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<p class=MsoNormal>RT,<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>I had a call with the Board committee that is reviewing the
ATRT proposed budget. Rita Rodin, Dennis Jennings, Katim Touray and Vanda
Scarezini attended from the Board. Peter was also on the call.<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>The tone was constructive and the Board members noted their support
for the ATRT’s work and their desire to have recommendations from the review
team process that satisfy the requirements of the Affirmation of
Commitments. They also noted their respect for the independence of the
ATRT and their fiduciary obligation to the Community to ensure, from a
budgetary perspective, that appropriate and justifiable resources are brought
to bear. <o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>I explained the ATRT budget decision making process as it
pertains to the scope of work under paragraph 9.1 of the AoC and the decisions
to have face-to-face meetings as well as the RFP process to retain an
Independent Expert.<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>The Board members were concerned about the ATRT budget as
well as the total cost of other reviews (given the size of the ATRT budget) that
are required under the AoC. The Board members asked if cost reductions
were possible particularly with regard to the Independent Expert. The
Board members posed the following questions:<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>Is a team of 9 members from the Independent Expert
candidate necessary? Could the number be reduced along with the proposed
cost of the Independent Expert’s work. Perhaps in half?<o:p></o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>It was observed that the unique, individualized
expertise of Independent Expert team members was not clear and that they may be
redundancies.<o:p></o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>It appeared from the ATRT’s early work that it
intended to have a “management review” or audit performed by the
Independent Expert. Case studies were added to the scope of the
Independent Expert. Why was that done? [I provided answers to this
question and noted that the case studies recommended came from the ATRT’s
interaction with the Community.]<o:p></o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>An interpretation question was asked concerning the
scope of paragraph 9.1. One interpretation is that paragraph 9.1 calls
for a review of the “execution of tasks” by ICANN. The ATRT
was asked if the scope of its work for the Independent Expert was consistent
with the execution of tasks or if it go beyond that scope – see the “assessing
and improving” and “assessing” iterations of paragraph 9.1
(a)-(e). <o:p></o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>A question was raised with regard to a quote from the ATRT’s
Independent Expert RFP: “the ATRT is not seeking an audit of
whether processes and procedures are in place (i.e., a Sarbanes-Oxley audit),
but rather a focus on reviewing and assessing the quality of the
decision-making as a result of the processes and procedures.” The
Board members asked whether “assessing the quality of decision-making”
took the scope of work beyond paragraph 9.1 – if a review of the
execution of tasks is the proper orientation of the review.<o:p></o:p></p>
<p class=MsoListParagraph style='text-indent:-.25in;mso-list:l2 level1 lfo1'><![if !supportLists]><span
style='mso-list:Ignore'>-<span style='font:7.0pt "Times New Roman"'>
</span></span><![endif]>Given the limited time frame for the review, the
intended scoped and depth of review may prove unwieldy for the ATRT and its
resources. Should the ATRT consider an iterative approach to the review?
Making recommendations about areas that should be subject to further review,
analysis and action, if necessary.<o:p></o:p></p>
<p class=MsoListParagraph><o:p> </o:p></p>
<p class=MsoNormal>I noted that while resources and costs of the Independent
Expert could possibly be reduced, that reducing the scope of work would be
problematic – given the requirements of paragraph 9.1.
Nevertheless, please comment on the question of interpretation of paragraph
9.1 and provide feedback to the remaining questions, noting if you see
areas where projected costs could be reduced.<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
<p class=MsoNormal>Regards,<o:p></o:p></p>
<p class=MsoNormal>Brian<o:p></o:p></p>
<p class=MsoNormal><o:p> </o:p></p>
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