U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

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99–011 2002

107th Congress, 2d Session – – – – – – – – – – – – House Document 107–174

PERIODIC REPORT ON THE NATIONAL EMERGENCY

WITH RESPECT TO 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. 1641(c) AND 50 U.S.C.

1703(c)

JANUARY 24, 2002.—Referred to the Committee on International Relations

and ordered to be printed

(1)

To the Congress of the United States:

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.

GEORGE W. BUSH.

THE WHITE HOUSE, January 23, 2002.

(3)

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

This report to the Congress covers developments over the past

six months concerning the 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 that was declared in Executive

Order 13159 of June 21, 2000 (the ‘‘Order’’). This report is submitted pursuant to section 204(c) of the International Emergency

Economic Powers Act, 50 U.S.C. 1703(c), and section 401(c) of the

National Emergencies Act, 50 U.S.C. 1641(c).

1. On July 25, 2001, the Department of the Treasury’s Office of

Foreign Assets Control (‘‘OFAC’’) issued the final HEU Agreement

Assets Control Regulations, 31 C.F.R. Part 540 (66 FR 38554, July

25, 2001) (the ‘‘regulations’’), incorporating public comments made

on the interim regulations issued January 12, 2001. A copy of the

Regulations is attached.

2. OFAC has issued, as of October 31, 2001, 14 licenses during

the current reporting period in furtherance of the Order’s goals of

protecting the blocked assets and ensuring full implementation of

the Regulations. 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.

3. The expenses incurred by the Federal Government in the sixmonth period from June 21 through December 20, 2001, 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 material in the territory of the Russian Federation

are estimated at approximately $5,500, 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 Advisor), and the Department of Energy (particularly in

the Office of the General Counsel, and the Office of Nuclear Energy).

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4. The Order provides an effective 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.

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