CZECH REPUBLIC: AMBASSADOR DISCUSSES NEXT STEPS

C O N F I D E N T I A L PRAGUE 000471

SIPDIS

DEPARTMENT FOR EUR/CE, PM/SNA, T/FO, EUR/FO

E.O. 12958: DECL: 07/22/2018
TAGS: PREL MARR EZ PARM MNUC
SUBJECT: CZECH REPUBLIC: AMBASSADOR DISCUSSES NEXT STEPS
ON SOFA WITH DEPUTY PM VONDRA

REF: STATE 078874

Classified By: A/DCM STUART HATCHER for reasons 1.4 (b)+(d)


1. (C) Ambassador Graber met on July 23 with DPM Alexandr
Vondra to deliver reftel proposal on concluding the SOFA
negotiations. PM Topolanek was unable to participate in the
meeting due to an ongoing marathon cabinet session, which
will be the government's last before a 3-week summer break.
Ambassador Graber began the meeting by stressing our
commitment to completing the SOFA as soon as possible, given
the expected Czech timeline for ratification and the Czechs'
previously stated preference to move the BMDA and SOFA
through the parliament as one package. Vondra confirmed the
timeline that envisions a late-August submission of the MD
agreements to the parliament, and a ratification vote
sometime before the end of the year. Ambassador Graber also
noted that even if the Czechs decided to split the MD package
and move forward with the BMDA ratification without the SOFA,
the USG would be unlikely to proceed with construction of the
radar base on the basis of the existing NATO SOFA.


2. (C) Ambassador Graber walked Vondra through the proposal,
including both the Afghanistan deployments incentives and the
KC-130Rs offer. Vondra asked several clarifying questions
about the cost estimates, U.S. fiscal year, etc. He also
asked whether the MOD had been briefed on this proposal, but
agreed with the Ambassador that this will have to be a
political decision by PM Topolanek and his ministers. Note:
We plan to brief both MOD and MFA on the proposal tomorrow.
End note. Vondra remained noncommittal throughout the
meeting, but he did imply at one point that the positive
impact of the USD 32 million on the Czech budget may appeal
to Finance Minister Kalousek, who has been identified as the
key opponent of the SOFA tax exemption for contractors.


3. (C) Both at the beginning and end of the meeting,
Ambassador Graber stressed the need to receive the Czech
response this week, so that Ambassador McDonald and his team
could make travel plans accordingly. Vondra promised to work
on getting us a response by Friday. He noted that most
ministers, including himself, will be on vacation in the
coming weeks, so getting an answer after Friday would be
difficult.


4. (C) Comment: Vondra is as close as we can get to an
honest broker and has been our most frequent and best
political contact on MD issues, especially our parliamentary
outreach. While Topolanek's ultimate absence from the
meeting was disappointing, we have no doubt that Vondra will
do everything possible to help us break the impasse. End
Comment.
Hatcher