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[House Document 107-19]
[From the U.S. Government Publishing Office]

107th Congress, 1st Session - - - - - - - - - - House Document 107-19 

 
NATIONAL EMERGENCY WITH RESPECT TO THE RISK OF NUCLEAR PROLIFERATION 
  CREATED BY THE ACCUMULATION OF WEAPONS-USABLE FISSILE MATERIAL IN THE 
  TERRITORY OF THE RUSSIAN FEDERATION

                               __________

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              TRANSMITTING

A 6-MONTH PERIODIC REPORT ON THE NATIONAL EMERGENCY WITH RESPECT TO THE 
  RISK OF NUCLEAR PROLIFERATION CREATED BY THE ACCUMULATION OF WEAPONS-
  USABLE FISSILE MATERIAL IN THE TERRITORY OF THE RUSSIAN FEDERATION THAT 
  WAS DECLARED IN EXECUTIVE ORDER 13159 OF JUNE 21, 2000, PURSUANT TO 50 
  U.S.C. 1703(c)

     January  20, 2001.--Referred to the Committee on International 
                  Relations and ordered to be printed
                               __________

                    U.S. GOVERNMENT PRINTING OFFICE
89-011                     WASHINGTON : 2001

                                           The White House,
                                      Washington, January 17, 2001.
Hon. J. Dennis Hastert,
Speaker of the House of Representatives,
Washington, DC.
    Dear Mr. Speaker: As required by section 401(c) of the 
National Emergencies Act, 50 U.S.C. 1641(c), and section 204(c) 
of the International Emergency Economic Powers Act, 50 U.S.C. 
1703(c), I transmit herewith a 6-month periodic report on the 
national emergency with respect to the risk of nuclear 
proliferation created by the accumulation of weapons-usable 
fissile material in the territory of the Russian Federation 
that was declared in Executive Order 13159 of June 21, 2000.
            Sincerely,
                                                William J. Clinton.
 President's Periodic Report on the National Emergency With Respect to 
   the Risk of Nuclear Proliferation Created by the Accumulation of 
    Weapons-Usable Fissile Material in the Territory of the Russian 
                               Federation

    I hereby report to the Congress on developments concerning 
the national emergency with respect to the risk of nuclear 
proliferation created by the accumulation of weapons-usable 
fissile material in the territory of the Russian Federation 
that was declared in Executive Order 13159 of June 21, 2000. 
This report is submitted pursuant to section 401(c) of the 
National Emergencies Act, 50 U.S.C. 1641(c), and section 204(c) 
of the International Emergency Economic Powers Act, 50 U.S.C. 
1703(c).
    1. On June 21, 2000, I signed Executive Order 13159, 
declaring a national emergency with respect to the risk of 
nuclear proliferation created by the accumulation of weapons-
usable fissile material (``highly enriched uranium'') in the 
territory of the Russian Federation (the ``Order'') (65 Fed. 
Reg. 39279, June 26, 2000). Pursuant to the Agreement Between 
the Government of the United States of America and the 
Government of the Russian Federation, dated February 18, 1993, 
and related contracts and agreements (collectively, the ``HEU 
Agreements''), weapons-grade uranium extracted from Russian 
nuclear weapons is converted to low enriched uranium for use in 
nuclear reactors. The Order blocks and protects from 
attachment, judgment, decree, lien, execution, garnishment, or 
other judicial process the property and interests in property 
of the Government of the Russian Federation that are directly 
related to the implementation of the HEU Agreements and that 
are in the United States, that are or hereafter come within the 
United States, or that are or hereafter come within the 
possession or control of U.S. persons, including their overseas 
branches. The Order authorizes the Secretary of the Treasury, 
in consultation with the Secretaries of State and Energy, to 
take such actions, including the promulgation of rules and 
regulations, as may be necessary to carry out the purposes of 
the Order.
    2. The Order has been disseminated by OFAC through both 
conventional and electronic means and affected parties have 
been notified. Federal agencies will continue to work closely 
to identify and block those assets directly related to the 
implementation of the HEU Agreements in which the Government of 
the Russian Federation has an interest and will vigorously 
enforce the Order to protect these assets while ensuring the 
continued effective operation of the HEU Agreements.
    3. Since June 21, 2000, OFAC has issued 16 licenses. These 
licenses authorize the importation of and payment for low 
enriched uranium, as well as the sale and exportation of and 
payment for natural uranium.
    4. The expenses incurred by the Federal Government in the 
six-month period from June 21 through December 20, 2000, that 
are directly attributable to the exercise of powers and 
authorities conferred by the declaration of the national 
emergency with respect to the risk of nuclear proliferation 
created by the accumulation of weapons-usable fissile material 
in the territory of the Russian Federation are estimated at 
approximately $5,000, most of which represent wage and salary 
costs for Federal personnel. Personnel costs were largely 
centered in the Department of the Treasury (particularly in the 
Office of Foreign Assets Control, the Office of the Under 
Secretary for Enforcement, and the Office of the General 
Counsel), the Department of State (particularly the Bureau of 
Economic and Business Affairs, the Bureau of Nonproliferation, 
and the Office of the Legal Adviser), and the Department of 
Energy (particularly in the Office of the Under Secretary, the 
Office of the General Counsel, and the Office of Nuclear 
Energy).
    5. Executive Order 13159 provides a tool for protecting 
from attachment, judgment, decree, lien, execution, 
garnishment, or other judicial process the property and 
interests in property of the Government of the Russian 
Federation that are directly related to the implementation of 
the HEU Agreements and subject to U.S. jurisdiction. I shall 
continue to exercise the powers at my disposal and will 
continue to report periodically to the Congress on significant 
developments pursuant to 50 U.S.C. 1703(c).

                                  
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