza region 20,098 - KRCS Coast region 10,000 - ICRC 8,000

2,104,905 - 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

213 KENYA RED CROSS SOCIETY

HIV/AIDS Support Programme and Post Election Operations Funded by Netherlands Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 215–216

Income and expenditure account 217

Balance sheet 218 Notes forming part of the financial statements 219

Appendix

Detailed income and expenditure account 220 KENYA RED CROSS SOCIETY CROSS RED KENYA

214 Report of the Independent auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the HIV/AIDS Support Programme funded by the Netherlands Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the HIV/AIDS Support obtain audit evidence about the amounts Programme (‘the project’) for the period from 1 and disclosures in the financial report. The January 2008 to 31 December 2008 as set out on procedures selected depend on the auditor’s pages 217 to 221. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material project for the period from 1 January 2008 to 31

misstatement. December 2008 presents, in all material respects, 2008 the expenditure incurred and the income received for the project in conformity with the accounting policies set out on page 219. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

215 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the HIV/AIDS Support Programme funded by the Netherlands Red Cross Society (continued)

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management December 2008 as specified above and does not and the Netherlands Red Cross. The contents extend to any other financial statements of the of this report should not be published or beneficiaries. distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

216 Income and expenditure account

2008 2007 Shs Shs Income

Grants and donations 178,128,055 11,958,527 Foreign exchange gain 1,778,867 72,520 Other Income - (1,026 )

179,906,922 12,030,021

Expenditure Programme Support Costs 15,648,461 24,098 Project Supplies 31,114,976 131,825 Personnel Costs 7,467,424 2,754,573 Travel and Communication Costs 4,609,718 1,601,809 Motor Vehicle Expenses 48,382,004 493,378 Capital Expenditure 18,708,403 812,126 General Office Expenses 422,850 486,690 Workshops & Training 4,846,790 813,712 Campaign & Awareness 5,933,808 1,384,438 Printing & Stationery 2,485,254 184,879 Bank Charges & Commissions 114,010 30,771 Consultancy & Professional Fees 2,547,776 679,250 Branch Institutional Support 1,815,000 -

Total expenditure 144,096,474 9,397,549

Surplus of income over expenditure 35,810,448 2,632,472 2008

Statement of accumulated funds

At start of year 5,896,074 3,263,602

Surplus for the year 35,810,448 2,632,472

At end of year 41,706,522 5,896,074

ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

217 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 42,882,114 3,161,663 Amounts due from branches 3 2,413,026 2,710,207 Amount due from Projects 4 21,590 60,000 Staff Advance & Imprest 3,250 36,641 Other receivables 72,144 39,859

45,392,124 6,008,370

Current liabilities Creditors and accruals 3,348,722 7,676 Amount due to projects 4 336,404 98,925 Amount due to staff 476 5,695

3,685,602 112,296

Net current assets 41,706,522 5,896,074

Financed by:

Accumulated funds 41,706,522 5,896,074

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

218 Notes

Cash & cash equivalents 1. Program activities Cash and cash equivalents represent cash The accounts present the transactions in hand and at bank as at the balance sheet through the bank account designated date. “Kenya Red Cross Society – Netherlands Red Cross Account”. Receivables Receivables are carried at book value. The Netherlands Red Cross funded Provisions for doubtful balances have been programme is concerned with HIV/AIDS made if balances are deemed irrecoverable Support in communities in Lamu and or branches take more than six months to Nairobi. account for disbursements. 2. Significant accounting policies Translation of foreign currencies The accounts are prepared in accordance Transactions in foreign currencies during the with the historical cost convention and on year are converted into Kenya Shillings at a modified cash basis. The following is a rates ruling on the transaction dates. There summary of the more important accounting were no assets and liabilities at the balance policies used:- sheet date which were held in foreign currencies. Income Grant income is recognised when received Amounts due to/from branches while income from services rendered is These are the amounts advanced to recognised when earned. branches / received from branches but yet to be accounted for. They are carried at book Donations in kind value with provisions made for amounts Donations received in kind are not over six months. recognised in these accounts.

Expenses Expenditure is recognised when incurred. 2008 Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s Administration and Coordination (Main) Account. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

219 3. Amounts due from/ branches These due from branches are amounts advanced to branches in various parts of the country that have not been accounted for in form of expenditure or a confirmation.

2008 2007 Shs Shs

Nairobi branch 1,274,557 812,181 Lamu Branch 536,906 461,458 Mpeketoni Branch 471,701 314,724 Meru branch 97,802 1,121,844 Nakuru Branch 32,060 -

2,413,026 2,710,207

4. Amounts due from/to other projects The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects while the amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

2008 2007 Amounts due from other projects Shs Shs

GRC Tsunami Rehab – Health 21,590 - - Norwegian Red Cross 60,000

21,590 60,000

Amounts due to other projects

Relief A/c 193,950 - Projects Account 78,500 - Administration Account 62,845 20,425 - Swedish Red Cross – Organisational Development 78,500 1,109 Netherlands Red Cross

336,404 98,925 KENYA RED CROSS SOCIETY CROSS RED KENYA

220 5. Currency The accounts are presented in Kenya Shillings.

Detailed income and expenditure account

HIV Post election Total Support operations Shs Shs Shs Income

Grants and donations 21,544,655 156,583,400 178,128,055 Foreign exchange gain - 1,778,867 1,778,867

21,544,655 158,362,267 179,906,922

Expenditure Programme Support Costs 707,421 14,941,040 15,648,461 Project Supplies 1,481,619 29,633,357 31,114,976 Personnel Costs 4,240,097 3,227,327 7,467,424 Travel and Communication Costs 2,723,987 1,885,731 4,609,718 Motor Vehicle Expenses 506,620 47,875,384 48,382,004 Capital Expenditure 4,183,820 14,524,583 18,708,403 General Office Expenses 396,687 26,163 422,850 Workshops & Training 4,624,937 221,853 4,846,790 Campaign & Awareness 4,808,413 1,125,395 5,933,808 Printing & Stationery 402,388 2,082,866 2,485,254 Bank Charges & Commissions 68,328 45,682 114,010 Consultancy & Professional Fees 472,250 2,075,526 2,547,776 Branch Institutional Support - 1,815,000 1,815,000

Total expenditure 24,616,567 119,479,907 144,096,474 2008

Surplus of income over expenditure (3,071,912 ) 38,882,360 35,810,448 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

221 KENYA RED CROSS SOCIETY

Home Management of Malaria Funded by Canadian Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 223

Income and expenditure account 224

Balance sheet 225

Notes forming part of the financial statements 226 KENYA RED CROSS SOCIETY CROSS RED KENYA

222 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Home Management of Malaria Programme funded by the Canadian Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Home obtain audit evidence about the amounts Management of Malaria Programme (‘the and disclosures in the financial report. The project’) for the period from 1 January 2008 to 31 procedures selected depend on the auditor’s December 2008 as set out on pages 224 to 226. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material project for the period from 1 January 2008 to 31

misstatement. December 2008 presents, in all material respects, 2008 the expenditure incurred and the income received for the project in conformity with the accounting policies set out on page 226.

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management December 2008 as specified above and does not and the Canadian Red Cross. The contents extend to any other financial statements of the of this report should not be published or beneficiaries. distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was ACCOUNTS REPORT AND ANNUAL not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party. 223

Certified Public Accountants 17 April 2009 Nairobi Income and expenditure account

2008 Shs Income Grants and donations 19,776,657

Expenditure Programme Support Costs 780,554 Project Supplies 39,000 Travel and Communication Costs 761,728 Motor Vehicle Expenses 290,316 Capital Expenditure 236,706 Workshops & Training 111,877 Campaign & Awareness 689,388 Printing & Stationery 14,460 Bank Charges & Commissions 1,822 Consultancy & Professional Fees 2,091,143

Total expenditure 5,016,994

Surplus of income over expenditure 14,759,663

Statement of accumulated funds

At start of year -

Surplus for the year 14,759,663

At the end of the year 14,759,663 KENYA RED CROSS SOCIETY CROSS RED KENYA

224 Balance sheet

Notes 2008 Shs Current assets 14,413,1 Cash at bank 4 2 Amounts due from branches 3 407,919 Other Receivables 200,290 Staff advances 8,123

15,029,474

Current liabilities Amounts due to other projects 4 3,020 Creditors and accruals 266,791

269,811

Net current assets 14,759,663

Financed by:

Accumulated funds 14,759,663 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

225 Notes

1. Program activities rates ruling on the transaction dates. There The accounts present the transaction were no assets and liabilities at the balance through the bank accounts designated sheet date which were held in foreign “Kenya Red Cross Society – Canadian Red currencies. Cross Account”. Amounts due to/from branches The Canadian Red Cross funded programme These are the amounts advanced to branches is concerned with Home Management of / received from branches but yet to be Malaria activities in Malindi & Lamu Districts. accounted for. They are carried at book value with provisions made for amounts over six 2. Significant accounting policies months. The accounts are prepared in accordance with the historical cost convention and on 3. Amounts due from branches a modified cash basis. The following is a These due from branches are amounts summary of the more important accounting advanced to branches of the Kenya Red policies used:- Cross Society in various parts of the country that have not been accounted for. Income Grant income is recognised when received Branch 2008 while income from services rendered is Shs recognised when earned.

Donations in kind KRCS Coast Region 407,919 Donations received in kind are not recognised in these accounts.

4. Amounts due to other projects Expenses The amounts due to other projects relates to amounts paid by the other Kenya Red Cross Expenditure is recognised when incurred. Society projects on behalf of this project. Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received 2008 are recognised as income in the Society’s Shs Administration and Coordination (Main) Amounts due to other projects Account. Administration Account 3,020 Cash & cash equivalents Cash and cash equivalents represent cash in hand and at bank as at the balance sheet 5. Currency date. The accounts are presented in Kenya Shillings. Receivables Receivables are carried at book value.

KENYA RED CROSS SOCIETY CROSS RED KENYA Provisions for doubtful balances have been made if balances are deemed irrecoverable or branches take more than six months to account for disbursements.

Translation of foreign currencies 226 Transactions in foreign currencies during the year are converted into Kenya Shillings at KENYA RED CROSS SOCIETY

Malaria Intervention Project Funded By Global Fund Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 228– 229

Income and expenditure account 230

Balance sheet 231

Notes forming part of the financial statements 232 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

227 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Malaria Intervention Project

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Malaria obtain audit evidence about the amounts and Intervention Project (‘the project’) for the period disclosures in the financial statements. The from 1 January 2008 to 31 December 2008 as set procedures selected depend on the auditor’s out on pages 230 to 233. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on our audit. We conducted our audit in accordance We believe that the audit evidence we have with International Standards on Auditing. Those obtained is sufficient and appropriate to provide standards require that we comply with ethical a basis for our opinion requirements and plan and perform the audit to obtain reasonable assurance whether the Opinion on the Financial Report financial statements are free from material In our opinion, the financial report of the misstatement. projects for the period from 1 January 2008 to 31 December 2008 presents, in all material respects, the expenditure incurred and the income received for the project in conformity with the accounting policies set out on page 232. KENYA RED CROSS SOCIETY CROSS RED KENYA

228 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Malaria Intervention project (continued)

Distribution of this report This report has been prepared solely for the This report relates only to the financial report of information and use of KRCS management and the project for the period 1 January 2008 to 31 the Global Fund. The contents of this report December 2008 as specified above and does not should not be published or distributed in any extend to any other financial statements of the way either in whole or in part without the express beneficiaries. consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

229 Income and expenditure account

2008 2007 Shs Shs Income

Grants and donations - 4,762,225 Other income 106,800 -

Total income 106,800 4,762,225

Expenditure Programme Support Costs - 25,938 Project supplies 48,740 1,240 Personnel costs 1,589,243 1,105,933 Travel and communication costs 292,654 369,928 Motor vehicle expenses 88,610 104,490 Capital expenditure - 427,970 General office expenses 43,725 18,979 Workshops and training 209,430 134,472 Campaign and awareness 230,970 24,900 Printing and stationery 38,133 10,225 Bank charges and commissions 2,634 - Consultancy & Professional fees 3,000 10,960 Provisions for unaccounted for funds 172,385 -

Total expenditure 2,719,524 2,235,035

(Deficit)/surplus of income over expenditure (2,612,724 ) 2,527,190

Statement of accumulated funds

At start of year 2,732,874 205,684

(Deficit)/surplus for the year (2,612,724 ) 2,527,190

At end of year 120,150 2,732,874 KENYA RED CROSS SOCIETY CROSS RED KENYA

230 Balance sheet

Notes 2008 2007

Shs Shs

Current assets

Cash at bank 538,179 2,428,755

Amounts due from branches 3 - 556,720

538,179 2,985,475

Current liabilities

Creditors and accruals - 1,819

Amounts due to branches 3 1,217 106,800

Amounts due to other KRCS projects 4 416,812 143,982

418,029 252,601

Net current assets 120,150 2,732,874

Financed by:

Accumulated surplus 120,150 2,732,874 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

231 Notes

1. Program activities Translation of foreign currencies The accounts present the transactions Transactions in foreign currencies during through the bank accounts designated for the year are converted into Kenya Shillings “Kenya Red Cross Society – Global Fund at rates ruling on the transaction dates. Malaria Intervention Project”. Assets and liabilities at the balance sheet date which were held in foreign currencies The Global Fund funded project is in related to cash. support of malaria intervention and mobilisation activities and is currently Amounts due to/from branches carried out in 4 Districts/Kenya Red Cross These are the amounts advanced to Society branches across the country. branches / received from branches but yet to be accounted for. They are carried The project ended this year. at book value with provisions made for amounts over six months. 2. Significant accounting policies The accounts are prepared in accordance with the historical cost convention and on a modified cash basis. The following is a summary of the more important accounting policies used:-

Income Grant income is recognised when received while income from services rendered is recognised when earned.

Donations in kind Donations received in kind are not recognised in these accounts.

Expenses Expenditure is recognised when incurred.

Fixed assets All assets are expensed in full in the year of acquisition. On disposal, funds received are recognised as income in the Society’s Administration and Coordination (Main) Account.

Cash & cash equivalents Cash and cash equivalents represent cash in hand and at bank as at the balance sheet

KENYA RED CROSS SOCIETY CROSS RED KENYA date.

Receivables Receivables are carried at book value. Provisions for doubtful balances have been made if balances are deemed irrecoverable 232 or branches take more than six months to account for disbursements. Notes (continued)

3. Amounts due to branches These are amounts that are payable to branches of KRCS for expenses incurred by the branches on behalf of the head office.

2008 2007 Shs Shs

Kwale Branch 1,217 - Garsen Branch - 106,800

1,217 106,800

Amounts due from branches: Bureti branch 90,246 Kericho branch - 231,944 Kwale branch - 233,783 Nyanza Region - 747

- 556,720

4. Amounts due to other projects The amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects.

2008 2007 Shs Shs

Amounts due to other projects

Administration Account 416,812 143,982 2008 5. Currency The accounts are presented in Kenya Shillings.

6. Provisions for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 Shs

Rachuonyo branch 106,466

Bureti branch 3,196 ACCOUNTS REPORT AND ANNUAL Kericho branch 54,715 Nandi North branch 8,008

172,385 233 KENYA RED CROSS SOCIETY

Isiolo Integrated Health Outreach Project Funded by Japanese Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 235–236

Income and expenditure account 237

Balance sheet 238

Notes forming part of the financial statements 239

KENYA RED CROSS SOCIETY CROSS RED KENYA

234 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Isiolo Integrated Health & Outreach Project funded by the Japanese Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Isiolo Integrated obtain audit evidence about the amounts and Health & Outreach Project (‘the project’) for the disclosures in the financial statements. The period from 1 January 2008 to 31 December 2008 procedures selected depend on the auditor’s as set out on pages 237 to 239. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material projects for the period from 1 January 2008 to 31 misstatement. December 2008 presents, in all material respects, the expenditure incurred and the income 2008 received for the projects in conformity with the accounting policies set out on page 239. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

235 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Isiolo Integrated Health & Outreach Project funded by the Japanese Red Cross Society (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the Japanese Red Cross Society. The contents extend to any other financial statements of the of this report should not be published or beneficiaries. distributed in any way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

236 Income and expenditure account

2008 Shs Income Grants and donations 22,265,845 Gain in foreign exchange 718,032

Total income 22,983,877

Expenditure Programme Support Costs 1,113,290 Project Supplies 1,173,890 Personnel Costs 2,623,273 Travel and Communication Costs 1,196,427 Motor Vehicle Expenses 743,181 Capital Expenditure 5,985,285 General Office Expenses 88,800 Workshops & Training 4,403,654 Campaign & Awareness 1,310,844 Printing & Stationery 289,061 Bank charges & commissions 221 Consultancy & Professional Fees 827,000

Total expenditure 19,754,926

Surplus of income over expenditure 3,228,951

Statement of accumulated funds 2008

At start of year -

Surplus for the year 3,228,951

At end of year 3,228,951

ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

237 Balance sheet

Notes 2008 Shs Current assets Cash at bank 3,328,412 Amounts due to branches 3 403,156

3,731,568

Current liabilities Amounts due to other projects 4 50,547 Creditors and accruals 452,070

502,617

Net current assets 3,228,951

Financed by:

Accumulated funds 3,228,951

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

238 Notes to the financial report

1. Program activities Translation of foreign currencies The accounts present the transaction Transactions in foreign currencies during the through the bank accounts designated year are converted into Kenya Shillings at “Kenya Red Cross Society – Japanese Red rates ruling on the transaction dates. Assets Cross Account”. and liabilities at the balance sheet date which were held in foreign currencies related to The Japanese Red Cross funded programme cash. is concerned with Integrated Health & Outreach activities in Isiolo. Amounts due to/from branches These are the amounts advanced to/received 2. Summary of accounting policies from branches but yet to be accounted for. The accounts are prepared in accordance with the historical cost convention and on 3. Amounts due from branches a modified cash basis. The following is a These are amounts advanced to branches summary of the accounting policies used:- of KRCS in various parts of the country that have not been accounted for. Income Grant income is recognised when received Branch 2008 while income from services rendered is Shs recognised when earned. Amounts due from branches:

Donations in kind Isiolo branch Donations received in kind are not 403,156 recognised in these accounts.

Expenses 4. Amounts due to other projects Expenditure is recognised when incurred. The amounts due to other projects relates to amounts paid by the other Kenya Red Cross Fixed assets Society projects on behalf of this project. All assets are expensed in full in the year of acquisition. On disposal, funds received 2008 are recognised as income in the Society’s 2008 Administration and Coordination (Main) Shs Account. Administration account 50,547 Cash & cash equivalents Cash and cash equivalents represent cash in hand and at bank as at the balance sheet date. 5. Currency The accounts are presented in Kenya Receivables Shillings. Receivables are carried at book value. Provisions for doubtful balances have been

made if balances are deemed irrecoverable ACCOUNTS REPORT AND ANNUAL or branches take more than six months to account for disbursements.

239 Kenya Red Cross Society

Nakuru HIV/AIDS & Kilifi Watsan Projects Funded by French Red Cross Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 241-242

Income and expenditure account 243

Balance sheet 244

Notes forming part of the financial statements 245

Appendices

I. Analysis of income and expenditure by project KENYA RED CROSS SOCIETY CROSS RED KENYA

240 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Nakuru HIV/AIDS and Kilifi Watsan Projects funded by the French Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Nakuru HIV/AIDS obtain audit evidence about the amounts and Kilifi Watsan Projects (‘the projects’) for the and disclosures in the financial report. The period from 1 January 2008 to 31 December 2008 procedures selected depend on the auditor’s as set out on pages 243 to 246. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material projects for the period from 1 January 2008 to 31 misstatement. December 2008 presents, in all material respects, 2008 the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 245. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

241 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Nakuru HIV/AIDS and Kilifi Watsan Projects funded by the French Red Cross Society (continued)

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the French Red Cross. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi KENYA RED CROSS SOCIETY CROSS RED KENYA

242 Income and expenditure account

2008 2007 Shs Shs Income Grants and donations - 7,301,115

Total income - 7,301,115

Expenditure Programme Support Costs - 1,073,964 Project supplies - 9,959,117 Personnel costs 24,947 870,412 Travel and communication costs 3,100 219,088 Motor vehicle expenses - 936,598 Capital expenditure - 466,438 General office expenses - 80,121 Workshops and training - 254,940 Campaign and awareness - 178,203 Printing and stationery - 27,080 Bank charges - 25,930 Provision for impairment of unaccounted for funds 617,063 -

Total expenditure 645,110 14,091,891

Surplus/(deficit) of income over expenditure (645,110 ) (6,790,776

Statement of accumulated funds 2008

At start of year 853,613 7,644,389

Surplus/(deficit) for the year (645,110 ) (6,790,776

At end of year 208,503 853,613 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

243 Balance sheet

Notes 2008 2007 Shs Shs

Current assets Cash at bank 63,324 71,269 Amounts due from branches - 620,162 Prepayments - 24,947 Amounts due from other KRCS projects 3 145,179 137,235

208,503 853,613

Current liabilities Amounts due to branches - -

Net current assets 208,503 853,613

Financed by:

Accumulated funds 208,503 853,613

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 KENYA RED CROSS SOCIETY CROSS RED KENYA

244 Notes

1. Program activities Amounts due to/from branches The accounts present the transactions These are the amounts advanced to through the bank accounts designated for branches / received from branches but yet “Kenya Red Cross Society – Nakuru HIV/AIDS to be accounted for. They are carried at book and Kilifi Watsan Projects”. value with provisions made for amounts over six months. 2. Significant accounting policies The accounts are prepared in accordance 3. Amounts due from/to other KRCS projects with the historical cost convention and on Amounts due from other projects relates to an accruals basis. The following is a summary amounts paid by this project on behalf of of the more important accounting policies other Kenya Red Cross Society projects. used:-

Income 2008 2007 Grant income is recognised when received Shs Shs while income from services rendered is

recognised when earned. 137,234 Administration account 145,179

Donations in kind Donations received in kind are not 4. Currency recognised in these accounts. The accounts are presented in Kenya Shillings. Expenses

Expenditure is recognised when incurred. 5. Provision for impairment of unaccounted for funds Fixed assets Provisions have been made against the All assets are expensed in full in the year following other receivables. The receivables of acquisition. On disposal, funds received represent long outstanding funds advanced are recognised as income in the Society’s to the branches that have not been Administration and Coordination (Main) accounted for. Account. 2008 2008 2007 Cash & cash equivalents Shs Shs Cash and cash equivalents represent cash in hand and at bank as at the balance sheet CFC Life Assurance Company 24,947 - date.

Receivables Receivables are carried at book value. Provisions for doubtful balances have been made if balances are deemed irrecoverable or branches take more than six months to account for disbursements ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Translation of foreign currencies Transactions in foreign currencies during the year are converted into Kenya Shillings at rates ruling on the transaction dates. There were no assets and liabilities at the balance sheet date which were held in foreign 245 currencies. Analysis of income and expenditure by project Appendix I

Nakuru HIV/ Kilifi Watsan Total AIDS Project project Shs Shs Shs Income Grants and donations – French Red Cross - - -

Total income - - -

Expenditure Programme Support Costs - - - Project supplies - - - Personnel costs 24,947 - 24,947 Travel and communication costs 3,100 - 3,100 Motor vehicle expenses - - - Capital expenditure - - - General office expenses - - - Workshops and training - - - Campaign and awareness - - - Printing and stationery - - - Consultancies and professional fees - - - Bank charges - - - 617,06 617,0 Provision for impairment of unaccounted for funds 3 6 3

Total expenditure 645,110 - 645,110

Surplus of income over expenditure (645,110) - (645,110 KENYA RED CROSS SOCIETY CROSS RED KENYA

246 KENYA RED CROSS SOCIETY

WatSan, Sexual Reproductive Health Programme Funded by Finnish Red Cross Society Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 248 -249

Income and expenditure account 250

Balance sheet 251

Notes forming part of the financial statements 252

Appendix

Analysis of income and expenditure by project 253 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

247 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Kitui Watsan and Sexual Reproductive Health Programmes funded by the Finish Red Cross Society

We have audited the accompanying special An audit involves performing procedures to purpose financial report of the Kitui Watsan and obtain audit evidence about the amounts Sexual Reproductive Health Programmes (‘the and disclosures in the financial report. The projects’) for the period from 1 January 2008 to 31 procedures selected depend on the auditor’s December 2008 as set out on pages 250 to 253. judgment, including the assessment of the risks of material misstatement of the financial Project Management’s responsibilities statements, whether due to fraud or error. In The management of KRCS is responsible for the making those risk assessments, the auditor preparation and fair presentation of this financial considers internal controls relevant to the entity’s report. This responsibility includes: designing, preparation and fair presentation of the financial implementing and maintaining internal controls statements in order to design audit procedures relevant to the preparation and fair presentation that are appropriate in the circumstances, but of the financial report that is free from material not for the purpose of expressing an opinion misstatement, whether due to fraud or error; on the effectiveness of the entity’s internal selecting and applying appropriate accounting control. An audit also includes evaluating the policies; and making accounting estimates, if any appropriateness of accounting policies used and that are reasonable in the circumstances. the reasonableness of accounting estimates, if any, made by management, as well as evaluating Auditor’s responsibility the overall presentation of the financial Our responsibility is to express an opinion on statements. the special purpose financial report based on We believe that the audit evidence we have our audit. We conducted our audit in accordance obtained is sufficient and appropriate to provide with International Standards on Auditing. Those a basis for our opinion standards require that we comply with ethical requirements and plan and perform the audit Opinion on the Financial Report to obtain reasonable assurance whether the In our opinion, the financial report of the financial statements are free from material projects for the period from 1 January 2008 to 31 misstatement. December 2008 presents, in all material respects, the expenditure incurred and the income received for the projects in conformity with the accounting policies set out on page 252. KENYA RED CROSS SOCIETY CROSS RED KENYA

248 Report of the Independent auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Kitui Watsan and Sexual Reproductive Health Programmes funded by the Finnish Red Cross Society (continued)

Distribution of this report This report relates only to the Financial Report of This report has been prepared solely for the the projects for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the Finnish Red Cross. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party.

Certified Public Accountants 17 April 2009 Nairobi 2008 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

249 Income and expenditure account

2008 2007 Shs Shs Income

Grants and donations 28,099,042 17,458,623

Expenditure Programme Support Costs 731,279 300,255 Project supplies 6,596,704 1,005,750 Personnel costs 7,858,890 1,579,759 Travel and communication costs 2,154,054 788,353 Motor vehicle expenses 2,599,830 862,014 Capital expenditure 4,057,084 474,310 General office expenses 294,718 10,980 Workshops and training expenses 4,007,343 896,640 Campaign and awareness 2,532,302 105,291 Printing and stationery 427,294 56,565 Bank Charges 19,870 1,837 Consultancies and professional fees 1,200,500 16,000

Total expenditure 32,479,868 6,097,754

(Deficit)/surplus of income over expenditure (4,380,826) 11,360,869

Statement of accumulated funds

At start of year 11,360,869 -

Surplus for the year (4,380,826) 11,360,869

At end of year 6,980,043 11,360,869 KENYA RED CROSS SOCIETY CROSS RED KENYA

250 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash and bank balances 2,301,911 10,772,271 Amounts due from branches 3 5,789,249 460,161 Amounts due from other projects 4 - 350,433 Staff advances 450 - Other receivables 239,705 45,587

8,331,315 11,628,452

Current liabilities

Amounts due to other projects 4 223,184 4,500 Creditors 1,124,308 263,083 Staff payables 3,780 -

1,351,272 267,583

Net current assets 6,980,043 11,360,869

Financed by:

Accumulated funds 6,980,043 11,360,869

2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

251 Notes

1. Program activities Translation of foreign currencies The accounts present the transaction Transactions in foreign currencies during through the bank accounts designated the year are converted into Kenya Shillings “Kenya Red Cross Society – Finish Red Cross at rates ruling on the transaction dates. Account”. There were no assets and liabilities at the balance sheet date which were held in The Finish Red Cross funded programme foreign currencies. is concerned with Watsan activities in Kitui and Sexual Reproductive Health in Turkana, Amounts due to/from branches West Pokot, Nakuru, and Isiolo. These are the amounts advanced to branches / received from branches but 2. Significant accounting policies yet to be accounted for. They are carried The accounts are prepared in accordance at book value with provisions made for with the historical cost convention and on amounts over six months. a modified cash basis. The following is a summary of the more important accounting 3. Amounts due from branches policies used:- These due from branches are amounts advanced to branches in various parts of the Income country that have not been accounted for. Grant income is recognised when received while income from services rendered is 2008 2007 recognised when earned. Shs Shs

Donations in kind KRCS North Rift Region 1,830,680 - Donations received in kind are not Turkana Branch 1,698,403 - recognised in these accounts. West Pokot Branch 1,108,003 - Nakuru Branch 597,000 - Expenses Isiolo Branch 284,501 - Kitui Branch 270,662 460,161 Expenditure is recognised when incurred.

Fixed assets 5,789,249 460,161

All assets are expensed in full in the year of acquisition. On disposal, funds received 4. Amounts due from/to other projects are recognised as income in the Society’s The amounts due from other projects Administration and Coordination (Main) relates to amounts paid by this project on Account. behalf of other Kenya Red Cross Society projects while the amounts due to other Cash & cash equivalents projects relates to amounts paid by the Cash and cash equivalents represent cash other Kenya Red Cross Society projects on in hand and at bank as at the balance sheet behalf of this project. date.

KENYA RED CROSS SOCIETY CROSS RED KENYA Receivables Receivables are carried at book value. Provisions for doubtful balances have been made if balances are deemed irrecoverable or branches take more than six months to 252 account for disbursements. 2008 2007 Amounts due to other projects Shs Shs

Multidonor account 217,229 - Administration Account 5,955 4,500

223,184 4,500

2008 2007 Shs Shs Amounts due from other projects

International Federation of the Red cross - 204,495 Multidonor account - 145,938

- 350,433

5. Currency The accounts are presented in Kenya Shillings.

Analysis of income and expenditure by project

Sexual Watsan Reproductive Total Health Income Shs Shs Shs

Grants & Donations 11,468,493 16,630,549 28,099,042 2008

Expenditure: Programme Support Costs 731,279 - 731,279 Project supplies 6,576,844 19,860 6,596,704 Personnel costs 2,845,099 5,013,791 7,858,890 Travel and communication costs 880,351 1,273,703 2,154,054 Motor vehicle expenses 1,134,138 1,465,692 2,599,830 Capital expenditure 735,227 3,321,857 4,057,084 General office expenses 84,408 210,310 294,718 Workshops and training 1,095,230 2,912,113 4,007,343 Campaign and awareness 854,985 1,677,317 2,532,302 Printing and stationery 55,980 371,314 427,294 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Bank charges 7,654 12,216 19,870 Consultancies and professional fees 527,500 673,000 1,200,500

Total expenditure 15,528,695 16,951,173 32,479,868 253 (Deficit)/Surplus of income over expenditure (4,060,202 (320,624 (4,380,826 Kenya Red Cross Society

Watsan ECHO, Disaster Preparedness & Response and Garissa Integrated Health Projects Funded By Danish Red Cross Society

Financial Report for the Year Ended 31 December 2008

Table of contents

Report of the independent auditor 255

Income and expenditure account 256

Balance sheet 257

Notes forming part of the financial statements 258

Appendix

Analysis of income and expenditure by project 259 KENYA RED CROSS SOCIETY CROSS RED KENYA

254 Report of the Independent Auditor to the Executive Committee of the Kenya Red Cross Society (KRCS) on the Watsan Echo, Disaster Preparedness & Response and Garissa Integrated Health Projects

We have audited the accompanying special and disclosures in the financial report. The purpose financial report of the Watsan Echo, procedures selected depend on the auditor’s Disaster Preparedness & Response and Garissa judgment, including the assessment of the Integrated Health Projects (‘the projects’) for the risks of material misstatement of the financial period from 1 January 2008 to 31 December 2008 statements, whether due to fraud or error. In as set out on pages 256 to 260. making those risk assessments, the auditor considers internal controls relevant to the entity’s Project Management’s responsibilities preparation and fair presentation of the financial The management of KRCS is responsible for the statements in order to design audit procedures preparation and fair presentation of this financial that are appropriate in the circumstances, but report. This responsibility includes: designing, not for the purpose of expressing an opinion implementing and maintaining internal controls on the effectiveness of the entity’s internal relevant to the preparation and fair presentation control. An audit also includes evaluating the of the financial report that is free from material appropriateness of accounting policies used and misstatement, whether due to fraud or error; the reasonableness of accounting estimates, if selecting and applying appropriate accounting any, made by management, as well as evaluating policies; and making accounting estimates, if any the overall presentation of the financial that are reasonable in the circumstances. statements.

Auditor’s responsibility We believe that the audit evidence we have Our responsibility is to express an opinion on obtained is sufficient and appropriate to provide the special purpose financial report based on a basis for our opinion our audit. We conducted our audit in accordance with International Standards on Auditing. Those Opinion on the Financial Report standards require that we comply with ethical In our opinion, the financial report of the requirements and plan and perform the audit projects for the period from 1 January 2008 to 31 to obtain reasonable assurance whether the December 2008 presents, in all material respects, financial statements are free from material accurately, the expenditure actually incurred 2008 misstatement. and the revenue received for the projects in conformity with the accounting policies set out An audit involves performing procedures to on page 258. obtain audit evidence about the amounts

Distribution of this report This report relates only to the financial report of This report has been prepared solely for the the project for the period 1 January 2008 to 31 information and use of KRCS management and December 2008 as specified above and does not the Danish Red Cross. The contents of this report extend to any other financial statements of the should not be published or distributed in any beneficiaries. way either in whole or in part without the express consent in writing of PricewaterhouseCoopers. ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL Such consent will be granted only on the basis that the report was not prepared with the interest of anyone other than you in mind and that we accept no duty or responsibility to any other party. 255

Certified Public Accountants 17 April 2009 Nairobi Income and expenditure account

2008 2007 Shs Shs Income Grants and donations - Danish Red Cross 81,705,324 77,816,313 Other income 312,960 -

Total income 82,018,284 77,816,313

Expenditure Programme Support Costs 6,256,294 6,433,743 Project supplies 11,442,879 11,151,203 Personnel costs 20,758,282 18,386,281 Travel and communication costs 5,059,652 3,980,908 Motor vehicle expenses 3,860,220 4,402,170 Capital expenditure 7,291,621 15,771,334 General office expenses 3,015,661 219,515 Workshops and training 11,389,125 9,376,885 Campaign and awareness 12,109,206 8,044,714 Printing and stationery 1,822,720 266,829 Bank charges 85,262 69,436 Consultancies and professional fees 224,000 1,628,651 Branch Institutional Support 71,250 - Provision for impairment of unaccounted for funds 201,897 -

Total expenditure 83,588,069 79,731,669

Deficit of income over expenditure (1,569,786 ) (1,915,356

Statement of accumulated funds

At start of year 15,824,506 17,739,862

Deficit for the year (1,569,786) (1,915,356

At end of year 14,254,720 15,824,506 KENYA RED CROSS SOCIETY CROSS RED KENYA

256 Balance sheet

Notes 2008 2007 Shs Shs Current assets Cash at bank 9,366,910 22,087,265 Staff imprest/advances 17,576 1,221,452 Receivables 10,446 322,022 Amounts due from branches 3 8,339,762 2,575,327 Amounts due from other KRCS projects 4 36,189 100,721

17,770,883 26,306,787

Current liabilities Staff imprest 9,684 38,136 Amounts due to branches 3 6,969 86,115 Creditors and accruals 3,494,248 10,045,070 Amounts due to other KRCS projects 4 5,262 312,960

3,516,163 10,482,281

Net current assets 14,254,720 15,824,506

Financed by:

Accumulated funds 14,254,720 15,824,506 2008

Governor, KRCS Treasurer, KRCS

The financial report was approved by the Executive Committee on 27th March 2009 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

257 Notes

1. Program activities Expenses The accounts present the transactions through the bank accounts designated Expenditure is recognised when incurred. for “Kenya Red Cross Society – Disaster Preparedness & Response, Garissa Integrated Fixed assets Health Project and Watsan Echo”. All assets are expensed in full in the year of acquisition. On disposal, funds received The Disaster Preparedness and Response are recognised as income in the Society’s Project is a Danish Red Cross funded Administration and Coordination (Main) programme under the Kenya Red Cross Account. Society Assistance Strategy. Its objective is to develop and operationalise a Cash & cash equivalents comprehensive and effective disaster Cash and cash equivalents represent cash preparedness and response programme. in hand and at bank as at the balance sheet The present development contract forms date. the agreement between the KRCS and the Danish Red Cross that commenced in Receivables October 2002. Receivables are carried at book value. No provisions for doubtful balances are made The Garissa Integrated Health Project deals against receivables. with HIV/AIDS and rehabilitation of health facilities in Garissa and Dadaab, North Amounts due to/from branches Eastern Kenya. These are the amounts advanced to branches / received from branches but yet The Watsan Echo Project commenced in to be accounted for. They are carried at book April 2006. The project is a response to value with provisions made for amounts the drought situation in Kenya. It focuses over six months. on water intervention in drought affected districts. Translation of foreign currencies Transactions in foreign currencies during the 2. Significant accounting policies year are converted into Kenya Shillings at The accounts are prepared in accordance rates ruling on the transaction dates. There with the historical cost convention and on were no assets and liabilities at the balance a modified cash basis. The following is a sheet date which were held in foreign summary of the more important accounting currencies. policies used:- 3. Amounts due from/to branches Income These are amounts advanced to branches Grant income is recognised when received in various parts of the country that have while income from services rendered is not been accounted for in. Amounts due recognised when earned. to branches relate to amounts spent by the branches in excess of the funds provided. Donations in kind

KENYA RED CROSS SOCIETY CROSS RED KENYA Donations received in kind are not recognised in these accounts.

258 2008 2007 Amounts due from branches Shs Shs

Garissa Branch 3,099,771 984,297 Nairobi branch 1,757,501 - Isiolo Branch 1,191,739 544,808 Nyando Branch 1,066,840 - KRCS Nyanza Region 855,000 - Machakos Branch 271,911 - KRCS North Eastern Region 97,000 - Garsen Branch - 153,650 Momabasa Branch - 24,994 Turkana Branch - 19,749 Kisumu Branch - 13,964 Nakuru Branch - 508,928 Kwale Branch - 81,458 Meru Branch - 123,040 Makueni Branch - 120,439

8,339,762 2,575,327

Amounts due to branches 2008 2007 Shs Shs Kitui branch 5,861 5,861 Bungoma branch 740 740 Meru Branch 368 - Machakos Branch - 28,640 Nairobi branch - 50,874

6,969 86,115 2008

4. Amounts due from/to other KRCS projects Amounts due from other projects relates to amounts paid by this project on behalf of other Kenya Red Cross Society projects. Amounts due to other projects relates to amounts paid by the other Kenya Red Cross Society projects on behalf of this project.

2008 2007 Amounts due from other projects Shs Shs

Administration account 37,939 98,376 International Committee of the Red cross - 2,345 ANNUAL REPORT AND ACCOUNTS ACCOUNTS REPORT AND ANNUAL

37,939 100,721

Amounts due to other projects

312,960 United Nations World Food Programme - - UNICEF/WHO Child Health Week 5,262 259

5,262 312,960 5. Currency The accounts are presented in Kenya Shillings.

6. Provision for impairment of unaccounted for funds Provisions have been made against the following amounts receivable from KRCS branches and other receivables. The receivables represent long outstanding funds advanced to the branches that have not been accounted for.

2008 2007 Shs Shs

Kwale Branch 81,458 - Makueni Branch 120,439 -

201,897 -

Analysis of income and expenditure by project

Danish DPR/ Danish GIP Watsan Totals DRR ECHO Shs Shs Shs Shs Income Grants and donations - Danish Red Cross 25,831,300 43,923,770 11,950,254 81,705,324

Total income 25,831,300 43,923,770 11,950,254 81,705,324

Expenditure Programme Support Costs 3,181,630 3,074,664 - 6,256,294 Project supplies 2,511,530 9,313,776 (65,270) 11,760,036 Personnel costs 9,508,868 10,619,014 434,140 20,562,022 Travel & communication costs 1,909,563 2,766,768 383,321 5,059,652 Motor vehicle expenses 626,054 2,023,934 1,210,232 3,860,220 Capital expenditure 2,636,714 4,654,907 - 7,291,621 General office expenses 593,168 2,276,571 144,922 3,014,661 Workshops and training 4,087,724 6,031,601 1,269,800 11,389,125 Campaign and awareness 2,760,028 8,827,328 521,850 12,109,206 Printing and stationery 1,267,351 539,694 15,675 1,822,720 Bank charges 20,314 61,814 3,134 85,262 Consultancies and professional fees 75,000 149,000 - 224,000 Branch Institutional Support - 71,250 - 71,250 Prior Year Expenses (432,857 - - (432,857 Provision for impairment of unaccounted - - 201,897 KENYA RED CROSS SOCIETY CROSS RED KENYA for funds 201,897

Total expenditure 28,745,087 50,410,321 4,119,701 83,275,109 260 (Deficit)/surplus of income over (2,913,787 (6,486,551 7,830,553 (1,569,786 expenditure ) Upcoming Events

The legacy of Solferino: 150 years of humanity, June 2009

Global Communications Forum, Nairobi, 15 -17 October 2009

17th Session of the General Assembly of the International Federation of Red Cross and Red Crescent and 2009 Council of Delegates UN-Nairobi, 17 - 24 November 2009. KENYA RED CROSS SOCIETY BRANCHES

Bungoma Kakamega Laikipia Migori Nandi South Thika Bureti Karen/Langata Lamu Moi’s Bridge Nyamera Trans Nzoia Busia Kariua/Maragua Limuru Mombasa Narok Turkana Butere/Mumias Kericho Lugari Moyale Nyando Uasin Gishu Embu Kiambu Machakos Mpeketoni Nyeri Vihiga Garissa Kilifi Makueni Mount Elgon Ol Kalao Wajir Gucha Kirinyaga Malindi Murangá Parklands West Pokot Homa Bay Kisumu Mandera Mwingi Rachuonyo Ijara Kitui Marakwet Nairobi Samburu Isiolo Koibatek Marsabit Nakuru Siaya Kajiado Kwale Meru Nandi North Tana River

Kenya Red Cross Society P.O.Box 40712, 00100-GPO, Nairobi, Kenya Tel: (254-20) 3950000, 603593 Fax: (254-20) 603589 Mobile: 0722-206958 or 0733-333040 Email: [email protected] Website: www.kenyaredcross.org