[House Document 107-87]
[From the U.S. Government Publishing Office]



107th Congress, 1st Session - - - - - - - - - - - House Document 107-87 


 
               PERIODIC REPORT ON THE NATIONAL EMERGENCY


                WITH RESPECT TO THE RUSSIAN FEDERATION

                               __________

                                MESSAGE

                                  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)




    June 12, 2001.--Message and accompanying papers referred to the 
     Committee on International Relations and ordered to be printed
                               __________

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

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, June 11, 2001.
 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 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 
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 January 12, 2001, the Department of the Treasury's 
Office of Foreign Assets Control (``OFAC'') issued the HEU 
Agreement Assets Control Regulations, 31 CFR Part 540 (66 Fed. 
Reg. 3304, January 12, 2001) (the ``Regulations''), as an 
interim rule with request for public comment to implement 
Executive Order 13159. A copy of the Regulations is attached.
    2. The Regulations have 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. During the current reporting period, as of May 15, 2001, 
17 licenses have been issued in furtherance of the Order's 
goals of protecting the blocked assets and ensuring full 
implementation of the HEU 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.
    4. The expenses incurred by the Federal Government in the 
six-month period from December 21, 2000 through June 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 fissile material 
in the territory of the Russian Federation are estimated at 
approximately $2,000, 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 Offices 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 General Counsel, and 
the Office of Nuclear Energy).
    5. The Order 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).


