The following issues are scheduled for discussion at the Government Presidium meeting on July 21, 2008:

1. Preparatory measures of the housing and utilities sector for the autumn and winter of 2008-2009

On May 1, 2008 all Russian regions launched preparatory measures for the autumn and winter of 2008-2009 in accordance with approved plans. The issue regarding preparations made by the regional utility services is under permanent review by the Ministry of Regional Development.

In pursuance of a directive of the Russian Government, the Ministry of Energy approved a plan of priority measures to ensure the coordination of efforts and monitoring of electric power and heating supply companies' preparation for the autumn and winter period of 2008-2009. In accordance with the plan, forecast rates of electricity consumption in the autumn and winter of 2008-2009 were determined; these rates were calculated against the power consumption peak - the fourth quarter of 2008 and the first quarter of 2009. In addition, the Ministry of Energy and the Energy Forecasting Agency (EFA) drafted forecast balances of electricity generation volumes and heating supply shares for power companies and the Unified Energy System (UES) of Russia; they were distributed to power companies so that they would work out power and fuel balances for the fourth quarter of 2008 and the first quarter of 2009.

The analysis of submitted reports on the preparatory measures of the Russian housing and utilities sector for the autumn and winter of 2008-2009 as of July 1, 2008 revealed the following:

Preparation of housing: The total volume of housing is 2.46 billion square metres. Of this amount 1.89 billion square metres of housing (or 76.8% of the total volume) should be duly prepared for the autumn-winter period. Works have been fully completed for 0.51 billion square metres of housing, or 26.8% of the planned volume, which is 2.4% higher than the volume of housing prepared within the same period last year.

Preparation of boiler houses: There are 79,861 boiler houses in Russia; the requirement is to prepare 76,773 boiler houses, which makes 96.1% of their total number. Works have been fully completed for 19,089 boiler houses, or 24.9% of the planned volume, which is 5.3% higher than last year.

Preparation of heating networks: The total length of heating networks amounts to 162,500 km. Of this amount 149,900 km of networks (or 92.2% of the aggregate length) should be prepared for the cold season. 54,400 km of networks, or 36.3% of the planned volume, has been prepared, which is 4.6% higher than the volume of networks prepared within the same period last year.

The aggregate length of dilapidated heating networks and networks that are considered dangerous for use amounts to 43,300 km; the plan indicates a replacement of 8,800 km of networks (20.2%). A total of 2,100 km of networks, or 24.2% of the planned volume, has been replaced. The Republic of Bashkiria, the Orenburg, Novgorod, Tomsk and Ulyanovsk Regions were considered the best performers in this regard.

Preparation of water supply networks: The total length of water supply networks amounts to 481,600 km. Of this amount 424,200 km of networks (or 88.1% of the aggregate length) should be duly prepared for the heating season. A total of 168,400 km of networks, or 39.7% of the planned volume, has been prepared, which is 1% higher than the volume of networks prepared within the same period last year.

The aggregate length of dilapidated water supply networks and networks that are considered dangerous for use amounts to 175,900 km; the requirement is to replace 25,100 km of networks, or 14.3%. A total of 5,600 km of networks, or 22.4% of the planned volume, has been replaced. The Republic of Tatarstan, the Stavropol Territory, the Orenburg, Tyumen and Ulyanovsk Regions are the leaders in this regard.

Fuel reserves.

The requirement is to prepare:

Coal - 7.1 million metric tonnes; of this amount 2.1 million metric tonnes has been supplied to warehouses (29.6%). The Komi Republic, the Perm Territory, the Omsk, Pskov and Chelyabinsk Regions have shown good results in coal supplies.

Liquid fuel - 1.8 million metric tonnes; of this amount 0.95 million metric tonnes (53%) has been supplied. The Amur, Belgorod, Murmansk, Ryazan and Saratov Regions have shown good results in liquid fuel supplies.

Under the plan, regional budgets are to allocate 171 billion roubles for the preparatory measures for the autumn and winter; to day 41.1 billion roubles has been allotted (24%). The Republic of Kalmykia, the Kamchatka Territory, the Amur, Vologda and Ivanovo Regions have not received sufficient amounts of funding to prepare for the autumn and winter. The Republic of Kabardino-Balkaria, the Magadan, Novgorod, Saratov and Tomsk Regions have received more accommodating finances.

A total of 2.6 billion roubles was planned to be allocated for the formation of an emergency stock of material and technical resources, with 0.86 billion roubles (33%) allotted so far.

In general the preparatory measures for the autumn and winter in Russia's regions are being carried out in accordance with approved action plans. However, there are deficiencies in a number of regions.

The following is a list of the main causes of accidents and emergency situations:

- excessive deterioration of engineering infrastructure facilities;
- heat power equipment failures caused by accidents at RAO UES facilities;
- failures resulting from operating personnel's errors ("the human factor");
- accidents and failures occurring because of natural disasters;
- the funds planned to be allocated for the creation of emergency stocks of material and technical resources proved insufficient.

On May 1, 2008 local agencies of the Federal Service for Environmental, Technological, and Nuclear Supervision began exercising control over security and safety at electric power and heating supply companies during their preparation for the autumn and winter of 2008-2009.

Between May 1 and July 1, local agencies of the Federal Service for Environmental, Technological, and Nuclear Supervision inspected 140 electric power plants, 5,109 heating boiler houses, 1,187 heating and production boiler houses and 196 grid companies. These agencies supervised the technical diagnosing of 600 boilers, 446 pressure vessels, and 69.6 km of steam and hot water pipelines that are beyond their warranty period. For the accounting period, 105 boilers, 19 pressure vessels, and 69.6 km of steam and hot water pipelines have been replaced with new equipment.

For the accounting period, 38,371 violations of safety norms and rules during the exploitation of power equipment were revealed; 1,136 individuals and 178 legal entities were brought to justice following the agencies' inspections.

Because of grave violations of industrial safety rules, as well as untimely technical diagnosing and survey, the exploitation of 72 boilers and 59 pressure vessels was suspended.

In 2005, the Ministry of Industry and Energy drafted and adopted regulations on the estimation of readiness of power-generating and supplying entities for work in autumn-winter seasons. The regulations determine the procedure of assessing the readiness of electric power and heat-generating entities for work in the autumn and winter period and issuing relevant certificates for them. Such companies include organisations of any institutional and legal structure and forms of ownership that produce electricity and heat (except nuclear power stations) and transmit electricity.

According to a decision made by the Russian Government, regional authorities were required to set up ad hoc committees to ensure uninterrupted energy supplies by April 16, 2008.

As of July 1, 2008, these committees were set up in 59 Russian regions, with committees in the process of formation in other regions.

In addition, power supply companies currently bear no responsibility for the failure to submit to the Ministry of Energy for consideration and subsequent approval the materials on the calculation and justification of fuel reserve norms and for the failure to comply with such norms. The latest data suggest that utility and fuel supply services in a number of regions in European Russia that use imported coal, have difficulty accumulating necessary coal reserves for the forthcoming heating period. Unless the situation is improved, utility services may face a shortage of solid fuel for community needs in the heating period.

2. The draft federal law On Introducing Amendments to Article 264 of the Criminal Code of the Russian Federation

This draft law is intended to increase drivers' criminal responsibility for violating traffic regulations and for driving a vehicle in the state of inebriation and/or drug intoxication.

The Russian law envisions administrative responsibility in the form of fining or depriving of the right to drive vehicles for road accidents whose victims received minor or medium injuries.

The Article Violation of Traffic Regulations and Driving Rules of the Penal Code of the Russian Federation deals with criminal responsibility for a motor vehicle accident resulting in grave consequences (serious or fatal injuries). The sanctions mentioned in this Article are equal for drivers both not under and under the influence of alcohol.

According to statistics, within six months of 2007, almost 100,000 motor vehicle accidents took place in this country, with over 12,900 people killed and over 123,000 people injured. Every 13th motor vehicle accident was committed by drivers in the state of inebriation.

This draft law suggests introducing such a constituent element of crime envisioned by Article 264 of the Penal Code of the Russian Federation as the inebriation of the person who committed a crime, and establishes an unqualified sanction in the form of imprisonment with mandatory deprivation of the right to drive a vehicle for up to three years.

It is proposed to increase the maximum term of imprisonment from five to seven years for offences committed in an inebriated state and causing the death of one person, and from seven to nine years - in case of the death of two or more people.

It is expected that amendments introduced to the legislation of the Russian Federation will accordingly decrease the number of motor vehicle accidents and the weight of their consequences.

3. The draft federal law On Introducing Amendments to Article 74 of the Correctional Code of the Russian Federation

While receiving inpatient or outpatient medical aid, people sentenced to prison terms should remain in medical and therapeutic centres, and medical correctional centres of the correctional system.

Prisoners that undergo medical treatment are regarded as incapacitated or their ability to work is considered to be restricted for medical indications; for this reason, they cannot be involved in work, including household services and ensuring the functioning of medical institutions.

In connection with this draft law, it is proposed to introduce amendments to Article 74 of the Correctional Code of the Russian Federation, envisaging a possibility of creating isolated facilities in medical institutions functioning as penal colonies. The convicts in these penal colonies will be involved in household works and other types of labour to ensure the functioning of medical institutions.

With a view to ensuring the uniform order of creating isolated facilities in penal colonies, medical institutions and juvenile correctional facilities, the draft law envisions making additions and amendments to the Correctional Code and the Code of Criminal Procedure of the Russian Federation, in accordance to which isolated facilities should be created in the order defined by the executive federal body, which performs functions on devising state policy and exercising legal regulation in meting out punishment. This federal body is the Ministry of Justice.

The creation of isolated facilities in medical institutions will be carried out using funds allocated from the federal budget for the maintenance of the penitentiary and correctional system.

4. The draft federal law On Ratification of the Protocol On Introducing Amendments to the Russian-German Agreement of May 29, 1996 On Avoidance of Double Taxation with Respect to Income and Property Taxes, and the Protocol to it of May 29, 1996

In accordance with the Protocol, the Article "Dividends" of the Agreement updates the ceiling amount of investments necessary for the application of the lowered rate of taxation of dividends with regard to the transition of the Federal Republic of Germany to a new currency - the euro. In addition, the term "dividends" will include the incomes from the participation in mutual unit investment funds not only with respect to the Federal Republic of Germany, as the Protocol of May 29, 1996 stipulates, but also with respect to the Russian Federation, which will allow receiving additional sources of tax revenues.

According to modern requirements of international cooperation in taxation, the Protocol changes the version of the Article "Information Exchange" of the Agreement, which will allow the Russian Federation and the Federal Republic of Germany to boost the effectiveness of taxation data exchange and countering tax payment abuses.

The Protocol complies with the provisions of the Russian standard agreement on avoiding double taxation of incomes and property approved by the Russian Government. At the same time, the Protocol contains provisions that differ from the norms of the Russian law, and will be subject to ratification after signed.
The possibility for the tax agencies of the two states to exchange taxation data will lead to revealing additional sources of revenues for the two budgets.

5. The draft federal law On Ratification of the Russian-Latvian Agreement on Cooperation in Social Security

With a view to establishing a legal framework to address social security issues of the citizens of the Russian Federation and the Republic of Latvia, the parties signed the Agreement on Cooperation in Social Security on December 18, 2007.

The Agreement constitutes a balanced document aimed at creating a necessary legal basis for Russian-Latvian cooperation in social security.

The agreement is intended for the implementation of state policy of the Russian Federation to protect the interests of compatriots abroad, and envisions guarantees in social security and mandatory (state) social insurance in giving temporary disability benefits and maternity leaves, pensions, unemployment benefits, funeral grants, benefits for families with children, and benefits in case of a work-related injury or occupational disease.

The agreement extends to the citizens of the Russian Federation and the Republic of Latvia residing on the territory of the Contracting Parties, the permanent residents of the Republic of Latvia that have the status of non-citizens (stateless people) living on the territory of the Contracting Parties, and also members of the families of the aforementioned people who fell or fall under the law of Contracting Parties.

In accordance with the Agreement, social insurance benefits and pensions are given in correspondence with the insurance (employment) period on the territory of the Russian Federation and the Republic of Latvia, except for cases when these periods coincide in time.

According to the Agreement, each Party calculates pension size that corresponds to the insurance (employment) period acquired on its territory in accordance with its respective laws for the periods after January 1, 1991.

With regard to insurance (employment) periods before January 1, 1991 on the territory of either Party, the Party on whose territory the person lives at the moment of applying for pension determines the size of the pension and pays it.

This pension coverage order is in line with the interests of the Russian Federation as it ensures registering employment periods in the Russian Federation (the RSFSR) and receiving pensions for that period in accordance with the law and at the expense of the funds of the Republic of Latvia for citizens of the Russian Federation, as well as non-citizens who were previously employed in the Russian Federation and now reside in the Republic of Latvia.

According to the provisions of the Agreement, any information about people, which the Contracting Parties exchange, is classified and can be used only for the implementation of the Agreement.

According to the Federal Law On International Agreements of the Russian Federation, the Agreement is subject to ratification.

6. Introducing amendments to the Regulations on the Ministry of Agriculture of the Russian Federation and acknowledging invalidation of several Government acts

On January 1, 2008, the fourth part of the Civil Code of the Russian Federation came into effect. It is fully committed to the relations connected with creating and using the results of intellectual activity and intellectual property. In particular, this part regulates relations connected with legal protection of selective breeding achievements, which include new kinds of plants and new breeds of animals. In this respect a special executive federal body for breeding achievements must be established.

According to the draft resolution, the Ministry of Agriculture is defined as the federal body in charge of this area, vested with all necessary functions. Respectively, the Regulations on the Ministry of Agriculture of the Russian Federation are amended.

7. Providing the administration of the Sakhalin Region with housing certificates for the victims of the earthquake of August 2, 2007 in the Nevelsky district of the Sakhalin Region

The earthquake of August 2, 2007 in the Sakhalin Region inflicted considerable material damage on people and federal property.

According to the decision of the Government of the Russian Federation, 1,850 state housing certificates were issued for the administration of the Sakhalin Region.

Supporting documents submitted by the administration of the Sakhalin Region indicate the necessity to issue additional 59 housing certificates to the administration for the people who lost their homes on the territory of the Nevelsky district as a result of the earthquake.

Additional housing certificates will be issued for the people who were previously not included in the lists due to their absence from their homes.

July 18, 2008
Moscow

* 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.