tives appointed by Parties that accede to this Agreement, on such conditions and terms as the Board may determine. Parties not represented on the Governing Board and inter-governmental and non-governmental organizations may be invited to participate in Board deliberations, in a non-voting capacity.


Each project submitted for approval by the Governing Board shall be accompanied by the written concurrence of the state(s) in which the work is to be carded out. In addition to the prior concurrence of that state(s), the approval of projects shall require consensus of Parties on the Governing Board other than any state eligible for projects under Article II (A). (Such consensus shall be subject to the conditions and terms determined pursuant to Article V.)

  1. Projects approved by the Governing Board may be financed or supported by the Center, or by governments, inter-governmental organizations, or non-governmental organizations, directly or through the Center. Such financing and support of approved projects shall be provided on terms and conditions specified by those providing it, which shall be consistent with this Agreement.

  2. Representatives of the Parties on the Board and personnel of the Center Secretariat shall be ineligible for project grants and may not directly benefit from any project grant.

  1. The Center shall have the right, within Ukraine or other states of the former Soviet Union that accede to this Agreement:

    1. To examine on-site Center project activities, materials, supplies, use of funds, and project-related services and use of funds, upon its notification or, in addition, as specified in a project agreement; and

    2. To inspect or audit, upon its request, any information, including records or documents, in connection with Center project activities and use of funds, wherever such records or documentation are located, during the period in which the Center provides the financing, and for a period thereafter as determined in the project agreement.

      The written concurrence required in Article VI shall include the agreement, of both the state of the former Soviet Union in which the work is to be carried out and the recipient institution, to provide the Center with access necessary for auditing and monitoring the project, as required by this paragraph.

  1. Any Party represented on the Governing Board shall also have the rights described in paragraph (A), coordinated through the Center, with regard to projects it finances in whole or in part, either directly or through the Center.

  2. If it is determined that the terms and conditions of a project have not been respected, the Center or a financing government or organization may, having informed the Board of its reasons, terminate the project and take appropriate steps in accordance with the terms of the project agreement.

  1. The Headquarters of the Center shall be located in Ukraine.

  2. By way of providing material support to the Center, the Government of Ukraine shall provide at its own expense a facility suitable for use by the Center, along with maintenance, utilities, and security for the facility.

  3. In Ukraine, the Center shall have the status of a legal person and, in that capacity, shall be entitled to contract, to acquire and dispose of immovable and movable property, and to institute and respond to legal proceedings.


The Government of Ukraine shall ensure that:

    1. Funds and property of the Center or any branch thereof, including any interest arising from keeping funds in banks in Ukraine, are exempt from taxation or other charges imposed by the Government of Ukraine and any subdivision thereof;

    2. Commodities, supplies, and other property provided or utilized in connection with the Center and its projects and activities may be imported into, exported from, or used in Ukraine free from any tariffs, dues, customs duties, import taxes, and other similar taxes or charges imposed by Ukraine. In order to receive exemptions under this paragraph, commodities, supplies, and other property must either be specified in a project agreement or be certified by the Executive Director as items to be used by the Center or in a Center project. The procedures for such certifications shall be described in the Statute;

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