Abstract: Relations between levels of government continue to pose threat to the goals of decentralization the world over. This study sought to determine the role of Alternative Dispute Resolution on intergovernmental relations between national government and Nairobi City County in Kenya. A structured and semi-structured questionnaire was administered to 83 stratified randomly sampled respondents. The descriptive and inferential findings presented in tables and charts demonstrated ADR process not being cost-effective, inflexible and dissatisfactory verdict. To that end, the study recommended the study recommends ADR process streamlining to be cost-effective, flexible and satisfactory resolution.