Following a series of meetings in Ozersk and Moscow, which included discussions with the Mayor of Ozersk and the Director General of the nuclear facility Mayak, it was agreed to undertake a feasibility study and develop a business plan with CNCP assistance for the development of a Business Development Agency in Ozersk. The business plan and Full Proposal for the setting up of the BDA was approved at the July 2007 Steering Committee. In August 2007, the first Director, Konstantin Malkov was appointed.
Following the review of the BDA, carried out by the Director of the Zheleznogorsk IDC to provide independent feedback to the CNCP team on the performance and prospects for the BDA, the BDA discussed a range of proposals with the CNCP team. A revised budget was prepared for the period to 2012 and plans were submitted to the Steering Group for the operation of the BDA at a reduced budget until the end of 2011, on the assumption that little or no funding would be forthcoming from the City or Oblast. Following acceptance of this proposal by the Steering Group, the BDA took steps to reduce its staffing resulting in two people being made redundant.
During the Q1 2010-2011, the Director of the Agency was engaged in adjusting to the reduction in staffing. A number of small project proposals were prepared for submission to the 1 July Steering Group, mainly involving possible expansion of activities by companies which had earlier received support from CNCP. A new Mayor and a new Head of Administration were selected in the Quarter following municipal elections. The Board of the BDA met in August 2010 during a CNCP delegation visit. The Board Meeting provided the opportunity to regularise the relationship between the BDA and the new team now running the City. The Board approved the appointment of a new Director, Elina Vdovyeva (who was already a member of staff of the Agency) to replace Konstantin Malkov, who had resigned.
BDA Ozersk is involved in market research and business planning and project management activities for CNCP projects in Ozersk. The total value of CNCP projects in Ozersk is £ 3,698,050 of which £ 2,431,526 has already been disbursed. The DECC contribution to Ozersk CNCP projects is £ 1,859,294, of which £ 1,640,528 has already been paid over. 388 new jobs (227 for former employees of MAYAK) are due to have been created by the end of the Programme. So far 297 new jobs have been created (152 for former employees of MAYAK). In January 2011, three contracts for legacy projects were signed. The total cost of these contracts amounts to £ 57,497, of which DECC's contribution is £ 26,000.
The BDA is involved in the development of business plans for individual entrepreneurs as a basis for them to apply for small grants from the City Administration. In addition, since February 2010, the BDA has been working with the Ozersk Employment Centre through a programme to establish businesses for unemployed people (contract is worth around £ 2,100). 60 individual entrepreneurs were graduated as a result of this programme and 35 additional new jobs were created in 2010. A similar contract for 2011 (value £ 2,470) envisages the establishment of 70 new individual entrepreneurs and the creation of a further 40 new jobs. The BDA is currently liaising with the Regional Department of Employment on expanding the spectrum of BDA services and increasing its budget. The BDA has received a proposal concerning cooperation with the Employment Centre of the nearby town of Kyshtym, where many MAYAK employees live.
Work on transferring Ozersk's business incubator to the BDA and of increasing the number of tenants is underway. Operational costs of the incubator amounting to around £ 40,000 are provided for in the City budget for 2011. It is intended that the new incubator will participate in Regional and Federal funding programmes. The BDA has concluded a tripartite agreement with the Municipal Administration and the Government of the Chelyabinsk Region over the creation of an industrial technopark for developing companies. Funding of around £ 6 million has been agreed.
A possible contract between the BDA and Ozersk Municipal Administration is under discussion, which would involve it in implementing a complex Ozersk City development investment plan (the BDA has been involved in the development of the plan). The BDA has also been allocated around £ 4,000 for the development of infrastructure within the framework of a programme of support for small and medium enterprises.