30 september 2010

The following issues are scheduled for discussion at the Government Presidium meeting on September 30, 2010 (press release)

*PRESS RELEASE*

The following issues are scheduled for discussion at the Government Presidium meeting on September 30, 2010

1. Report on the progress of Federal Targeted Programmes and the Federal Targeted Investment Programme in the first six months of 2010

Materials on the issue have been submitted by the Ministry of Economic Development jointly with the Ministry of Finance and the Ministry of Education and Science

Results of the implementation of FTP in the first six months of 2010

The total amount of funding for the 53 Federal Targeted Programmes (FTPs) included in the open part of the Federal Budget in 2010 is 741.2 billion roubles.

In the first six months of 2010 activities under FTPs have been funded out of the Federal Budget in the amount of 228.3 billion roubles (30.8% of budget allocations for 2010 over 28.3% in the same period of 2009).

The report period included the implementation of 5759 long-term contracts and 6513 contracts signed at the beginning of 2010 in the amount of 527.7 billion roubles (71.2% of budget allocations for 2010 against 77.13% in the first six months of 2009).

Since the beginning of 2010 contracts have been signed worth a total of 246.1 billion roubles, or 33.23% of budget allocations for 2010.

Under 15 programmes, state contracts signed exceed 80% of the annual budget allocations. Under a further 30 FTPs contracts have been signed amounting to 25-80% of budget allocations for 2010.

The contribution of the budgets of the constituent entities of the Russian Federation and local budgets as well as off-budget sources to the funding of the programmes in the first six months of 2010 was 243.8 billion roubles, or 15.9% of the annual target, of which out of the budgets of the constituent entities of the Russian Federation and local budgets 36.3 billion roubles (16.6%) and out of off-budget funds, 207.6 billion roubles (15.8%).

Results of the implementation of the Federal Targeted Investment Programme (FTIP) in the first six months of 2010

During the report period the funding of construction and other projects and measures under the FTIP from the Federal Budget (less the construction and other projects included in the State Defence Order) amounted to 140.4 billion roubles, or 29% of the total budget investment in the implementation of the FTIP in 2010. The figure for the first six months of 2009 was 26%.

The FTIP is financed in accordance with the List of Construction and Other Projects for Federal State Needs for 2010 approved by Government Executive Order No.2130-r of December 30, 2009 with due account of the amendments introduced by the Ministry of Economic Development in the said list during the report period. During this year 1712 construction and other projects and activities are to be financed.

In 2010, 745 objects, or 43.5% of the total number are to be initiated and project documentation is to be completed on 97 construction and other projects included on the list.

The Ministry of Economic Development notes that the report period saw the launch of 12 projects stipulated under the FTIP programme.

2. State Programme Patriotic Upbringing of the Citizens of the Russian Federation in 2011-2015

Materials for this issue have been submitted by the Ministry of Defence.

The aim of the state programme is further improvement of the system of patriotic upbringing of citizens in order to foster their love of country and readiness to fulfill their civic (military) and occupational duty.

To achieve this goal a series of measures are to be implemented under the above programme and departmental and regional programmes of patriotic upbringing based on the state programme are to be implemented.

Under the draft the total amount of funding of the Programme will be 777.2 million roubles, including 596.75 million roubles out of the Federal Budget and 180.45 million roubles out of the off-budget sources made available by the funds of creative unions, sports and other organizations engaged in patriotic upbringing as well as the voluntary and sponsorship contributions of legal entities and natural persons.

3. Draft State Programme Information Society 2011-2020

The draft State Information Society Programme of the Russian Federation (2011-2020) has been developed on the instructions of Prime Minister Vladimir Putin.

The State Information Society Programme of the Russian Federation (2011-2020) has been drafted by the Ministry of Communications and  Mass Media of the Russian Federation and the Ministry of Economic Drevelopment of the Russian Federation

The Ministry of Communications and Mass Media is responsible for the fulfillment of the state programme.

This draft state programme has been developed pursuant to the Strategy of the Development of the Information Society in the Russian Federation (Executive Order of the President of the Russian Federation No.Pr-212 of  February 7, 2008) and is based on a number of regulatory documents that set the guidelines for the development of the Russian Federation in the medium and long term, including the dissemination of information and communication technology:

The Concept of Long-Term Social-Economic Development of the Russian Federation in the Period to 2020 (Executive Order of the Government of the Russian Federation No.1662 of November 17, 2008);

Guidelines for the Activities of the Government of the Russian Federation in the period to 2012 (Executive Order of the Government of the Russian Federation No.1663 of November 17, 2008);

Federal Targeted Programme Electronic Russia (2002-2010) approved by Government Resolution No.65 of January 28, 2002;

The plan of transition to providing state services and performing state functions electronically by federal executive bodies approved by Executive Order of the Government of the Russian Federation No.1555 of October 17, 2009.

Pursuant to the instructions of the Prime Minister of the Russian Federation, Vladimir Putin, issued on June 11, 2009 the Ministry of Communications and Mass Media of the Russian Federation has developed and submitted to the Government of the Russian Federation the Draft Long-Term Targeted Programme Information Society (2011-2018).

In the process of agreeing to the draft programme and planning the activities and targets, the federal executive bodies concerned introduced proposals on changing the approach to the planning of the activities under the programme in accordance with the functional and departmental breakdown of expenditure and the change to planning of activities classified on the basis of achievement of concrete results for certain groups of consumers. This approach makes it possible to determine long-term strategic priorities in the implementation of the programme, maximize the effectiveness of the implementation of the measures and enhance the results of the Programme. During the discussion process it was decided to set 2020 as the deadline for the implementation of the Programme.

To create an effective mechanism for the management, financing and implementation of the Programme and pursuant to the decisions taken by the meeting chaired by Prime Minister Vladimir Putin on April 6, 2010 it was decided to organize the solution of the tasks for developing the information society in the Russian Federation in the format of a state programme.

In accordance with the target of the formation and development of the information society set under the Strategy of the Development of Information Society in the Russian Federation, the State Programme is seen as the platform for the solution of higher-level objectives, i.e. the modernization of the economy and social relations, ensuring the constitutional rights of citizens and releasing resources for individual betterment. The aim of the state programme is to ensure that citizens and organizations benefit from the use of information and communications technologies as a result of equal access to information resources, the development of digital content, the use of innovative technologies, a dramatic improvement in the effectiveness of state management while ensuring security in the information society.

Six subprogrammes have been formed for the purpose of implementing the state programme:

I. The quality of life and the business environment.

II. The electronic state and effective state management.

III. The Russian market of information and telecommunications technology.

IV. The basic infrastructure of the information society.

V. Security in the information society.

VI. Digital content and cultural heritage.

One single task and subtasks have been identified for each subprogramme. The Programme tasks and subtasks are:

1. Improving the quality of life of citizens and improving the business environment:

- development of services to simplify the procedures of interaction between society and the state through the use of information technology

- convert to electronic delivery of state and municipal services

- develop the infrastructure for access to electronic government services

- creation and development of innovative high-tech services

- greater transparency in the activities of state and judiciary authorities

- establishing an electronic record system for the delivery of medical services and the maintenance of a patient’s digital medical record

- development of innovative information and communication services to improve the quality of services in education and science

- development of innovative high-tech services in the field of digital content and culture.

2. Electronic government and enhancing the effectiveness of government:

- creation of a common legal space for electronic interaction

- creation and development of inter-agency management information systems, the creation of a single system for information objects, reference sources and classifications used in state (municipal) information systems

- promoting the introduction of information and communication technology at the constituent entity and municipal entities level (the formation of Electronic Regions and Electronic Municipalities)

- creation of an infrastructure for spatial data on the Russian Federation

- regulating access to R&D materials

- converting state records into electronic format

- creation and development of specialized information and information technology systems of support for the activities of government bodies, including the protected segment of the internet and electronic document exchange between agencies

3. Development of the Russian market of information and telecommunication technologies and transition to a digital economy:

- stimulating domestic development in the field of ICT

- development of science, technology and the training of qualified personnel in information and telecommunication technologies ensuring Russia’s competitiveness, the development of the economy and financial sphere with the use of ICT resources

- the formation and development of social-economic statistics that are most in demand among various participants in the information society

- the development of a network of hi-tech industrial parks

4. Overcoming the “digital gap,” creating the basic infrastructure for the information society:

- the development of television and radio broadcasting

- the development of the basic infrastructure for the information society

- preparing the public and business for the opportunities offered by the information society

- training in the use of modern information and communication technologies

- promoting the opportunities and advantages of the information society

5. Ensuring security in the information society:

- counteracting the use of the potential of information and telecommunication technologies to threaten the national interests of the Russian Federation

- ensuring technological independence in the ICT field

- development of information security technology to ensure privacy, personal and family secrets and the security of restricted access information

- ensuring the sovereign rights of the Russian Federation in the information society

6. The development of digital content and the preservation of cultural heritage:

- preservation of the culture of the multinational heritage of the peoples of the Russian Federation

- preserving the objects of cultural heritage while simultaneously increasing the penetration of the objects of science, culture and the arts in the daily lives of citizens by digitizing data, developing a means of processing and providing remote access to digital content

- development of a means for processing digital content

The activities under this state programme are financed from the following sources:

the Federal Budget, the Consolidated Budgets of the Constituent Entities of the Federation, off-budget sources.

The amounts of funding of the Programme in 2011-2020 are as follows:

direct spending under the Programme (expenditure commitments under the Programme): 88.03 billion roubles (3.1 billion roubles in 2011, 3.1 billion roubles in 2012, 3.1 billion roubles in 2013 and 78.73 billion roubles in 2014-202o);

the Federal Budget will spend up to 1 billion roubles annually to develop ICT in the constituent entities of the Russian Federation, including as part of implementing regional programmes aimed at more effective budget spending co-financed by the federal budget;

for reference: thematic expenditure in 2011-2020, i.e. expenditure commitments arising from other regulatory legal acts that correspond to the tasks of creating an information society:

federal budget spending (related spending of the main agencies responsible for using federal budget resources) will amount to about 120 billion roubles a year (the data have been tentatively determined on the basis of Government Resolution No. 365 of May 24, 2010);

the budget expenditure of the constituent entities of the Russian Federation is tentatively set at up to 50 billion roubles a year (the data have been tentatively determined on the basis of the government Executive Order No.871-r of July 3, 2007);

the expenditure from off-budget sources will be at least 200 billion roubles a year (tentative data determined on the basis of the analysis of ICT development).

The fulfillment of this state programme will offer a wide spectrum of opportunities for the use of information and communication technology for production, scientific research, education and social purposes. These opportunities will be accessible to all citizens irrespective of age, state of health, region of residence or any other characteristic. The access for use of information and communication technology is ensured by creating a corresponding infrastructure, ensuring digital content and training users.

The effect of the use of information and communication technology in various spheres of activity will have the end result of enhancing the quality of life of citizens irrespective of age, state of health and region of residence, employment opportunities and conditions, raising labour productivity and competitiveness of Russian goods and the standard of the conduct of dialogue between peoples and countries.

4. Draft Federal Law On Introducing Amendments to the Federal Law On the Subsistence Minimum in the Russian Federation and Part 2 of the Civil Code of the Russian Federation

The draft federal law has been submitted by the Ministry of Healthcare and Social Development.

The draft law has been prepared in accordance with the Ruling of the Constitutional Court of the Russian Federation No.11-P of November 27, 2008, which declared unconstitutional the provision of Article 5 of the Federal Law On the Minimum Wage which, in conjunction with Articles 597 and 602 of the Civil Code of the Russian Federation, determines the minimum size of payments under lifelong rent and lifelong support established, depending on the minimum wage, to be calculated proceeding from the minimum wage of 100 roubles. In this connection the draft law would introduce amendments to Article 2 of the Federal Law On the Subsistence Minimum in the Russian Federation to Articles 590, 597 and 602 of the Civil Code of the Russian Federation that establish the calculation of payments under civil law commitments arising from permanent rent, lifelong rent and lifelong support contracts depending on the size of the subsistence minimum.

The adoption of the law would enhance the protection of the rights and interests of citizens for whom regular payments under permanent and lifelong rent and lifelong support contracts are one of the main sources of livelihood.

5. Draft federal laws On Guaranteed Provision of Pensions for Certain Categories of Citizens and On Introducing Amendments to Article 17 of the Federal Law On Mandatory Pension Insurance in the Russian Federation

The draft federal laws have been submitted by the Ministry of Healthcare and Social Development.

In accordance with the Federal Law On Labour Pensions in the Russian Federation the Labour Pension (Insurance Part of the Old Age Labour Pension) is determined on the basis of the calculated pension capital of the insured person, of which one part, for the period since January 1, 2002, is based on the sum of paid-up insurance premiums under mandatory pension insurance programmes. Citizens who have been in military and other services, the equivalent of military service, are not subject to mandatory pension insurance during the period of service, which lowers the level of their pensions when they retire.

The draft law On Guaranteed Pension Provision for Certain Categories of Citizens would establish a mechanism that ensures the right of the citizens who were in military and equivalent services (servicemen) or were engaged in activities (prosecutors, investigators) during which they were not subject to mandatory pension insurance and are not entitled to seniority pensions (disability pensions) financed from the federal budget, to a labour pernsion with the said periods taken into account.

The size of the labour pension (the insurance part of the labour pension) for these categories of citizens will be determined on the basis of the sum of imputed pension capital including, among other things, the federal budget allocations to the Pension Fund of the Russian Federation equal to the cost of an insured year (determined as minimum wage multiplied by insurance premium for mandatory pension insurance and multiplied by 12 months) multiplied by the duration of the periods of service or activities during which they were not subject to mandatory pension insurance.

The relevant amendments are to be introduced in Article 17 of the Federal Law On Mandatory Pension Insurance in the Russian Federation. Financial support for the implementation of the draft laws would require additional federal budget allocations in the amount of 9.7 billion roubles annually. The obligations will arise at the time the pension entitlement is established, so that additional disbursements from the federal budget in the above amount will not be required in the coming years.

6. Draft federal law On Mandatory Civil Liability Insurance of the Carrier for Causing Harm to Passengers

The draft federal law has been submitted by the Transport Ministry. The main aim of the draft law is to protect the interests of passengers by ensuring guaranteed compensation for damages caused during transportation regardless of the type of transport or the character of transportation as well as the increase of financial stability of carriers at the onset of insured occurrences.

The draft law makes it mandatory for carriers to be insured for civil liability with respect to passengers while simultaneously forbidding carriers to engage in commercial activity without insurance protection and to be liable for violating this obligation.

The compliance of the carrier with the obligations under the draft law will be monitored by a federal executive body that performs the functions of control and supervision in transport.

To guarantee compensation for damages to persons entitled to insurance compensation, a professional association of insurers is to be created which in turn will form a compensation fund from the deductions made by the insurers.

The requirements to the size of the compensation fund and the procedure of its formation and use are established by the federal executive body which performs the functions of developing state policy and regulatory legal activity in the sphere of insurance.

The draft law determines the minimum insurance rates established for risks of death or injury on the basis of the existing compensation standard that is used for air passengers (Article 133 of the Air Code of the Russian Federation).

Thus the insurance sum for causing a passenger’s death is not less than 2,025,000 roubles per victim; for injury, at least 2 million roubles; for property damage , at least 23,000 roubles.

In the event of injury the amount of damages to be paid by the insurer will be equal to the sum calculated under the procedure determined by the Government of the Russian Federation in accordance with the standards it establishes depending on the character and extent of the injury.

Under the draft law, the insurer, in order to qualify eligible insurance payment compensation under mandatory insurance of the liability of the carrier for causing harm to passengers may only require from the beneficiary the submission of the documents that are included in the corresponding list approved by the Government of the Russian Federation. The procedure of the execution of such documents will also be determined by the Government of the Russian Federation.

The timeframe for the payment of insurance compensation is a strict 30 calendar days from the time the insurer receives all the required documents.

The draft law establishes a complete list of incidents where the insurer is relieved of the liability of paying insurance compensation.

These include the following cases:

* when the insurer has already fulfilled all the obligations under an insured occurrence;

* when the insured occurrence is the result of a nuclear explosion, radiation or radioactive contamination, military actions as well as maneuvers or other military activity, civil war, popular unrest of any kind or strikes;

* the size of damage subject to compensation for the loss of property is less or equal to the franchise established under the mandatory insurance contract.

Under the draft law the insurance premium under a mandatory insurance contract will be agreed upon by the parties to the mandatory insurance contract and will depend on the level of safety provided by the carrier, the technical condition of the fleet of transport means of the carrier and other factors that influence the degree of risk.

The Government of the Russian Federation is vested with the right to establish the procedure of determining the number of passengers for the purpose of calculating the insurance premium depending on the type of transport as well as determining the upper and lower limits of insurance tariffs.

According to the calculations of the Transport Ministry of Russia, the projected size of the insurance premium under mandatory insurance of the civil liability of the carrier per passenger will range from 0.01 to 0.16 roubles on trams to 7.30-35.59 roubles on marine transport.

According to the Ministry, the introduction of mandatory insurance for the civil liability of carriers with regard to passengers will increase the volume of compensation for causing the loss of life or injury or property damage of the passenger by an average 6 billion roubles and by a maximum of 11 billion roubles every year. The size of the insurance payment, even if a minimum insurance sum is paid, will be sufficient to maintain the living standard of the passenger’s family for 4-10 years in the event of death or availability of quality medical and rehabilitation services in the event of partial damage of health.

7. Draft federal law On Introducing an Amendment to Article 117 of the Penal Enforcement Code of the Russian Federation

The draft law has been submitted by the Justice Ministry.

At present, in accordance with part 4 of Article 117 of the Penal Enforcement Code, convicts can be transferred to cells, common cells and solitary cells and put in disciplinary confinement with a statement of the duration of the stay therein.

Meanwhile the criminal punishment enforcement legislation of the Russian Federation does not contain a provision on mandatory medical exam of the convict prior to the administration of such disciplinary measures.

The draft law is aimed at creating the legal framework for a medical examination of a convict prior to the administration of disciplinary measures, which requires the introduction of amendments to the language of Part 4 of Article 117 of the Penal Enforcement Code whereby the transfer of convicts to cells, common cells and solitary cells as well as to penal and disciplinary isolated cells must be accompanied by a statement of the duration of the stay therein after a medical examination and the issue of a medical certificate that attests that their state of health allows for being in such cells.

8. Draft federal law On Introducing an Amendment to Article 8 of the Federal Law On the Procurement and Supply of Agricultural Produce, Raw Materials and Food for State Use, annulment of the Resolution of the Supreme Soviet of the Russian Federation On Measures To Improve Payments for Communication Services and Some Provisions of the Legislative Acts of the Russian Federation

The materials for the draft federal law have been submitted by the Ministry of Finance.

The aim of the draft law is to eliminate the contradictions between the established system of civil legislation as regards direct debit from the clients’ account (acceptance-free write-off) without his consent in cases stipulated under federal laws passed after the introduction of Part 2 of the Civil Code of the Russian Federation.

The provisions that set the main requirements to direct debit from the bank account without the client’s order are set forth in Articles 854-856 of the Code.

The bank may transfer money from the client’s account without his consent. Such direct debit is made on the basis of a payment order fulfilled without the payer’s consent and a direct transfer is carried out on the basis of an in-cash order. Under Article 854 of the Code, transferring money from the client’s account without his consent is allowed by a court ruling and in cases established under the law or stipulated under the contract between the bank and the client.

Under Article 4 of the Federal Law On Introducing Part 2 of the Civil Code of the Russian Federation , the laws and other legal acts of the Russian Federation as well as the legislative acts of the USSR valid on the territory of the Russian Federation within the limits and under the procedure stipulated by the laws of the Russian Federation are applicable inasmuch as they do not run counter to part 2 of the Code.

Some legislative acts that grant the direct debit right  (acceptance-free write-off) were relevant at the time they were adopted and had the sole aim of stabilizing the financial situation in some sectors of the economy during the period of debt defaults. That crisis is now past. However some legislative acts to which amendments are proposed, continue to be applied.

Considering the development of market relations among the market participants which are mainly based on civil law contracts, the mode of payment for services rendered can and must be determined in such contracts.

The draft law would strike out the provision on acceptance-free write-off of money from bank accounts contained in certain legislative acts of the Russian Federation.

9. Introducing amendments to the Statute on the Ministry of Economic Development of the Russian Federation

The Ministry of Economic Development has submitted to the Government of the Russian Federation a draft resolution that would introduce amendments to the Statute on the Ministry of Economic Development concerning the vesting of the Ministry with powers to work out state policy and legal regulations in the sphere of creation and development of the infrastructure of spatial data of the Russian Federation, management of special economic zones, the adoption of regulatory legal acts in the sphere of bankruptcy of financial organizations and in the sphere of taxes and levies.

For the purpose of implementing the Concept of the Creation and Development of the Infrastructure of Spatial Data of the Russian Federation approved by Government Executive Order No. 1157-r of August 21, 2006 the Ministry of Economic Development is to be vested with the authority to work out state policy and legal regulations in the sphere of the creation and development of the infrastructure of spatial data of the Russian Federation which would contribute to creating conditions that ensure free access to spatial data and effective use thereof by state agencies and authorities, local government bodies, organizations and citizens. In accordance with Federal Law No.166-FZ of July 22, 2005 On Special Economic Zones in the Russian Federation the Ministry of Economic Development will also be vested with the powers to adopt the following regulatory legal acts:

- provisions on the supervisory board of the special economic zone and provisions on expert boards for industrial production, technical innovation, tourist and recreation and port special economic zones

- procedure for transferring the powers to manage special economic zones to a 100% government-owned joint stock company

- approximate form of the agreement on interaction in the sphere of the development of a special economic zone infrastructure

Pursuant to the provisions of Federal Law No.65-FZ of April 22, 2010 On Introducing Amendments to the Law of the Russian Federation on the Organization of Insurance in the Russian Federation and certain legislative acts of the Russian Federation, the draft Resolution will vest the Ministry of Economic Development with the authority to adopt regulatory legal acts on the bankruptcy of financial organizations which are to be adopted by the regulatory body under the law, i.e.:

- procedure of the choice and approval by the supervisory body of the composition of the temporary  management of the financial organization, the procedure and grounds for changing the composition of the temporary  management of a financial organization

- the list and limits of expenditure to be incurred by the temporary  management of the financial organization, the procedure of determining the size and procedure of payment of remuneration to the head and members of the temporary  management of a financial organization

- the procedure of the choice by the supervisory body of the candidacy of the arbitration manager in the case of bankruptcy of a financial organization or self-regulating organization from amongst whose members the arbitration manager is to be selected

- the programme for the training of arbitration managers in matters of bankruptcy of insurance organizations and private pension funds (by agreement with the federal executive body which issues licenses in the corresponding sphere of activity)

- a programme for the training of arbitration managers in cases of the bankruptcy of a professional participant in the securities market or an investment fund management company , a mutual investment fund and private pension funds (by agreement with the federal executive body which issues licenses in corresponding spheres of activities).

The draft resolution also formulates more precisely the authority of the Ministry of Economic Development to approve the procedure of keeping the consolidated state register of arbitration managers and the form of extracts from said register. In addition, the draft resolution would vest the Ministry of Economic Development with the authority to develop the methodology for analysis of the financial status of the person concerned to establish the threat of insolvency (bankruptcy) in the event such person pays a lump sum in tax, from the result of which analysis, the person concerned will have grounds for a deferment of tax or the payment thereof in installments.

10. Introducing an amendment on the Statute of the Federal Road Agency

The draft resolution has been developed and submitted by the Transport Ministry of Russia to enable the Federal Road Agency to exercise the powers under the Land Code of the Russian Federation and the Federal Law On Automobile Roads and Road Activities in the Russian Federation and On Introducing Amendments to Certain Legislative Acts of the Russian Federation.

Section 2 of Article 24 of the Federal Law and the Statute on the Federal Road Agency approved by Government Resolution No.374 of July 23, 2004 determine that land in federal ownership or for which state ownership is not delimited can be condemned for the building of federal highways by the Federal Road Agency. At the same time, under Article 29 of the Code, the granting of land from the body of land in government ownership can be done by decision of the executive bodies which have the right to condemn corresponding plots of land within their scope of authority.

In turn, under Part 6 of Article 39 of the Code the executive body stipulated under Article 29 of the Code decides on preliminary agreement on the siting of the project, approves the statement on the choice of the land in accordance with one of the variants of the choice of the plot of land or refuses to allow the location of the said project.

Thus the law establishes that the body that takes the decision to condemn land takes the decision on the preliminary agreement on the siting of the project.

At the same time under section 5.4.12 of the Statute on the Federal Road Agency, it is empowered to condemn land in federal ownership or land for which state ownership is not delimited for the building of federal highways.

To eliminate the existing legal gaps, the Federal Road Agency would be empowered to pass decisions on the preliminary agreement on the siting of the federal public highway.

Under Articles 11.3 and 29 of the Code plots of land are formed from state-owned plots of land by decision of the executive body which has the right to condemn the corresponding plots of land within its scope of authority.

In this connection, to eliminate the legal gaps that exist, the Federal Road Agency is to be vested with the authority to make decisions on the formation of plots of land from plots of land that are federal property or for which state property has not been delimited for the purpose of establishing the boundaries of the right of way of federal highways.

Under Part 4 of Article 36 of the Urban Development Code of the Russian Federation, the urban development regulations do not cover plots of land occupied by linear projects. Under part 7 of Article 36 of the Urban Development Code of the Russian Federation the use of plots of land not covered by urban development regulations or for which urban development regulations are not established is determined by the authorized federal executive bodies, the authorized executive bodies of the constituent entities of the Russian Federation or authorized local government bodies. At the same time no authorized federal executive body has been determined with regard to such plots of land.

The draft would assign the corresponding authority to the Federal Road Agency, the federal executive body which performs the functions of rendering state services and managing state property in the sphere of automobile transport and roads, including the record of automobile roads as well as the functions of rendering state services in ensuring transport security in this sphere in accordance with section 1 of the Statute on the Federal Road Agency approved by Government Resolution No.374 of July 23, 2004.

11. Submitting the Agreement on the Collective Rapid Reaction Force of the Collective Security Treaty Organization to the President of the Russian Federation for the purpose of submitting the same for ratification

The draft resolution has been submitted by the Ministry of Foreign Affairs.

The aim of the draft resolution of the Government of the Russian Federation is to propose the approval of the said Agreement and submit it to the President of the Russian Federation for the purpose of introducing it for ratification by the State Duma.

The Agreement is aimed at enhancing the potential of the forces and assets of the collective security system by creating within the Collective Security Treaty Organization (CSTO) a mechanism for rapid reaction to existing and potential security threats as well as by pooling the efforts of the CSTO member states in counteracting such challenges and threats.

The implementation of the Agreement will make it possible to create, on a coalition basis, forces that will become part of the system of permanently deployable CSTO collective security system and will be intended for rapid reaction to the challenges and threats to the security of the Organization’s member states.

12. Submitting to the President of the Russian Federation for the purpose of ratification the Agreement between the Government of the Russian Federation and the Government of the French Republic on the Transit of Materiel and Personnel through the Territory of the Russian Federation in Connection with the Participation of the Armed Forces of the French Republic in the Efforts to Stabilize and Restore the Interim Islamic State of Afghanistan

The draft resolution has been submitted by the Ministry of Foreign Affairs.

The aim of the draft government resolution is to propose to approve the said Agreement and to submit it to the President of the Russian Federation for the purpose of introducing it for ratification by the State Duma. The provisions of said Agreement lay down an international legal framework whereby the Russian Federation, in accordance with UN Security Council resolutions, will allow transit through its air space of weapons, military equipment and supplies as well as servicemen and civilian personnel of the Armed Forces of the French Republic being sent for use and participation in operations carried out by the international security assistance force in Afghanistan.

13. Distribution of subsidies to the budgets of the constituent entities of the Russian Federation for 2010 to support measures to balance the budgets of the constituent entities of the Russian Federation

The materials on the issue have been submitted by the Ministry of Finance.

The draft executive order will approve the distribution of subsidies to balance the budgets of the constituent entities of the Russian Federation in the total amount of  5 billion roubles among 37 constituent entities of the Russian Federation to finance the measures aimed at eliminating the consequences of the 2010 drought.

The subsidies have been calculated in proportion to the Agriculture Ministry’s assessment of the damage from the destruction of crops on an area of 12,918,500 hectares in 22,449 farms in 37 regions amounting to 39 billion roubles.

To implement the measures to bring relief to the agricultural producers most affected by the drought, 25 constituent entities of the Russian Federation are also receiving additional financial support to cover parts of regional budget deficits in the form of federal budget loans for a term of up to three years. As of September 10, 2010 budget loans in the amount of 14.8 billion roubles from the 15 billion roubles allocated for these purposes have been transferred to the budgets of the constituent entities of the Russian Federation.

Additional support for agricultural producers and independent farms which suffered losses as a result of the 2010 drought is provided by the government decision to extend for up to 3 years the loan contracts in order to subsidize part of the cost of interest thereon (Resolution No.641 of the Government of the Russian Federation of August 20, 2010).

Moscow

September 29, 2010

* Press releases by the Department of Press Service and Information contain the materials submitted by the executive federal bodies for discussion by the Presidium of the Government of the Russian Federation