[council] GNSO COUNCIL BUDGET COMMITTEE REPORT

["Cochetti, Roger" <RCochetti@verisign.com>]

On behalf of the Budget Committee and as we discussed at the last Council
meeting, I'd like to report on the six month 2003 budget for the GNSO and
introduce the attached resolution for action at the GNSO Council meeting.

Thanks,

Roger Cochetti
Chair
GNSO Council Budget Committee

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(1) JANUARY-JUNE 2003 GNSO BUDGET

As agreed and decided at the December meeting of the Council, the GNSO
expense budget for the period January 1 through June 30, 2003 is as follows:

AFNIC Fees				$10,800
FISAT Fees				$21,700
FISAT Expenses			$ 5,200
Council Teleconferences		$ 6,000
Council Meeting Expenses	$ 1,000
Miscellaneous			$22,000

TOTAL SIX MONTH EXPENSES	$66,700

Also, as agreed at the December Council meeting, GNSO dues to each
Constituency for 2003 are $4,950 and the above expense budget is based on
the assumption that these funds are collected.

This budget does not include the collection of any unpaid or overdue dues
payments from DNSO Constituencies for 2000, 2001 or 2002, which remain on
the GNSO's books as, in effect, uncollected debts. In this context, they
will continue to accumulate interest charges to the non-paying
Constituencies until these debts are forgiven or paid.

The unpaid dues are

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						UNPAID DNSO DUES FOR
1999-2002
(only unpaid balances are shown/does not include interest due)
			


CONSTITUENCY		1999			2000			2001
2002			TOTAL DUE

Business			0			0
0			0			0
ccTLD				0			12,390.27
8,455.00		11,994.00		32,839.27
gTLD				0			0
0			0			0
IP				0			0
0			0			0
ISP				0			13,642,86
0			13,994.00		27,636.86
NCDNHC			0			13,642.86
9,096.00		13,894.00		36,632.86		
Registrars			0			0
0			0			0

TOTAL DUE			0			39,675.99
17,551.00		39,882.00		97,108.99

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(2) MAKING FULL PAYMENT TO AFNIC FOR SERVICES PROVIDED TO THE DNSO IN 1999

Recognizing that during 2000, AFNIC provided services to the DNSO, mainly
consisting of hosting and operating the DNSO Website, without any agreement
or contract with the DNSO to do so

Recognizing that in 2001, the DNSO Council, on advice from its Budget
Committee, agreed to make a payment to AFNIC for these services of $60,000
pending the resolution of three administrative matters

Recognizing that two of these administrative matters were resolved but the
third, which provided for the transfer of ownership rights over any
"software developed by AFNIC for the DNSO during 2000" from AFNIC to the
DNSO, became the subject of a dispute between ICANN management, acting as an
agent for the DNSO, and AFNIC.

Recognizing that this dispute has delayed the payment of the budgeted
$60,000 to AFNIC since 2001 and that the software in question is no longer
used by the GNSO.

The GNSO Council decides to immediately release the above-noted $60,000 in
funds to AFNIC for the full settlement of payment for services provided by
AFNIC to the DNSO during 2000.

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