Attendees: 

Sub-Group Members:   Cheryl Langdon-Orr, Chuck Gomes, Elise Gerich, Paul Kane, Mary Uduma, Olivier Crepin LeBlond, Xavier Calvez   (7)

Apologies:  Alan Greenberg

Staff:  Brenda Brewer, Grace Abuhamad, Marika Konings, Trang Nguyen 

Please let Brenda know if your name has been left off the list (attendees or apologies).**

Transcript

Recording

Proposed Agenda:

  1. Roll call
  2. Confirm agenda
    1. Ensuring multi-year continuity of IANA Services fundingBylaws language proposed by Sidley:
      “To maintain ongoing operational excellence and financial stability of the IANA functions (so long as they are performed by ICANN or pursuant to contract with ICANN), ICANN shall be required to plan for and allocate funds sufficient for the future expenses and contingencies reasonably related to the performance of those functions.”

    2. Input from Mary:

      “I think the wordings of the bylaw language very much captured the DT-O recommendations.
      I also think we can give thoughts to making PTI funding a first charge to ICANN's revenue, i.e., a percentage of registration fees (domain name, IP and service charges from IETF) is transferred to PTI operations fund either monthly or quarterly. In addition, a kick off fund from Current ICANN reserve be transferred to PTI operations fund as you thought aloud in your mail. I am assuming the PTI funds account would be independently operated from ICANN funds accounts.
      In my understanding, this is the way to go if we are to achieve the stated objectives of financial sustainability of the IANA Function operation.”

    3.  Other reactions to Sidley language?

    4. Discussion

    5. Possible ideas for multi-year funding

                                 i.     Feedback from Sidley:

                                ii.     Using the reserve fund

        • Chuck’s suggestion – Transfer amount of 1-year PTI expenses from ICANN reserve fund to PTI reserve fund
        • Other ideas for using reserve fund?

f.  Edits to proposed Bylaws language?

g. Next steps

   4.  Possible DT-O or CWG comments on the Draft FY17 ICANN Operating Plan & Budget

    1. Note the draft comments sent by Chuck on Sunday, April 3.
    2. Discuss/edit comments
    3. Suggested next step: Send the comments to Xavier for short term response before developing comments further.
    5.  Develop a process for development and approval of the IANA Services budget
    1. Update from Xavier regarding meeting with Elise
    2. Next steps?
    6.  Developing a Caretaker Budget
    1. Update from Xavier regarding his ideas
    2. Question for discussion: Should vetoing the PTI budget trigger both the PTI Caretaker Budget and the ICANN caretaker budget?
    3. Next steps?
    7.  AOB
    8.  Next meeting:  Thursday, 7 April, 20:00 UTC (4 pm EDT, 1 pm PDT)

Notes

1. Roll call -- all in Adobe Connect room 

2. Confirm agenda  -- confirmed 

3. Ensuring multi-year continuity of IANA Services funding

    • Review of Bylaws language proposed by Sidley
    • Revised Bylaw: To maintain ongoing operational excellence and financial stability of the IANA functions (so long 
      as they are performed by ICANN or pursuant to contract with ICANN), ICANN shall be required to plan for and 
      fund sufficiently the future expenses and contingencies to ensure uninterrupted performance of those IANA functions.
    • In email to Sidley: Is it possible to capture the concept of multi-year funding? language around "allocation of funds" vs "fund"?

Action: Chuck to send email to Client Committee (Greg, Lise, Maarten, Jonathan) to request legal advice. 

4. Possible DT-O or CWG comments on the Draft FY17 ICANN Operating Plan & Budget -- Draft comments sent by Chuck on Sunday, April 3.

Action:  Chuck to send the comments to Xavier for short term response before developing comments further.

5. Develop a process for development and approval of the IANA Services budget -- tabled for next meeting 

6. Developing a Caretaker Budget -- tabled for next meeting 

7. AOB

8. Next meeting:  Thursday, 7 April, 20:00 UTC (4 pm EDT, 1 pm PDT)

Action Items

  • Action: Chuck to send email to Client Committee (Greg, Lise, Maarten, Jonathan) to request legal advice. 
  • Action:  Chuck to send the comments to Xavier for short term response before developing comments further.

Chat Transcript

  Brenda Brewer: (4/5/2016 15:32) Good day all and welcome to DT-O Meeting #13 on Tuesday, 5 April @ 21:00 UTC! 

  elise.gerich (epg): (16:01) Hi,

  elise.gerich (epg): (16:01) apparently I can hear, but cannot speak.. Some may think that is a feature :-)  Anyway, I will type when I want to add a comment.  Thanks,

  Chuck Gomes: (16:02) Hi all.

  Chuck Gomes: (16:03) Elise:  We could have staff call you if you like.

  elise.gerich (epg): (16:03) That would be fine.  +1-310-463-1108.  Thank you.

  Mary Uduma: (16:03) Hi All

  Chuck Gomes: (16:04) Thanks Grace.

  elise.gerich (epg): (16:04) OK.  I can dial in based on the explanation.  Thanks.

  elise.gerich (epg): (16:04) it is a race condition.......

  Brenda Brewer: (16:05) Calling Elise now.

  Cheryl Langdon-Orr  (CLO): (16:05) Sorry   the CCWG will wrap in a moment *I HOPE*

  Brenda Brewer: (16:05) I will call you when over Cheryl.

  Olivier Crepin-Leblond: (16:06) tell then Chuck said so.

  Brenda Brewer: (16:06) Recordings are started! Thanks!

  elise.gerich (epg): (16:07) I am in

  Grace Abuhamad: (16:07) Great! welcome

  Xavier: (16:08) we can see it in your email

  Grace Abuhamad: (16:09) Brenda loaded it separately for you!

  Grace Abuhamad: (16:09) Thanks Brenda :)

  Xavier: (16:18) Chuck, you sound very faint

  Paul Kane: (16:19) Sorry I missed the CWG call yesterday

  Xavier: (16:20) contracting with ICANN.

  elise.gerich (epg): (16:20) IETF and RIRs are contracting with ICANN

  Paul Kane: (16:22) Escrow - not necessarily controlled by ICANN - there are Escrow Agents who act/hold

  Paul Kane: (16:23) (not that I am advocating an Escrow Agent) ... I think it is better to have seperate bank account with cash under the control of PTI Directors and one external

  Olivier Crepin-Leblond: (16:31) great description/summary Chuck!

  Paul Kane: (16:38) Financial Accountability differs depending on which model is selected

  Xavier: (16:40) I am actually concerned that we can not address the "how" very "quickly" as it is technically loaded question.

  Olivier Crepin-Leblond: (16:46) we need to spend some serious time on the safeguarding of the funds.

  Olivier Crepin-Leblond: (16:47) The bylaws language at present in fine with 1 of the  situations.

  Cheryl Langdon-Orr  (CLO): (16:47) Agreed

  Xavier: (16:47) @OCL agree on spending "serious time" as this is a technically challenging exercise.

  Paul Kane: (16:52) any and all afiliate companies associated with ICANN shall be required to prepare a multi-year budget for the stable operation of the affiliate and submit such budget to ICANN to allocate and attribute funds to the affilaite sufficient ......

  Olivier Crepin-Leblond: (16:53) Xavier: is you suggestion: "ICANN shall be required to plan for and fund sufficiently for future expenses and contingencies reasonably related to the performance of those functions."

  Xavier: (16:55) I like the notion of "uninterrupted [IANA] functions"

  Cheryl Langdon-Orr  (CLO): (16:57) Works for me Huck as intent  for drafters

  Olivier Crepin-Leblond: (16:58) I was repeating what Wavier has said

  Olivier Crepin-Leblond: (16:58) Grace/Brenda have captured this in the meeing notes

  Xavier: (16:58) Yes at OCL,w ith Chuck's addition of "uniterrupted".

  Mary Uduma: (16:58) +1 @ Chuck

  Paul Kane: (16:59) Thanks Grace

  Xavier: (17:00) Agree with Chuck on too much detail. Reference to the multiyear budget into the bylaws is unhelpful.

  Cheryl Langdon-Orr  (CLO): (17:01) For ByLaw purposes  the 1st option works for me Chuck,  the budget detailing etc., is really more implementation  from My POV

  Cheryl Langdon-Orr  (CLO): (17:01)  That said  the term allcate  into the 1st option  As Paul is now outllining

  Xavier: (17:02) fund is stronger in the sense that, whether you allocate or not, you need to cover the expenses.

  Paul Kane: (17:07) Exaclty which is why it needs to be in the Bylaws

  Olivier Crepin-Leblond: (17:09) We ned to get advice from Sidley & their bankruptcy partners if this language fulfills our goals

  Cheryl Langdon-Orr  (CLO): (17:10) yes OCL

  Xavier: (17:10) @Paul, which is why Chuck and I are suggesting to use "fund" rather than "allocate funds".

  Paul Kane: (17:11) Yes ... agree.  Thanks Xavier

  Grace Abuhamad: (17:11) So, is this text the agreed text? To maintain ongoing operational excellence and financial stability of the IANA functions (so long as they are performed by ICANN or pursuant to contract with ICANN), ICANN shall be required to plan for and fund sufficiently the future expenses and contingencies to ensure uninterrupted performance of those IANA functions.

  Paul Kane: (17:12) Grace - I'm happy - would be good to have Sidleys revew.  I don't speak Californian

  Paul Kane: (17:12) :-)

  Grace Abuhamad: (17:12) Thanks Paul

  Xavier: (17:13) I find that it is good as suggested.

  Paul Kane: (17:13) The only element is missing is the multi-year - so providing that can come it at some point, we have covered the intent that CWG were advocating

  Paul Kane: (17:14) (later date)

  Xavier: (17:15) and I speak French english.

  Cheryl Langdon-Orr  (CLO): (17:16) what chance for an Aussie speaker then!

  Olivier Crepin-Leblond: (17:16) For the record, I am of the view that Sidley will come back to us and say that as long as a trust, an escrow agent or an irrevocable letter of credit drawn from a reputable bank is not part of the equation, nothing would be safe from creditors in case of an ICANN bankcurptcy. BUT let's get Sidley to give us their view. I plead my incompetence here. :-)

  Cheryl Langdon-Orr  (CLO): (17:18) I suspect so OCL

  Cheryl Langdon-Orr  (CLO): (17:18)   I would still keep any ByLa language as "light as possibe"

  Cheryl Langdon-Orr  (CLO): (17:18) leaving the rest to SOPs and IMplementation

  Xavier: (17:19) agree with CLO.

  Cheryl Langdon-Orr  (CLO): (17:20) :-)  notsbl  Xavier  You agreeing with me! :-)

  Olivier Crepin-Leblond: (17:20) no objection

  Cheryl Langdon-Orr  (CLO): (17:22) yes 'tis "kinda important" Chuck

  Cheryl Langdon-Orr  (CLO): (17:31) THX EVERYONE>>> TALK LATER THIS WEE  Bye for now

  Xavier: (17:31) Thank you Chuck and everyone.

  Paul Kane: (17:31) Thanks - bye

  Mary Uduma: (17:31) Bye

  • No labels