The Security Council welcomed the generally calm and stable situation on the Prevlaka peninsula but remained concerned at violations of the demilitarisation regime and limitations on the freedom of movement of United Nations observers. It welcomed the opening of the crossing points between Croatia and Montenegro facilitating civilian and commercial traffic without security incidents that represented a significant confidence-building measure between the two countries. There was still concern at the lack of progress towards a settlement of the disputed Prevlaka peninsula issue and a demining programme.
Both Croatia and the Federal Republic of Yugoslavia (Serbia and Montenegro) were urged to fully implement an agreement on the normalisation of their relations, cease violations of the demilitarisation regime, reduce tension and to ensure freedom of movement to United Nations observers. The Council remained concerned at the lack of progress in implementing confidence-building measures. The Secretary-General Kofi Annan was asked to report by 15 October 2000 on recommendations for confidence-building measures between the two parties. The parties were urged to report on the progress of their bilateral negotiations at least twice a month.
