The following issues are scheduled for discussion at the March 4, 2010 meeting of the Government of the Russian Federation:

1. Draft strategy for the development of the automotive industry up to 2020

The draft strategy has been submitted by the Ministry of Industry and Trade.

The draft strategy is a comprehensive document describing the goals, tasks and priorities of the government's policy to develop the national auto industry. It reviews the current state and prospects for the development of the industry; identifies systemic problems hindering development; offers alternative scenarios of how the industry might develop, including an assessment of the corresponding risks; identifies the main stages, measures and expected results of the implementation of the proposed strategy and enumerates the proposed sources of financing. Attached to the draft strategy is a draft plan of activities to be carried out at the first stage of the strategy.

The main tasks of the strategy are:

• satisfying the country's transport needs through the domestic production of automobiles that meet international safety, environmental and fuel efficiency standards;
• ensuring national security through the production of military vehicles and dual-purpose vehicles using Russian parts;
• improving the competitiveness, export potential and quality of auto industry products and overcoming the technological lag of the country's auto industry by adopting innovations and modernising production;
• maximum localisation of the production of parts and vehicles;
• achieving a global price advantage for components;
• improving the system of technical regulation in the auto industry;
• increasing regional production of automobiles and basic auto parts, including the regions of Siberia and the Far East;
• creating an R&D infrastructure to develop new vehicles and auto parts;
• improving the training system for industry workers;
• improving the regulatory foundation in the auto industry, creating an automobile disposal system.

The following measures are proposed to carry out these tasks:
• stimulating demand;
• developing systemic export support measures;
• adopting tariff and non-tariff measures to limit imports;
• coordinating technical regulations within the Customs Union of the Republic of Belarus, the Republic of Kazakhstan and the Russian Federation;
• encouraging increased localisation of automobile production;
• encouraging the production of high-tech auto parts;
• assisting the development and implementation of corporate programmes for restructuring domestic auto manufacturers;
• creating the necessary conditions for deep partnerships between Russian and foreign producers;
• developing a domestic R&D foundation (including a decision on the advisability of creating a national automotive research and certification centre);
• developing new and modifying existing training programmes and programmes to improve skills;
• developing a regulatory legal basis in the automotive industry, creating a system for disposing vehicles.

The above measures will be implemented in three stages:

Stage I (2010) - overcoming the effects of the economic crisis;
Stage II (2011-2014) - post-crisis recovery of the industry, creating the foundation for innovative development;
Stage III (2015-2020) - developing a competitive automotive industry once the market has been stabilised.

An investment of approximately 627.3 billion roubles will be necessary to realise these target scenarios.

This investment will not be distributed equally over the years, with the largest tranches coming in 2011 and 2012 - approximately 139.5 billion roubles and 85.9 billion roubles, respectively.

2. Draft federal law On Introducing Amendments to the Federal Law On the Federal Budget for 2010 and for the Planning Period of 2011 and 2012

3. Draft federal law On Introducing Amendments to the Federal Law On the State Policy of the Russian Federation with Respect to Compatriots Abroad

A draft executive order has been submitted by the Ministry of Foreign Affairs.

The draft federal law provides an updated definition of the term "compatriots abroad," making it impossible to automatically classify as compatriots all people living in the former Soviet Union republics. The new draft narrows the definition of compatriots to include only citizens of the Russian Federation permanently residing abroad as well as people residing outside the Russian Federation who freely acknowledge their spiritual and cultural ties with Russia and are descended, as a rule, from ethnic groups that have historically inhabited Russian territory. The phrase "as a rule" allows for the classification as compatriots Russian-speaking people living in the former Soviet republics as well as foreign countries.

The draft law updates the procedure for recognising persons as compatriots. Recognition of persons who are not citizens of the Russian Federation is to be based on the principle of self-identification and supported by corresponding social or professional activities.

It is proposed that the provision on state documentation of compatriots, which has never been implemented, be dropped from the current law, as an analysis of the work experience of foreign states with their diasporas and calculations of foreign policy, financial and legal consequences have revealed that such a step is impracticable.

It is also proposed that the revised law include a provision whereby compatriots will be allowed to register with social organisations for compatriots and obtain documents (certificates) confirming their membership in these organisations for Russian compatriots.

In accordance with the Concept of the Foreign Policy of the Russian Federation of July 12, 2008, the wording of the principles and goals of state policy with respect to compatriots is being adjusted, and some forms of support for compatriots in the field of culture, language, education and information are being updated and specified.

The State Programme to Help Compatriots Abroad Voluntarily Relocate to Russia, which has been adopted and implemented, has been augmented by an article containing corresponding provisions.

The powers of the government authorities of the constituent entities of the Russian Federation have been augmented by the provisions on the creation of councils (commissions) for the implementation of state policy with respect to compatriots. A new article has been introduced enumerating the rights of local government bodies in this sphere.

The draft law includes provisions on the World Congress of Compatriots, on the World Coordinating Council of Russian Compatriots and on coordinating councils of compatriots in their host states. These coordinating councils were created pursuant to the decisions of the World Congress of Compatriots (St Petersburg, 2006) and the instructions of the president of the Russian Federation. The draft law also includes provisions on providing moral encouragement to compatriots who make a notable contribution to the development of ties with Russia, the preservation of the Russian language and Russian culture abroad (the system for providing moral encouragement to compatriots has been developed pursuant to the abovementioned instructions of the president and has been approved by the government).

Some articles of the federal law have been dropped, as they are no longer relevant or duplicate other articles.

The adoption of the federal law On Introducing Amendments to the Federal Law On the State Policy of the Russian Federation with Respect to Compatriots Abroad will not require additional outlays from the federal budget, the budgets of the constituent entities of the Russian Federation or local budgets.

4. Draft federal law On Introducing Amendments to the Federal Law On Auditing

The draft federal law has been submitted by the Ministry of Finance of the Russian Federation.

The draft law transfers some regulatory functions regarding auditing to autonomous organisations of auditors and fills in gaps in the Federal Law On Auditing that have been revealed by a review of corresponding law enforcement practices.

Under the draft law, each autonomous organisation of auditors shall adopt the independence rules for auditors and audit organisations. The autonomous organisation of auditors shall adopt the abovementioned rules on the basis of the independence rules approved by the Council for Auditing whose decision is prepared by its working group, which expresses the interests of the professional participants in the auditing services market.

An autonomous organisation of auditors has the right to include additional requirements in the independence rules it adopts.

Such a mechanism will enable autonomous organisations of auditors to better perform their function of setting standards for the work of its members. It also ensures a uniform approach towards the independence of auditors and auditing organisations during the course of auditing irrespective of their affiliation with an autonomous organisation of auditors. This is in the best interests of the users of accounting (financial) reports and other users of auditing services.

Under the draft law, the list of questions on an auditor's certification test shall be established by the sole certification commission created in accordance with the federal law jointly with all the autonomous organisations of auditors.

Furthermore, the draft law introduces the following changes:

• the range of organisations whose accounting (financial) reports can only be audited by auditing organisations is more precisely defined;
• the federal standards for auditing are made mandatory for all auditors and audited persons;
• provisions are added to ensure the authority of autonomous organisations of auditors to certify auditors;
• the audit organisations and individual auditors are granted the right to insure liability for violating auditing contracts and (or) liability for causing damage to property of other persons as a result of auditing activities, which conforms to the relevant provisions of the Civil Code;
• the draft law divides state regulatory powers with respect to auditing by transferring the right to conduct external monitoring of the quality of auditing organisations' work from the Ministry of Finance of the Russian Federation to the federal executive body responsible for financial and budgetary oversight, currently the Federal Service for Financial and Budgetary Oversight (Rosfinnadzor).

5. Draft federal law On Introducing Amendments to Article 22 of the Law of the Russian Federation on Psychiatric Care and Guarantees of Patients' Rights, to Article 22 of the Federal Law On Preventing the Spread of the Disease Caused by the Human Immunodeficiency Virus (HIV Infection) in the Russian Federation and to Article 15 of the Federal Law On Preventing the Spread of Tuberculosis in the Russian Federation

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

Federal Law No.122-FZ of August 22, 2004 establishes the procedure for implementing the measures of social support (shorter working hours, additional annual paid leave and additional pay for harmful and/or hazardous occupations) for the staff of healthcare institutions involved in providing psychiatric and tuberculosis treatment, diagnosis and treatment of HIV positive individuals, as well as people whose work involves materials containing HIV. A similar procedure is needed for employees of organisations with these labour conditions that are within the jurisdiction of the Ministry of Defence, the Ministry of the Interior, the Ministry of Justice, the Ministry of Education and Science, the Ministry of Agriculture, the Federal Drug Control Service, the Russian Academy of Medical Sciences, and the Russian President's Administrative Affairs Department.

Under the draft law, the working hours and the additional annual paid leave for such medical workers shall be determined by the Government of the Russian Federation.

The amount of additional pay for such workers of subordinate organisations and departments of federal executive bodies shall be calculated according to the procedure determined by the Government of the Russian Federation and, for institutions of the constituent entities of the Russian Federation, according to the procedure determined by the executive bodies of the constituent entities of the Russian Federation.

Implementation of all the social support measures stipulated in the draft law for veterinary and other workers directly involved in the treatment of tuberculosis, the employees of organisations that produce and store livestock products, treat farm animals for tuberculosis shall follow the procedure determined by the Government of the Russian Federation.

For other categories of workers with these work conditions, the social support measures envisaged under the draft law shall be provided based on an assessment of labour conditions in the work places.

6. Submitting to the president of the Russian Federation for subsequent ratification the Protocol on Approving the Statute on Cooperation among Border and Other Agencies of the Member States of the Commonwealth of Independent States in Rendering Assistance in Emergency Situations on the External Borders

The draft federal law has been submitted by the Ministry of Foreign Affairs and the Federal Security Service of the Russian Federation.

The draft law envisages the ratification of the Protocol on Approving the Statute on Cooperation among Border and Other Agencies of the Member States of the Commonwealth of Independent States in Rendering Assistance in Emergency Situations on the External Borders signed in the city of Dushanbe on October 5, 2007.

The subject matter of the Protocol is the further implementation of the Agreement on Cooperation between Border Troops of the Member States of the Commonwealth of Independent States in Emergency Situations on the External Borders of May 17, 1996. The provision lays down the basic principles of organising this work and the mechanism for cooperation among the border and other agencies of the member states of the Commonwealth of Independent States in rendering assistance in response to emergency situations at the external borders.

The Protocol will help the parties take the necessary actions in the event of emergency situations on the external borders of the member states of the Commonwealth of Independent States.

The Protocol is subject to ratification in accordance with of Clause 1 (a), Article 15 of the Federal Law On International Treaties of the Russian Federation.

How financing and material-technical support for the actions of the border troops in the area of emergency situations is to be provided and in what amount shall be determined by the Council of the Heads of Government of the Commonwealth of Independent States in accordance with Article 4 of the Agreement on the Cooperation among Border Troops of the Member States of the Commonwealth of Independent States in Emergency Situations on the External Borders of May 17, 1996.

Implementation of the Protocol will be financed according to the procedure defined in Article 83 of the Budget Code of the Russian Federation and in accordance with the individual decisions of the President and the Government of the Russian Federation in response to requests from relevant federal executive bodies.

7. Submitting to the president of the Russian Federation a proposal on signing an Agreement between the Russian Federation and the Republic of South Ossetia on a Joint Russian Military Base on the Territory of the Republic of South Ossetia

The draft resolution has been submitted by the Ministry of Defence.

The draft resolution approves the Agreement between the Russian Federation and the Republic of South Ossetia on a Joint Russian Military Base on the Territory of the Republic of South Ossetia. The draft resolution also recommends that the President of the Russian Federation sign the agreement.

The provisions of the aforementioned Agreement define the status of the personnel of the joint Russian military base and their family members, the use and functioning of the joint Russian military base, the terms of using the land and other property as well as the use of the joint Russian military base together with the Armed Forces of the Republic of South Ossetia to protect the sovereignty and security of the Republic of South Ossetia, including by counteracting international terrorist units.

The term of the Agreement is 49 years, with automatic extension every 15 years.

The draft Agreement does not contain any rules outside the laws of the Russian Federation and its implementation will not require additional outlays from the federal budget.

8. Introducing amendments to the Statute on the Ministry of Healthcare and Social Development of the Russian Federation

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

The draft resolution is designed to bring the Statute on the Ministry of Healthcare and Social Development into compliance with the existing laws of the Russian Federation and expands the sections of the statute regarding the powers of the Ministry of Healthcare and Social Development within its established spheres of activity.

Pursuant to the relevant provisions of the Labour Code of the Russian Federation, the Federal Law on Private Pension Funds and the Basic Principles of the Legislation of the Russian Federation on Protecting Citizens' Health, the draft introduces amendments to the Statute pertaining to the authority of the Ministry of Healthcare and Social Development to set standards in the sphere of occupational safety and healthcare as well as regulating private pension funds.

In addition, the draft vests the Ministry of Healthcare and Social Development with authority in several areas, including funding preventive measures to reduce occupational injuries and diseases; requirements on the contents of medical kits and sets for the rendering of various types of medical assistance and on specialised medical assistance, including high-tech assistance; and providing one-time subsidies to civil servants for the purchase of housing.

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

The draft resolution has been submitted by the Ministry of Transport.

The draft has been developed by the ministry to execute the provisions of Russia's international maritime treaties concerning the recognition of organisations that inspect and certify ships as well as organisations that train and graduate seafarers and issue certificates in accordance with international treaties.

In accordance with the rules set forth in the International Convention for the Safety of Life at Sea of 1974 (SOLAS Convention 74), ships are to be inspected and certified by the officials of the Administration (the term "Administration" is defined in the convention as the government of the state whose flag the ship bears).

The Administration may delegate inspections and certification either to inspectors appointed for that express purpose or to organisations it recognises.

At present, the powers of the Administration to recognise ship certification organisations that issue certificates are defined by the SOLAS Convention 74, the International Convention on Trademarks of 1966, the International Convention for the Prevention of Pollution from Ships of 1973, the International Convention on Tonnage Measurement of Ships of 1969, the International Convention for Safe Containers of 1972, the International Convention on Standards of Training, Certification and Watchkeeping of Seafarers of 1978, the Conventions of the International Labour Organisation as well as the European Agreement Concerning International Carriage of Dangerous Goods by Inland Waterways of 2000.

In addition, the International Convention on Standards of Training, Certification and Watchkeeping of Seafarers of 1978 grants the Administration the authority to recognise organisations for training and upgrading the skills of marine transport workers and the issuance of international certificates.

The draft resolution has been developed by the Ministry of Transport of the Russian Federation to ensure a uniform procedure and mechanism for recognising organisations designated by the Administration to inspect and certify ships and seafarers and issue certificates on its behalf in accordance with the international maritime conventions of which the Russian Federation is a signatory.

Adoption of the draft resolution will create a uniform procedure and mechanism for recognising organisations and ensuring Russia's compliance with international maritime treaties with respect to the inspection and certification of ships, the training and certification of seafarers and the issuance of corresponding certificates.

The decision will be implemented without increasing the size of the central staff of Ministry of Transport or budget allocations to said federal executive body from the federal budget for the purposes of management and administration within its established scope of functions.

10. Introducing amendments to certain acts of the Government of the Russian Federation

11. Amending and repealing certain regulatory acts of the Government of the Russian Federation

The draft resolution has been submitted by the Ministry of Finance.

The proposed changes are necessary to implement Article 85 of the Federal Law No.160-FZ of July 23, 2008 On Introducing Amendments to Certain Legislative Acts of the Russian Federation to Better Exercise the Powers of the Government of the Russian Federation, which transfers to a government authorised federal executive body the powers of the government in the sphere of state registration of legal entities, peasant (private) farms, and private individuals as individual entrepreneurs.

In accordance with the amendments introduced in the Statute on the Ministry of Finance, the Ministry of Finance is to be vested with the powers to adopt a regulatory legal act that establishes the forms, procedure and timeframe for submitting the reference materials and information stipulated in Clauses 5 and 6 of the Federal Law On State Registration of Legal Entities and Individual Entrepreneurs.

In accordance with the amendments introduced in the Statute on the Federal Tax Service, the Federal Tax Service of Russia is to be vested with the powers to effect state registration of legal entities, peasant (private) farms, and private individuals as individual entrepreneurs provided they do not fall under the jurisdiction of the Ministry of Finance in accordance with the statute on the Ministry of Finance.

The adoption of the draft will not entail any outlays from the federal budget and will streamline the functions of federal executive bodies in accordance with the laws of the Russian Federation and make the work of the Government of the Russian Federation more effective.

12. Introducing amendments to the Statute on the Federal Tariff Service

The draft resolution on the above issue has been submitted by the FTS.

The draft resolution has been developed to streamline the performance of the functions established under Article 5 of the Federal Law On Transport Safety.

Pursuant to the aforementioned article of the Federal Law On Transport Safety, the federal executive body authorised to issue legal regulations on the prices (tariffs) of goods (services) and monitor their enforcement is also authorised to set the tariffs for services related to assessing the vulnerability of transport infrastructure elements and means of transport.

Pursuant to clause 5.3.1.242 of the Statute on the Federal Tariff Service, the FTS sets the tariffs for the services related to assessing the vulnerability of transport infrastructure elements and transport means.

In order to perform that function, the FTS must approve methodological directives on the calculation of tariffs for assessment services and the rules for their application.

It must be noted that the Federal Law On Transport Safety does not define the term "tariff setting." At the same time, the law that regulates legal relations in the field of natural monopolies also vests the corresponding federal executive bodies with the authority to approve the rules for the application of corresponding prices (tariffs) that are required to perform that function.

Authorising the FTS of Russia to set the rules for applying tariffs for services related to assessing the vulnerability of elements of the transport infrastructure and means of transport will ensure that they will be applied by specialised organisations that carry out the assessments as well as by organisations in the transport sector.

The adoption of the draft resolution will enable the FTS of Russia to ensure full compliance with Article 5 of the Federal Law On Transport Safety.

The adoption of the draft resolution does not envisage an increase of the FTS staff, nor will it require additional outlays from the federal budget or a change in the procedure of funding federal executive bodies.

13. The issuance of permits for ship radio station and onboard radio station

The draft resolution has been submitted by the Ministry of Telecommunications and Mass Media to implement the provisions of the Federal Law On Introducing Amendments to Some Legislative Acts of the Russian Federation on the Issuance of Permits for Ship Radio Stations and Onboard Radio Stations.

One of the purposes of the federal law is to harmonise the terminology in the field of communications by changing the name of permit documents from "license for ship radio stations and license for onboard radio stations" to "permit for ship radio stations and permit for onboard radio stations." These permit documents are required under international acts, including the Rules of Radio Communication of the International Telecommunications Union. However, prior to the signing of the federal law, the authority to issue the necessary permit documents was exercised de facto, and was not established by any regulatory legal acts.

The draft resolution authorises the Ministry of Telecommunications and Mass Media and the Ministry of Transport to approve the form and procedure for issuing permits for ship radio stations and onboard radio stations, respectively. Simultaneously, Roskomnadzor (Federal Service for Supervision of Communications, Information Technology and Mass Media) and Rosaviatsia (Federal Air Transport Agency) are authorised to directly issue permits for ship radio stations and onboard radio stations, respectively.

The adoption of the resolution will streamline and systematise the issuance of permits in the field of communications, which will, in turn, enhance the effectiveness of the oversight and supervision exercised by the federal executive bodies.

The draft resolution expands the powers of the Ministry of Telecommunications and Mass Media and the Ministry of Transport by granting them the right to approve the forms and procedure of issuance, and the powers of Roskomnadzor and Rosaviatsia, which will be granted the right to directly issue permits for ship radio stations and onboard radio stations, respectively.

14. Federal funding in 2010 to repair and reconstruct the Russian Pension House in Saint-Genevieve de Bois (French Republic) and to establish a memorial research centre of the Russian emigration on this site

The draft executive order has been submitted by the Ministry of Foreign Affairs.
The draft executive order has been prepared pursuant to the instruction issued by the president of the Russian Federation to the government, which (as the second stage in executing that instruction) has been charged with resolving the problem of reconstructing the Russian Pension House and establishing a memorial and research centre of the Russian emigration on this site. The government has also been charged with finding the necessary resources for these purposes.

The instruction has been issued in response to the appeal of the Patriarch of Moscow and All Russia Alexy II following his trip to France in October 2007.

The draft instructs the Ministry of Finance to allocate to the Ministry of Foreign Affairs 770,200 euros in 2010 to finance the cost of repair and reconstruction of the Russian Pension House in Saint-Genevieve de Bois (French Republic) and the creation of a memorial and research centre of the Russian emigration on this site.

The Ministry of Foreign Affairs is to secure the necessary approvals and draw up the necessary documents under the established procedure to ensure the targeted use of the aforementioned resources and to remit said resources.

Moscow
March 3, 2010

* Press releases by the Department of Press Service and Information are based on materials submitted by the federal executive bodies for discussion by the government of the Russian Federation