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Home / News / Russian Navy News

Sevastopol administration: the Kharkov agreements are failed

Sevastopol administration: the Kharkov agreements are failed 08.09.2010
Text: Novy Region - Sevastopol
Photo: Valery Saratov. TSN.ua
Sevastopol's expectations related to Black Sea Fleet (BSF) agreements signed by Russia and Ukraine in Kharkov have failed, stated Valery Saratov, the head of Sevastopol city administration.

"If we call things by their proper names, our hopes on Kharkov agreements have not come true. We wanted more investments and orders for BSF assets. This has not happened. Black Sea Fleet facilities are in tight situation", said Saratov.

Ukrainian official reminded that the most complex situation had been formed around BSF Building Office which started bankruptcy proceedings. Besides, 13th Ship Repair Plant stays almost idle. Sevastopol city budget loses significant sums due to staff reductions at the Russian fleet.

"As far as I know, this year they have reduced about 12,000 work positions. Therefore, we received fewer taxes to the budget. Last year the BSF portion of inhabitant tax was 15%. Now we lost about 2%. Numerically, BSF facilities paid about UAH 90 mln taxes. It's not enough", Saratov said.

City authorities are about to hold a meeting with BSF command and address to Russian authorities and intergovernmental committee on BSF issues.

Saratov also said that federal budgetary funds appropriated by Russia for socioeconomic development of Sevastopol which were supposed to come last week have not been received so far.

"First tranche from Russia must be in Ukrainian Ministry of Finance the day after tomorrow, and hopefully we will receive that money from Kiev either this week or next one. Thus, the first half of those funds assigned for socioeconomic development will be balanced. As you know, budget of our capital construction directorate is considerably subsidized by Russia", said Saratov.

We recall that Russian federal budget appropriated a sum equal to UAH 38 mln for socioeconomic development of Sevastopol. It is expected that Ukraine will receive first half of that money in the nearest future. Deputy Mayor of Sevastopol Igor Loktionov recently expressed anxiety that if the money would be received at year-end, the city could not spend it in time.

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