[CWG-Stewardship] Proposed Approach to Developing an IANA/PTI Budget for FY17

[Gomes, Chuck]

In our CWG call on 19 November, Xavier Calvez, ICANN's CFO, gave a brief presentation that showed a proposed approach for developing a draft budget for the implementation of the CWG Stewardship recommendations regarding the IANA functions and in particular PTI.  Unfortunately, there was not time for discussion of that approach on the call, so I would like to encourage discussion on this list prior to our call this coming Thursday.

I attached a version of the presentation to refresh everyone's memory and to aid those who were unable to participate in the meeting.  Please review it and ask any questions on this list before Thursday if possible.  Xavier presented the slides to Design Team O (IANA Budget) prior to doing it for the full CWG and the active members of DT-O strongly supported the approach.  Here is a brief synopsis of the presentation:

*         Slide two lists the major Operational Plan & Budget impacts of the IANA transition:

o   Creation of PTI

o   Transfer of IANA resources to PTI

o   Creation of the Customer Standing Committee & the IANA Functions Review

o   Revising the ICANN Bylaws

o   Implementing ICANN Accountability mechanisms

*         Slide three illustrates the proposed approach to developing a FY17 draft budget for IANA/PTI:

o   It shows a Base Case that assumes minimal operational changes in the implementation of PTI and the other CWG IANA transition recommendations.

o   It also shows the possibility of alternative changes to the base case that would have additional cost impacts.

*         Slide four gives a high level estimate of the minimum amount of information needed in the development of the IANA/PTI budget:

o   The middle column of the table shows the level of detail that would be needed by 15 January 2016 to enable staff to develop the budget in time to be part of the FY 17 Draft Operating Plan & Budget for public comment beginning on 5 March 5 2016.

o   The third column shows the level of detail that would be needed to finalize a budget later in the process (no earlier than 30 April).

*         Slide five describes three categories of costs that will need to be estimated for implementation of IANA/PTI:

o   Direct costs

o   Shared resources

o   Allocated support costs.

ICANN Staff including the Finance Team and GDD personnel have already started to work on the IANA/PTI draft budget.  They have set a target of 15 January 2016 as a cutoff for budget assumptions in order to allow sufficient time for developing detailed cost estimates for inclusion into the Draft ICANN FY 17 Operating Plan & Budget that will be posted for public comment starting on 5 March.  The entire community will be able to provide input into the budget at that time.  In the meantime, any guidance that the CWG can provide regarding budget assumptions will facilitate the process.

The essence of the above outlined presentation is to communicate the approach that Staff will take in developing the IANA/PTI budget for FY 17.  Here are the main points of that approach:

1.       Staff will create a draft budget for the Base Case, i.e., minimal operational changes from the current IANA services to the transitioned IANA including PTI.

2.       Staff will then estimate budget impacts to the base case for various alternatives where it might be decided that more than minimal operational changes are needed.

3.       The public as a whole and CWG participants in particular will have opportunity to evaluate and comment on which elements of the budget best fulfill the CWG Stewardship recommendations.

a.       Does the Base Case budget suffice in meeting the CWG recommendations?

b.      Are some alternative operational changes needed beyond the minimum?

c.       Have any costs been omitted or insufficiently estimated?

4.       Staff will analyze public comments to develop a final budget that will be presented to the Board for approval in June.

It is fully understood that there are lots of moving parts, some of which may continue to change as late as and maybe later than June 2016.  We cannot completely avoid the moving parts but we might be able to minimize them some if we can provide constructive input to the assumptions being made earlier rather than later.  That is why I would like to encourage feedback from as many CWG participants as possible to questions similar to those that were asked of DT-O members:

1.       Do you see any problems with the approach proposed by Staff in developing the draft IANA/PTI budget?

2.       Are there any operational areas for which you think more than minimal changes might be in order?

3.       Do you have any suggestions for improving the budget development approach?

In closing let me again encourage as many of you as can to review the presentation and ask any questions you have before our meeting this coming Thursday.  And please feel free to respond on this list to any or all of the three questions I just asked.

Note that I have cc'd Xavier and Trang so that they can correct any  misunderstandings on my part or add any clarifications they think might be helpful.

Chuck
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mm.icann.org/pipermail/cwg-stewardship/attachments/20151130/61ff2a32/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: FY17 Planning - DT-O - USG transition 151119.pptx
Type: application/vnd.openxmlformats-officedocument.presentationml.presentation
Size: 685308 bytes
Desc: FY17 Planning - DT-O - USG transition 151119.pptx
URL: <http://mm.icann.org/pipermail/cwg-stewardship/attachments/20151130/61ff2a32/FY17Planning-DT-O-USGtransition151119-0001.pptx>