RE: [registrars] ICANN Budget

["Richard Forman" <rforman@register.com>]

Ken,

You have voiced a need to have more information about the ICANN budget, how
they are going to be spending their money and, in-turn, who would be
benefiting from their operational efforts.  I hope that you have had the
chance to visit this page http://www.icann.org/general/budget.htm

It lists the full budget as well as staff required for ICANN by position.

There is an underlying current that many of the registrars agree with that
we (registrars) will be funding ICANN disproportionally to the amount of
ICANN's efforts helping our causes.  For instance, the at-large membership
in ICANN may consume a substantial amount of ICANN's resources, but it is
unlikely that they (the at-large membership) will fund their proportionate
share of the expenses.  This is being done because it may be unwieldy and
ineffective to collect $1 million from 500,000 at-large members (my numbers
are only for purposes of this example.)  With so many members (in this
example), the collection costs will be a very large percentage of the total
funds coming from the at-large membership.

The TFF believes that the registries, registrars and maybe the Supporting
Organizations of ICANN will fund the majority of ICANN's budget (other
recommendations are encouraged).  There is an understanding that the
commercial entities may pay more than their fair share to support ICANN
relative to the amount that ICANN will support their efforts.

Ken, you ask a very good question about operational structure and business
plan.  I don't have the answers that you want.  The TFF indicated that (a)
this years expenses are high because of the start-up costs and (b)
commercial entities will probably pay more than their fair share (due to the
reason listed above).

Do you have any ideas on who else should contribute to support ICANN?

Sincerely,


Richard D. Forman
President & CEO
Register.com, Inc.
rforman@register.com

> -----Original Message-----
> From: Ken Stubbs [mailto:kstubbs@dninet.net]
> Sent: Sunday, September 26, 1999 9:50 AM
> To: rforman@register.com; Registrars@Dnso. Org
> Subject: Re: [registrars] ICANN Budget
>
>
> richard
>
> how can you find an effective funding mechanism without a review of  the
> operational structure and business plan  for ICANN ?
>
> historically, in any operation of this nature,  this approach has
> proven the
> most effective way in helping any  group like the TFF  determine an
> effective funding mechanism that will be both the most equitable
> as well as
> the least controversial.
>
> sincerely
>
> ken
>
>
>
> ----- Original Message -----
> From: Richard Forman <rforman@register.com>
> To: Ken Stubbs <kstubbs@dninet.net>; Registrars@Dnso. Org
> <registrars@dnso.org>
> Sent: Sunday, September 26, 1999 9:20 AM
> Subject: RE: [registrars] ICANN Budget
>
>
> > Ken,
> > The goal of TFF is to find funding mechanisms, not to analyze
> the budget.
> > If it turns out that the budget is only $500,000 then the fees will drop
> > accordingly.
> >
> > Sincerely,
> >
> >
> > Richard D. Forman
> > President & CEO
> > Register.com, Inc.
> > rforman@register.com
> >
> > > -----Original Message-----
> > > From: Ken Stubbs [mailto:kstubbs@dninet.net]
> > > Sent: Sunday, September 26, 1999 9:24 AM
> > > To: rforman@register.com; Len; registrars@dnso.org
> > > Subject: Re: [registrars] ICANN Budget
> > >
> > >
> > > i would have to disagree with your comments below richard...
> > >
> > > by definition any  budget is nothing but a quantified "business
> > > plan". it is
> > > essential that we review the ICANN business plan and its
> related budget
> to
> > > determine where the burden for financial support should be borne.
> > >
> > > this review of ICANN'S anticipated administrative and operational cost
> > > projections should give us a good insight as to which areas the
> > > majority of
> > > efforts and resources will have to be applied. those are the
> > > areas where the
> > > majority of the burden for financial support need to be
> placed if at all
> > > possible.
> > >
> > > a review of legal and professional budget projections would also
> > > indicate in
> > > which areas  potential exposure and the related expenses are
> anticipated.
> > >
> > > my past experience as a CPA indicates that a  review process like this
> is
> > > essential in order to properly formulate a fair and equitable
> > > mechanism for
> > > funding and organization like this.
> > >
> > >
> > > ken stubbs
> > >
> > > ----- Original Message -----
> > > From: Richard Forman <rforman@register.com>
> > > To: Len <len@isdi.com>; <registrars@dnso.org>
> > > Sent: Sunday, September 26, 1999 8:40 AM
> > > Subject: RE: [registrars] ICANN Budget
> > >
> > >
> > > > I am sure that over time more details will come.  Let's not
> let those
> > > > details get in the way of determining how we will fund ICANN.
> > > Whether it
> > > is
> > > > $500,000 of $5 milllion, the TFF still needs to come up
> with a funding
> > > > basis.  Exploring and analyzing the details of the budget can
> > > (and should)
> > > > be done later.
> > > >
> > >
> > >
> >
> >
>