BOSNIA - HIGHREP CONTEMPLATES ACTION AGAINST

C O N F I D E N T I A L SECTION 01 OF 02 SARAJEVO 000163

SIPDIS

SIPDIS

DEPARTMENT FOR EUR (DICARLO),EUR/SCE (HOH, FOOKS); NSC FOR
BRAUN

E.O. 12958: DECL: 01/01/2013
TAGS: PREL PGOV PINR BK
SUBJECT: BOSNIA - HIGHREP CONTEMPLATES ACTION AGAINST
REPUBLIKA SRPSKA

REF: SARAJEVO 41

Classified By: Ambassador Douglas McElhaney. Reason 1.4(b) and (d)


1. (C) SUMMARY: At a January 22 meeting with the Ambassador,
High Representative Christian Schwarz-Schilling said he could
no longer allow Dodik's irresponsible rhetoric to go
unpunished. With this in mind, he planned to summon Dodik to
Sarajevo and implement one "targeted measure" against
Republika Srpska (RS). He also pressed the USG to endorse
his proposal to create a Constitutional Reform Commission
(reftel),expressing concern that without a clear commitment
to a second phase of reform soon, any constitutional change
could be delayed for a year or more. Schwarz-Schilling
indicated that he would seek a clear commitment for his
proposals during his upcoming visit to Washington. END
SUMMARY

High Rep Plans "Last Warning" to Dodik
--------------


2. (C) Schwarz-Schilling said the international community
must respond to Dodik's provocative January 18 interview in
GLOBUS, an influential Zagreb-based weekly, which was the
latest in a long line of provocative rhetoric from Dodik.
(Note: The PIC Steering Board Ambassadors (SBA) discussed the
GLOBUS interview on January 19 meeting, but agreed to delay
responding until after the Serbian elections. End Note) In
recent weeks, Dodik has attacked the HighRep and challenged
OHR's authority, linked Kosovo's fate with RS independence,
suggested creation of a Croat entity, and insulted Bosnian
Muslims, Schwarz-Schilling explained. As a result, he would
summon Dodik to Sarajevo on January 27 to deliver a warning
about future behavior and impose one "targeted measure" on
the RS. The HighRep asked the Ambassador to participate in
the meeting, and said he would also invite the German
Ambassador.


3. (C) Schwarz-Schilling said his aim was to signal clearly
that the international community's patience with Dodik was
exhausted and that Dodik could expect more forceful reactions
from OHR in the future, perhaps including removals, if he
failed to modify his behavior. Among the measures under
consideration are:

-- Suspending implementation of annexes to the RS-Serbia
Agreement on Special Relations. (Note: According to OHR,
Kostunica and Dodik have signed such annexes despite an
earlier commitment by the RS government not to do so without
OHR approval. End Note)
-- Suspending the Raca bridge agreement between the RS and
Serbia, which OHR believes has not been approved by
State-level officials.
-- Levying fines against Dodik's Alliance of Independent
Social Democrats (SSND) party.
-- Acting against the public security company law of the RS.
(Comment: We are unclear what this proposal means. End
Comment)

Constitutional Reform
--------------


4. (C) Schwarz-Schilling expressed concern about U.S.
reluctance to embrace early implementation of the proposals
outlined by OHR for phase II of constitutional reform. He
had loyally supported the U.S.-brokered package of
constitutional amendments, but he implied the prospects for
its passage looked increasingly bleak. In order to maintain
the momentum on constitutional reform, it was time to
establish a Bosnian-directed, U.S. and EU-supported
Constitutional Reform Commission in the Bosnian parliament.
He argued an agreement on phase II structures would reassure
the Croats and Bosniak Tri-Presidency member Haris Silajdzic
that reform would not end with passage of the U.S.-brokered
package. Schwarz-Schilling emphasized how strongly he felt
about pressing ahead and indicated that he planned to press
his point during his meetings in Washington the week of
January 29.


5. (C) In response, we told Schwarz-Schilling that we
questioned the ability of the Bosnian parliament to "take
ownership" of such a process and to steer it towards a
decision. For our part, we were still talking with Silajdzic

SARAJEVO 00000163 002 OF 002


(who obviously coordinates with the High Representative on
this issue) to determine whether he is willing to engage on
the package agreed by the other six major Bosnian parties in

2006.
MCELHANEY