ANNUAL REPORT OF THE RUSSIAN HOUSING DEVELOPMENT FOUNDATION FOR 2013

I.    THE REPORT OF RESULTS OF THE FOUNDATION’S ACTIVITIES FOR THE YEAR 2013

Introduction

The Foundation's annual report for the year 2013 is prepared in compliance with the article 9 of the Federal Law No. 161-FZ dated 24.07.2008 “On Facilitation to Housing Construction Development” (hereinafter – the Federal Law) and includes:
1) the report of results of the Foundation’s activities for the year 2013;
2) the report of use of the Foundation’s property;
3) annual financial (accounting) statement of the RHD Foundation;
4) the report of implementation of the annual financial plan of the Foundation’s (budget) income and expenditures;
5) the Foundation’s report of the results of monitoring of the exercise by the state authorities of the subjects of the Russian Federation of the powers of the Russian Federation in relation to the management and disposal of the land plots, other real estate objects being in the federal ownership;
6) auditor’s report.
In 2013 the IFTS of Russia No. 9 for the city of Moscow carried out the field tax inspection of the RHD Foundation (hereinafter – the Foundation) concerning the correctness of tax calculation and accurate payment of all taxes for the period from 01.01.2010 till 31.12.2012. Pursuant to the Field Tax Inspection Act dated 27.02.2014 No. 14-04/896/434 the tax inspection didn't find any violations of the Foundation's tax calculation for the years 2010-2012. The inspection act states that no violations were found in calculation and payment of income tax, VAT, corporate property tax and land tax, all taxes are calculated and paid to the fullest extent.
In 2013 the Accounts Chamber of the Russian Federation carried out the supervisory measures «The RHD Foundation activities and performance efficiency audit for the years 2011-2012 and year 2013». The results of the audit did not show any financial violations in the Foundation activity.

1. The Foundation's production program in 2013

Within the scope of implementation of production program in 2013 the Foundation brought into turnover 339 land plots with total area of 8 179.7 ha, of which 300 land plots with total area of 7 503.6 ha for housing purposes including:
–  land plots of the total area of 7 096.4 ha                (95%) – intended for construction of economy class residential property, including land plots for the total area of 6 495.5 ãà (92%) – for construction of low-rise economy class residential property;
258 land plots of the total area of 6 786.9 ha (90%) for construction of low-rise residential property;
– concerning 128 land plots of the total area 2 991.5 ha (37%) the powers of the Russian Federation to manage and dispose of real estate objects which are in federal ownership have been delegated to the state authorities of the subjects of the Russian Federation, including 68 land plots of the total area of 2 326.9 ha (78%) for their further provision to citizens having three and more children free of charge;
21 land plots of the total area of 342.2 ha are intended inter alia for their transfer to residential housing cooperatives located in 18 constituent entities of the Russian Federation. for a fixed term use without a consideration .
For the purpose of assistance to develop construction materials, items and structures production for residential housing, in 2013 Foundation brought into turnover 11 land plots of the total area of 107.5 ha for construction projects to produce construction materials, items and structures for residential housing.
The geography of land plots brought into turnover by the Foundation was expanded in 2013 at the cost of bringing in of land plots located in  4 constituent entities of the Russian Federation, namely the Republic of Adygeya, Zabaykalsky Krai, Sakhalin and Tula regions.
Thus, as the result of 2013, the Foundation brought into turnover land plots located in 74 constituent entities of the Russian Federation.
In 2013, the Foundation put at the auctions the following land plots:
– for housing construction, including those for complex development for the purpose of housing construction, of the total area of 3 532 ha ;
–    for allocation of objects on production of construction materials, items, structures, goods for the purpose of housing construction, – 12 land plots of the total area of 105 ha .
In the period 2012-2013 the Supervisory Board of the Foundation made decisions to transfer the Foundation’s land plots for the total area of 301.41 ha to 24 housing construction cooperatives
In 2013 the Supervisory Board of the Foundation made decisions to transfer the Foundation’s land plots for the total area of 158 ha to 21 housing construction cooperatives into the gratuitous fixed-term use.
In 2013 the geography of land plots provision was expanded at the cost of provision of land plots located in 12 constituent entities of the Russian Federation (Jewish Autonomous Region, the Khabarovsk territory and the Stavropol territory, the Buryat Republic, Kabardino-Balkar Republic, Vladimir, Vologda, Ivanovo, Omsk, Orel, Ryazan and Tambov regions).
As the result of 2013 the Foundation put at the auctions the land plots located in 53 constituent entities of the Russian Federation.

1.1. Targeted search for the land plots, registration of rights, change of category and type of permitted use for the land plots, security and maintenance of the Foundation's land plots and real estate and other property objects located on them

In 2013 the Foundation executed involvement into turnover of the land plots by the differentiated targeted search for land plots for the following purposes:
– to create maximum comfortable living environment;
– assistance in increase of the commissioning of economy class residential property on the Foundation's land plots which would meet requirements of energy efficiency and environmental friendliness;
– to meet demands for different main segments of the market of developers (major network and medium regional construction companies).
To achieve the specified goals in 2013 the Foundation alongside with involving the land plots of large area, oriented for development by major companies, involved the land plots with area of up to 30 ha, which can be integrally developed within 3-5 years by middle–sized regional companies .
In 2013 the Foundation carried out the targeted search of:
– the land plots for housing construction in 525 municipal entities located in 82 constituent entities of the Russian Federation, within the frameworks of which 209 federal land plots of the total area of 9 642 ha were collected;
– the land plots for allocation of objects intended for production of construction materials, items, structures for the purpose of housing construction, within the frameworks of which:

  • analysis of deficit in construction materials and demands for new production capacities related to issue of construction materials in 14 constituent entities of the Russian Federation (the Republic of Bashkortostan, the Republic of Tatarstan, Perm territory, Vladimir, Volgograd, Voronezh, Kursk, Leningrad, Lipetsk, Moscow, Samara, Severdlovsk, Tyumen and Ulyanovsk regions);
  • 20 municipal entities which are potentially productive for industrial development in the aforementioned constituent entities of the Russian Federation.

The main criteria of the targeted search for land plots for the purposes of housing construction were:
– stable demand for economy class housing, principally of low–rise type;
– approved documents of territorial planning and urban development zoning or drafts of the specified documents, placed on the official sites of the state authorities and local self–governance authorities in the Internet network;
– existing opportunity or prospects of connection of capital construction objects to the engineering and technical utilities networks;
– land plots which are in the federal ownership.
The main criteria of the targeted search for land plots for construction of the construction material plants were:
– demand for living accommodation within the break–even conditions of transportation;
– analysis of the mineral resources base of the construction materials industry situated in the territory of constituent entity of the Russian Federation;
– deficit in construction materials and production capacities of the construction material plants, principally conditioned by the growing demand for living accommodation;
– provision of land plots with transport infrastructure, engineering utilities, documents of territorial planning and urban development zoning.

According to the results of 2013 the Foundation;
– registered the ownership of 284 land plots of the total area of 5 696,94 ha, of which:

  • 204 land plots of the total area of 4 585,51 ha – on the basis of the instructions by Federal Property Management Agency;
  • 80 land plots of the total area of 111,43 ha – on the basis of the decisions of Foundation’s Board on allotment of the Foundation's land plots;

– changed the category and (or) type of the permitted use of 176 land plots of the total area of 3 205,58 ha;
– formed 242 land plots of the total area of 4 636,75 ha,
of which:

  • 162 land plots of the total area of 3 525,32 ha – by the decision of the Government commission on development of housing construction and evaluation of efficient use of the land plots, being in the ownership of the Russian Federation (hereinafter – the Government commission);
  • 80 land plots of the total area of 1 111,43 ha – by the decision of the Foundation's Board;

In 2013 the Foundation took the actions related to maintenance of the following:
–    30 land plots of the Foundation located in the city of Moscow and Moscow Region, city of St. Petersburg and Leningrad region, Vladimir region, Kaliningrad region, Chelyabinsk region, Krasnodar territory, the Republic of Karelia (works related to removal and disposal of utility, construction and other garbage, mowing of grass and cow parsnip, placement of information plates signifying the Foundation's ownership to the land plots, installation and reconstruction of fences within the land plots of the Foundation);
–     4 objects of real estate property (buildings and constructions) located on the land plots in the city of St. Petersburg and Leningrad region, Chelyabinsk region, the Republic of Karelia (works related to construction of fences of buildings and constructions using debris net, filling in of window frames, cleaning of building roofs from ice and icicles, conservation of electricity, heat, gas and water supply systems in buildings or to conclusion of contracts with suppliers of the specified resources).
In 2013 the Foundation took actions related to protection of land plots of the Foundation, objects of real estate and other property located on them. Employees of FGUP (Federal State Unitary Enterprise) "Security" of MVD (Ministry of Internal Affairs) of Russia in accordance with the concluded contracts provided security for 10 land plots and 16 webcams ensuring control of implementation of 12 projects of development of the Foundation's land plots.

1.2. Preparation of the land plots for submission

In 2013 the Foundation continued to develop programs of premarket preparation of the Foundation’s land plots, including with objects of the Foundation’s real estate property located on them.
The premarket preparation of land plots consisted of the following:
– determination of the most efficient type of use for the land plots;
– determination of optimal size of the land plots and their configuration;
– urban development preparation of the land plots;
– transfer of a land plot from one category to the other one and establishment (change) of type of the permitted use of the land plot;
– receipt of the information about possibility of connection of the capital construction object to the engineering and technical utilities networks and payment for the connection, from the resource supplying organizations;
– conduct of independent appraisal;
– development and approval of projects of the actions plans aimed at developing the land plots;
– development and approval of actions plans aimed at promoting the land plots including principal and additional actions aimed at attracting investors;
– conduct of round–table discussions (road–show) in the constituent entities of the Russian Federation where presentation of the Foundation's land plots is planned .
In 2013 pursuant to the approved plan concerning involvement of the land plots the Foundation developed programs of premarket preparation pf all land plots which are planned to be presented at the auctions conducted by the Foundation.

1.2.1. Determination of the most efficient type of use for the land plots

In 2013 upon application of the methods of determination of the most effective use of the land plots worked out in 2010 and providing for a detailed urban development, economic and legal analysis of the land plots use, the Foundation determined the most effective use of 235 land plots with total area of more than 6 132 ha:
– 208 land plots for housing construction;

– 12 land plots – for construction of objects on production of construction materials, items, structures for the purpose of housing construction;
– 15 land plots – for other use, including construction of trading and administrative centers, logistics complexes, hotels, objects of transport and social infrastructure.

1.2.2. Formation of conclusion on the urban development readiness of the land plots territory

While preparing projects of proposals on the use of land plots, other real estate objects being in the federal ownership, for the purpose of determination of urban development potential of land plots with consideration of the existing urban development restrictions, the Foundation in 2013 considered 875 of the total area of 40 961,4 ha , as well as at the stage of preparation of the proposals of the Foundation concerning involvement of 410 land plots with total area of 12 698,02 ha , into the turnover based on the following:
– information about development and approval of the land–planning scheme of the constituent entity of the Russian Federation and analysis of the respective documents;
– analysis of land–planning documents: land–planning schemes of the municipal region, master plan of the municipal district, urban or rural settlement (required functional zoning of territory, urban development and planning restrictions of use of the land plot);
– analysis of the rules of land use and development (hereinafter LUDR): information about preparation and approval of LUDR, territorial zones, types of permitted use of the land plot and capital construction objects, maximum sizes of the land plot and maximum parameters of the permitted construction, reconstruction of the capital construction objects;
– analysis of project documents and materials (planning projects, available proposals on use of the land plot);
– analysis of urban development environment, transport and passage proximity of the land plot;

– analysis of opportunity to use the land plot for construction of living quarters including the same of economic class and low–rise buildings.
Preparation of the conclusions on the urban development readiness of the land plots allowed to reasonably form the principal requirements to the parameters and characteristics of land plots territory improvement for inclusion thereof into the auction documentation in accordance with the requirements of the Article 16.1 of the Law No.161–FZ.
In 2013 the Foundation continued its work related to formation of the principal requirements to the parameters and characteristics of the Foundation's land plots territory improvement which were worked out in respect of all land plots presented at the auctions for sale of right to conclude contracts for lease of land plots for their complex development for the purposes of housing construction.
The principal requirements include:
– minimal scope of housing construction in accordance with type of the permitted use of the land plot;
– share of economy class housing;
– indicators ensuring compliance of the housing with the parameters of economy class housing;
– requirements to planning concepts of the land plot;
– characteristics of used construction materials and construction technologies in respect of their energy efficiency and environmental friendliness;
– application of energy–saving technologies;
– parameters ensuring environmental friendliness of the living quarters;
– parameters intended to increase of the living environment level conformity as well as introduction of certain components of "smart home" system (management of outside (adjoining) territories and common premises lightening systems, automatic control systems (movement/presence sensors));
– connection of living objects to the cable television network and broadband access to the Internet network.
Besides, in 2013 in order to encourage the developers to decrease terms of land plots development the Foundation commenced to include the requirements to the minimum scope of annual commissioning of living quarter on the Foundation's land plots provided for complex development into the auction documentation.
Establishment of the requirements to the minimum scope of annual commissioning of living quarter, principally of low–rise type, and restriction of general terms of land plots development form the market mechanism of housing prices control which encourages the developers to sell the ready–to–use apartments at the minimal prices ensuring normal project economics.

1.2.3. Actions aimed at providing the Foundation's land plots with engineering infrastructure

One of high-priority trends of the Foundation’s activity in 2013 was assistance at providing land plots with engineering infrastructure, within the scope of which the optimal decisions on connecting to the engineering networks and the decrease of expenses for connection were developed.
The Foundation's actions aimed at providing the Foundation's land plots with engineering infrastructure in 2013 were based on the following five subsequent basic steps (principles):
1. Determination of opportunity to connect the housing construction objects erected on the Foundation's land plots to the engineering infrastructure networks under the effective investment programs concerning organization of housing and utilities as well as of natural monopoly entities and due to the approved payment for technological connection to the engineering and technical utilities networks.
Within the frameworks of the specified action the Foundation in 2013 continued the cooperation with JSC "Russian Grids", JSC "FGC UES", JSC "Gazprom" and the utility complex organizations.
In 2013 the Foundation received over 450 conclusions from operating organizations in respect of 162 land plots, specifying information about:
– the existing loads and points of connection to the engineering networks;
– actions and cost of connection;
– tracing of the networks located within the borders and near to the borders of the land plots;
– availability of actions aimed at joining the operating organizations to the investment programs.
Based on the specified information the Foundation in 2013 prepared the conclusions on provision of the engineering infrastructure to 162 land plots, which included:
– calculation of loads, volumes of energy resources and utilities based on scope of housing construction;
– determination of power supply network, gas distributing and gas transmission organization providing the respective resource to the Foundation's land plot;
– determination of the organizations from utilities complex operating the engineering networks in the area of location of the Foundation's land plots;
– determination of the required actions and cost of connection to the existing engineering networks and creation of individual objects of the engineering infrastructure;
– analysis of expediency to apply payments for the connection to the engineering networks or costs of the connection established by the network organizations in order to minimize total cost of the connection.
2.     Determination of opportunity to include the actions aimed at constructing (reconstructing) the engineering infrastructure objects on the Foundation's land plots into the investment programs of natural monopoly entities (JSC "Gazprom", JSC "FSK EUS", JSC "Russian Grids") and organizations from the utilities complex.
Within the frameworks of the specified action in 2013 the land plot of the Foundation, located in the city of Kurgan, was included to the investment program of the utilities complex organization OJSC "Water Union" of the city of Kurgan.
3. Within the framework of elaboration of opportunity to finance the actions aimed at providing the engineering infrastructure on the Foundation's land plots from funds of regional or local budgets in 2013 the Foundation received the answers from regional and local authorities in respect of 68 land plots, concerning 2 land plots the Foundation received the answers about the opportunity of financing the actions aimed at providing the engineering infrastructure on the Foundation's land plots from funds of different level budgets and grant programs.
4.   Determination of opportunity to use mechanism of public and private partnership under the memorandum of cooperation signed by the Foundation and SC "Bank for Development and Foreign Economic Affairs (Vnesheconombank)" in order to perform the investment activity aimed at providing the Foundation's land plots with the engineering infrastructure in case that the investment projects meet requirements of Vnesheconombank.
Within the frameworks of the specified action the Foundation in 2013 analyzed compliance of the projects of provision of the Foundation's land plots with the engineering infrastructure with the requirements of Vnesheconombank, in respect of each land plot presented at the auction, in order to implement the mechanism of public and private partnership under the memorandum of cooperation signed by the Foundation and Vnesheconombank. Results of the analysis showed that no projects of provision of the Foundation's land plots with the engineering infrastructure met the requirements of Vnesheconombank.
5. Investment activity aimed at providing the Foundation's land plots with the engineering infrastructure in  accordance with the Decision–Taking Procedure concerning investment activities of the Russian Housing Development Foundation related to provision of the land plots with the engineering infrastructure which is required for implementation of housing construction projects and projects of construction of the objects on production of construction materials, items and structures for the purpose of housing construction, approved by the supervisory board of the Foundation (Minutes No.54 dated 06.10.2011).
In 2013 the investment activity aimed at providing the Foundation's land plots with the engineering infrastructure was carried out in accordance with the program of investment activities of the Foundation for 2013 .
In order to work out the unified methods of providing the Foundation's land plots with the engineering infrastructure objects in 2013 the Foundation and JSC "MRSK Holding" signed the revised cooperation regulations concerning technological connection of the power receivers on the Foundation's land plots and inclusion of the actions aimed at technological connection of the power receivers on the Foundation's land plots into investment programs of "Holding MRSK" JSC.
The revised edition of the regulations provides shortening terms of submission by JSC "Holding MRSK" of information of a possibility of grid connection from 30 calendar days to 15 business days, supervises an activity of subsidiary and related companies of JSC "Holding MRSK" regarding preparation of contracts and specifications, and coordinates activity of developers and subsidiary and related companies of JSC "Holding MRSK" for construction of the capital construction objects construction objects within the framework of the concluded agreements.
Within the frameworks of the cooperation agreement concluded between the Foundation and "Holding MRSK" JSC on the implementation of the Federal Law No. 161-FZ the investment program of the «MOESK» JSC included the actions aimed at designing and construction of the substation 110 kV "Polyanka" for the power supply of the Foundation's land plots, located at the address: Moscow region, Istrinskiy district, the city of Istra, eastern part. In January 2013 the substation 110 kV "Polyanka" was commissioned.
The Foundation received individual technical conditions for connection to the grids of JSC "Dalnevostochnaya energeticheskaya upravlyayuschaya kompaniya" from the substation 35/10 kV "Okeanarium" of the housing construction objects of HCC "Ostrov", located and the address: Primorsky Krai, city of Vladivostok, island of Russkiy.
Within the framework of implementation of the agreement between the Foundation and JSC "Gazprom" the cooperation was established with the Department for Relations with the Russian Federation Authorities of JSC "Gazprom".
In 2013 the joint working group of the Foundation and JSC "Gazprom" reviewed the possibilities of gas supply of the Foundation's land plots, located ad the following addresses:
– Nizhny Novgorod Region, Bogorodskiy district, settlement of Novinki;
– the Republic of Bashkortostan, Ufa region;
– Novosibirsk Region, Novosibirsk district, Municipality “Novolugovskoy village soviet”, Municipality “Plotnikovsky village soviet”, CJSC Agrofirm “Inya”.
Besides, with the Foundation's assistance, in 2013 the favorable conclusions were made on a possibility of gas supply at the first stage of construction (till 2016) to plots situated at the addresses:  Nizhny Novgorod Region, Bogorodskiy district, settlement of Novinki.
Within the framework of cooperation between the Foundation and JSC «Gazprom gazoraspredelenie», in 2013 the actions were made to improve the regulations procedures concerning the cooperation with gas distributing organizations aiming to shorten the terms of submission of specifications of connection (conclusions on technical possibility of gas supply) of the capital construction objects to gas distributing networks on the Foundation's land plots.
In 2013 the Foundation concluded the agreement with JSC "RusHydro" on interaction in realization of Law No.161–FZ providing the cooperation of the parties concerning the development of water supply and water discharge systems at the Foundation's land plots.

1.2.4. Appraisal of land plots for closing transactions and making management decisions

In 2013 the appraisal organizations, which were selected according to the results of tenders for right to conclude contracts for property value appraisal services for the Foundation's needs, drew up 419 appraisal reports, including:
– 106 appraisal reports on market value of land plots for the determination of the initial price of the announced auction for sale of the right of conclusion of the lease agreement as to the land plot for its integrated development for purposes of housing construction, including for the purposes of the determination of the lease payment amount market value for a land plot for transferring it into lease for its integrated development for economy class housing and other housing construction purposes at minimal required volume, with the winner's commitment of a sale of low-income housing at a minimal required level at fixed price according to the Law No. 161-FZ;
– 15 appraisal reports on market value of the annual rent payment for land plots for the purpose of determination of initial price of the auctions for sale of the right of conclusion of the lease agreement as to the land plot for placement of the facilities intended for the production of construction materials, products, structures for housing purposes;
– 41 appraisal reports on market value of land plots including those with real estate objects located on them, for the determination of the initial price of the auctions for sale of right to the land plots in accordance with the procedures established by the legislation on privatization including for the purpose of buyout of the land plots;
– 194 appraisal reports on market value of land plots and other real estate objects, being in the federal ownership for formation of the Foundation’s property;
– 49 appraisal reports on market value of land plots for the purposes of determination of the taxation basis when transferring the Foundation's property into the gratuitous fixed-term use, defining the amount of easement payment, the market value of the right to use the sets of re-use design documents, and defining the lease payment for the plot when transferring into the gratuitous fixed-term use for economy class housing construction (or for its integrated development for such housing construction) with the winner's commitment of a sale of such housing at a minimal required level at fixed price.
– 14 appraisal reports on investment value of the land plots of the Foundation for the purpose of acceptance of the decisions concerning the Foundation's investment activities aimed at providing the land plots with the engineering infrastructure which is required for implementation of housing construction projects and projects of construction of the objects meant for production of construction materials, items and structures for the purpose of housing construction.
In order to carry out additional control over the compliance of the appraisal reports, for the purpose of determination of the initial price of the auction and for other purposes, with the requirements of the legislation of the Russian Federation concerning appraisal activity the expert examination of 174 appraisal reports was carried out in the self-regulating organization of appraisers under the Foundation's order in 2013.
The reports made for the purpose of registration of land plots, including those with real estate objects on them, in the books of the Foundation and for the taxation purposes were verified by employees of the Foundation.

1.2.5. Land plot promotion

In order to increase number of potential investors participating in the auctions the Foundation in 2013
– prepared promotion programs in respect of all land plots presented at the auctions;
– signed the agreements on information exchange with a consulting company, working at the real estate market, and 4 self–regulatory organizations, construction associations and regional mortgage operators, with the assistance of which it implemented the specified programs.
When implementing the promotion programs the Foundation in 2013:
1.        Formed the database of target groups of potential investors which consists of more than 4 000 contacts.
2.        Prepared and sent the presentation materials in respect of the land plots of the Foundation to the targeted groups of potential investors, state authorities of the constituent entities of the Russian Federation and local self–government authorities.
3.        Conducted presentations of the Foundation's land plots in the constituent entities of the Russian Federation and organized Internet–conferences with the regional construction organizations.
4.        Organized conduct of 43 round–table discussion (road–show) in respect of 146 land plots of the Foundation, in which the potential investors, representatives of the state authorities of the constituent entities of the Russian Federation, local self–government authorities, natural monopoly entities, banks, OJSC "AIZhK" participated. During the conduct of the round–table discussions (road–show) the following were the main issues under discussion:
– mechanism of cooperation of the Foundation, state authorities of the constituent entities of the Russian Federation, local self–government authorities under the complex development of land plots;
– procedure and opportunity to provide the Foundation's land plots with the engineering, social and transport infrastructure;
– procedure for financing construction projects on the Foundation's land plots by the banks;
– procedure for submitting the design and engineering documentation being the part of the documents kept in the library in the sphere of housing construction of the Russian Housing Development Foundation (hereinafter referred to as – Foundation's Library);
– procedure for submitting the documents for participation in the Foundation's auctions and analysis of standard mistakes made by the participants of the Foundation's auctions when preparing such documents.

1.3. Granting of land plots for the purpose of housing construction and other construction

According to the Federal Service for Registration, Cadastre and Cartography (Rosreestr) in 2013 the total area of land plots allocated at auctions by all public owners and by the Foundation for the purposes of housing construction amounted to approximately 8,393 ha.
Thus:
– 4,861 ha were granted on the basis of the results of the auctions of the state authorities of the Russian Federation, the state authorities of the constituent entities of the Russia Federation and local self-government authorities;
– 3,532 ha were provided as the result of the auctions held by the Foundation.
Thus, the total area of land plots provided by the Foundation in 2013 for housing construction purposes accounted for 42% of the total area of land plots granted for housing construction at auctions in the Russian Federation (in 2012 - 30.6%, in 2011 - 20 %).

1.3.1. Granting of land plots of the Foundation at the auctions

In 2013, the Foundation put at the auctions:
– for housing construction, including those for integrated development for the purposes of housing construction, – 103 land plots with total area of 2,853 ha;
– for placement of the facilities intended for production of construction materials, products and structures for housing construction, 12 land plots with total area of 105 ha;
– 23 land plots with total area of 105 hectares for other construction (including real estate objects, together with the land plots on which such objects are located).
In 2013 the Foundation also held auctions for allocation of land plots for integrated development for the construction of economy class housing with the commitment of the developers to sell the residential premises at a fixed price, based on the results of which:
– 4 land plots with total area of 75 ha were leased out,
– 24 land plots with total area of 343 ha were transferred for gratuitous fixed-term use.
In 2013 the Law No. 161-FZ was amended in terms of provision of the Foundation with a possibility to hold auctions for the right to enter into contracts for lease of the Foundation’s land plots for construction of economy class housing in the required minimum amount, including for their integrated development for the purposes of construction of the economy class housing in the required minimum amount.
In 2013 the Foundation held the first auction for the right to enter into contract for lease of three land plots with total area of 103 ha in the Cossack village of Elizavetinskaya of the Krasnodar Territory with the commitment of the developer to construct the economy class housing and other housing in the required minimum amount.
As of December 31, 2013 the Foundation has held auctions with the commitment of the developers to sell the residential premises at a fixed price in respect of 33 Foundation’s land plots with total area of 559.67 ha, located in 19 constituent entities of the Russian Federation . According to the results of such auctions the minimum total volume of economy class housing planned to be constructed within the land plots is 775,336 square meters, the total number of the residential premises to be sold at a fixed price is 12,693.
According to the results of the actions with a commitment of the developers to sell the residential premises at a fixed price held by the Foundation the cost of 1 square meter of the total area of economy class housing compared with the average prices for medium quality (typical) housing on the primary market according to the data provided by the Federal State Statistics Service for IV quarter of 2013 was reduced by 22% on average.

1.3.2. Gratuitous transfer of land plots to cooperatives established from among individual categories of citizens

Based on the experience of implementation of pilot projects on establishment of housing construction cooperatives in 2012 and preparatory activities carried out in 2013, as of December 31, 2013 82 projects on establishment of housing construction cooperatives had a various degree of completion in 40 constituent entities of the Russian Federation .
During the years 2012-2013 the Supervisory Board of the Foundation has decided to transfer the Foundation’s land plots with total area of 301.41 ha to 24 housing construction cooperatives in 16 constituent entities of the Russian Federation for gratuitous fixed-term use .
In 2013 the Supervisory Board of the Foundation decided to transfer the Foundation’s land plots with total area of 158 ha to 21 housing construction cooperatives for gratuitous fixed-term use.
In 2013 contracts for the gratuitous fixed-term use of the Foundation’s land plots with total area of 91.7969 ha were entered into (duly registered) with five housing construction cooperatives.

1.3.3. Gratuitous transfer of land plots into the state or municipal ownership

In 2013 in accordance with the approved action plans in relation to development of land plots the Foundation continued its work related to gratuitous transfer of land plots into the state or municipal ownership.
In 2013 the contracts for gratuitous transfer of 106 land plots with total area of 344.61 ha located in 10 constituent entities of the Russian Federation into the state or municipal ownership were registered, including:

  • to locate pre-school, primary and secondary education institutions;
  • to locate housing and utilities;
  • to locate facilities to improve the territories of general use.

In 2013 they register the Foundation’s waivers of the ownership of 30 land plots with total area of 34,0639 ha located in 6 constituent entities of the Russian Federation, on which the apartment houses have been constructed and commissioned.

2. Monitoring of land plots development

Analysis of the data resulted from the Foundation’s monitoring of development of the land plots involved by the Foundation into turnover within the period from 2008 to 2013 showed the following.
The Government Commission has made decisions to involve in the turnover the land plots for housing construction with total area of 25 341.85 ha, including:
– in respect of 10,762.02 ha (42%) the exercising of the powers of the Russian Federation in relation to management and disposal of the land plots being in federal ownership have been transferred to the state authorities of the constituent entities of the Russian Federation;

  • 14,579.83 ha (58%) have been transferred into the Foundation’s ownership.

The total area of land plots granted for housing construction amounted to 12,428.47 ha,

  • 9,678.57 ha (78%) of which was provided by the Foundation;
  • 2,749.9 ha (22%) of which was provided by the constituent entities of the Russian Federation to which the powers of the Russian Federation related to management and disposal of the land plots being in federal ownership have been transferred.

Thus, the total area of land plots granted by the Foundation is 3.5 times bigger than the total area of the same provided by the constituent entities of the Russian Federation which was conferred with the powers of the Russian Federation related to management and disposal of the land plots being in federal ownership.
The total volume of housing that was put into operation amounted to 2.36 million square meters, including:
– 2.27 million sq. m. (96%) – on the Foundation’s land plots;
– 0.09 million sq. m. (4 %) – on the land plots the powers of the Russian Federation related to management and disposal of which have been transferred to the state authorities of the constituent entities of the Russian Federation.
Thus, the total volume of housing that was put into operation on the Foundation’s land plots is 25 times larger than the same of the housing that was put into operation on the land plots the powers of the Russian Federation related to management and disposal of which have been transferred to the state authorities of the constituent entities of the Russian Federation.

2.1. Monitoring of development of the Foundation’s land plots granted at the auctions, control of compliance of auctions winners with the terms and conditions of lease contracts

To ensure timely commissioning of the planned volume of housing that meets the requirements of economy, environmental friendliness, energy efficiency and comfort as well as to reduce the time period of performance of the works stages established by the action plans aimed at developing the land plots, in 2013 the Foundation monitored the development of land plots in the following main areas:
1. Coordination of actions taken by the developers, state authorities of the constituent entities of the Russian Federation, municipal bodies, entities of natural monopolies and public utility sector companies, as result of which and with the assistance of the Foundation:
– 30 sets of documents for planning the territory with total area of 1 832,99 ha in 20 constituent entities of the Russian Federation were approved;
– the design was performed and building permits for construction of 464 residential houses with total area of 2.76 million. sq. m. in 23 constituent entities of the Russian Federation were obtained;
– 86 residential houses with total area of 1.255 million sq. m. in 13 constituent entities of the Russian Federation as well as two children’s gardens for 135 seats each in the settlement of Zapadny in the Chelyabinsk Region were put into operation;
2. Minimization of terms of development and approval of urban planning documentation.
Under coordination of the Foundation on average within the framework of the projects implemented on the land plots provided by the Foundation for integrated development for the purposes of housing construction, the time period from the date of signing the lease contract to commissioning of the first phase construction was reduced by 2.2 times compared to similar projects being implemented without the participation of the Foundation.
Medium implementation period of the projects from the date of signing the lease contract to commissioning of the first phase construction is 2.4 years for the land plots provided by the Foundation; 5.3 years-for the similar projects implemented within the industry without the participation of the Foundation.
Urban planning documentation development term for the Foundation’s land plots from the date of signing the lease contract till the receipt by the developers of administrative document regarding the approval of the documentation related to territory planning is an average of 10.2 months which is by 1.76 times less than those for the similar projects implemented without the participation of the Foundation. As for the projects implemented without the participation of the Foundation the average term at the same stage is 18 months.
Closing date for receipt of the permit documentation for construction of the first stage (phase) objects from the date of approval of the urban planning documentation till obtaining of the permit for construction of the first phase objects in relation to the projects implemented on the Foundation’s land plots is an average of 5.8 months, which is by 3.56 times less than the same for the similar projects implemented without the participation of the Foundation. As for the projects implemented without the participation of the Foundation the average term at the same stage is 20.7 months.
Medium term of the process stage from the date of obtaining the permit for the first phase construction till obtaining the permit for commissioning in relation to the projects implemented on the Foundation’s land plots is 12.6 months, which is 2 times less than the same for the similar projects implemented without the participation of the Foundation. As for the projects implemented without the participation of the Foundation the average term at the same stage is 25.3 months.
3. Quality control of the construction and installation works performed by the developer is carried out by:
– ensuring visual control using web cameras with the ability to broadcast the video of 31 sites where the integrated development projects are implemented on the official website of the Foundation and on the websites of the project developers;
– sending the Foundation’s employees on mission to the working sites (construction sites);
– shooting the progress of the works and by carrying out photo monitoring of the projects implementation.
4. Control of preparation of design documentation of residential houses including with regard to the main requirements established by the Foundation as part of the auction documentation.
In order to strengthen the technical control of the projects in 2013 an independent examination of the design documentation of 20 housing construction objects with the engagement by the Foundation of  a specialized organization, which is a member of SRO (self-regulatory organization) and which has authorization to perform works according to the List of works related to the engineering survey, related to the preparation of design documentation, to construction, reconstruction, repair of capital construction facilities that affect the safety of capital construction facilities approved by the Order No. 624 of the Russian Ministry of Regional Development dated December 30, 2009 was conducted. The examination was conducted to check compliance of the design documentation with the requirements established by the lease contract, with the characteristics of economy class housing, engineering and technical support, with the requirements for construction materials and construction technologies used. As the result of the examination the opinions on the compliance of the design documentation with the requirements established by the Foundation in the land plots lease contracts are obtained and recommendations for further development of the design documentation in accordance with the Foundation’s requirements are given to the developers.
5. Advisory and methodological support of the developers in respect of the issues of urban development, legal, regulatory and technical nature, including but not limited to the following issues:
- preparation of documentation related to the territory planning, including with regard to the Foundation’s requirements specified in the lease contract;
– surveying of land plots leased for integrated development, formation of land plots from the Foundation’s land plots;
– making changes to the previously approved documentation related to the territory planning, ensuring formation of the land plots in accordance with the amended documentation related to the territory planning;
– order and timing of making the requests and carrying out the procedures required to obtain the technical conditions to be connected to the utilities, including taking into account the specific character of individual regions, optimization of conditions for connection to the utilities;
– execution of as-built documentation related to the demolition of real estate objects to be carried out under the lease contract;
– procedure for preparation of the design documentation, conducting of state examination thereof and the procedure for preparation of the documents required to obtain the construction (building) permit;
– peculiarities of registration of property rights of individuals to residential premises and land plots when carrying out an individual and terraced house development within the Foundation’s land plots;
– peculiarities of transfer of ownership of the land plots when commissioning the apartment residential buildings.
6. Carrying out control over the auctions winners’ compliance with the terms and conditions of lease contracts.
In 2013 the Foundation continued to carry out control over the auctions winners’ compliance with the terms and conditions of lease contracts on the basis of the following:
– Procedure for interaction of the management bodies of the Russian Housing Development Foundation, its structural subdivisions, branches and representative offices during organization and conduct of the auctions for the sale of land plots, rights to enter into land plots lease contracts as well as auctions for the right to enter into contracts for  gratuitous fixed term use of the land plots, contracts for lease of the land plots for construction of economy class housing , including for their integrated development for the purpose of construction of such housing, approved by the Supervisory Board of the Foundation (Minutes No. 22 dated March 19, 2010), with the amendments approved by the Supervisory Board of the Foundation (Minutes No. 44 dated April 11, 2011, No. 58 dated December 13, 2011, No. 60 dated February 17, 2012, No. 78 dated February 14, 2013);
– regulations on work with debtors failing to fulfill or improperly fulfilling their obligations under the lease contracts, contracts for purchase and sale and gratuitous fixed-term use of the land plots of the Russian Housing Development Foundation, approved by the management board of the Foundation (Minutes No. 101 dated November 13, 2012).
Due to breach by the lessees of the lease contracts of the land plots in 2013 the Foundation provided to the lessees 94 requests to pay penalties, including:
– 39 ones for breaching of lease payments terms under the land plots lease contracts for their integrated development for the purpose of housing construction as well as under the land plots lease contracts for placement of the objects intended for production of construction materials, products and structures for the purposes of housing construction;
– 33 for violation of the deadline for submission of irrevocable bank guarantees terms under the land plots lease contracts for their integrated development for the purpose of housing construction as well as under the land plots lease contracts for placement of the objects intended  for production of construction materials, products and structures for the purposes of housing construction;
– 21 one for violation of terms of changing the type of the permitted use of the land plots in accordance with the approved territory surveying projects and with the purposes of the land provision;
–  1 for failing to comply with the terms established for preparation and duly approval of the documentation related to the territory planning within the land plots boundaries.
Moreover, in 2013 the Foundation provided the lessees with 16 claims to settle the arrears in respect of lease payments, to provide the irrevocable bank guarantees, to pay penalties for breaching the deadlines established for making lease payments and provision of irrevocable bank guarantees.
In 2013 the Foundation filed 98 claims to the Arbitration Court in connection with breach by the lessees of the terms and conditions of the contracts for lease of the Foundation’s land plots, including:
– 16 claims requiring the termination of lease contracts, collection of rent arrears, payment penalties for breaching the deadlines established for lease payments, provision of an irrevocable bank guarantee;
–  82 claims requiring collection of rent arrears and (or) payment of penalties.
The Foundation's requirements under 86 claims were satisfied by the decisions passed by the arbitration courts of the first instance, 12 claims are pending.
In 2013, in accordance with the decisions passed by the court, as well as on a voluntary basis in accordance with the requests, claims or lawsuits provided, the lessees paid 148.7 million rubles, including:
– rent arrears in the amount of 144.6 million rubles;
–  penalties for violation of obligations under the contracts for lease of the land plots for integrated development thereof for the purposes of housing construction in the amount of 4.1 million rubles.

2.2. Monitoring of the provision and development of land plots, the exercise of powers of the Russian Federation related to management and disposal of which is transferred to the state authorities of the constituent entities of the Russian Federation

In 2013 The Government Commission made decisions regarding expediency of vesting the state authorities of the constituent entities of the Russian Federation with the powers of the Russian Federation provided for paragraphs 1 - 8 Part 1 of Article 13 of the Law No. 161-FZ, in relation to 128 land plots with total area of 2,991.5 ha, located in 25 constituent entities of the Russian Federation , including  68 land plots with total area of 2,326.9 ha to be provided to the citizens having three or more children in future.
In 2013 the Government Commission amended the decisions that had been taken earlier regarding expediency of transfer to the state authorities of 4 constituent entities of the Russian Federation of the exercise of powers of the Russian Federation related to management and disposal of eight land plots with total area of 154.7 hectares with regard to changing the intended use of the land plots from “for integrated development for the purposes of housing construction” into “for the purposes of providing the economy class housing   (individual construction housing) to citizens having  three or more children on a gratuitous basis”,  as well as one land plot with an area of 10 hectares (the Republic of North Ossetia - Alania ) with regard to changing the intended use of the land plot from “for integrated development for the purposes of housing construction” into “for the purpose of transfer to the housing construction cooperative”.
In accordance with paragraph 9 Part 2 of Article 3 of the Law No. 161-FZ the Foundation shall monitor the exercising by the state authorities of the constituent entities of the Russian Federation of the delegated powers of the Russian Federation related to management and disposal of the land plots and other real estate objects being in the federal ownership.
The said monitoring is carried out on the basis of the reports submitted by the state authorities of the constituent entities of the Russian Federation to the Ministry of Economic Development of Russia on a quarterly basis (a copy is provided to the Foundation), the forms of monitoring of exercising by the state authorities of the constituent entities of the Russian Federation of powers to manage and dispose of the land plots and documents confirming the implementation of such powers.
In 2013 the state authorities of 17constituent entities of the Russian Federation was granted 2,942 land plots with total area of 1,824.64 ha, including:
– for housing construction – 2,935 land plots with total area of 1,804.8 ha, including to the citizens having three or more children- 2,878 land plots with total area of 380.83 ha ; for integrated development for the purposes of housing construction-19 land plots with total area of 1,404.86 ha; to housing construction cooperatives- 4 land plots with total area of 12.2 ha located in the Voronezh Region and in the Republic of North Ossetia - Alania;
– to locate research and technology park - 3 land plots with total area of 11.98 hectares located in the Komi Republic and in the city of St. Petersburg;
– to locate social infrastructure objects- 3 land plots with total area of 7.46 ha, located in the Republic of Sakha (Yakutia) and in the Krasnodar Territory;
– to locate the transport infrastructure object - 1 land plot with an area of 0.4 hectares located in the Saratov Region.
The auctions held in respect of 6 land plots with total area of 292.5 ha located in 5 constituent entities of the Russian Federation are recognized invalid.
As of December 31, 2013 the state authorities of the constituent entities of the Russian Federation have not exercised  the powers in respect of 30 land plots with total area of 1,223,49 hectares, including:
– in respect of 17 land plots with total area of 678 ha located in 12 constituent entities of the Russian Federation , they make decisions to transfer them to form the Foundation’s assets;
– in respect of 1 land plot with an area of 8.3 ha (Sverdlovsk  Region) they prepare the proposal of the Foundation regarding its transfer to form the Foundation’s assets to be considered by the Government Commission.
They form 24 separate land plots from 17 ones transferred to the ownership of the Foundation, including:
– 11 land plots with total area of 320 hectares located in 6 constituent entities of the Russian Federation were provided by the Foundation at auctions for housing construction in 2013;

  • in respect of 13 land plots with total area of 358 hectares, located in 7 constituent entities of the Russian Federation , they prepare the proposals to hold auctions for housing constructions.

In 2013 upon the request of the Governor of the Perm Territory the Government Commission decided to early terminate the powers of the Russian Federation related to management and disposal of the land plot with an area of 65.05 hectares intended for integrated development for the purposes of housing construction, that have been previously transferred to the state authorities of the Perm Territory, due to the inability to use it for the said purpose because it is located within the inundation area.
As of December 31, 2013, in accordance with paragraph 7 of Article 14 of the Law No. 161-FZ, which provides for the ability to transfer from the federal ownership into the ownership of the constituent entities of the Russian Federation the land plots in respect of which the powers of the Russian Federation related to management and disposal thereof stipulated by paragraphs 7, 7.1, 7.3 and 8 of Part 1 of Article 13 of the Law No. 161-FZ have been exercised within the prescribed period, 14 land plots with total area of 202.7 hectares, located in 9 constituent entities of the Russian Federation are transferred to the ownership of such constituent entities.

3. The implementation of socially oriented projects by the Foundation       

3.1. Assistance to the housing construction cooperatives created from among individual categories of citizens (the initiative to establish cooperatives, the transfer of land plats for gratuitous fixed-term use, provision of standard design documentation, assistance in the provision with engineering infrastructure)

In 2013 the Foundation continued to implement measures in relation to granting assistance to housing construction cooperatives with state support established from among individual categories of citizens.
In 2013 the Law No. 161-FZ was amended in terms of:
– limit of the maximum cost of all expenses of the cooperative incurred in connection with provision of economy class housing and engineering infrastructure objects based on the cost of 1 square meters of housing established by the authorized federal executive body exercising the functions related to elaboration of public policy and regulatory and legal regulation in the sphere of construction, architecture, urban planning, as of the date of submission of the relevant application;
– reduction of the amount of the original share contribution of cooperative members from 30 to 20 %
– establishing qualification requirements for the persons engaged in the construction and for any persons performing the functions of technical customer;
– reservation of the rights of citizens to join the other housing construction cooperative, if they fail to exercise the right to acquire ownership of the residential premises.
Pursuant to the instructions of the Government of the Russian Federation the Foundation has participated in the development of the following regulatory legal acts of the Government of the Russian Federation:
– Resolution of the Government of the Russian Federation dated No. 324 dated April 10, 2013 in terms of inclusion in the list of citizens eligible to be admitted to the cooperative the citizens having three or more children, regardless of their place of work and employees working for organizations of military and industrial complex;
– Resolution of the Government of the Russian Federation No. 376 dated April 26, 2013 regarding giving to the citizens living within the Primorye Territory the possibility to join the cooperative without regard to the work experience;
– Resolution of the Government of the Russian Federation No. 837 dated September 23, 2013 regarding giving to the young professionals working for organizations of military and industrial complex the possibility to join the cooperative without regard to the work experience.
In 2013, the Foundation continued to provide methodological assistance to the federal executive bodies concerned, to executive bodies of the constituent entities of the Russian Federation and initiative groups of citizens in establishing the housing construction cooperatives in the following areas:
– preparation of draft applications of the federal executive authorities, the state authorities of the constituent entities of the Russian Federation to transfer the land plots to the housing construction cooperatives, as well as of the information and documents necessary to form the list of citizens applying for membership of the housing construction cooperatives;
– preparation of draft constituent documents of the established housing construction cooperatives, the information and documents required to hold general meetings of the founders of the housing construction cooperatives, as well as the information and documents required to transfer the Foundation’s land plots to the housing construction cooperatives;
– preparation of information and explanatory letters to the federal executive authorities, state authorities of the constituent entities of the Russian Federation regarding the procedure for establishing of housing construction cooperatives and regarding their activity;
– initiating projects for the establishment of housing construction cooperatives with state support;
– preparation of the information and documents required for applications to be submitted to the Foundation to transfer the land plots for gratuitous fixed-term use of the cooperatives;
– methodological assistance in the selection by the cooperatives of individuals performing the functions in  relation to engineering survey, architectural and construction design, as well as the functions of the technical customers;
– preparation of the information and documents necessary for the development of special loan products for members of the cooperatives.
In 2013 the Foundation received 56 applications submitted by the federal executive authorities, authorized state authorities of the constituent entities of the Russian Federation to transfer the land plots to housing construction cooperatives . The results of consideration are approved by the Board of the Foundation in respect of all said applications.
According to the said applications, the total area of land plots planned to be transferred to housing construction cooperatives amounted to 362,234 ha. The total number of citizens applying for membership of the said housing construction cooperatives was 5,688 people.
During the year 2012-2013 the Supervisory Board decided to transfer the Foundation’s land plots with total area of 301.41 ha to 24 housing construction cooperatives. The total number of citizens who joined the said cooperatives was 2,527 people.
Given the fact that when carrying out housing construction by housing construction cooperatives with state support, the cost of 1 sq. m. of housing in accordance with the Law No. 161-FZ was fixed in the amount of average market price of 1 sq. m. of the total area of the residential premises in the relevant constituent entity of the Russian Federation, determined by the federal executive body responsible for elaboration of public policy and regulatory and legal regulation in the sphere of socio-economic development of the constituent entities of the Russian Federation as of the date of submission of the relevant application to the Foundation, the cost of 1 square meter of the total area of economy class housing compared with the average prices for medium quality (typical) housing on the primary market according to the data provided by the Federal State Statistics Service for IV quarter of 2013 will be reduced by 23% on average.
The Foundation has participated in the development of special loan products for cooperatives members. In 2013 Sberbank of Russia (OJSC) with the participation of the Foundation developed and approved the terms and conditions of a special loan product for the members of housing construction cooperative “Ostrov” (Primorye Territory, the city of Vladivostok), housing construction cooperative “Stimul” (the Republic of North Ossetia – Alania, the city of Vladikavkaz). The loan products for housing construction cooperatives “Teacher”s House”, “FLAGMAN 2014” (Saratov Region, the city of Saratov), “Oasis” (Krasnodar Territiry) are being developed.
Besides that in 2013 the Foundation monitored the adopted regulatory legal acts of the constituent entities of the Russian Federation regarding approval of the rules to form the lists of citizens eligible to be admitted to the housing construction cooperatives. As of December 31, 2013 the said regulatory legal acts have been adopted in 65 constituent entities of the Russian Federation .

3.2. Assistance in granting of land plots being in the federal ownership to citizens having three or more children

Based on the requests submitted by the state authorities of the constituent entities of the Russian Federation the Foundation has prepared the proposals, and the Government Commission in 2013 made decisions to transfer to the state authorities of the constituent entities of the Russian Federation the exercise of the powers of the Russian Federation to manage and dispose of 76 land plots with total area of 2,481.6 ha located in 20 constituent entities of the Russian Federation (the Republic of Adygea, the Republic of Buryatia, the Mari El Republic and the Chuvash Republic, Astrakhan, Volgograd, Irkutsk, Kaluga, Kirov, Leningrad, Novosibirsk, Pskov, Rostov, Saratov, Smolensk and Tyumen Regions, Trans-Baikal, Krasnodar, Perm and Stavropol Territories), to be provided to the citizens having three or more children on a gratuitous basis which will ensure that 23,993 families will have a housing.
In 2013 the geography of the land plots becoming involved by the Foundation in the turnover in order to be provided to the citizens having three or more children on a gratuitous basis, has been expanded at the expense of involvement of the land plots located in 12 constituent entities of the Russian Federation (Astrakhan, Kaluga, Leningrad, Novosibirsk, Saratov and Smolensk Regions, in the Trans-Baikal, Krasnodar, Stavropol Territories, in the Republics of Adygea, Buryatia and in the Chuvash Republic).
In total as of December 31, 2013  the Government Commission made decisions regarding expediency of vesting the state authorities of 37 constituent entities of the Russian Federation (Amur, Arkhangelsk, Astrakhan, Volgograd, Vologda, Ivanovo, Irkutsk, Kaluga, Kirov, Kostroma, Kursk, Leningrad, Lipetsk, Nizhny Novgorod, Novosibirsk, Pskov, Rostov, Saratov, Sverdlovsk, Smolensk, Tambov, Tyumen Chelyabinsk and Regions, Trans-Baikal, Krasnodar, Perm, Stavropol and Khabarovsk Territory, the Republic of Adygea, the Republic of Buryatia, the Republic of Karelia, the Mari El the Republic, the Tyva Republic, the Republic of Khakassia, the Chuvash and Udmurt Republic, the Khanty-Mansi Autonomous District) with the powers of the Russian Federation related to management and disposal of 186 land plots with total area of 6,994.98 ha in order to be provided to citizens having three or more children on a gratuitous basis, which will ensure that for 56,397 families having  many children has a housing.
In accordance with the reporting documents on exercising of the powers of the Russian Federation related to management and disposal of the land plots being in the federal ownership submitted by the state authorities of the constituent entities of the Russian Federation, as of December 31, 2013 the state authorities of 5 constituent entities of the Russian Federation (Perm Region, the Republic of Khakassia, the Mari El Republic, Tambov and Lipetsk Regions) have transferred 2,878 newly formed land plots with total area of 380.83 ha to large families for individual housing construction.
As for the land plots with total area of 6,614.15 hectares, the state authorities of the constituent entities of the Russian Federation carry out activities related to the development and approval of the territory planning projects and provision of the land plots with engineering infrastructure objects for subsequent transfer of the same to citizens having three or more children.
The planned term of provision of such land plots for large families: the second half of 2014 - 2015.

3.3. Rendering assistance to the construction of student dormitories

In accordance with the Law No. 161-FZ the Foundation carries out:
– transfer for the gratuitous fixed-term use of the Foundation’s land plots designated for construction of dormitories needed to ensure the educational process in the federal state government educational institutions of higher education and secondary professional education, for the period of construction of such dormitories;
– gratuitous transfer of the Foundation’s land plots into the state or municipal ownership (including with the Foundation’s  real estate objects located on them) occupied by the dormitories being in state or municipal ownership and necessary to ensure the educational process in the state or municipal educational institutions of higher education and  secondary professional education or intended to locate such dormitories.
In accordance with the Procedure of interaction of the Foundation’s management bodies , its structural subdivisions, branches and representative offices during the selection of land plots for the purpose of their further transfer for construction of dormitories necessary for ensuring the educational process in in the federal state government educational institutions of higher education and secondary professional education, and when transferring the Foundation’s land plots intended for construction of such dormitories for gratuitous fixed-term use, approved by the Supervisory Board in 2013, such provision shall be carried out on the basis of the relevant application submitted by the federal state government educational institution of higher education and secondary professional education provided that the financing of a student’s dormitory is carried out at the expense of the federal budget.
While carrying out the work to assist higher educational institutions in the selection of land plats for construction of student dormitories there were no applications received from the said institutions.

3.4. The Foundation’s assistance while implementing the housing construction projects for the purposes of lease (“rental housing”)

Subject to subparagraph “d” of paragraph 2 of the Decree of the President of the Russian Federation No. 600 dated  May 07, 2012 “On measures to provide the citizens of the Russian Federation with affordable and comfortable housing and to improve the quality of housing and utilities services” the Government of the Russian Federation together with the executive authorities of the Russian Federation have been instructed to ensure the formation of affordable rental housing market and to develop non-profit housing stock for people with low incomes before January 2013.
In order to implement paragraphs 1 and 4 of the Schedule of events to form affordable rental housing market and to develop non-profit housing stock for people with low incomes, approved by the Decree of the Government of the Russian Federation No. 1556 – p dated August 29, 2012 the draft Federal Law No. 197376-6 “On Amendments to the Housing Code of the Russian Federation and certain legislative acts of the Russian Federation regarding legislative regulation of relations in terms of residential premises lease in the housing stock of non-profit use”, adopted by the State Duma of the Federal Assembly of the Russian Federation in the first reading on March 22, 2013, was elaborated.
The Foundation’s representatives have participated in the revision of the draft Federal Law No. 197376-6 for the second reading being included in the working group of the State Duma Committee on Housing Policy and Housing and Utilities Sector for the preparation of proposals to carry out legislative regulation in the area of provision of the citizens with residential premises on non-commercial terms of lease.
The draft Federal Law “On Amendments to the Housing Code of the Russian Federation and certain legislative acts of the Russian Federation regarding legislative regulation of relations in terms of non-profit lease of residential premises” provides for making amendments to the Civil and Housing Codes of the Russian Federation in terms of improving the management of the Institute of residential premises rental, introduction of  status of “rental house” and legal regime of use of the rental house, the land plot occupied by such rental house and residential premises in such a house, in terms of determining the categories of tenants under a non-profit lease contract to provide with the residential premises the citizens who may not acquire the ownership of the residential premise at market prices at the expense of their own funds or borrowings. The law in draft makes changes to the Town-Planning Code of the Russian Federation in terms of establishment of the procedure for organizing and holding the auctions for the right to enter into contract for the construction and operation of the rental house of profit use, contract for the construction and operation of the rental house of non-profit use; to the Land Code of the Russian Federation in terms of establishment of features for allocation of land plots being in state and municipal ownership, for the construction of rental houses; to the other federal laws in terms of improvement of the tariff policy for the provision of public services in the housing stock of non-profit use.
The Foundation has prepared a proposal to amend the Law No. 161- FZ in terms of determining the mechanism of granting of the land plots transferred to the ownership of the Foundation for the construction of rental houses provided to the address of the State Construction Committee by letter No. AÁ-22/3889 dated May 21, 2013.
After adoption of the draft Federal Law “On Amendments to the Housing Code of the Russian Federation and certain legislative acts of the Russian Federation regarding legislative regulation of relations in terms of non-profit lease of residential premises” the State Duma of the Federal Assembly of the Russian Federation and the Foundation will examine the provisions of the Federal Law in order to make amendments to the Law No. 161- FZ in terms of establishment of the procedure for granting by the Foundation of land plots for the construction and operation of the rental houses of non-profit and profit use as well as rendering the Foundation’s assistance in providing such land plots with engineering infrastructure, provision of architectural design projects and standard design documentation of housing construction objects (right of their use ), owned by the Foundation on a gratuitous basis, other forms of the Foundation’s assistance in developing the rental housing market.
For the purposes of legal assessment of the above Foundation’s proposals to amend the applicable laws of the Russian Federation, the Foundation has entered into contract No. 67/D-139 dated November 29, 2013 with the Institute of Comparative Legislation and Jurisprudence under the Government of the Russian Federation for the provision of the consulting services in relation to preparation of the science and legal opinions on the proposals of the Foundation to amend the law No. 161 - FZ in terms of the issues concerning regulation of relations to ensure the target use of the Foundation’s land plots provided to the specialized organizations for the construction of rental houses, relationship connected with transfer by the Foundation of the right to use the design documentation, as well as to protect the property interests of the Foundation in the case of misuse of the Foundation’s land plots, other property provided for the construction and operation of rental houses, or misuse of rental houses or residential premises within such houses built on the land plots of the Foundation, as well as in terms of other issues related to the activities of the Foundation in connection with the assistance in the rental market development.

4. Rendering assistance in developing construction materials and construction technologies

In 2013 the Foundation, in order to locate the facilities for production of construction materials, products and structures for housing construction purposes involved 11 land plots in the turnover and provided at the auctions 12 land plots on which they plan to locate the enterprises for the production of light steel thin-walled structures, cement board units, thermal insulation materials, concrete products, interior doors, concrete products, profiled galvanized steel, slag concrete blocks and concrete.
In 2013 the Foundation received data from 83 constituent entities of the Russian Federation on plans to implement the investment projects for establishment of enterprises producing the construction materials, products, structures for the period of the year 2013-2015, which were used by the Foundation:
– when carrying out the directed search (target selection) of the land plots being in federal ownership to prepare proposals for their involvement in the turnover in 2013-2015;
- when conducting analysis of quantitative and qualitative parameters of the need for new enterprises for the production of construction materials, products and structures and determining the amount of the deficit according to the types of construction products;
– to enter into the Uniform Information Analytical System (UIAS) of the Foundation (hereinafter referred to as the “Foundation’s UIAS) the data on such indicators as production and consumption balance of basic construction materials, existing capacity as per the main types of construction materials, as well as forecasting the demand for new production facilities, advanced technologies of production of construction materials, products and structures, primary security of the regions.

5. Assistance in establishing of clusters   

In 2013 the Foundation assisted in creating the housing and industrial clusters on the Foundation’s land plots located in the Krasnodar and Primorye Territories, as well as in the Novosibirsk and Ulyanovsk Regions.
The projects on construction of the enterprises producing construction materials, products and structures for the purposes of housing construction on the Foundation’s land plots situated in the Iskitim District of the Novosibirsk Region are at different stages of implementation:
- on a plot with an area of 6 ha which was granted by the Foundation at auction in December 2009, the construction of a plant for the production of autoclaved aerated concrete is completed. The estimated capacity is 470 thousand cubic meters of aerated concrete per year (360 thousand square meters of housing per year). Range of products manufactured: wall blocks, floor slabs, staircases, window lintels. In September 2012 the plant for the production of autoclaved aerated concrete was put into operation ;
- on a plot with an area of 3 ha which was granted by the Foundation at auction in April 2011 the construction of a plant for the production of lime is completed. The estimated capacity is 60 thousand tons of lime per year. Range of products manufactured: lime for the production of construction materials, products and structures. In November 2013 the lime burning department was put into operation;
- on a plot with an area of 3 ha which was granted by the Foundation at auction in April 2012, the construction of a plant for the production of elements and precast reinforced concrete housing building structures is carried out. The estimated capacity is 120 thousand square meters of housing per year. Range of products manufactured: piles, columns, floor beams, joists, wall panels, diaphragms, pipes, wells, elements of land improvement. Expected date of commissioning of the plant - September 2015;
– on a plot with an area of 7.5 ha which was granted by the Foundation at auction in May 2013, they plan to build a plant for the production of (basalt) mineral wool insulation. The project capacity of the first stage of production is 350 thousand cubic meters of finished products. Range of products manufactured: rock wool insulation which is used in the manufacture of sandwich panels for insulation of the facades of buildings, basements, roofs, heat insulation of the engineering networks. This project related to establishment of the construction industry enterprise is included in the regional program “Development of construction materials industry and industrial housing enterprises within Novosibirsk region for 2012-2020”. The expected commissioning date - September 2015.
Creation of the said enterprises will allow to provide with the construction materials the construction of at least 480 thousand square meters of housing per year, which is scheduled on the land plots of the Foundation located in the Novosibirsk District of the Novosibirsk Region granted for integrated development for the purposes of housing construction, including:
- on the land plot located at the address: Novosibirsk Region, the village of Yuny Leninets, with total area of 71.4 ha (development volume is 61 thousand square meters);
- on the land plot located at the address: Novosibirsk Region, the town of Krasnoobsk, with total area of 24.76 ha (the Yuny Leninets project, development volume is 80 thousand square meters);
- on the land plot located at the address: Novosibirsk Region, the settlement of Kainskaya Zaimka, with total area of 86 ha (development volume is 92 thousand square meters);
- on the land plot located at the address: Novosibirsk Region, the village of Michurinsky, with total area of 228 ha (development volume is 381.8 thousand square meters).
Within the Foundation’s land plots with total area of 106.3 hectares located near the settlement of Znamensky and the settlement of Zelenopolsky and Cossack village of Elizavetinskaya of the city of Krasnodar in the Krasnodar Territory, it is expected to implement 14 projects to establish the facilities for the production of construction materials (enterprises for the preparation of metalware for hot-dip galvanizing, plant for the production of heat exchange items for housing and industrial construction, for the production of multiple glass panes, house-building plant for precast reinforced concrete housing construction, manufacturing of metalware, plant producing wiring equipment for housing and industrial construction, production of metal work on piping for objects of housing, industrial and infrastructure construction, production of engineering open hardening reinforced concrete, enterprises producing seam roofing structures with solar power elements). The products of future enterprises will be supplied to the construction sites of the Krasnodar Territory and neighboring regions.
Placement of the above enterprises within the Krasnodar Territory will allow to provide with the construction materials the construction of at least 570 thousand square meters of housing per year, which is scheduled on the land plots of the Foundation granted for integrated development for the purposes of housing construction, including for implementation of the integrated development projects for the purposes of housing construction on 5 land plots of the Foundation located at: Krasnodar Territory, City of Krasnodar, region near the settlement of Znamensky and the settlement of Zelenopolsky with total area of 182.6 hectares (development volume is 500 thousand square meters).
In the Primorye Territory in 2013 on the Foundation’s land plot with an area of 23.4 ha they continued the work on the design and construction of panel frame houses construction (PFH) to ensure construction of economy class housing using innovative technologies (mass production of frame structures durable and energy-saving materials, modern CFRP materials).
Placement of such enterprise in the Primorye Territory will permit to provide with the construction materials the construction of at least 120 thousand square meters of housing per year, which is scheduled on the land plots of the Foundation granted for integrated development for the purposes of housing construction, including for implementation of the integrated development projects for the purposes of housing construction on the Foundation’s land plots located at the following addresses:
– Primorye Territory, City of Vladivostok, Mozhayskaya St., 5, with total area of 163.6 hectares (development volume is 430 thousand square meters);
– Primorye Territory, City of Vladivostok,  the settlement of Trudovoe, with total area of 400,1 ha (development volume is 600 thousand square meters);
– Town of Ussuriysk, the settlement of Timiryazevsky, Volozhenina St., 30 with total area of 35.13 hectares (development volume is thousand square meters).
In June 2013 on the Foundation’s land plot of in the city of Ulyanovsk the capsule was laid in the foundation of the large-panel house construction plant.
Placement of the above enterprise in the Ulyanovsk Region will permit to provide with the construction materials the construction of at least 100 thousand square meters of housing per year, which is scheduled on the land plots of the Foundation granted for integrated development for the purposes of housing construction, including for implementation of the integrated development projects for the purposes of housing construction on the Foundation’s land plots with total area of 93 hectares located at: Ulyanovsk region, Cherdaklinsky District, Town of Dimitrovgrad, as well as it will permit to provide with the construction materials the construction of housing on the other plots.

6. Rendering assistance to activities for territory planning and architectural and constructional designing

6.1. Architectural Contest

In 2013 the Foundation together with the Union of Architects of Russia held the fifth open public contest named after V.L. Glazychev for the best architectural project of low-rise energy-efficient housing of economy class (hereinafter – the Architectural Contest), participants of which elaborated architectural projects of low-rise houses of economy class for climatic conditions of the Volga Federal District.
Applications for participation in the first round of the fifth architectural contest were submitted by 22 design organizations, 18 of them were admitted to participation in the second round.
In the second round of the contest, 11 design organizations presented architectural projects of 24 low-rise dwelling houses.
The winner of the fifth architectural contest was "Workshop of Aleksey Ivanov "Arkhstroydesign ASD" LLC (city of Moscow), which presented the projects of individual low-rise house, a low-rise block development house, as well as low-rise apartment building.
5 design organizations from Kazan, Moscow and Novosibirsk were noted in different categories.
The Foundation entered into license agreements for right to use architectural projects (exclusive licenses) with five design organizations being the winners of the fifth architectural contest.

6.2. Design of housing construction objects, forming of the Foundation Library and granting of the design and engineering documentation from the Foundation Library to the developers without a consideration

The program of activities of the Foundation for 2013 provided for development of at least 12 sets of re-use design documents of low-rise dwelling houses of different types according to results of the fourth architectural contest conducted in 2012.
For the purpose of formation of the Foundation Library according to results of the fourth architectural contest the Foundation in September 2013 entered into 12 contracting agreements for design of low-rise dwelling houses of economy class with design organizations from Novosibirsk, Izhevsk and Volgograd.
According to results of the fifth architectural contest the Foundation in December 2013 entered into 10 contracting agreements for design of low-rise dwelling houses of economy class with design organizations from Moscow, Novosibirsk and Kazan.
An uncompensated issue of design and engineering documentation from the Foundation's Library is effected according to the Procedure for issue of design and engineering documentation, including a typical one (rights to use it), to the developers of objects of residential housing from the Library's stock, the documents in the field of housing construction of the Russian Federal Housing Development Foundation, approved by the Foundation's Supervisory Board (minutes No. 49 dated 12.07.2011).
As of December 31, 2013 the Foundation had received 46 requests for design documentation, including:
-20 requests, pursuant to which 20 sets of design documentation of 13 low-rise houses were issued;
- 18 requests, pursuant to which the projects are planned to be provided in the first six months of 2014;
– 8 requests, pursuant to which the developers are temporarily refused from being provided with design documentation due to the outstanding land rent payments to the Foundation. The documentation is planned to be issued after the said payments are made by the developers.

7. Interaction with financial institutes of development, financial entities

Within the frameworks of the concluded collaboration agreements the Foundation in 2013 continued to interact with financial entities regarding the elaboration of mechanisms of development and financing (crediting) of the projects of housing construction, construction of engineering, social and transport infrastructure objects, as well as construction and modernization of manufacturing capabilities of construction materials industry necessary for construction of economy-class housing, the development of engineering and transport infrastructure of large scale projects, including those for creation of manufacturing centers, industrial parks with various technologies related to issue of construction materials, items and structures, the housing construction projects.
In 2013 the Foundation continued its information interaction with the Mortgage Companies Association (hereinafter referred to as MCA) which provides for conduct of joint conferences, round-table meetings and events with participation of regional operators - members of MCA that facilitated presentation of the Foundation activity in the constituent entities of the Russian Federation, attraction of regional mortgage operators - members of MCA for cooperation in implementation of housing projects on the Foundation's land plots.
In 2013 the Foundation organized participation and presentation of representatives of OJSC "AIZhK" (its regional representatives) and representatives of financial entities during 43 round-table meetings of the Foundation held regarding the implementation of projects of integrated development of the Foundation's land plots, for the purpose of crediting of consumers of economy-class housing and developers, including under the "Stimulus" program of OJSC "AIZhK".
In 2013 the Foundation continued to collaborate with the SC "Bank for Development and Foreign Economic Affairs (Vnesheconombank)" - October 21, 2013 Vnesheconombank and the Foundation entered into the cooperation agreement which replaced the memorandum of cooperation and interaction executed in 2010.
Within the frameworks of the concluded agreement the Foundation continued to perform the activity aimed at informing the winners of auctions held by the Foundation about a possibility and procedure of raising a credit in Vnesheconombank, in the course of which the Foundation in 2013 organized interaction between 3 developers - the winners of auctions held by the Foundation and Vnesheconombank concerning the agreement of conditions of credit financing and obtaining of borrowed finances for projects to be implemented on the Foundation's land plots.
The Foundation also actively participates in development of new directions in facilitation of housing construction development.
Thus, in 2012 OJSC "Sberbank of Russia", together with the Foundation, elaborated a special mortgage product for participants of pilot project for establishment of the housing construction cooperative "Sigma" from among young scientists and employees of the Siberian Branch of RAS. This program takes into account peculiarities of solvency of such category of borrowers. In such case, an initial payment on credit is 10% of the price of housing, the interest rates are preferential. An additional peculiarity of such program is a possibility to obtain credit in several tranches, by realizing of stages of housing construction that enables to decrease significantly the interest burden on borrower.
Based on such experience, in I quarter of 2013, OJSC "Sberbank of Russia" approved the special mortgage product for participants of the housing and construction cooperative "Ostrov" providing for financing on a phased basis.
The important circumstances is the fact that after development of the said credit products the alternate credit products were offered by other banks (for example, VTB-24), that resulted in creation of the competitive environment in this segment.
With due consideration of the accumulated experience in 2013 the Foundation continued to provide assistance to the housing construction cooperatives when developing special credit products.
On June 24, 2013, with assistance of the Foundation OJSC "Sberbank of Russia" approved individual conditions of crediting of individual persons - members of the housing construction cooperative "Stimulus" formed of employees of state educational institutions, health care and culture institutions of the Republic of North Ossetia - Alania.
The Foundation also provided assistance in development of the special credit product for academic and teaching employees of higher educational institutions of the city of Saratov who are members of the housing construction cooperatives with government support. Thus, on August 13, 2013 the government of Saratov region entered into the cooperation agreement with OJSC "Sberbank of Russia" aimed at providing housing to employees of the public sector of Saratov region. Within the frameworks of this agreement OJSC "Sberbank of Russia" offered the mortgage lending program to employees of the public sector at low interest rates. Currently for the purposes of development of this agreement the Volga Department of OJSC "Sberbank of Russia" prepares a resolution to provide a credit at preferential rate to the members of the housing construction cooperative «Uchitelskiy dom» and "FLAGMAN 2014" which are formed of employees from the social sphere and teaching staff of higher educational institutions of the city of Saratov.

8. Provision of liabilities for acquisition of economy class residential premises

In 2013 the Foundation planned the reserve for liabilities related to acquisition of dwelling premises in the amount of 100 mln rubles.
In order to reveal the need of the developers, who implement the housing construction projects on the Foundation's land plots, for the liabilities to be provided by the Foundation and related to acquisition of dwelling premises, in 2013 a monitoring was carried out and according to its results no developers, who received a permit for construction activity, expressed their interest in provision of the liabilities by the Foundation which relate to acquisition of dwelling premises.
The analysis showed that the Foundation's liabilities under conditions of persistent demand for economy class housing in local markets were of financial nature rather than a market one. And the Foundation's liabilities related to acquisition of dwelling premises played an indicative role in the housing market which means:

  • for developers - increase of attractiveness of the Foundation's land plots in case of potential opportunity to decrease risks of the market by providing the Foundation's liabilities at any stage of the project implementation - commencing from the stage of receipt of a permit for construction activity and finishing at the commissioning of the housing construction objects;
  • for banks - increase of attractiveness of the projects of housing construction on the Foundation' land plots in case of adoption of a resolution to grant credits to developers.

9. Stimulation of demand for economy class residential property, principally of low-rise type

In order to realize a complex of measures aimed at explaining advantages of low-rise economy class houses, in 2013 the Foundation continued to implement the information campaign resulted in increase of the following indicators in comparison with 2012:
- total number of references in mass media in connection with the theme of low-rise economy class housing and with reference to the Foundation activity increases by 25%;
- a number of experts who expressed in mass media a positive point of view in respect of low-rise economy class housing development in the Russian Federation increased by 17%.
A measure that stimulates the development of economy-class low-rise housing market was the inclusion into the auction documents of the Foundation of requirements to minimal volume of construction, number of storeys, a share of economy-class housing and type of development. In 2013, as the result of the auction held in accordance with specified requirements of auctions, a share of economy-class housing on Foundation's land plots was about 64%, a share of economy-class low-rise housing was over 44%.
In accordance with the Decision-Making Procedure concerning investment activities of the Russian Federal Housing Development Foundation related to acquisition of residential premises, approved by the Foundation's Supervisory Board (minutes No. 24 dated 26.04.2010), with amendments approved by the Supervisory Board of Foundation (minutes No.42 dated 03.03.2011), the Foundation may acquire residential premises at a price determined as an average market value of 1 square meter of total area of residential premises in a constituent entity of the Russian Federation, on territory of which the relevant capital construction objects are being constructed, which value is approved by the Ministry of Regional Development of Russia, decreased by 5% to the extent of 35% of total area of all residential premises of a low-rise housing object being under construction and to the extent of 25% of total area of all residential premises of a high-rise housing object being under construction .
In 2013, as a result of such measures taken, the solvent demand for low-rise housing, including solvent demand for the individual housing construction objects, increased by 12.1% as compared with 2012 and amounted to 37 mln square meters as compared with 33 mln square meters in 2012 . The changes indicated were primarily conditioned by switching of solvent demand from high-rise to low-rise housing.

10. Development of UIAS of the Foundation

In 2013 in the process of increasing integration of the systems which are a part of UIAS of the Foundation the development of the compound decision ensuring agreed cooperation of the marketing information system (hereinafter - MIS), geographic information system (hereinafter - GIS), the Foundation's land plots register keeping system (hereinafter - FPRS) as a part of the Foundation's UIAS, was finished and the works related to transformation of the internal portal of the Foundation into a new version of software - Microsoft Sharepoint 2010.
Within the frameworks of development of the first version of FPRS system the calendar-network plans are finalized and actualized and the data-entry forms are realized. In 2013 the requirements to and the application connected with collection of documents on land plots and other real estate objects were prepared and worked out. The technical assignment for data-entry forms of technical and economic indicators related to land plots and real estate objects was worked out and implemented. The system facilities organized cooperation between employees of structural subdivisions of the Foundation in respect of specification and execution of the tasks related to the events which are carried out in respect of the land plots and real estate objects from receipt by the Foundation of information about the land plots being in the federal ownership to commissioning of residential houses on the Foundation's land plots provided to developers.
In 2013 the technical assignment for development and introduction of a complex system managing electronic document flow, financing and procurement processes in the Foundation was worked out and the works related to development of the regulatory and reference data services functionality were performed.
A universal mechanism of data exchange among FPRS, GIS and MIS systems using web-services was realized and migration of the composite application ensuring joint functioning of these systems from the external portal of the Foundation into the internal one was carried out.
The external corporate portal of the Foundation successfully passed the acceptance and delivery testing. In course of preparation of the external portal for permanent commissioning a package of the documents regulating provision of the Foundation's information services to the federal executive bodies, to authorities of constituent entities of the Russian Federation, to local self-government bodies and to contractors of the Foundation was worked out.
In 2013 the Foundation ensured inclusion of macroeconomic and statistical data concerning 83 constituent entities of the Russian Federation to MIS and GIS being the part of UIAS of the Foundation. The data concerning target markets (housing, housing construction, land plots, construction materials industry including low-rise housing) was included into UIAS of the Foundation in view of municipal establishments in 72 constituent entities of the Russian Federation .
The Foundation also ensured inclusion of the data concerning borders of the land plots being in federal ownership in 83 constituent entities of the Russian Federation, basic digital cartographic data which is in public use in the Russian Federation (scale 1:1 000 000), territories of 71 constituent entities of the Russian Federation (scale 1:10 000, 1:100 000, 1:200 000) and 163 settlements (scale 1:10 000, 1:25 000) into GIS being a part of UIAS of the Foundation.
Information in form of databases collected in course of the monitoring and forecasting of the target markets shall be included into MIS and GIS being a part of UIAS of the Foundation and is used in the directed search of land plots.

11. Public Relations Development, Exhibitions

As a result of measures taken in 2013 to increase a level of awareness of the target audiences about Foundation's activities, the following indicators were achieved in comparison with 2012:
- total publications about the Foundation in the federal and regional mass media increased by 35%;
- a nature of publications about the Foundation changed, and a number of positive references increased in more than 2 times, primarily due to increase of total publications in mass media and to decrease of a share of neuter and negative references;
- a number of experts' comments on directions in the Foundation's activity increased by 10%.
In 2013 the works related to mandatory informing about Foundation's activities in accordance with part 6 of article 4, part 9 of article 12 of the Law No.161-FZ, by planning of publications in the official press organ "Rossiyskaya Gazeta", continued:
- the Foundation’s annual report;
- the notices of auctions for sale of the Foundation’s land plots or rights to rent contract conclusion in relation to the Foundation’s land plots;
- information about results of the auctions held by the Foundation;
– information notices about sale of objects of the Foundation’s real estate property at the same time with the Foundation’s land plots, on which such objects of real estate property are located, and about results of such sale.
The Foundation pay an increased attention to presentation of information about socially significant directions of the activity such as creation of housing construction cooperatives, conduct of auctions with obligation of the developer to construct and to sell the economy class housing at the fixed price, provision of land plots to the citizens with three and more children etc. Number of publications in mass media related to implementation of socially significant projects in course of activity of the Foundation increased by 82%.
In course of the information activity the Foundation continued its work related to development of a complex cooperation with the leading federal and regional mass media as well ass foreign ones, particularly, in 2013 the materials about the RHD Foundation's activity were published in The Wall Street Journal ( USA), SPH newsletter (Germany).
In order to increase a level of awareness of the target groups representatives about the Foundation's activity, in 2013 the information and communication events were organized including without limitation:
– in the television channel Russia 24 the Foundation initiated a specialized television program Technology of Housing. Available Housing" devoted to development of available housing market and to modern energy effective technologies which are used during construction of economy class housing. It is provided for that in the first six months of 2014 twelve of such television programs will be broadcast;
- on the information portal "RIA News" "RIA Real Estate" a specialized section "Available Housing" is created and is being filled where over 1200 materials in different formats are published including interactive and multimedia ones which are devoted to the theme of available housing development.
Thus, a range of information channels was expanded as well as by using the World Wide Web and the traffic ranking of the official site of the Foundation increased by 77% on the average.
In order to increase awareness about the Foundation activity among the foreign audience as well and to attract attention of Russian and foreign organizations to the Foundation activity and land plots which are planned to be presented on auctions of the Foundation in 2013, the Foundation in 2013 participated in the following Russian and international congress and exhibition events.
1) International exhibition MIPIM (Cannes, France).
In the course of the Foundation participation in the exhibition MIPIM in 2013 the agreement and efficient cooperation with StroyDevelopment (Turkey) was entered into and organized. Also with organizational participation of the Foundation the agreement on creation of a consortium was entered into between the Russian Company "Unistroy" and the American company Hilton for further participation in the auction of the Foundation for a land plot of area of 0.38 Ha in the city of Saint-Petersburg.
2) International exhibition EXPO REAL (Munich, Germany).
According to results of participation of the Foundation delegation in the exhibitions EXPO REAL in 2010-2013 the business contacts with construction, real estate development and investment companies planning to develop their activity in the territory of Russia were established (including YIT Construction, SRV, Immofinanz Group, UFG RE, Tengelmann). In the course of the exhibition in 2013 the Foundation signed the Memorandum of Understanding with the association of Russian and Turkish organizations "Business Cooperation" - RUTID (Turkey). According to results of the work at the exhibition the Foundation received a confirmation of readiness to participate in the Foundation's auctions from a member of RUTID, Vefa, YIT Construction, Tengelmann etc., and YIT took part in the auction of the Foundation for a land plot of area of 3.3 Ha in the city of Yekaterinburg.
3) Petersburg International Economic Forum.
Within the frameworks of the business program of the Petersburg International Economic Forum the Foundation conducted a business breakfast "Investments in housing and other construction: how to ensure high profitability and to minimize risks".
The issues of development of the Russian housing and other construction marker, mechanisms of distribution of experience in implementation of successful projects of complex housing development including with participation of foreign capital and of opportunity to decrease risks and to increase the level of credibility expressed by foreign investors, the measures aimed at promoting development of the available housing market and at creating favorable living conditions for Russian citizens were discussed at the meeting.
4)   The Foundation also conducted its own round-table meetings and organized work with potential investors at such meetings as:
-Russian Investment and Construction Forum;
– International Investment Forum on Real Estate PROEstate;
– International Exhibition Forum of the Market of Real Estate, Investments and Projects of Development of the Territory of the Russian Federation RusRealExpo.

12. Attraction of foreign investments and international cooperation

12.1. Interaction with foreign companies and direct investments funds

As the result of cooperation of the Foundation with representatives of foreign companies in 2013 four auctions for 9 land plots of total area of 188.8 ha in 4 regions of the Russian Federation (Saint-Petersburg, Novosibirsk region, Moscow region and Sverdlovsk region) with participation of companies with foreign capital or those which plan to attract foreign investments in implementation of the projects.
The companies that are the winners of the Foundation's auctions: LLC "Lenta" - one of the major trading networks in the Russian market which is wholly owned by Lenta Ltd. (British Virgin Islands). The company was recognized the winner according to results of the auction for sale of the land plot of total area of 10.36 ha in the Istrinskiy district of Moscow region. The company plans to place a hypermarket of total area of 12,000 square meter on this site.
The companies which took part in the Foundation's auctions:

  1. LLC "AKD" together with the companies planningAlliance (Canada) and Antoine Grumbach et associes (France) participated in the auction for 6 land plots of total area of 174.73 in Novosibirsk region;
  2. LLC "USK Unistroy Dom" together with Hilton (USA) participated in the auction for the land plot of area of 0.38 ha in the city of Saint-Petersburg;

3)  LLC "McDonalds" (USA) participated in the auction for the land plot of area of 0.38 in the city of Saint-Petersburg;
4)   CJSC "YIT Uralstroy" (Finland) participated in the auction for the land plot of area of 3.32 ha in Sverdlovsk region.
The Foundation continued active business cooperation with the following foreign companies or the companies which plan to attract foreign investments in course of implementation of the project and confirmed their interest in the Foundation's auctions:

  1. for the land plots meant for housing construction: IMG (USA), NCC Development (Finland), YIT Group (Finland), SRV (Finland), Vefa Group (Turkey), Marashstroy (Turkey), StroyDevelopment (Turkey), Homeland Group (Israel), construction companies of the Republic of Belarus etc.;
  2. for the land plots meant for placement of construction materials productions: Spancrete (USA), Steelife (Turkey), Caparol (Germany);

3) for the land plots meant for placement of the sales outlets, public catering objects and hotels: McDonalds (USA), Hilton (USA), OBI (Germany), Metro (Germany), Decathlon (France), TLT Group (Turkey), Selgros (Switzerland), Trinity Retail Park Partnership (Canada), Norman Asset Management (Great Britain), Tengelmann (Germany), Kingfisher (Great Britain), Globus (Germany).

12.2. Interaction with international institutes of development

In May 2013 in the embassy of Turkey in Russia with participation of the association of Russian and Turkish organizations "Business Cooperation" the Foundation conducted a presentation of its activity and land plots which are planned to be presented at auctions in 2013 to representatives of more than 100 Turkish companies operating in Russia. During the event a significant interest of Turkish companies in cooperation with the Foundation was revealed. In order to form an effective mechanism of cooperation with such companies in October 2013 the Foundation signed the Memorandum of Understanding with the association of Russian and Turkish organizations "Business Cooperation".
For the purposes of the address work with representatives of British and Japan companies operating in Russia the Foundation signed the Memorandums of Understanding with the Russo-British Chamber of Commerce and the Nomura Research Institute correspondingly in 2013.

12.3. Interaction with bilateral intergovernmental commissions

In 2013 the Foundation participated in the work of the following intergovernmental commissions:
- Intergovernmental Russian-British Committee on Commerce and Investments (ICCI);
- Intergovernmental Russian-Singapore Commission of High Level;
- Finnish-Russian Intergovernmental Commission on Economic Cooperation.
According to results of the arrangements made during the 10th meeting of the Japan-Russia Intergovernmental Commission on commercial and economic issues, in accordance with the order of the chairman of the Russian part of the commission, First Deputy Chairman of the Government of the Russian Federation, I.I. Shuvalov, the Russia-Japan working group on city environment was created and its first meeting was conducted in April 2013.

13. The Foundation's interaction with the Federal Assembly of the Russian Federation

In 2013 the Foundation participated in the meetings of the State Duma and the Federation Council of the Federal Assembly of the Russian Federation on the following issues as an expert:
- March 28, 2013 at the first meeting of the working group created by a resolution of the Committee of the State Duma of the Federal Assembly of the Russian Federation on modification of the federal law No. 432575-4 "On Amendments to the Land Code of the Russian Federation and to Certain Legislative Acts of the Russian Federation" for consideration in the second reading;
- May 22, 2013 at the round-table meeting of the Committee of the Federation Council of the Federal Assembly of the Russian Federation on federative arrangement, regional policy, local self-government and affairs of the North on the theme "Improvement of Housing, Land and Urban Development Legislation Aimed at Forming the Available Rent Housing Market and at Developing the Non-Commercial Housing Foundation for the Citizens with Low Income Level";
- June 13, 2013 at the meeting of the Committee of the State Duma of the Federal Assembly of the Russian Federation on land relations and construction concerning discussion of the law draft No. 291443-6 "On Amendments to the Federal Law "On Facilitation to Housing Construction Development" and to Article 3 of the Federal Law "On Implementation of the Land Code of the Russian Federation" (to the extent of improvement of the relations connected with provision of the Foundation's land plots for the purposes of construction of economy class housing, for attraction of technical customers and general contractors to housing construction and other provisions of the federal law); – July 2, 2013 at the Plenary Meeting of the State Duma of the Federal Assembly of the Russian Federation on discussion in the second reading of the draft of the federal law No. 291443-6 "On Amendments to the Federal Law "On Facilitation to Housing Construction Development" and to certain legislative acts of the Russian Federation" (to the extent of improvement of the relations connected with provision of the Foundation's land plots for the purposes of construction of economy class housing, for attraction of technical customers and general contractors to housing construction and other provisions of the federal law);– July 10, 2013 at the meeting of the Federal Council of the Federal Assembly of the Russian Federation, at which the Federal Law No.291443-6 "On Amendments to the Federal Law "On Facilitation to Housing Construction Development" and to certain legislative acts of the Russian Federation (to the extent of improvement of the relations connected with provision of the Foundation's land plots for the purposes of construction of economy class housing, for attraction of technical customers and general contractors to housing construction and other provisions of the federal law);
– September 23, 2013 at the extended meeting of the Committee of the Federation Council of the Federal Assembly of the Russian Federation on federative arrangement, regional policy, local self-government and affairs of the North for preparation to hearing at the 337th meeting of the Federal Council "government hour" on the issue "Concerning Main Directions in Reforming of the Housing and Utilities in 2013-2015";
October 4, 2013 at the meeting of the discussion platform conducted during the XIV Convention ARPP (All-Russia Political Party) "United Russia" and devoted to execution of the Order of the President of the Russian Federation No. 600 dated May 7, 2012 "On Measures Aimed at Providing Citizens of the Russian Federation with Available and Comfort Housing and at Improving Quality of Housing and Utilities Services.
- October 17, 2013 at the Forum of the fraction of the Party "United Russia" in the State Duma of the Federal assembly of the Russian Federation and of the Communist Party of China "Russia-China: Regional Investment Cooperation". The Foundation's activity was presented at this event as well as the land plots which are planned to be provided within the period from the 4th quarter 2013. - 1st quarter 2014 which may be of interest for China investors. During the Forum the meeting of the general director of the Foundation with the deputy general director of the Corporation "Construction Investments of the Zhejiang Province" Shenem Defa was conducted, in the course of which the China party expressed interest in participation in the complex development projects for the purpose of housing construction to be implemented on the Foundation' land plots;
- November 25, 2013 at the meeting of the Federation Council of the Federal Assembly of the Russian Federation on the issue "Concerning Priorities of Legislative Activity for 2014".

14. Granting the security of the Foundation's activities

In 2013 the main directions in the granting security of the Foundation's activity were protection of the information constituting a state secret, assurance of economic safety, organization of internal security policy and assurance of information safety.
In the course of the measures aimed at ensuring the secrecy regime, at protecting the information constituting a state secret, the technical support of the special communication devices installed in rooms of the management staff of the Foundation and in accordance with the requirements of the governing documents of FSS (Federal Security Service) of Russia and FSTEC (Federal Service for Technical and Export Control) of Russia the specified premises are assessed, protection and working capacity of special machines are inspected. According to results of the carried out inspections no violations are revealed.
According to results of the internal security and access control policy the installation and modernization of technical means of access control, security warning system and video control system are ensured in the Foundation. Security of the Foundation's land auctions is ensured.
During implementation of a complex of the measures aimed at revealing, preventing and localizing economic threats in order to prevent possible damage to the Foundation, in 2013 the inspection was carried out in respect of legal entities - potential suppliers of goods, works, services for the Foundation's needs. Particularly, 830 legal entitled were inspected in view of approval of the materials provided upon organization of placement of orders for acquisition of goods, works and services.
During such inspections facts of affiliation of legal entities upon calculation of the initial (maximum) price of a contract were revealed as well as suspicious legal entities. Total number of cases when the revealed organizations were not admitted for procurements was 32, for the total amount of approximately 84.5 mln rubles.
In 2013 for the purpose of economic safety the following measures were taken:
- inspection of authenticity of 18 bank guarantees provided by contractors of the Foundation as a security of the agreements for goods, works and services for the total amount of 29 mln rubles. According to results of the inspections 1 false bank guarantee for the amount of 2.4 mln rubles was revealed;
- inspection of authenticity of 9 bank guarantees provided as a security for obligations under the lease agreements for the land plots for their complex development for the purpose of housing construction in the total amount of 38.5 mln rubles. According to results of the inspections 1 false bank guarantee for the amount of 644 thous. rubles was revealed.
These facts are reported to the law enforcement authorities and the received data is accounted in investigation of the criminal case early initiated by MVD (Ministry of Internal Affairs) of Russia. As a part of preventive measures of similar violations the cooperation of subdivisions of the Central Bank of the Russian Federation carrying out bank supervision was arranged.
To ensure the information safety the measures aimed at improving and providing technical support to the complex system of information safety of the Foundation were organized and taken (renewal of licenses, technical support, installation of additional components and updating).
In the interest of the Foundation the protected communication channels were organized for data exchange with executive authorities (Ministry of Regional Development of Russia, Ministry of Construction, Housing and Utilities of Russia, Kirovskiy OGBU (Regional State Budgetary Institution) "Information Technologies Center").

15. The Foundation's investment activity program for the planning period

15.1. Financial provision of the Foundation's land plots with engineering infrastructure

Investment activity of the Foundation in accordance with the Program of Activities of the Foundation for 2013was planned in respect of 11 investment projects associated with provision of the land plots with engineering infrastructure including 27 land plots of total area of 1 679.9 ha located in 9 constituent entities of the Russian Federation (Astrakhan region, Kirov region, Kurgan region, Moscow region, Nizhniy Novgorod region, Novgorod region, Sverdlovsk region, Chelyabinsk region and Primorsky Krai).
In 2013 the Foundation's investment activity related to provision of the land plots with engineering infrastructure was carried out in accordance with the Decision-Making Procedure concerning investment activities of the Russian Federal Housing Development Foundation related to provision of the land plots with engineering infrastructure necessary for implementation of the housing construction projects and projects of construction of the objects meant for production of construction materials, items, structures for the purposes of housing construction, approved by the Foundation's Supervisory Board (minutes No.54 dated 06.10.2011) (hereinafter referred to as Procedure for Investment Activities).
In order to strengthen control of implementation of the measures aimed at providing the land plots of the Foundation with engineering infrastructure the amendments to the Procedure for Investment Activities were prepared including the offers to perform the investment activities related to provision of the Foundation's land plots with engineering infrastructure in form of an indemnification of the developer due from the Foundation for the costs actually paid by the developer for connection to the engineering networks, and approved by the Foundation's Supervisory Board pursuant to the Procedure for Investment Activities (minutes No.79 dated 21.02.2013 and No.90 dated 14.08.2013).
The Management Board of the Foundation approved (minutes No.111 dated 20.09.2013) the Regulations on Execution by the Russian Housing Development Foundation of Undertaken Obligations to Provide the Land Plots with Engineering Infrastructure Required for Implementation of the Housing Construction Projects (hereinafter referred to as - Regulations).
The Foundation in an initiative manner delivered the versions of the Procedure Investment Activities and of the Regulations in force at the time being to the Accounts Chamber of the Russian Federation in order to receive an expert opinion.
According to results of the control activity "Inspection of Activity of the Russian Housing Development Foundation and of Effectiveness of Execution of its Functions in 2011-2012 and in the expired period of 2013" carried out by the Accounts Chamber of the Russian Federation in 2013 and according to the expert opinion of the Accounts Chamber of the Russian Federation concerning Procedure for Investment Activities the Foundation was recommended to consider an opportunity to make amendments to the Procedure for Investment Activities and to the Regulations which would relate to strengthening of the control of the Foundation's investment projects implementation.
These recommendations of the Accounts Chamber of the Russian Federation were accounted in development of the Procedure for Participation of the Russian Housing Development Foundation in financing of the engineering infrastructure facilities construction approved by the Supervisory Board of the Foundation (minutes No.100 dated 27.02.2014).
In accordance with the Procedure for Investment Activities as of the end of 2013 the Foundation undertook the obligations to finance the measures aimed at ensuring connection (joining) of capital construction objects to the engineering networks in the total amount of 4,546.2 mln rubles in respect of 75 land plots, where construction of at least 3.78 mln square meters of housing is planned, including:
- in 2010, financing was received in amount of 183 mln rubles;
- in 2011, financing was received in amount of 1,006 mln rubles;
- in 2012, financing was received in amount of 1,152 mln rubles;
- in 2013 financing was not received;
- in 2014 and subsequent years, it's planned to receive financing in amount of 2,169.3 mln rubles.
In accordance with amendments made to the laws of the Russian Federation and with recommendations of the Accounts Chamber of the Russian Federation the Management Board of the Foundation approved a new version of the Regulations (minutes No.20 dated 07.02.2014) containing the following requirements:
- to provide the Foundation with the connection agreement signed by the developer and the resource supplying organization based on the availability of the production and investment program, connection tariffs and tariffs for services to population in the resource supplying organization approved in accordance with the procedure established by laws of the Russian Federation, for conclusion of an agreement between the Foundation and the developer - the winner of the Foundation's auction on procedure for fulfillment of the Foundation's obligations;
- to provide the Foundation with the design and permit documentation on the construction project agreed and approved in accordance with the regulations of the applicable legislation of the Russian Federation and with the connection certificates, statements of delimitation of balance book and operational responsibilities of the parties, independent construction and technical expert opinions and reports on field check of the Foundation's employees, for payments pursuant to the obligations of the Foundation.
Acceptance of a new version of the Regulations will tighten the requirements specified by the Foundation to a composition of the documents required for the Foundation's financing of the measures aimed at providing the land plots with the engineering infrastructure.
In 2013 the Foundation continued conduct of construction and technical expert examinations in course of performance by the utility complex organizations of the agreements on connection of construction objects on the land plots of the Foundation to exterior networks and engineering systems facilities. Total amount of expenses on construction and technical expert examinations in 2013 amounted to 1.08 mln rubles.

15.1.1. Implementation of the Foundation's investment projects

"Trudovoe" Project
The obligations to provide the land plots of the "Trudovoe" project with the engineering infrastructure are undertaken by the Foundation in 2010 in the amount of not more than 800 mln rubles in accordance with the resolution of the Supervisory Board of the Foundation (minutes No.36 dated 19.11.2010).
In order to implement the "Trudovoe" investment project by the Foundation with the developer being the winner of the auction for sale of the right to conclude the agreement of lease of land plots of the Foundation for their complex development for housing construction, the agreement No.ÈÄ-5 for procedure of connection of capital construction objects to the water supply and water discharge networks of the Vladivostok Municipal District operated by RSUE (Regional State Unitary Enterprise) "Primorsky Vodokanal" dated 13.12.2011 (as amended by the additional agreement No.1 dated 13.12.2011) which specifies scope of financing of the measures aimed at providing the land plots of the "Trudovoe" project with the engineering infrastructure by the Foundation in the amount of 800 mln rubles.
In accordance with that agreement the Foundation as of the end of 2012 fulfilled its obligations to finance the measures aimed at providing the land plots of the "Trudovoe" project with the engineering infrastructure in the amount of 558 mln rubles.
The Program of Activities of the Foundation for 2013 provided for financing of the measures aimed at providing the land plots of the "Trudovoe" project with the engineering infrastructure in accordance with the agreement for procedure of connection of capital construction objects to the water supply and water discharge (sewage) networks in the amount of not more than 162 mln rubles.
To check the amount and quality of the performed works the construction and technical expert examination of the measures of connection to the water supply and discharge (sewage) networks was carried out by RSUE "Primorsky Vodokanal" in 2012. The expert examination results evidenced that the above-listed measures had been taken by RSUE "Primorsky Vodokanal" except for the work of designing and construction of pressure manifolds from the SPS to SPS No.70.
Therefore, the developer (LLC "DALTA-Vostok-1") and RSUE "Primorsky Vodokanal" did not sign the report on connection to the sewage system in point 1 evidencing the possibility of water discharge of 64.4 cub. m./hour and the Foundation did not perform the financing in the amount specified.
In 2013 in accordance with the Regulations the Foundation demanded from the developer to provide the documents necessary for fulfillment of the parties' obligations.
Taking into account necessity to meet requirements of the Regulations, financing of the measures aimed at providing the land plots of the "Trudovoe" project with the water supply and water discharge (sewage) networks was postponed to the next period.
At request of the Foundation, RSUE "Primorsky Vodokanal" and administration of the city of Vladivostok together with administration of the Primorsky Krai worked out a schedule for receipt of a permit for commissioning of the water supply and water discharge networks of the capital construction object "Complex Dwelling Development" located at the address: orienting point of the object - Primorsky Krai, city of Vladivostok, village of Trudovoe, 50 let Oktyabrya str., bldg. 1 and microdistrict in the Patrokl Bay (hereinafter referred to as - schedule). The Foundation monitors execution of the schedule.
The works not performed by RSUE "Primorsky Vodokanal" in 2012-2013 are planned to be performed in 2014-2015.
The Foundation plans to complete implementation of the "Trudovoe" investment project in 2015.
"Istra" Project
The Foundation undertook the obligations to provide the land plots of the "Istra" project in 2010 and amount to not more than 641.4 mln rubles , including:
- obligations related to power supply - not more than 211.4 mln rubles including 28 mln rubles as VAT in connection with assignment of the rights to technical connection to the electric networks;
- obligations related to water supply and water discharge - not more than 357.6 mln rubles;
- obligations related to purification and treatment facilities of rain runoffs - not more than 72.3 mln rubles.
As of the beginning of 2013 the Foundation fulfilled the obligations related to financing of the measures aimed at providing the land plots of the "Istra" project with the engineering infrastructure and contemplated in the agreement No.Ñ-23 on interaction organization during provision of technical connection of power receivers of the Developer to the electric networks of "MOESK" JSC dated 17.11.2011. Total volume of financing by the Foundation of the measures aimed at providing the land plots of the "Istra" project with the engineering infrastructure was planned for 2013 in the amount of not more than 143.8 mln rubles .
To complete implementation of the "Istra" project, the Foundation planned to enter into the agreement on procedure for connection of capital construction objects on the land plots of the "Istra" project to the purification and treatment facilities of rain runoffs and to finance the measures under such agreement in the mount of not more than 72.3 mln rubles and to complete financing of the measures aimed at providing the land plots of the "Istra" project with water supply and water discharge (sewage) amounted to not more than 71.5 mln rubles in 2013.
In 2013 the works related to the agreement on connection of capital construction objects to the water supply and water discharge networks:
- performed by MUE (Municipal Unitary Enterprise) "Istrinsky Vodokanal" with violations in execution of design and permit documentation;
– performed by the developer – the winner of the Foundation's auction
(LLC "Kaskad") not in full, they are planned to be completed in 2015.
Currently MUE "Istrinsky Vodokanal" performs the works related to elimination of violations in execution of design and permit documentation necessary for signature of the report on connection evidencing technical readiness to supply resources to capital construction objects.
The Measures aimed at connecting the capital construction objects to drainage networks for provision of the land plots of the "Istra" project were not taken due to the fact that clause 1 of article 12 of the Federal Law No.416-FZ dated 07.12.2011 "On Water Supply and Water Discharge" does not establish obligations of the municipalities to determine a guaranteeing organization for centralized water drainage systems, and as the result the administration of the Istrinskiy district of Moscow region did not approve an investment program and did not determine a fee for connection to the drainage networks. Therefore, in 2013 the organization - the winner of the Foundation's auction (LLC "Kaskad") and the contracting organization failed to enter into an agreement for the works related to connection of the capital construction objects to drainage networks for the purpose of provision of the Foundation's land plots.
In 2013 in accordance with the Regulations the Foundation demanded from the developer to provide the documents necessary for fulfillment of the parties' obligations.
Taking into account necessity to meet requirements of the Regulations, financing of the measures aimed at providing the land plots of the "Istra" project with the engineering infrastructure was postponed to the next period.
"Kirov-48" Project
The obligations to provide land plots of "Kirov-48" Project were assumed by the Foundation in 2011 in the amount not exceeding 144 mln rubles .
For implementation of "Kirov-48" investment project the Foundation concluded an agreement of procedure for connection of capital construction objects to water supply and disposal networks operated by LLC "Stroyservis" No. ÈÄ-6 dated 19.12.2011 (hereinafter referred to as "agreement No. ÈÄ-6 dated 19.12.2011") which determined the amount of financing by the Foundation of the measures to provide the land plots of "Kirov-48" Project with the utility infrastructure in the amount of 144 mln rubles with the developer OJSC "Kirov Regional Mortgage Corporation" being the winner of the auction for sale of the right to enter into the lease agreement for the land plots of the Foundation for their integrated development for the purpose of housing construction.
In accordance with agreement No. ÈÄ-6 dated 19.12.2011 the Foundation made advance payments in the amount of 50.4 mln rubles (which made 35% of the payment for connection) in 2011.
In December 2012 OJSC "Kirov Regional Mortgage Corporation" and LLC "Stroyservis" signed reports on connection No. 1 and No. 2 evidencing that the measures were taken which were provided for by stage 3 of the agreement of connection of the capital construction object: "Low-rise residential buildings on the land plots having cadastral numbers 43:12:124000:232 and 43:12:124000:238 located in Fedyakovskoe rural settlement of Kirovo-Chepetskiy district of Kirov region" to the water supply and disposal systems No. 51 dated 19.12.2011 (hereinafter - the "connection agreement") based on which the Foundation made payment of 57.6 mln. rubles.
Meanwhile as a result of inspection of the water supply and disposal systems carried out on July 4, 2013 by the commission formed by order of the  Construction and Architecture Department of Kirov region No. 241 dated 04.07.2013 the fact was ascertained that the measures of connection of stage 3 which had been evidenced to have been taken with connection reports had not been taken.
In accordance with agreement No. ÈÄ-6  dated 19.12.2011 in case of failure to take the measures to connect the capital construction objects to water supply and disposal networks and to fulfill other obligations of connection by the time specified in the connection agreement, the Foundation  shall be entitled to refuse its obligation to make payment for connection and to require that the payment for connection made by the Foundation be returned.
In this connection the Foundation refused fulfillment of its obligation to make payment for connection and sent a notice to OJSC "Kirov Regional Mortgage Corporation" No. ÀÁ-06/5708 dated 08.07.2013 requiring to return the actually made payment for connection in the total amount of 107,999,671.99 rubles.
Based on the Foundation's application in 2013 the criminal case was initiated due to detection of signs of theft of the Foundations' funds intended for construction of the utility infrastructure on the land plots of "Kirov-48" Project.
"Kurgan" Project
The obligations to provide the land plot of "Kurgan" Project were assumed by the Foundation in 2011 in the amount not exceeding 185 mln rubles .
For implementation of "Kurgan" investment project the Foundation concluded an agreement of procedure of financing the developer's obligation to connect the capital construction objects being built on the leased land plot of the Foundation to utility networks No. ÈÄ-2 dated 26.12.2012 which determined the amount of financing by the Foundation of the measures to provide the land plots of "Kurgan" Project with the utility infrastructure in the amount not exceeding 185 mln rubles with the developer being the winner of the auction for sale of the right to conclude the lease agreement for the land plot of the Foundation for its integrated development for the purpose of housing construction.
In accordance with the agreement as of the beginning of 2013 the Foundation fulfilled obligations of financing measures to provide the land plot of "Kurgan" Project with the utility infrastructure in the amount of 64.7 mln. rubles.
At the end of 2013 the developer being the winner of the Foundation's auction notified the Foundation of transfer of the obligations of the contractor under the agreement of connection of the capital construction object from OJSC "Kurganvodokanal" to OJSC "Water Union". The agreement of replacement of the party to the agreement was concluded in October 2013. The advance payments made by the Foundation under agreement of procedure of financing No. ÈÄ-2 dated 26.12.2012 were transferred by OJSC "Kurganvodokanal" to the account of OJSC "Water Union".
Due to the change of the contractor under the agreement of connection of the capital construction object to the utility networks and the content of measures under the agreement of connection in 2014 it is planned to enter into a collateral agreement to agreement No. ÈÄ-2 dated 26.12.2012 of the procedure of financing the obligations to connect capital construction objects to the utility networks.
In 2013 in accordance with the Regulations the Foundation required that the developer provided documents required for fulfillment of obligations by the parties.
Subject to   the necessity to meet the requirements      of the Regulations the financing of the measures to provide the land plot of "Kurgan" Project with the utility infrastructure was transferred to the next period.
"Borkovskoe" Project
The obligations to provide land plots of "Borkovskoe" Project were assumed by the Foundation in 2011 in the amount not exceeding 279.7 mln rubles .
For implementation of the investment project "Borkovskoe" the Foundation planned to make an advance payment in the amount not exceeding 97.9 mln rubles in 2013 after conclusion of the agreement of connection to the utility networks by the developer and resource provider.
The agreement of connection between the developer being the winner of the Foundation's auction and resource provider was not concluded in 2013.
In this connection the Foundation could not enter into the agreement of the procedure of connection of the capital construction objects to the water supply and disposal networks to provide land plots of "Borkovskoe" Project.
In 2013 in accordance with the Regulations the Foundation required that the developer provide documents required for fulfillment of obligations by the parties.
Subject to   the necessity        to meet       the requirements  of the Regulations the financing of the measures to provide the land plot of "Borkovskoe" Project with the utility infrastructure was transferred to the next period.
"Mansurovsky" Project
The obligations to provide the land plot of "Mansurovsky" Project were assumed by the Foundation in 2012 in the amount not exceeding 132.3 mln rubles.
The amount of financing by the Foundation of the measures to provide the land plot of "Mansurovsky" Project with the utility infrastructure in 2013-2014 was planned not to exceed 132.3 mln. rubles of which it was planned to spend 75.8 mln. rubles on power supply in 2013, in 2014 - not more than 56.5 mln. rubles on water supply and disposal (sewage).
In 2013 the developer - the winner of the Foundation's auction and power grid operator entered into the agreement of the technological connection to electrical networks to provide the land plot of "Mansurovsky" Project with power supply.
In accordance with the requirements of the Procedure and Regulations in 2013 the collection of documents on "Mansurovsky" Project required for conclusion of the agreement of the procedure of connection of capital construction objects to the power networks was started. After the Foundation obtains all the required documents the said agreement will be concluded within which the measures to provide the land plot of "Mansurovsky" Project with the utility infrastructure will be paid for.
In 2013 in accordance with the Regulations the Foundation required that the developer provide documents required for fulfillment of obligations by the parties.
Subject to   the necessity        to meet       the requirements  of the Regulations the financing of the measures to provide the land plot of "Mansurovsky" Project with the utility infrastructure was transferred to the next period.
"Novinki" Project
The obligations to provide the land plot of "Novinki" Project were assumed by the Foundation in 2013 in the amount not exceeding 140.2 mln rubles.
For implementation of the investment project "Novinki" in 2013 the Foundation planned to conclude agreements of the procedure of connection (technological connection) of the capital construction objects on the land plot of "Novinki" Project to the water supply, disposal (sewage) and power supply networks which determined the amount of financing by the Foundation of the measures to provide the land plot of "Novinki" Project with the utility infrastructure in the amount not exceeding 140.2 mln rubles including for power supply - 14.2 mln rubles, for water supply and disposal (sewage) - not more than 125.9 mln rubles.  In the IV quarter of 2013 the Foundation planned to make payment (a part of the payment) for technological connection of power receivers on the land plot of "Novinki" Project to electrical networks of the power provider in the amount of 14.2 mln. rubles.
The agreements of connection between the developer being the winner of the Foundation's auction and resource providers were not concluded in 2013.
In this connection the Foundation could not enter into the agreement of the procedure of connection of the capital construction objects to the water supply and disposal and power supply networks to provide land plots of "Novinki" Project.
In 2013 in accordance with the Regulations the Foundation required that the developer provide documents required for fulfillment of obligations by the parties.
Subject to   the necessity        to meet       the requirements  of the Regulations the financing of the measures to provide the land plot of "Novinki" Project with the utility infrastructure was transferred to the next period.
"Cherdantsevo" Project
The obligations to provide the land plot of "Cherdantsevo" Project were assumed by the Foundation in 2013 in the amount not exceeding 216 mln rubles.
For implementation of the investment project "Cherdantsevo" the Foundation planned to conclude an agreement of the procedure of connection of the capital construction objects on the land plot of "Cherdantsevo" Project to the water supply and disposal (sewage) networks which determined the amount of financing by the Foundation of the measures to provide the land plot of "Cherdantsevo" Project with the utility infrastructure in the amount not exceeding 216 mln rubles for water supply and disposal (sewage).
The agreement of connection between the developer being the winner of the Foundation's auction and resource provider was not concluded in 2013.
In this connection the Foundation could not enter into the agreement of the procedure of connection of the capital construction objects to the water supply and disposal networks to provide the land plot of "Cherdantsevo" Project.
In 2013 in accordance with the Regulations the Foundation required that the developer provided documents required for fulfillment of obligations by the parties.
Subject to   the necessity to meet     the requirements  of the Regulations the financing of the measures to provide the land plot of "Cherdantsevo" Project with the utility infrastructure was transferred to the next period.
The financing of measures to provide the land plot of "Cherdantsevo" Project with the utility infrastructure was planned by the Foundation in 2014 in the amount not exceeding 216 mln rubles for water supply and disposal (sewage) .
"Kirov-52" Project
The land plot with an area of 52.627 hectares located at the address: Kirov region, along the border of  the city of Kirov (hereinafter - "Kirov-52" Project") was set by the Foundation at the end of 2011 for the auction for sale of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes with the Foundation's obligation to pay for the services of connection of the utility infrastructure facilities to the water supply and disposal networks in the amount of payment for connection not exceeding 147 mln rubles . The obligation shall be fulfilled by the Foundation provided that the developer being the winner of the Foundation's auction shall ensure fulfillment of the obligation to perform housing and other construction by the time provided for by the lease agreement.
In reply to the Foundation's claim against the failure to fulfill the obligations under the agreement the developer's letter on the consent to termination of the lease agreement for the land plot of "Kirov-52" Project No. 32 dated 21.09.2012 was obtained by the Foundation. The lease agreement for the land plot of "Kirov-52" Project was terminated due to the developer's failure to fulfill its obligations under the agreement.
After conclusion of the agreement of termination of the lease agreement for the land plot of "Kirov-52" Project the Foundation took measures to prepare the land plot of "Kirov-52" Project for repeated setting for the auction for sale of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes.
In accordance with the results of assessment the net present value of the project of housing construction on the land plot of "Kirov-52" Project subject to provision thereof with the utility infrastructure at the developer's expense is positive.
In this connection in 2013 the Foundation made the decision on inexpediency of the investment activity for provision of the land plot of "Kirov-52" Project with the utility infrastructure.

15.1.2. Planning of the Foundation's obligations of provision of the Foundation's land plots with the utility infrastructure

In 2012 for formation of the program of the Foundation's investment activity for provision of the Foundation's land plots with the utility infrastructure required for implementation of construction projects of the objects intended for manufacture of building materials, products, structures for housing construction for the planning and subsequent periods the Foundation analyzed 271 land plots of the Foundation for meeting the selection criteria.
The analysis showed that 60 of 271 Foundation's land plots met the selection criteria for provision thereof with the utility infrastructure at the Foundation's expense. In relation to the selected land plots the Foundation took a full range of measures provided for by the Procedure for determination of the social and economic feasibility of the Foundation's investment projects.
The Foundation   organized    performance        by independent   appraisal organizations of 14 assessments of the investment value of the selected land plots (a complex of land plots) as well as performance by the self-regulated appraisal organization of expertise of reports on assessment of the investment cost of the land plots 7 of which showed a negative net present value of the housing construction project which is an obligatory condition for provision of the Foundations' land plots with the utility infrastructure at the Foundation's expense. As a result in 2013 the independent appraisal organizations determined the necessity of investment of funds in 7 investment projects having the negative net present value of the housing construction project in the amount of 895.3 mln rubles.
By the decision of the supervisory board of the Foundation within the limit of funds   for provision of the Foundation's land plots with the utility infrastructure determined for 2013 to be 2,000.0 mln rubles the Foundation's obligations to provide the land plots with the utility infrastructure were included in the documents on the auctions of the right of lease of the Foundation's land plots as well as draft contracts for gratuitous fixed-term use of the Foundation's land plots located at the addresses:
- the location is determined relative to the landmark situated outside the boundaries of the plot, the landmark pyr. Central, the land plots are located about 5,522 m far from the landmark eastwards, landmark mailing address: Primorsky Krai,  Vladivostok,   Russky Island ("Ostrov" Project) in the amount not exceeding34,543,320 rubles (for members of the housing construction cooperative "Ostrov" it is planned to construct 414 residential premises with a total area of 37,015 sq.  m. 100% of which shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia);
Novosibirsk Region, Baryshevsky village council, near  Kainskaya Zaimka settlement ("Sigma" Project) in the amount of not more than  25,960,000 rubles (for members of housing construction cooperative "Sigma" it is planned to construct 987 residential premises with a total area of 92,479 sq.  m. 100% of which shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia);
– Novosibirsk Region, Novosibirsk District, Municipality Novolugovskoy village council, Municipality Plotnikovsky village council, CJSC Agrofirm “Inya" (“Inya" Project) in the amount not exceeding 204,140,000 rubles   (it is planned to construct residential buildings with a total area of residential premises not less than 118,476 sq. m. 75% of which shall meet the criteria of economy class housing established by the Ministry of Regional Development of Russia);
- the location is determined in relation to the landmark situated within the boundaries of the Plot. Landmark mailing address: Republic of Bashkortostan, Ufa District ("Ufa" Project) in the amount not exceeding 401,200,000 rubles (it is planned to construct residential buildings with a total area of residential premises not less than 120,000 sq. m. not less than 75% of which  shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia);
- Perm territory, Perm district, ("Perm" Project) in the amount not exceeding 33,427,641 rubles (it is planned to construct residential buildings with a total area of residential premises not less than 75,000 sq. m. not less than 75% of which  shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia);
- Russia, Volgograd Region, Sredneakhtubinsky District, the plots are situated practically near to each other northward from the landmark:
Region of Volgograd, Sredneakhtubinsky District, plot No. 2, located
outside          the plot     ("Volgograd" Project) in the amount not exceeding 25,960,000  mln rubles (the low-rise buildings with a total area of residential premises of not less than 50,000 sq. m. are planned to be constructed not less than 75% of which  shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia);
- Russia, Kursk region, city of Kursk, Central District ("Kursk"
Project) in the amount not exceeding 170,038,000 rubles (it is planned to construct high-rise residential buildings with a total area of residential premises not less than 120,960sq. m. 100% of which shall meet the criteria  of economy class housing established by the Ministry of Regional Development of Russia).
In accordance with the obligation to provide the land plots with the utility infrastructure assumed by the Foundation the measures and expenses on the said investment projects were included in the program of activities and financial plan of income and expenditures (budget) of the Foundation for 2014 and subsequent years.

15.2. Investments in the Uniform Information Analytical System (UIAS) of the Foundation

In 2013 the tasks of development of the functionality of the FPRS system and development of the technical assignment for implementation of the complex process control system for electronic document management, financing and procurement were settled in the Foundation without attraction of investments in development of software and hardware complexes working as a part of the UIAS of the Foundation.

15.3.   Investments in development of the urban planning and design documentation and assistance in development of energy-efficient and environmentally-friendly technologies and materials

In 2013 the total amount of the Foundation's investments in development of urban planning and design documentation and assistance in development of energy-efficient and environmentally-friendly technologies and materials was 15.08 mln rubles including:
– organization, holding, payment of         awards to winners and nominees of the fourth open public contest named after V. L. Glazychev for the best architectural design of low-rise energy-efficient economy-class dwelling, payment under license agreements (exclusive license) - 2.6 mln rubles;
– performance of engineering and geological survey for the Foundation (Russky  Island) - 1.3 mln rubles;
– development of standard project documentation of 12 low-rise residential economy-class houses based on the results of the fourth open public V. L. Glazychev competition for the best architectural design of low-rise energy-efficient housing – 11.18 mln. rubles.

15.4. Grants for students of architectural and construction specialities

In accordance with the Procedure of awarding grants of the Russian Housing Development Foundation to students of federal state educational institutions of higher professional education in the field of architecture and construction (hereinafter - "Grant Awarding Procedure") approved by the supervisory board of the Foundation (minutes No. 54 dated 06.10.2011) the Foundation paid grants to the students who had achieved success in educational and research activity.
Within the said activity the list of institutions of higher education meeting the following criteria was determined:
1) the educational institution has state accreditation;
2) the educational institution  is under the charge of the federal executive authority, state academy of sciences;
3) the educational institution realizes educational programs of one or several areas of the group of specialities 270000 "Architecture and construction" and awards the bachelor or master's qualification (degree).
In 2013 based on the agreements concluded with 52 institutions of higher education located in all federal districts of the Russian Federation the Foundations' grants were paid to the full-time students obtaining higher education at the expense of the federal budget and at the same time meeting the following criteria:
- significant success in educational activity both in the whole course of studies and certain subjects and excellent marks;
- participation in the scientific and (or) research activity, shows, competitions and contests;
- availability of the scientific publication on the subject of the area (speciality);
- not being included in the list of persons obtaining grants of the President of the Russian Federation and Government of the Russian Federation.
The Foundation's grant was determined to be 5,000 rubles a month per a student. In total in 2013 6.5 mln rubles were allocated for payment of grants to 109 students of architectural and construction specialities studying at 29 educational institutions.
In accordance with Clause 23 of the Grant Award Procedure the educational institutions provided to the Foundation the reports listing surnames of the students, their quantity, information on their progress in studies, other merits, amount of paid grants, amount of spent funds of the Foundation provided for payment of the Foundation's grants in the 2012-2013 academic year, documents evidencing such payment including lists of students eligible for obtaining the Foundations' grants approved at the meetings of academic councils of educational institutions.
By December 24, 2013 57 educational institutions provided reporting materials to the Foundation.
When considering the provided information it was ascertained that 61 students studying at 22 educational institutions do not meet the Foundation's criteria due to unavailability of the scientific publication on the subject of the area (speciality) of higher professional education, the Foundation's criteria of progress in studies and the Foundation's criteria concerning grant awarding.
The Foundation sent to the said educational institutions requests for provision of necessary materials in case of failure to provide which the Foundation would demand back the paid funds.
Subject to the above stated for rational use of the Foundation's funds provided for awarding grants in the 2013-2014 academic year the management board of the Foundation made a decision (minutes No. 192 dated 31.12.2013) to suspend payment of funds under agreements concluded with 22 educational institutions which allowed  inappropriate use of funds provided by the Foundation for the 2012-2013 academic year, to send to educational institutions which allowed  inappropriate use of funds of the Foundation the requests for return of the Foundation's funds and termination of agreements for the 2013-2014 academic year by agreement of the parties.

16. Provision of resources and organizational support of measures included in the Program of Activities of the Foundation for 2013

16.1. Financial support of measures included in the Program of Activities of the Foundation for 2013  

Income and proceeds of the Foundation in 2013
When the financial plan of income and expenditures (budget) of the Foundation for 2013 was formed, the income and expenditures were planned to be 8,568.9 mln rubles including:

  1. carried over proceeds of the previous year in the amount of 2,563.0 mln rubles;
  2. proceeds from sale of goods, work, services and rights in the amount of 5,925.9 mln rubles;
  3. non-operating income of 80,0 mln rubles.

The special-purpose receipts of the Foundation from the federal budget were not provided for in 2013.
The proceeds from sale of goods, work, services and rights was planned for 2013 based on the forecast of sale of land plots and other immovable property items both owned by the Foundation as of the beginning of 2013 and planned to be transferred into the ownership of the Foundation during 2013.

Income and proceeds of the Foundation in 2013
mln rub.

Description

Plan

Actual

Absolute
deviation

Relative
deviation

Carried over proceeds of the previous year

2,563.0

2,563.0

 

 

Proceeds from sale of goods, work, services and rights

5,925.9

5,628.9

-297.0

-5%

Proceeds from sale of land plots and immovable property items

1,907.3

1,970.7

+63.4

+3%

Proceeds from sale of rights to conclude lease agreements  of land plots for integrated development

1,320.3

1,503.0

+182.7

+14%

Proceeds in form of lease payments

2,698.4

1,985.5

-712.9

-26%

Buy-out of land plots

 

169.8

+169.8

 

Other income and receipts

80.0

152.3

+72.3

+90%

Total

8,568.9

8,344.2

-224.7

-3%

The actual amount of income and receipts was less than the planned one by 3% (224.7 mln rubles) which was accounted for by the fact that the proceeds in form of lease payments for 2013 was 1,985.5 mln rubles which was 26% (712.9 mln rubles) less than the planned level.
The deficiency of lease payments is related to the following factors:
1) increase of the socially oriented component of the Foundation's activity within which the land plots are provided free of charge to:
- large families;
- housing construction cooperatives;
- at auctions with commitments of the developers to sell residential premises at the fixed price;
2) violation of the payment discipline by land plot lessees as a result of which the accounts receivable concerning lease payments as of the end of 2013 was 1,081.2 mln rubles and the claims work is carried out in relation to the lessees.

Planned and actual structure of income and receipts in 2013
(mln rub.)


 

 

Other income and receipts

 

Buy-out of land plots

 

Proceeds in form of lease payments

Proceeds from sale of rights to conclude lease agreements of land plots for integrated development

Proceeds from sale of land plots and immovable property items

Carried-over balance of proceeds of the previous year

                        Plan                                       Actual

 

Areas of funds spending within realization of the Program of Activities of the Foundation for 2013
In 2013 the total amount of expenses and payments was 4,616.2 mln rubles including payment of taxes and duties in the amount of 2,718.7 mln rubles.

 

Areas of funds spending within realization of the Program of Activities of the Foundation for 2013
mln rub.

Description

Plan

Actual

Absolute
deviation

Relative
deviation

Expenses on operating activity

583.2

360.2

-223.0.

-38%

Administrative expenses

336.7

220.1

-116.6

-35%

Expenses on upkeep of personnel

1,498.0

1,289.0

-208.9

-14%

Taxes, duties, fines and penalties

3,243.8

2,718.7

-525.1

-16%

Expenses on development of technologies and
investment activity, including with social effect

690.6

28.2

-662.4

-96%

Total expenses and payments

6,352.2

4,616.2

-1,736.0

-27%

The total saving concerning expenses on operating activity, upkeep of personnel and administrative expenses was 548.5 mln rubles which significantly exceeded the short-received proceeds (224.7 mln rubles).
The actual expenses of the Foundation in 2013 were below the planned ones by 1,736 mln rubles (27%) which ensured increase of the Foundation's money reserve formed based on the results of 2013.
Formation of the reserves
To organize the permanent cash flow and decrease the liquidity risk the formation of reserves in the amount of 2,216.7 mln rubles was provided for within the Program of Activities of the Foundation for 2013.
Actually based on the results of 2013 the total reserve was 3,727.9 mln rubles and included:
1) reserve for financing the investment activity of 2,233.2 mln rubles including:
- reserve for fulfillment of obligations to provide land plots of the Foundation with the utility infrastructure in the amount of 219.2 mln rubles;
- reserve for financing other investment activity of 2,014.0 mln rubles;
2) reserve for financing the operating activity of 1,421.9 mln rubles;
3) reserve for formation of the long-term motivation fund of 72.8 mln rubles.
The fact that the actual reserve exceeds the planned one is accounted for by the saving on the items of expenditure of the financial plan of income and expenditures (budget) of the Foundation based on the results of 2013.

16.2. Development and ensuring functioning the current IT infrastructure of the Foundation

Within development and ensuring functioning of the current IT infrastructure of the Foundation the following measures were taken in 2013:
- the back up and data recovery system was updated which increased the amount of protected data objects, decreased load on equipment and increased the data recovery speed;
- the Foundation's web-site was transferred to the more efficient hosting site, the speed of operation and size were optimized and archive video materials were relocated between the new site and Foundation's site;
- the reliability and fault tolerance of the mail system was increased, the functionality of rendering the service of information exchange with external sources was extended and the Internet router was replaced with a more efficient one having the function of automatic channel switching which made it possible to increase the Internet speed and increase the relibility of the service rendering;
- the IT infrastructure of the Foundation's additional office located at the address:  Khokhlovsky per, h. 13, bldg. 1 was created and the work of integration with the infrastructure of the Foundation's office located at the address: Slavyanskaya Square, house 4, bldg. 1 was performed. Within performance of the work the structured cable network, local area network, power supply network were created, the telecommunications channel was organized, the functionality and number capacity were extended, the settings of the operating automatic switching center were optimized.

16.3. Development of the main areas of activity in the field of HR management

To ensure settlement of the tasks set for the Foundation due to increase of effectiveness of the structural subdivisions and employees of the Foundation in 2013 the work of filling the remaining vacancies in the main subdivisions was continued - 95 persons were employed.
The measures of further development of the employees, increase of their professional level, adaptation of new employees, increase of completeness, quality and promptness of the information provided to the employees were taken. For this purpose using the internal corporate portal of the Foundation within development of the knowledge management system further accumulation of information in the main areas of the Foundation's activity, generalization of teaching and practical aids obtained by the Foundation's employees during training and participation in conferences and exhibitions were ensured. Within the target programs of external education in 2013 33 employees of the Foundation were trained.
To improve business processes in the field of HR management and corruption counteraction 11 local regulatory acts were developed and approved in 2013 including:
- regulation on implementation of preventive measures in the field of corruption counteraction in the Foundation;
- procedure of anti-corruption expertise of local regulatory acts, documents governing the Foundation's activity, other documents and drafts thereof;
- procedure of notification of the employer of the facts of application for the purpose of inclining a Foundation's employee to commit corruption offences, registration of such notices and organization of verification of the information contained therein;
- procedure of provision of information on income, expenses, property and real obligations;
- regulation on control of correspondence of the Foundation's employees' expenses to their income.
To ensure meeting the requirements of Decree of the President of the Russian Federation No. 309 dated 02.04.2013 "On measures of realization of certain provisions of the Federal Law "On corruption counteraction", performance of work to prevent corruption in accordance with the requirements of Federal Law No. 273-FZ dated 25.12.2008 "On corruption cooperation" the anti-corruption department was formed.

17. Risk management during realization of the Program of Activities of the Foundation for 2013

For realization of the Program of Activities of the Foundation for 2013 the complex of risk leveling measures was applied.
The following types of risks were the most critical in 2013:
- liquidity and operating activity risks
occurring in relation to organization of the uninterrupted cash flow from sale of land plots;
- risks related to the professionalism level of developers realizing construction projects on the Foundation's land plots.
The Foundation used the following tools as measures aimed at counteraction to liquidity risks:
1. Formation of cash reserves ensuring the required financial strength. Based on the results of 2013 the cash reserve was 3,727.9 mln rubles including:
- reserve for financing the investment activity of 2,233.2  mln rubles;
- reserve for financing the operating activity of 1,421.9 mln rubles;

  1. Information and analytical support of the process of making financial and investment decisions which was ensured         due to timely preparation  of quarterly reports on performance of the financial plan of income and expenditures (budget) of the Foundation and key performance indicators of the Foundation specified in the Program of Activities of the Foundation for 2013.
  2. Monitoring of compliance by the lessees with lease agreements of the land plots and claims work with the lessees violating the lease agreements.

Due to violation by the lessees of the lease agreements of the land plots in 2013 the Foundation sent to the lessees:

  1. 94 requests for payment of penalties;
  2. 16 requests for redemption of debt on lease payments, provision of irrevocable bank guarantees, payment of penalties for delay in lease payments and provision of irrevocable bank guarantee.
  3. In 2013 the Foundation filed 98 claims to the arbitration court due to violation by the lessees of the lease agreements of the land plots of the Foundation.

The Foundation's requirements under 86 claims were satisfied by decisions of the arbitration courts of the first instance, 12 claims are under consideration.
As a result of such work in 2013 the lesses paid 148.7 mln rubles to the Foundation in accordance with the court decisions as well as voluntarily according to the sent requests, claims or actions among which:

  1. debt on lease payments - 144.6 mln rubles;
  2. penalties for violation of the obligations under the lease contracts of the land plots for integrated development thereof for the purposes of housing construction in the amount of 4.1 mln rubles.

18. Foundation's performance indicators for the planning period
As a result of the work performed by the Foundation in 2013 the key performance indicators were achieved which are given in the table below.

Foundation's key performance indicators for 2013

No.

Key performance indicator

Specific weight of the key performance indicator

Unit of measure  of the key performance indicator

Value of the key performance indicator

Actual performance

Target value  (100 points)

Increased value
(110 points)

Maximum value
(120 points)

Amount and structure of land included in the turnover for housing construction

1

Total amount   of land included in the turnover for housing construction

5%

ha

7 500

7 800

8 200

7 504

2

Amount of land included in the turnover of land offered for economy-class housing construction

10%

ha

5 250

5 450

5 750

7 096

3

Amount of land included in the turnover of land offered for economy-class low-rise housing construction

5%

ha

4 200

4 400

4 700

6 495

Number of land plots included in the turnover for placement of building materials industry facilities

4

Number of land plots included in the turnover for placement of building materials industry facilities

5%

pcs.

10

12

14

11

Land plots provided for housing construction and construction of building materials industry facilities

5

Total area of land plots provided  for housing construction and complex development for housing construction

20%

ha

4 000

4 250

4 500

3 532

6

Total design amount of housing which is being constructed and planned to be  constructed on the land plots of the Foundation provided for complex development for  housing construction purposes

10%

mln sq. m.

17.5

18.75

20.0

22.25

7

Land plots provided for placement of building  material facilities focused on manufacture of energy-efficient and environmentally friendly building  materials, products and structures for housing construction purposes

20%

pcs.

10

12

14

12

8

Percentage of increase of the number of housing construction cooperatives formed by certain categories of individuals in accordance with the Federal Law "On Facilitation to Housing Construction Development"

7%

%

100

200

300

1,000

Performance of budget indicators

9

Proceeds from sale of goods, work, services and rights

3%

mln rub.

5 900

6 250

6 650

5 628.9

10

Investment portfolio increase

15%

%

50

70

100

101

The table data evidence that most of achieved values of the indicators correspond to or significantly exceed the target values, in particular:

  1. the actual value of the indicator "Total amount of land included in the turnover of land for housing construction" corresponds to the target value;
  2. the actual value of the indicator "Amount of land included in the turnover of land offered for economy-class low-rise housing construction" exceeded the target value by 35%;
  3. the actual value of the indicator "Amount of land included in the turnover of land offered for economy-class low-rise housing construction" exceeded the target value by 55%;
  4. the actual value of the indicator "Amount of land included in the turnover of land offered for placement of building materials industry facilities" exceeded the target value by 10%;
  5. the actual value of the indicator "Total design amount of housing which is planned to be constructed on the land plots of the Foundation provided for complex development for  housing construction" exceed the target value by 22%;
  6. the actual value of the indicator "Land plots provided for placement of building materials industry facilities focused on manufacture of energy-efficient and environmentally friendly building materials, products and structures for housing construction" exceed the target value by 20%;
  7. the actual value of the indicator "Percentage of increase of the number of housing construction cooperatives formed by certain categories of individuals in accordance with the Federal Law "On Facilitation to Housing Construction Development" exceed the target value by 10 times;
  8. the actual value of the indicator "Investment portfolio increase" exceeded the target value by 2 times.

The actual value of the indicator "Total area of land plots provided for housing construction and complex development for housing construction purposes" was 3,532 ha which was below the target value by 11.7%.  The main reason for the situation is the location of the potential of provision of land plots farther from settlements that the ones provided earlier (most of which are located within the settlements or directly adjoin them).
The land plots provided in 2013 were characterized by the higher cost of connection to utility networks than the ones provided earlier and low expected prices of sale of constructed dwellings which resulted in decrease of marginality of the housing construction projects realized thereon.
As a result in a number of constituent entities of the Russian Federation (Kursk, Chelyabinsk, Novosibirsk, Nizhny Novgorod, Tyumen, Smolensk Regions, Primorsky Krai, etc.)  the demand of most of investors having a reserve of land plots (including the ones provided by the Foundation earlier) for realization of projects with higher profitability for such land plots decreased.
The actual value of the ratio "Proceeds from sale of products, work, services and rights" was 5,628.9 mln rubles which is below the target value by 4.6% (by 271.1 mln rubles). The decrease of the Foundation's proceeds is conditioned by the consequences of increase of the socially oriented component of the Foundation within which the land plots are provided free of charge to large families, housing construction cooperatives and within auctions with commitments of developers to sell residential premises at the fixed price.
In accordance with the internal regulatory acts governing remuneration of the Foundation's employees the amount of compensation of the Foundation's employees for 2013 is directly related to the results of achievement of quarterly and annual key performance indicators of the Foundation, indicators of work of structural subdivisions and individual indicators of the Foundation's employees. The remuneration of the Foundation's employees is determined by calculation in proportion to the achieved results. According to the calculation the average remuneration is 21% less than the remuneration subject to achievement of the target values concerning all indicators including:
- the remuneration of the Foundation's management (general director, senior deputy general director) - by 33%;
- the remuneration of the middle management (directorate head, department head, head of the Secretariat of the supervisory board, manager of the group of advisors of the general director, director of management, deputy directorate head, deputy directorate head - division head, deputy department head, deputy department head - division head, deputy head of the Secretariat of the supervisory board, advisor of the general director, deputy director of management, division head) - by 23%;

- the remuneration of specialists (project coordinator, advisor, advisor of the senior deputy general director, chief officer of the general director, advisor of the deputy general director, consultant, assistant general director, assistant senior deputy general director, specialist, information protection specialist, category 1 specialist) - by 12%.



Kabardino-Balkar Republic, the Republic of Bashkortostan, the Republic of Kalmykia, the Republic of Tatarstan, the Republic of Khakassia, Krasnoyarsk, Perm and Stavropol territories,         Vladimir, Voronezh, Volgograd, Moscow, Kemerovo, Ryazan, Omsk, Orel, Sakhalin and Tyumen regions.

Planning indicator of the Program of Activities of the Foundation for 2013 is 4 000 ha.

Planning indicator of the Program of Activities of the Foundation for 2013 year – 10 land plots

On accrual basis

On accrual basis during the period from 2008 till 2013.

The indicated approach does not restrict participation of any construction companies in any auctions conducted by the Foundation.

For further information see subclause 1.2.5 of the report of results of the Foundation’s activities for the year 2013.

Land plots, in respect of which the conclusions on the urban development readiness of the land plots territory are formed on the stage of review of suitability of preparation of land use proposals and on the stage of preparation of the land plots use proposal

Land plots, in respect of which the proposals of use were made, taking into account the land plots, intended to be involved into turnover in 2013, and the land plots, which are not suitable for involvement.

For further information see clause 14 of the report of results of the Foundation’s activities for the year 2013.

Information on the land plots of the Foundation  was placed on the official website of the Foundation, official websites of the entities of the Russian Federation, construction associations, self-regulated organizations, as well as regional mortgage operators

12 Letter of the Federal Service for Registration, Cadastre and Cartography No. 18-outg/01314-ÄÂ/14 dated February 07, 2014.

Federal Law No. 239-FZ dated July 23, 2013 “On Amending the Federal Law “On the Promotion of Housing Construction Development” and certain legislative acts of the Russian Federation”.

Krasnodar, Perm, Primorye, Khabarovsk Territories, Volgograd, Ivanovo, Moscow, Nizhny Novgorod, Novgorod, Novosibirsk, Omsk, Oryol, Rostov, Saratov, Sverdlovsk, Tyumen, Ulyanovsk Regions, the Republic of Tatarstan, the Udmurt Republic.

Moscow, St. Petersburg, the Udmurt Republic, the Kabardino-Balkar Republic, the Republic of Tatarstan, the Republic of Buryatia, the Republic of North Ossetia - Alania, the Republic of Bashkortostan, the Republic of Sakha (Yakutia), the Republic of Kalmykia, the Republic of Khakassia, the Republic of Adygea, the Republic of Dagestan, Primorye, Perm, Krasnodar, Krasnoyarsk, Stavropol, Khabarovsk Territories, Volgograd, Voronezh, Irkutsk, Kursk, Kemerovo, Moscow, Novgorod, Novosibirsk, Nizhny Novgorod, Rostov, Ryazan, Samara, Saratov, Sakhalin, Sverdlovsk, Tomsk, Tyumen, Omsk, Orenburg, Oryol, Ulyanovsk Regions.

On an accrual basis

Moscow, St. Petersburg, the Udmurt Republic, the Kabardino-Balkar Republic, the Republic of Buryatia, Primorye, Perm, Krasnodar, Stavropol Territories, Novosibirsk, Irkutsk, Saratov, Novgorod, Ryazan, Omsk, Kursk Regions.

Astrakhan, Volgograd, Voronezh, Irkutsk, Kirov, Novosibirsk, Pskov, Rostov, Samara, Saratov, Sverdlovsk, Smolensk, Tambov, Tyumen, Ulyanovsk Regions, Trans-Baikal, Krasnodar, Perm, Stavropol Territories, the Republic of Adygea, the Mari El Republic, the Republic of Tatarstan, the Chuvash Republic, the Republic of Khakassia, the city of Moscow.

Kaluga, Leningrad, Rostov Regions, the Republic of Buryatia.

The form of the report is approved by Order of the Ministry of Economic Development of Russia No. 283 dated July 20, 2009 “On the contents and form of presentation of reporting on exercising of the powers of the Russian Federation related to management and disposal of the land plots and other real estate objects being in the federal ownership delegated to the constituent entities of the Russian Federation”

The forms of monitoring is established by the cooperation agreements entered into between the higher executive authorities of the constituent entities of the Russian Federation and the Foundation.

18 land plots with total area of 1,543.6 ha located in the Perm Territory, the Republic of Khakassia, the Mari El Republic, Tambov and Lipetsk Regions was formed, the powers of the Russian Federation related to management and disposal of which have been transferred to the state authorities of the constituent entities of the Russian Federation.

The Republic of Bashkortostan, the Mari El Republic, Volgograd, Ulyanovsk and Krasnodar Territories.

Bryansk, Irkutsk, Omsk, Orenburg, Pskov, Sverdlovsk, Ulyanovsk, Chelyabinsk Regions, the Republic of Bashkortostan, Krasnodar and Perm Territories, Yamal- Nenets Autonomous District.

Irkutsk, Omsk, Orenburg, Sverdlovsk Regions, the Republic of Bashkortostan, Krasnodar Territory.

Bryansk, Omsk, Pskov, Ulyanovsk, Chelyabinsk Regions, Perm Territory, Yamal-Nenets Autonomous District.

Altay Territory, Voronezh, Lipetsk, Sverdlovsk and Tyumen Regions, the Republic of Kalmykia, the Republic of Karelia, the Mari El Republic, the Chuvash Republic

Federal Law No. 239-FZ dated July 23, 2013 “On Amending the Federal Law “On the Promotion of Housing Construction Development” and certain legislative acts of the Russian Federation” developed with the participation of the fund.

In 2013 the applications of the Russian Academy of Sciences, the Russian Academy of Agricultural Sciences, the  Russian Presidential Academy of National Economy and Public Administration, the Russian Ministry of Agriculture, Ministry of Education of Russia, Russian Ministry of Industry and Trade, Ministry of Culture of Russia, Federal Service for Financial and Budgetary Supervision, the Federal Medical and Biological Agency, the Research Center “Kurchatov Institute”, State Budget-funded Educational Institution of Higher Professional Eduction Medical University “I.M. Sechenov First Moscow State Medical University” and authorized state authorities of the Primorye Territory, Voronezh, Kursk, Saratov, Sverdlovsk, the Republic of Tatarstan, the Republic of North Ossetia – Alania were submitted.

On an accrual basis

As of March 11, 2014 the said regulatory legal acts have been adopted in 68 constituent entities of the Russian Federation.

Subject to the amendments made in the decisions previously made by the Government Commission as to changing the intended use of the land plot from the “for integrated development for the purposes of housing construction” into “for the purposes of providing the economy class housing (individual construction housing) to citizens having  three or more children on a gratuitous basis” in relation to 8 land plots with total area of 154.7 hectares.

In 2013 the Foundation provided 1 land plot involved in 2012.

Housing and industrial clusters means the clusters in which the housing construction is synchronized with the construction of new industrial objects for the production of construction materials, products and structures, with creation of new jobs.

The said project was implemented by the developer using credit facilities of Vnesheconombank; the Foundation assisted in obtaining such facilities.

CJSC "Rosdorsnabzhenie", LLC "Bastion", LLC "NZTI".

In accordance with the Decision-Taking Procedure concerning investment activities of the Russian Housing Development Foundation related to acquisition of residential premises, approved by the Foundation's Supervisory Board (minutes No. 24 dated 26.04.2010), with amendments approved by the Foundation's Supervisory Board (minutes No. 42 dated 03.03.2011), the Foundation may acquire residential premises up to 25% of total area of all residential premises of an apartment building being under construction, and up to 35% of total area of all residential premises of a low-rise house, at a price set as a market average value of 1 square meter of total area of residential premises in a certain constituent entity of the Russian Federation, in the territory of which the relevant objects of capital construction are being built, which price is approved by the Ministry of Regional Development of Russia and decreased by 5%.

For more details of provision of Foundation’s obligations for acquisition of economy-class residential premises, see Section 8 of this Report of results of activities of the Foundation for 2013.

Calculations are based on value of 1 square meter of housing in accordance with the order No.371/ÃÑ dated 14.10.2013 issued by the Ministry of Regional Development of Russia. Source: market researches of households demand for housing held in 2010-2013 by request of the Foundation; calculations of the Foundation.


In accordance with the work of the Foundation related to involvement of land plots.

The following groups are considered as target audiences:
-potential purchasers of housing including low-rise economy class housing;
- citizens with three or more children;
- persons interested in creation of housing construction cooperatives on the Foundation's land plots;
- state authorities and local self-government bodies exercising powers in the sphere of land relations, urban development, construction, construction materials industry, housing and utilities and other directions of activity connected with them;
development institutes;
- business community – companies carrying out housing and other construction and (or) production of construction materials as well ass financial organizations, their associations and corporations and foreign investors;
- professional community - professional associations and public organizations including the Builders of Russia Union, Russian Builders Association, Russian Union of Architectures, architectural and urban development associations etc.

Agreement of lease of land plots for their complex development for housing construction No. ÄÇ-136 dated 20.12.2010 concluded between the Foundation and LLC "DALTA-Vostok-1" in accordance with the report on the results of the auction for sale of the right of conclusion of the lease agreement of six land plots being a part of one lot for their complex development for housing construction No. À46-07/2010/2 dated 15.12.2010.

Agreement of lease of land plots for their complex development for housing construction No. ÄÇ-145 dated 27.12.2010 concluded between the Foundation and LLC "Kaskad" in accordance with the report on the results of the auction for sale of the right of conclusion of the lease agreement of three land plots being a part of one lot for their complex development for housing construction No. À57-07/2010/2 dated 20.12.2010.

In accordance with resolutions of the Supervisory Board of the Foundation (minutes No.38 dated 10.12.2010, No.49 dated 12.06.2011, No.56 dated 10.11.2011).

In accordance with the resolution of the Foundation’s Supervisory Board (minutes No. 75 dated 13.12.2012).

Lease agreements for the land plots for their integrated development for the purpose of housing construction No.  ÄÇ-5 and No. ÄÇ-6 dated 10.02.2011 concluded by the Foundation and OJSC "Kirov Regional Mortgage Corporation" in accordance with protocols of repeated auctions for sale of the right to enter into lease agreements for land plots for  their integrated development for the purpose of housing construction  dated 09.02.2011 No. ÏÀ44-07/2010/2 and No. ÏÀ45-07/2010/2.

Pursuant to the resolution of the Foundation’s Supervisory Board (Minutes No. 49 dated 12.07.2011).

The lease agreement of the land plot for its integrated development for housing construction purposes dated12.12.2011 No. ÄÇ-242  concluded by the Foundation and LLC "Rechelstroy" in accordance with the protocol of the repeated auction for sale of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes dated 05.12.2011 No. ÏÀ36-07/2010/2.

Pursuant to the resolution of the Foundation’s Supervisory Board (Minutes No. 49 dated 12.07.2011).

The lease agreement of two land plots for their integrated development for housing construction purposes dated 28.12.2011 No. ÄÇ-265 concluded by the Foundation and CJSC "Diversified Enterprise Concern "Energy" in accordance with the protocol of the auction for sale of the right of conclusion of the lease agreement of two land plots constituting the single lot for their integrated development for housing construction purposes dated  23.12.2011 No. À104-07/2011/2.

Pursuant to the resolution of the Foundation’s Supervisory Board (Minutes No. 56  dated 10.11.2011).

The lease agreement of the land plot for its integrated development for housing construction purposes dated 10.12.2012 No. ÄÇ-65 concluded by the Foundation and LLC "Stroyinvest" in accordance with the protocol of the auction for sale of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes dated 22.11.2012 No. ÏÀ111-07/2011/2.

The lease agreement of the land plot for its integrated development for housing construction purposes dated 05.04.2013 No. ÄÇ-32 concluded by the Foundation and LLC "Kapstroyinvest" in accordance with the protocol of the auction for sale of the  right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes dated 25.03.2013 No. ÏÀ181-21/2012/2.

The lease agreement of the land plot for its integrated development for housing construction purposes dated 15.01.2013 No. ÄÇ-11 concluded by the Foundation and CJSC "Company "Atomstroycomplex" in accordance with the protocol of the auction of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes dated 28.12.2012 No. À186-21/2012/2.

The amount of financing by the Foundation of the measures to connect capital construction objects on the land plot of "Cherdantsevo" Project  to water supply and disposal (sewage) networks will be specified after the land planning and surveying projects are developed and approved.

The lease agreement of the land plot for its integrated development for housing construction purposes dated 09.11.2011 No. ÄÇ-236 concluded by the Foundation and LLC "Versiya" in accordance with the protocol of the auction of the right of conclusion of the lease agreement of the land plot for its integrated development for housing construction purposes dated 27.10.2011 No. À84-07/2011/2.

North-Western  Federal  District  –  7  institutions of higher education,  Central  Federal  District  –  6  institutions of higher education,  Privolzhsky Federal District – 5 institutions of higher education, Southern Federal District – 3 institutions of higher education, North Caucasian Federal District – 1 institution of higher education, Ural  Federal  District –  2  institutions of higher education,  Siberian  Federal  District  –  5 institutions of higher education.