All news

Putin signs law on state defence order

The law is particularly aimed at higher efficiency of budget expenditures

MOSCOW, December 31 (Itar-Tass) —— Russian President Vladimir Putin signed the federal law on the state defence order, the Kremlin official website reported on Sunday. The State Duma approved the law on December 19, 2012, and the Federation Council approved it on December 26.

The law stipulates the legal foundations of state regulation of the relations, which concern the drafting, the peculiarities of placement and the fulfilment of the state defence order, outlines the main principles and methods of state price regulation on products, works and services on the state defence order.

In particular, the law sets forth such peculiarities of placing the state defence order, as the requirements to the bidding documentation; the initial (maximal) price of a state contract in the placement of the defence order through the bidding, as well as the price of the state contract in case of placement of this order for the only supplier (executor, subcontractor); an option to change the cost of a state contract, which was concluded under the state armament program for the supply of products with a long production cycle.

The law is particularly aimed at higher efficiency of budget expenditures, which are made by the state authorities to ensure defence and security; specify the range of state contractors, the duties of the state contractors, head executors of the state defence order for their higher responsibility to secure the efficient placement and the fulfilment of the defence order.

The law also sets the anti-monopoly requirements, which are used regarding the executors of the state defence order in order to control the changes (the growth) of the prices for component parts, raw materials and the materials, which are used in the manufacturing of the products, which are delivered under the defence order.

The responsibility was introduced for violation of the provisions of the law and other Russian regulatory legal acts in the state defence order.