Tag Archives: Permanent Apartments

More on ‘Virtual’ Apartments

On Friday, TV Tsentr broadcast a story on former military men waiting over a year for new apartments due to the lack of proper transfer and ownership documents.  Two of the men and a military wife were interviewed.  The footage showed a quiet demonstration on Gogolevskiy Bulvar, several blocks from the Defense Ministry.

One officer showed the camera crew his family’s room in an officer’s dormitory.  Another walks through a finished apartment building, saying he is into his second year of waiting.  The ‘virtual’ apartments exist, but the documents for them don’t.  A military wife says their lives and obtaining services are difficult without a permanent place of residence. 

The chief of the regional capital construction directorate talked to the demonstrators about ‘complex relations with the contractor,’ but assured them their apartment problems will be resolved in the next month.

‘Virtual’ Apartments and the Army’s Protest Mood

Ex-Military Men Protesting 'Virtual' Apartments (photo: RIA Novosti)

In Monday’s Nezavisimaya gazeta, Vladimir Mukhin described a 15 May demonstration outside the Defense Ministry by former officers who were allocated ‘virtual’ apartments in Balashikha six months ago, but have been unable to occupy them due to slow paperwork.  Their demands are simple:  these retirees want bureaucratic obstacles removed.  

The protest was not covered by the media, or received only scant coverage.  However, the Defense Ministry’s promise to fix the problems for former servicemen from Balashikha was reported widely in the press. 

Mukhin’s subtitle for the article reads, “Unfulfilled Presidential housing program for the military leading to protest actions.”  He concludes that military demonstrations have been so rare in post-Soviet history that, if they occur, they have to be symptomatic of something.  He says similar protests have happened in other regions with large military garrisons. 

Everyone remembers Defense Minister Serdyukov’s reports about fulfilling the military housing program in 2009.  However, it’s becoming clear that this didn’t happen.  New military housing and construction chief Grigoriy Naginskiy not long ago announced that of 45,000 permanent apartments handed out in 2009, less than half have been occupied.  So the plan wasn’t achieved.  This has provoked a protest mood in the army, and the authorities, it seems, prefer not to notice it.  

Mukhin cites similar situations and actions in Bashkiriya, and elsewhere in  Moscow’s far suburbs.  The All-Russian Professional Union of Servicemen (OPSV or ОПСВ) tells Mukhin it’s pretty simple.  A garrison is drawn down, and officers who don’t want to relocate are put out of their apartments (sometimes into the street).  The garrison is then sold by Defense Ministry officials with a direct interest in this.  Mukhin concludes, that’s the ‘new profile’ army for you. 

OPSV Chairman Oleg Shvedkov told Mukhin several thousand retired officers and servicemen participated in May 1 protests around the country.  They protested not just housing, but also pension and pay problems.  But, of course, active-duty servicemen are prohibited from participating in political actions under the law. 

Viktor Baranets also addressed the plight of former officers in Balashikha in a 12 May article. 

According to ITAR-TASS and RIA Novosti, a Defense Ministry housing official promised on 15 May that the problem of 80 retired servicemen and the apartments allocated to them in Balashikha would be resolved before the end of June.  He said the process of preparing all the necessary documents would be complete by that time. 

A Defense Ministry spokesman said a meeting with an ‘initiative group’ [i.e. the protesters] was held in the ministry.  He also indicated the Defense Ministry is trying to speed up and smooth out the process of preparing and registering survey and property ownership documents.

Phantom Apartments

Yesterday NTV aired an expose which helps explain how the Defense Ministry claims it  built 45,600 apartments for officers in a single year.

It’s a bit surprising that a national channel aired this piece.  It depicts quite a mess in military housing, although it doesn’t venture to say how widespread this problem might be.  Recall that the military prosecutor was investigating a case of 8 unfinished buildings in Chekhov back in January. 

It’s unclear how such messes could be cleaned up–how unfinished apartments could be completed, who would do it, and, most importantly, who would pay.  Previous reports made clear the turmoil in the Defense Ministry’s Housing and Construction Service when civilian Grigoriy Naginskiy replaced General-Colonel Filippov at the beginning of 2010.

NTV also hints at pervasive corruption in the military housing program, but doesn’t address this directly. 

Brewing military housing scandals could lead not just to questions about poor management in Serdyukov’s Defense Ministry, but also about Prime Minister Putin’s (and President Medvedev’s) ability to delivery on oft-repeated promises to servicemen.

The video shows poor quality work on an apartment building in a way text alone could never describe it.  The looks and expressions of the jilted officers would similarly be difficult to capture in words.

NTV says officers of the Ufa garrison are thinking not about the upcoming 9 May Victory Day holiday, but about resolution of their everyday problems.  Because of bureaucrats, they and their families could end up out in the street.  They were allocated apartments in a new building where they can’t live.  The multi-story building is incomplete, and several parts of it haven’t even been started.

But according to the documents everything is in order.  There are even acts of acceptance for the nonexistent apartments.  The chief of every organization involved in the project hurried to put check marks on reports about the completion of this state construction order.  For this reason, it will be hard to determine exactly who’s to blame.

The camera turns to one Lieutenant Colonel Valeyev, effectively out of the service for 7 years, but unable to retire (he hasn’t received permanent housing).  He had to surrender his service apartment, and lives in the kitchen of an officer’s dormitory while his daughter lives in his room.  Valeyev concludes simply, “It’s shameful to live in such a situation.”

The construction contract for 350 apartments on the outskirts of Ufa was signed a year ago, and the work was to be finished in just three months, understood to be unrealistic and impossible from the very beginning.  The builders didn’t finish for understandable reasons, but the acts of delivery-acceptance were signed on time.  It turns out this housing existed on paper, but not in reality.

They managed to build only one-third of the apartments promised, and even those remain incomplete after six months.  Nevertheless, the chief of the Ufa KECh (housing management unit or КЭЧ), who distributes housing to servicemen, signed for ceramic tile, linoleum, and wallpaper back in October (so where did these materials end up?).

Asked why the acceptance was signed if the apartments weren’t ready, the KECh chief says only, “It was signed, so to speak, in advance.”

Meanwhile, the other two apartment buildings are just holes in the ground, as shown in the video.  These unbuilt apartments have been distributed already, so 100 military families have housing on paper.

Ufa garrison officers can’t go back to their old service apartments that have been given to others already.  It’s also possible their assigned permanent apartments, when and if completed, could be sold to civilian buyers now that the original contract’s been voided.  The officers will claim they have documents for the apartments, but the builder will tell them to take it up with those that gave them the papers (i.e. the KECh and the Defense Ministry).

The contractor complains that the Defense Ministry contract was lower than market price by one-fourth (well, why did they agree?).  And he claims he went ahead with his own money and now the apartments are more expensive (he seems to be preparing to justify selling them on the private market).

The officers don’t even have anyone with whom they can argue.  The previous KECh chief is under investigation on bribery charges.  And dismissed officers from distant Ural garrisons are being sent back to their units to ask their old commanders for some living space.

The Russian Military Housing Shuffle

Who knows what the military housing shuffle would sound like, but it would have to be a catchy tune.  Watching the official dancing on Russian military housing is really great sport.

Today it was the turn of Regional Development Minister Viktor Basargin and Prime Minister Vladimir Putin himself.  At an RF Government Presidium session, the duo announced that they were plunking down an additional 35.2 billion rubles to finance 18,500 GZhS for military men, about half of whom are retiring this year and would presumably otherwise add to the military housing queue.

Basargin said, “Our target is to provide housing for retired military by January 1, 2012, and we’ll meet it 80 percent this year.”  Wait a minute Viktor…Vladimir Vladimirovich (and Dmitriy Medvedev) have said repeatedly that retired military men are to receive permanent apartments in 2010, not by 2012.  2012 is the goal for service apartments.

Basargin also made a point of saying this is the first time in six years that such an amount has been laid out in February, with the idea that the work might actually be completed in the same calendar year.

At any rate, Putin chimes in, calling it a timely emission of budget money, not an early one.  And he said, “We’re allocating large additional resources, the [Defense] Ministry will conduct a corresponding tender, and a large scale one at that.”

These GZhS would be worth 1.9 million rubles each for 35.2 billion rubles total.  For an average, smallish permanent military apartment of 39 square meters, that’s a little less than 50,000 rubles per square meter.  A little pricy by the Defense Ministry’s standards but not Moscow or Petersburg prices.

Back on December 30, Putin said 44.4 billion rubles would be spent in 2010 to obtain 45,000 military apartments.  This is more like 988,000 rubles per apartment (vice 1.9 million) and the price per square meter of average, smallish military apartment is more like 25,000 rubles–about what the military wants to pay and a good average for Russia as a whole.  Just as an aside, this day Putin said, “In 2010, we must resolve this [military housing] problem.  People are tired of waiting years for the resolution of this problem.”

Here’s where it gets really interesting [if it ever actually does].  If you take those, let’s call it a round 18,000 apartments Basargin and Putin are talking about and you put them together with the roughly 27,000 [not 45,614] apartments that most knowledgeable and semi-independent observers say the Defense Ministry actually received in 2009, it’s enough to get the military up to the level of housing acquisition it claimed last year (18,000 + 27,000 = 45,000).  So one could suppose that this extra is just catch-up for what wasn’t actually accomplished last year and one could also guess this year’s 45,000 won’t be met, and will have to be finished in 2011, or whatever.

Just as a reminder, who said 27,000?  Well, Vadim Solovyev said it in Nezavisimoye voyennoye obozreniye on 29 January.  On 25 December, NVO had an editorial saying the Defense Ministry came up 17,000 short.  On New Year’s Eve, Izvestiya said only 28,000 were obtained in 2009.  Gazeta reported on December 23 that the Audit Chamber [Счётная палата] had found only 21,000 apartments had been acquired as of 2 October 2009.  And even Krasnaya zvezda on 10 December said that only 25,000 of the planned 45,000 were procured by the end of November.