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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">My thinking in Paris and the debate that I had with Bruce Tonkin on the IANA budget was largely consistent with Martins email below so I would support this
position.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">-James<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:"Calibri","sans-serif"">From:</span></b><span style="font-size:11.0pt;font-family:"Calibri","sans-serif""> cwg-stewardship-bounces@icann.org [mailto:cwg-stewardship-bounces@icann.org]
<b>On Behalf Of </b>Martin Boyle<br>
<b>Sent:</b> Friday, July 24, 2015 11:10 AM<br>
<b>To:</b> Jordan Carter; lisefuhrforwader<br>
<b>Cc:</b> cwg-stewardship@icann.org; Accountability Cross Community<br>
<b>Subject:</b> Re: [CWG-Stewardship] Fwd: Meeting CWG requirements for IANA Budget - pls comment<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Thanks Jordan: I found your interpretation quite challenging and so it has forced me to think a bit more carefully about the way budget vetoes
might work.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">My main difficulty is – as I said in my previous mail – that a non-IANA functions operation issue should not affect the IANA functions operator’s
budget. In other words, this part of the ICANN budget needs to be ring-fenced. There is also the subsidiary problem of a planned investment in the IANA functions operation being stopped or slowed because of a squabble about ICANN’s overall finances.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Thinking through what I take from your mail, avoiding granularity in veto powers is quite important and I’d agree with that: it would be an open
door to using community budget vetoes for very specific budget lines (although I could imagine that that is always going to be a danger in this sort of power).<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Essentially, for me there are two separate lines:<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoListParagraph" style="text-indent:-.25in;mso-list:l2 level1 lfo2"><![if !supportLists]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><span style="mso-list:Ignore">1.<span style="font:7.0pt "Times New Roman"">
</span></span></span><![endif]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">The IANA budget line – essentially funding that goes from ICANN to the IANA functions operator (the PTI subsidiary in the first case,
but it might be to an independent contractor in due course, should there be full separation at some stage). There is an
<i>obligation</i> on ICANN to fund this.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoListParagraph" style="text-indent:-.25in;mso-list:l2 level1 lfo2"><![if !supportLists]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><span style="mso-list:Ignore">2.<span style="font:7.0pt "Times New Roman"">
</span></span></span><![endif]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">The general ICANN budget minus the ring-fenced IANA budget line.<o:p></o:p></span></p>
<p class="MsoListParagraph"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">In this, I for one would certainly not welcome anything that allowed a problem in 2. to freeze the IANA budget. Whether an issue in 1. led to
a more general veto for 1. & 2. concerns me less, although I would not really like to see horse-trading of the IANA budget with spend elsewhere in the ICANN budget – hence my preference would be strongly for the
<b>alternative proposal</b>.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">If we were to think of the IANA functions operation budget in terms of the operator, we have:<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoListParagraph" style="text-indent:-.25in;mso-list:l1 level1 lfo4"><![if !supportLists]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><span style="mso-list:Ignore">a.<span style="font:7.0pt "Times New Roman"">
</span></span></span><![endif]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">The PTI budget. Could scrutiny and veto by the operational communities be at this level? Either way (whether direct with the PTI or
with ICANN), there needs to be some mechanism to challenge this budget.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoListParagraph" style="text-indent:-.25in;mso-list:l1 level1 lfo4"><![if !supportLists]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><span style="mso-list:Ignore">b.<span style="font:7.0pt "Times New Roman"">
</span></span></span><![endif]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">ICANN is obliged (in its bylaws?) to fully fund the agreed PTI budget. If it fails to do so, the full budget could be subject to veto
to ensure that it includes the proper funding of PTI <i>and only for this purpose</i>. (That might, of course, require increased revenue requirements from gTLD domain name sales and from ccTLD voluntary contributions, justified by the proposed increase in
the PTI budget.)<o:p></o:p></span></p>
<p class="MsoListParagraph"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoListParagraph" style="text-indent:-.25in;mso-list:l1 level1 lfo4"><![if !supportLists]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><span style="mso-list:Ignore">c.<span style="font:7.0pt "Times New Roman"">
</span></span></span><![endif]><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">A veto for any other issues on ICANN budget would then impact only those parts of the ICANN budget outside the PTI budget line. (This
might be about reducing spend elsewhere in the ICANN budget so that the obligation to fund the PTI did not lead to increasing the levy on gTLD sales or the amount of voluntary contributions.)<o:p></o:p></span></p>
<p class="MsoListParagraph"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">I
<i>think</i> the alternative allows this <i>without</i> requiring a separate level of veto (on the PTI as at a. above, although I would hope that a sensible PTI would discuss its funding requirements with the OCs as part of its normal budgeting cycle!).<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Hope this helps and that I have interpreted your discussion points correctly, Jordan.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Martin<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> Jordan Carter [<a href="mailto:jordan@internetnz.net.nz">mailto:jordan@internetnz.net.nz</a>]
<br>
<b>Sent:</b> 24 July 2015 05:10<br>
<b>To:</b> lisefuhrforwader<br>
<b>Cc:</b> Martin Boyle; Gomes, Chuck; <a href="mailto:cwg-stewardship@icann.org">
cwg-stewardship@icann.org</a>; Grace Abuhamad; Marika Konings; Jonathan Robinson; Accountability Cross Community<br>
<b>Subject:</b> Re: [CWG-Stewardship] Fwd: Meeting CWG requirements for IANA Budget - pls comment<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">Hi Jonathan and Lise,<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><br>
Thank you for this email. <o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">From it, I understand the following:<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">a) both the IANA and ICANN Budgets need to be subject to the community veto procedure we have in place. <o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">b) for reasons of simplicity and following Martin's feedback, we will set identical veto thresholds for both.<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">c) the participants in decision making will be those SOs and ACs that participate in the Community Mechanism as Single Member - there will be no customisation of the decision-making process for the IANA Budget.<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">d) where a veto is in progress, and a new financial year begins, a copy of the previous year's budget forms the continuing budget. That is, activity and operations don't stop - resources are still available. It is proposed
new projects/funding or cuts to budgets that won't occur in such a situation.<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB">e) in this part of the bylaws (or somewhere else relevant), we will have a reference to the CWG-Stewardship's requirement for adequate granular transparency for the IANA budget. (I think this belongs somewhere outside
of this, but we will note it.)<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB">f) you do not see a need to allow for a veto process that
<b>only </b>allows the community to veto the Board's proposed IANA Budget - you are happy for it to be included in the ICANN Budget for veto purposes. <o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span lang="EN-GB">Please note: </span></b><span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><b><span lang="EN-GB">The alternative proposal compared with f) is to separate the two vetoes - one for the ICANN Budget excluding the IANA budget, and one for the IANA Budget.</span></b><span lang="EN-GB"> I want to be clear that my understanding
from your email is that this is <b>NOT</b> what the CWG-Stewardship requires.<o:p></o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB">In such an alternate, if there was a general ICANN Budget dispute that led to a veto, this would have absolutely no impact on the new IANA Budget for the coming year. Likewise in reverse: if there was an issue with the
IANA Budget, it would have no impact on the general ICANN Budget.<o:p></o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB">I can see advantages and disadvantages to either approach. As I have said, my understanding from your note is that you prefer f) as drafted, not the alternative proposal of a separate veto.<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><b><span lang="EN-GB">I would be grateful if you could advise the consequences if WP1/CCWG does decide to allow for a separate IANA Budget veto. </span></b><span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><b><span lang="EN-GB">Would that still meet the CWG's requirements, or not?</span></b><span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB">WP1 of the CCWG-Accountability will be discussing this on Tuesday 19h UTC, and it would be good to know whether we have a decision to make on this question or whether your requirement for one or the other takes this decision
out of our hands.<o:p></o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB">Finally, I should also note for completeness that whatever protocols are in place for the ICANN Board to make emergency funding allocations outside the Budget cycle are not affected by this community power.<o:p></o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
</div>
<div>
<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<div>
<p class="MsoNormal"><span lang="EN-GB">Thank you, and sorry for not setting this out more clearly in my previous note.<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">best<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">Jordan<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
<div>
<p class="MsoNormal"><span lang="EN-GB">On 23 July 2015 at 19:48, Lise Fuhr <<a href="mailto:lise.fuhr@difo.dk" target="_blank">lise.fuhr@difo.dk</a>> wrote:<o:p></o:p></span></p>
<div>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Hi Jordan,</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Thank you for your work on the budget, which is one of our requirements to the CCWG.</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">It seems that the important issue is to have enough detail on the budget in order to
follow and ensure that the IANA function is sufficient funded in order to fulfil its function. But is also seems that the IANA functions is dependent on the ICANN budget and that makes too much separation of the budget more complex. The budget bylaws and related
processes should ensure to include both IANA and ICANN since it seems that the two are interdependent on each other. Not that they can't be separate but both issues – but the ICANN budget and the IANA budget need to be a package to be taken care of in WS1.</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Best regards,</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Jonathan and Lise</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<div>
<div style="border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><span lang="EN-GB" style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">Fra:</span></b><span lang="EN-GB" style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">
<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">cwg-stewardship-bounces@icann.org</a> [mailto:<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">cwg-stewardship-bounces@icann.org</a>]
<b>På vegne af </b>Martin Boyle<br>
<b>Sendt:</b> 22. juli 2015 17:34<br>
<b>Til:</b> Gomes, Chuck; Jordan Carter; <a href="mailto:cwg-stewardship@icann.org" target="_blank">
cwg-stewardship@icann.org</a><br>
<b>Emne:</b> Re: [CWG-Stewardship] Fwd: Meeting CWG requirements for IANA Budget - pls comment</span><span lang="EN-GB"><o:p></o:p></span></p>
</div>
</div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB"> <o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">I think I am generally in line with Chuck on this one. I would certainly be averse
to any solution that could leave PTI starved of cash because of unrelated issues within ICANN. That does not mean that the IANA budget in ICANN needs to be a separate budget – the money for the IANA functions operation goes into ICANN from registrar sales
of gTLD domain names (if I understand correctly) and from voluntary contributions from ccTLDs. So long as there is transparency on how much this is (ie it is clearly identified as a separate line in the ICANN budget), that would be fine by me.</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">However, I do not understand why there would be a lower threshold for challenging the
budget than for the ICANN budget overall. Why should there be? Given the critical nature of the IANA functions operation I would actually see a higher threshold as more logical. In any case, maintaining funding levels would be important and I would see
the need for investment as justification for allowing an increase. Is this perhaps a decision for the direct customers (who are also those who pay the costs of the IANA functions operation)?</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Martin</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB" style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<div>
<div style="border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">
<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">cwg-stewardship-bounces@icann.org</a> [<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">mailto:cwg-stewardship-bounces@icann.org</a>]
<b>On Behalf Of </b>Gomes, Chuck</span><span lang="EN-GB"><o:p></o:p></span></p>
<div>
<div>
<p class="MsoNormal"><span lang="EN-GB"><br>
<b>Sent:</b> 21 July 2015 01:09<br>
<b>To:</b> Jordan Carter; <a href="mailto:cwg-stewardship@icann.org" target="_blank">
cwg-stewardship@icann.org</a><br>
<b>Subject:</b> Re: [CWG-Stewardship] Fwd: Meeting CWG requirements for IANA Budget - pls comment<o:p></o:p></span></p>
</div>
</div>
</div>
</div>
<div>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span lang="EN-GB"> <o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">My personal thoughts are inserted below.</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D">Chuck</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D"> </span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">
<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">cwg-stewardship-bounces@icann.org</a> [<a href="mailto:cwg-stewardship-bounces@icann.org" target="_blank">mailto:cwg-stewardship-bounces@icann.org</a>]
<b>On Behalf Of </b>Jordan Carter<br>
<b>Sent:</b> Monday, July 20, 2015 7:18 PM<br>
<b>To:</b> <a href="mailto:cwg-stewardship@icann.org" target="_blank">cwg-stewardship@icann.org</a><br>
<b>Subject:</b> [CWG-Stewardship] Fwd: Meeting CWG requirements for IANA Budget - pls comment</span><span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">All - views from CWG participants on the below would be useful / helpful.... <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
</div>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Best<span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;margin-bottom:12.0pt">Jordan <br>
<br>
---------- Forwarded message ----------<br>
From: <b>Jordan Carter</b> <<a href="mailto:jordan@internetnz.net.nz" target="_blank">jordan@internetnz.net.nz</a>><br>
Date: Sunday, 19 July 2015<br>
Subject: Meeting CWG requirements for IANA Budget - pls comment<br>
To: <a href="mailto:accountability-cross-community@icann.org" target="_blank">accountability-cross-community@icann.org</a><span lang="EN-GB"><o:p></o:p></span></p>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Hi all<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">As noted, Lise and I have had a chat about the CWG’s requirements for the IANA Budget. There has to be provision as a fundamental bylaw and we need to be clear and constructive
in how we provide appropriate<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">The CWG’s purpose as I understand it, is that through this power the community has the chance to protect IANA's funding at an adequate level so that it can do its job.<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">In our discussion we sketched out the following thoughts:<span lang="EN-GB"><o:p></o:p></span></p>
</div>
<div>
<ul type="disc">
<li class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;mso-list:l3 level1 lfo7">
The IANA Budget (the PTI Budget) would be a separate Budget from the ICANN budget.<b><i><span style="color:#1F497D">[Chuck Gomes]
</span></i></b><span style="color:#1F497D"> I don’t think it would be a problem if the IANA budget was a subset of the ICANN budget provided that all of the IANA costs are included and detailed in the IANA budget.</span><span lang="EN-GB"><o:p></o:p></span></li><li class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;mso-list:l3 level1 lfo7">
The same community veto power would be available for the IANA Budget as for the ICANN budget.<b><i><span style="color:#1F497D">[Chuck Gomes]
</span></i></b><span style="color:#1F497D"> I think this is correct. If any compromise is made on this area in the CCWG, I think it would make sense for the veto power to at least apply to the IANA Budget.</span><span lang="EN-GB"><o:p></o:p></span></li><li class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;mso-list:l3 level1 lfo7">
The threshold for a veto of the IANA Budget could be lower than is proposed for the ICANN budget, due to its greater sensitivity.<b><i><span style="color:#1F497D">[Chuck Gomes]
</span></i></b><span style="color:#1F497D"> I think we should discuss this further. A low threshold might make it too easy to delay IANA funding and could risk the stability of the services. Lowering the threshold would need to be accompanied by some other
requirements that would ensure sufficient ongoing funding so that services are not degraded and security is maintained.</span><span lang="EN-GB"><o:p></o:p></span></li><li class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;mso-list:l3 level1 lfo7">
If an IANA Budget was vetoed, because of the requirement for earlier Budgeting, the issue would likely be resolved before the start of the relevant financial year.<b><i><span style="color:#1F497D">[Chuck Gomes]
</span></i></b><span style="color:#1F497D"> I don’t think this is a true statement. The process has been improved greatly so that community input is received early enough to result in possible changes to the draft budget before the Board acts on it. But the
Board still doesn’t act on it until late June, just before the new fiscal year starts. I assume the veto wouldn’t occur until after Board action so that would only leave a few days for resolution. Also, I suspect that it would take some time for the veto
process to take place.</span><span lang="EN-GB"><o:p></o:p></span></li><li class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;mso-list:l3 level1 lfo7">
The caretaker proposal for the IANA Budget would be that if there had been a community veto and it carried into the new financial year, funding would continue at the same level.<b><i><span style="color:#1F497D">[Chuck Gomes]
</span></i></b><span style="color:#1F497D"> This would be a step in the right direction but what if a critical improvement project needed new funding?</span><span lang="EN-GB"><o:p></o:p></span></li></ul>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Now: this all looks very similar to what would happen to the ICANN budget. So the only critical design question is whether it is a part of the ICANN budget or whether it is separate. <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
</div>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">I think separate makes sense. There will have to be a separate budget identified anyway, so this precursors future improvements to the IANA Budget review mentioned by the CWG. <span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
</div>
<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Thoughts on the general approach? The separate IANA Budget? A different threshold?<span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">cheers<span lang="EN-GB"><o:p></o:p></span></p>
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<div>
<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto">Jordan<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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1.<span style="font-size:7.0pt"> </span><b>ICANN Budget and IANA Budget. </b>The ability for the community to approve or veto the ICANN budget after it has been approved by the ICANN Board but before it comes into effect. The community may reject
the ICANN Budget based on perceived inconsistency with the purpose, mission and role set forth in ICANN’s Articles and Bylaws, the global public interest, the needs of ICANN stakeholders, financial stability or other matters of concern to the community. The
CWG-Stewardship recommends that the IFO’s comprehensive costs should be transparent and ICANN’s operating plans and budget should include itemization of all IANA operations costs to the project level and below as needed. An itemization of IANA costs would
include “Direct Costs for the IANA department”, “Direct Costs for Shared resources” and “Support functions allocation”. Furthermore, these costs should be itemized into more specific costs related to each specific function to the project level and below as
needed. PTI should also have a yearly budget that is reviewed and approved by the ICANN community on an annual basis. PTI should submit a budget to ICANN at least nine months in advance of the fiscal year to ensure the stability of the IANA services. It is
the view of the CWG-Stewardship that the IANA budget should be approved by the ICANN Board in a much earlier timeframe than the overall ICANN budget. The CWG (or a successor implementation group) will need to develop a proposed process for the IANA-specific
budget review, which may become a component of the overall budget review.<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-family:"Arial","sans-serif";color:#222222;background:white">-- </span><span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"><span style="font-family:"Arial","sans-serif";color:#222222">Jordan Carter<br>
<br>
Chief Executive <br>
<b>InternetNZ</b><br>
<br>
<a href="tel:04%20495%202118" target="_blank">04 495 2118</a> (office) | <a href="tel:%2B64%2021%20442%20649" target="_blank">
+64 21 442 649</a> (mob)<br>
</span><span style="font-family:"Arial","sans-serif";color:#1155CC"><a href="mailto:jordan@internetnz.net.nz">jordan@internetnz.net.nz</a></span><span style="font-family:"Arial","sans-serif";color:#222222"> <br>
Skype: jordancarter<br>
<br>
<i>To promote the Internet's benefits and uses, and protect its potential.</i></span><span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto"> <span lang="EN-GB"><o:p></o:p></span></p>
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<br>
-- <br>
Jordan Carter<br>
Chief Executive, InternetNZ<span lang="EN-GB"><o:p></o:p></span></p>
<p><a href="tel:%2B64-21-442-649" target="_blank">+64-21-442-649</a> | <a href="mailto:jordan@internetnz.net.nz" target="_blank">
jordan@internetnz.net.nz</a><span lang="EN-GB"><o:p></o:p></span></p>
<p>Sent on the run, apologies for brevity<span lang="EN-GB"><o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><br>
<br clear="all">
<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">-- <o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB">Jordan Carter<br>
<br>
Chief Executive <br>
<b>InternetNZ</b><br>
<br>
+64-495-2118 (office) | +64-21-442-649 (mob)<br>
Email: <a href="mailto:jordan@internetnz.net.nz" target="_blank"><span style="color:#1155CC">jordan@internetnz.net.nz</span></a> <br>
Skype: jordancarter<o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><br>
<i>A better world through a better Internet </i><o:p></o:p></span></p>
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<p class="MsoNormal"><span lang="EN-GB"><o:p> </o:p></span></p>
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