[Ccwg-auctionproceeds] New Deadline - 26 July 2019 - input on updated draft Final Report and outstanding questions

[Maureen Hilyard]

Thank you for reminding us of this connection  which we raised as an option
to consider very early in our discussions but was ignored.

On Thu, 25 Jul 2019, 5:40 AM , <marienoemie.marques at orange.com> wrote:

> Would it be helpful, just for information, to note that :
> "Public Technical Identifiers (PTI) was incorporated in August 2016 as an
> affiliate of ICANN, and, through contracts and subcontracts with ICANN,
> began performing the IANA functions on behalf of ICANN in October 2016."
>
> -----Message d'origine-----
> De : Ccwg-auctionproceeds [mailto:ccwg-auctionproceeds-bounces at icann.org]
> De la part de Alan Greenberg
> Envoyé : jeudi 25 juillet 2019 17:36
> À : John Levine
> Cc : CCWG Auction Proceeds
> Objet : Re: [Ccwg-auctionproceeds] New Deadline - 26 July 2019 - input on
> updated draft Final Report and outstanding questions
>
> B was not an ICANN Subsidiary but some other existing entity that we
> could team up with so that we did not have to re-invent services that
> we could outsource. That being said, I am happy to eliminate it!
> Mechanism A always has the option of outsourcing some of the functions.
>
> BTW, under the California law that we operate under, a Public
> Interest Corp cannot have a "subsidiary", but that is just a
> nomenclature issue.
>
> Alan
>
> At 25/07/2019 01:35 AM, John Levine wrote:
> >>Mechanism B: I presume the phrase "established at a public charity"
> >>should be "established as a public
> >>charity". I do not understand why the issue of tax benefits is
> >>being raised as in our case all of the
> >>money is coming form ICANN which does not pay any taxes. So it
> >>SOUNDS like a benefit but is in fact
> >>meaningless in our case.
> >>It should be made clear that at this point, it is not clear what
> >>parts would be outsourced and what
> >>will be kept within ICANN (except the application evaluation which
> >>must be outsourced).
> >
> >I believe that this is supposed to say that ICANN establishes a
> >captive foundation as a subsidiary.
> >
> >Having done exactly that at ISOC, I can say that for the CCWG's
> >purposes, giving away a one-time pile of money, this mechanism is
> >inferior in every way to mechanism A.  It costs more, takes longer,
> >has a lot more bureaucratic overhead, and can do no more or no less
> >than mechanism A. As Alan notes, it has no tax benefits.  It is a
> >waste of everyone's time to pursue it further.
> >
> >If anyone has a concrete reason why they believe this would be a
> >good idea, and is reasonably familiar with US non-profit tax law so
> >they understand what's involved, I would like to hear about it.
> >
> >R's,
> >John
> >
> >PS: ISOC's situation is quite different and it makes sense for us.
> >If anyone wants details write me privately.
>
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