Strengthening Long-Term Nuclear Security Protecting Weapon-Usable Material in Russia (2006) / Chapter Skim
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4 Improved Approaches to Facilitate Indigenization
4 Improved Approaches to Facilitate Indigenization
Pages 39-46
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From page 39... ...
Based on the committee's observations and discussions with Russian and United States experts, the improvements in MPC&A systems at sites where the U.S. Department of Energy (DOE)
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From page 40... ...
Finally, there is not a single reported example of a facility outside the navy program where dormant weapon-usable material has been transferred to a more secure location. IMPROVED APPROACHES Access to Facilities In the past, difficulties experienced by United States specialists in gaining access to sensitive Russian facilities within the Rosatom complex were frequently cited by DOE as a major impediment to MPC&A progress.
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From page 41... ...
modifying contractual requirements and procedures that may be considered too intrusive by Russian organizations; and (3) finding alternatives to access at facilities that for legal reasons deny entry to visitors from outside of Russia.
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From page 42... ...
DOE's contracting procedures are a significant cause of delays in the program. Each task order, however small, requires approval at several levels in the United States and by a special committee of the Russian government that grants tax exemptions.
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From page 43... ...
Additionally, there may be opportunities for Russian experts to incorporate more effective business practices into their regular contracting negotiations with DOE as a means of reducing costs and increasing the efficiency of cooperative MPC&A efforts. Practical Steps Toward Indigenization The committee considered a large number of possible modifications to the current program that would contribute to more rapid progress in completing MPC&A upgrades at Russian facilities and that would enhance the prospects for
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From page 44... ...
DOE and Rosatom should jointly review the many interactions among Russian organizations involved in protecting material at the facility level to identify areas in which coordination can be improved. For example, procedures concerning the transportation of materials between sites, overlapping responsibilities of Rosatom and Rostekhnadzor at Rosatom facilities, and interactions between guard
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From page 45... ...
While placing subcontract management responsibility on the Russian facility may in some cases delay installation, in the long term it will contribute to indigenization by allowing the facilities to have direct control over the equipment providers during and after installation and by requiring the facilities to develop the capability to deal with subcontractors. DOE should ensure that ownership titles of equipment provided to Russian facilities are legally transferred to the facilities, with due attention to avoidance of value-added and other taxes from which U.S.
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From page 46... ...
Indeed, since this study was initiated in 2003, the DOE management team has demonstrated much greater sensitivity to the importance of indigenization and has reflected this sensitivity in a number of program activities. Still, a more concerted effort in these areas would expedite the upgrade process and also foster indigenization.
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