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Appendix E.2

International Science and Technology Center

The International Science and Technology Center (ISTC) is an intergovernmental organization, created to serve the goals of nonproliferation. It was established in 1992 by the European Union, Japan, the Russian Federation, and the United States on the basis of a multinational agreement and an associated protocol. Norway, Republic of Korea, and Canada have also joined the ISTC as funding parties. The ISTC has been pivotal in coordinating efforts to provide new professional opportunities for former defense scientists from Russia and other countries of the Commonwealth of Independent States, with the aim of integrating them into the world scientific community.

Since its inception, the ISTC has supported a program to (a) engage specialists with defense-oriented experience in civilian scientific work, (b) retain Russian scientific talents, and (c) incorporate previously isolated experts into the international scientific community. During a period of economic unrest in Russia during the 1990s, tens of thousands of scientists found themselves without adequate incomes to support their families, making them potentially attractive targets for nefarious parties with hostile intentions that were in search of technological expertise. The ISTC’s nonproliferation objectives have been achieved through project grants that are designed to fulfill research and development (R&D) work for civilian purposes proposed by scientists that possess important advanced technology skills.

Since 1994, the ISTC has provided financial support to more than 900 institutions with about 74,000 project participants. Funds expended for projects have exceeded $860 million for about 2,760 projects.

In the life sciences, 702 projects have been funded, with total expenditures



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Appendix E.2 International Science and Technology Center The International Science and Technology Center (ISTC) is an intergov- ernmental organization, created to serve the goals of nonproliferation. It was established in 1992 by the European Union, Japan, the Russian Federation, and the United States on the basis of a multinational agreement and an associated protocol. Norway, Republic of Korea, and Canada have also joined the ISTC as funding parties. The ISTC has been pivotal in coordinating efforts to provide new professional opportunities for former defense scientists from Russia and other countries of the Commonwealth of Independent States, with the aim of integrat- ing them into the world scientific community. Since its inception, the ISTC has supported a program to (a) engage spe- cialists with defense-oriented experience in civilian scientific work, (b) retain Russian scientific talents, and (c) incorporate previously isolated experts into the international scientific community. During a period of economic unrest in Rus- sia during the 1990s, tens of thousands of scientists found themselves without adequate incomes to support their families, making them potentially attractive targets for nefarious parties with hostile intentions that were in search of tech- nological expertise. The ISTC’s nonproliferation objectives have been achieved through project grants that are designed to fulfill research and development (R&D) work for civilian purposes proposed by scientists that possess important advanced technology skills. Since 1994, the ISTC has provided financial support to more than 900 insti- tutions with about 74,000 project participants. Funds expended for projects have exceeded $860 million for about 2,760 projects. In the life sciences, 702 projects have been funded, with total expenditures 209

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210 APPENDIX E.2 of $234 million (involving about 10,000 bioexperts, including more than 7,000 in Russia). The Department of State has funded 995 projects via the ISTC in the amount of $221 million, of which 720 were implemented in Russia, with $160 million allocated. Of those projects, 273 have been in the life sciences and funded at a level of $64 million. Total funding for 478 Russian projects in the life sciences (both regular and partner projects) reached more than $180 million. Permanent sustainability of the ISTC as an organization has not been among the major goals of the program. Rather, efforts have been devoted to funding and implementation of specific projects with explicit technological goals. With regard to biological-related concerns, special attention has been given to the safety of collections of bacterial and viral pathogens in research institutes. A number of institutes have been involved in the program to upgrade physi- cal security and biosafety systems that was funded by the U.S. Defense Threat Reduction Agency. Fourteen projects were funded for nearly $18 million, begin- ning in 1999. Also, ISTC projects in the area of medicine and health care were developed following recommendations at international meetings of experts from the World Health Organization (WHO), Centers for Disease Control and Preven- tion, National Institutes of Health, and Food and Drug Administration. Russian institute leaders report that ISTC funding was the mechanism that helped institutes not only to survive in the economic duress of the 1990s but also to improve infrastructure, cultivate a community of English-speaking scientific managers, develop leadership, gain recognition in the world community, and engage in world-class research. Efficacy of funds administered through the ISTC, as determined by expert evaluations, has been higher than funds allocated by Russian organizations because of tax-free and customs-free conditions and transparent management of project funds. International independent audit of projects is a usual ISTC practice. The ISTC has been able to provide effective informational, scientific, finan- cial, managerial, and procurement services for many institutions. The ISTC developed unique mechanisms of facilitating scientific collaboration, assist- ing Russians in learning about international standards and regulations and in implementing them in their project practice. The ISTC developed expertise and provided services broadly in technology databases, project management, com- mercialization of products, competency building, and communication and travel support. The ISTC partner program enabled private companies, government agencies, and nongovernmental organizations to fund directly R&D projects undertaken by Russian scientists and institutions. Partners working with ISTC-affiliated scientists and institutes could gain access to the established ISTC infrastructure, including in-country project management customs clearance, intellectual property rights support, and searches for R&D needs (matchmaking).

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APPENDIX E.2 211 BIOTECHNOLOGY AND ISTC Biotechnology, including agriculture and medicine, is one of the most active areas of ISTC activity. From 1994 to 2012, about 27.2 percent of all funds were allocated to biotechnology. Table E.2-1 offers examples of biotechnology projects supported by the ISTC, completed in 2011. The ISTC received a total of 1,359 proposals in the life sciences field during this period. Of those, 702 projects for an amount of $234 million were funded, as displayed in Figure E.2-1. As presented in Table E.2-2, U.S. governmental partners (Department of Defense, Department of Health and Human Services, Department of Agricul- ture, Department of Energy IPP, Department of State, Environmental Protection Agency) have funded 207 projects in Russia in the life sciences for approximately $122 million. The United States funded 146 regular projects in biotechnology for approxi- mately $33 million. Additionally, 127 regular projects in environmental sciences were funded by the United States for $31 million. Table E.2-3 lists areas funded by the Department of State. The main recipients of U.S.-funded ISTC grants in the Russian Federation in biotechnology were the institues that were managed previously by “Biopreparat” (Figure E.2-3). Targeted initiatives are a new approach. Three were developed in biotechnology: Drug Design and Development—Has been developed to facilitate devel- opment of novel therapeutics to combat emerging and reemerging infectious diseases and cancer. The initiative is built upon a set of workshops and projects with a view to establishing long-term, cooperative research and development relationships between research institutes and international health care, pharma, and bioscience bodies. Probiotics and Health—Was developed to (a) create new platforms for development of alternatives to antibiotics, (b) search for new approaches to develop innovative functional healthy foods on the base of Lactic acid-producing bacteria isolated in Russia, which can be used for prevention and complex therapy of gastrointestinal, urogenital, cardiological, and oncological diseases. Science and Technology in the Prevention of Biological Threats—Has the objective of developing new techniques and technologies for the rapid detection of a defined list of highly dangerous microorganisms; focusing on the Group of Eight priority of protecting food supplies; and assisting in the development of adequate emergency planning, reporting, first response, and epidemiological analysis. SOURCE: Information provided by ISTC, April 2012

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212 APPENDIX E.2 TABLE E.2.1  ISTC Projects in the Biological Sciences Completed in 2011 Project Title Russian Institute Bacteriocin Production and Field Trials State Research Center for Applied Microbiology for Treating Campylobacter Jejuni and and Biotechnology, Obolensk Salmonella spp. in Broilers Isolation and Characterization of Novel State Research Center for Applied Microbiology Antimicrobials Against Staphylococcus and Biotechnology, Obolensk Aureus: Bacteriophage Endolysins Conservation of Genetic Material and Study State Research Center of Virology and of Genomic Structure of Different Variola Biotechnology Vector, Novosibirsk Virus Strains Development and Optimization of Open Stock Company “Vostok,” Kirov Technological Processes for Manufacturing Enzyme Preparations, Including Alpha- Amylase, Glucoamylase, Cellulase, Xylanase, Pectate Lyase, Beta- Galactosidase, Lipase, Phytase Immunologic and Structural Studies on State Research Center of Virology and Mammalian Cell Expressed Recombinant Biotechnology Vector, Novosibirsk HCV Envelope Proteins E1 and E2 Carbon Exchange Formation in Boreal All-Russian Scientific Research Institute of Forests of Eurasia Experimental Physics, Sarov Development and Demonstration of a Khlopin Radium Institute, St. Petersburg Methodology and Software for Risk-Based Land Use Planning and Decision Support Hand-Held Express Detector of Drug Design and Technological Institute of Instrument Traces Based on a Method of Ion Mobility Engineering for Geophysics and Ecology, Increment Spectrometry Siberian Branch of RAS, Novosibirsk Development of a Research Center for First Moscow State Medical University/Research Tuberculosis Clinical Trials Through the Institute of Phthisiopulmonology, Moscow Conduct of a Study of a Modified Treatment Regimen for WHO Category 1 Patients Phosphorescence Multianalyte State Research Institute of Biological Instrument- Microanalysis of Dried Blood Spots as a Making, Moscow Basis of Seroepidemiological Monitoring of Zoonotic Infections Transmitted by Ixodid Ticks Monitoring of Influenza A Viruses in Wild State Research Center of Virology and Birds, Poultry and Pigs in the Novosibirsk Biotechnology Vector, Novosibirsk Region

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APPENDIX E.2 213 Biosafety/Biosecurity Medicine 14% 7% Drugs 19% Agriculture and food 14% Biodiversity Vaccines 3% 6% Bioremediation 3% Diagnostics Ecology Omics 11% 4% Surveillance 6% 13% FIGURE E.2-1  Distribution of ISTC-funded biotechnology projects. TABLE E.2-2  Funding of Biotech Projects in the Russian Federation by U.S. Governmental Partners U.S. Governmental Partner Funds, US$ No. of Projects Department of Defense/DTRA 36,494,286 28 Department of Health & Human Services 30,733,322 59 Department of Agriculture – Agricultural Research 23,267,328 50 Service, Beltsville, MD Department of State – FSU Bio Industry Initiative, 12,488,287 20 Washington, DC Department of Energy / Initiatives for Proliferation 8,782,500 13 Prevention Program, Washington, DC Environmental Protection Agency, Washington, DC 6,803,295 24 Defense Advanced Research Projects Agency, 3,708,932 13 Arlington, VA TOTAL 122,277,950 207

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214 APPENDIX E.2 TABLE E.2-3  U.S. Department of State Funding of ISTC Regular Projects in the Russian Federation Number of U.S. Allocated Funds, Total Allocated Funds Technical Area Projects US$ by All ISTC Parties Agriculture 7 1,431,111.00 1,703,421.00 Biotechnology 73 16,523,441.67 21,060,173.31 Medicine 66 14,766,130.50 17,542,812.22 TOTAL Biotech 146 32,720,683.17 40,306,406.53 Environment 127 31,123,378.00 39,199,622.97 Chemistry 50 13,094,371.34 15,703,197.20 Fission Reactors 65 15,160,771.34 20,935,428.00 Fusion 24 5,070,282.00 8,058,282.00 Information and 27 6,640,754.00 8,666,443.00 Communications Instrumentation 46 10,028,848.58 11,740,661.58 Manufacturing Technology 17 3,795,409.00 4,196,609.00 Materials 61 13,008,816.00 17,297,198.94 Non-Nuclear Energy 23 4,987,150.00 7,946,116.22 Other 4 455,950.00 455,950.00 Other Basic Sciences 1 300,000.00 300,000.00 Physics 104 22,789,612.00 26,270,617.00 Space, Aircraft, and Surface 22 5,522,976.67 7,798,670.00 Transportation Total 717 164,699,002.10 208,875,202.44

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APPENDIX E.2 215 Non-Nuclear Other Basic Biotechnology Energy Sciences Agriculture Othe Physics Medicine Materials Manufacturing Technology Environment Instrumentation Fusion Chemistry Fission Reactors Information and Communications FIGURE E.2-2  Total U.S. funding of ISTC projects. Total Agri+ Bio+Med+ Env = 39% $35,000,000 $30,000,000 E 2-2 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $0 VECTOR SRCAMB VNIIPH IBCh IIE RCTHRB IHPBP RCMDT IIV FCAH FIGURE E.2-3  Major recipients of ISTC project funds in biology (Vector—State Re- search Center of Virology, Novosibirsk, SRCAMB—State Research Center of Micro- biology and Biotechnology, Obolensk, Shemyakin’s Institute of Bioorganic Chemistry, Moscow, Institute of Immunological 2-3 E Engineering, Moscow reg., RCTHRB—Research Center of Toxicology and Hygienic Regulation of Biopreparations Serpukhov, Moscow region, IHPBP—Institute of Highly Pure Biopreparations, St. Petersburg, RCMDT— Research Center of Molecular Diagnostics and Therapy, Moscow, IIV—Ivanovsky Insti- tute of Virology, Moscow, FCAH—Federal Center for Animal Health, Vladimir).

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