Cabinet allows Defense Ministry to prepay expenses for delivering two U.S. Island-class patrol boats to Ukraine's Navy
Ukraine's Cabinet of Ministers has allowed the Defense Ministry to fully prepay expenses related to the delivery of two Island-class patrol boats in 2019 under the U.S. military assistance program.
A respective draft Cabinet resolution amending previous resolution No. 117 from April 23, 2014, was approved on Wednesday without discussion during a Cabinet meeting.
The explanatory note attached to the document obtained by the Kyiv-based Interfax-Ukraine news agency said Ukraine's Defense Ministry is currently completing preparations for signing an interdepartmental agreement, UP-P-SAA, under the bilateral agreement with the United States for receiving the two Island-class cutters.
Under the agreement, the patrol boats are to be transferred to Ukraine's Navy free of charge and the Ukrainian side shall ensure full prepayment for related costs amounting to $10.1 million for the period of up to 18 months.
Under Cabinet resolution No. 117 from April 23, 2014, the Defense Ministry can conduct prepayment for military products and services for carrying out tasks relating to repelling military aggression. The products and services must be delivered during the current budget term in the amount of 70% for the term of three months.
According to the previous information provided by the military, the signing of the agreement with the American side for supplying Island-class cutters to Ukraine is scheduled for August-September 2018 with delivery in November-December 2019. Before delivery to Odesa, they will be refurbished in Baltimore, Maryland, where Ukrainian navy crews will receive training in summer 2019.
The cutters previously were in the service of the U.S. Coast Guard. They are currently at anchor in Baltimore.
Kyiv and Washington began discussions about supplying Ukraine with the 30-meter long Island-class patrol boats after Russia illegally annexed Ukraine's Crimea in early 2014.