[registrars] Conference Call with ICANN regarding the Budget

["Elana Broitman" <ebroitman@xxxxxxxxxxxx>]

Dear all - this morning, the constituency held a conference call with ICANN to discuss the ICANN Budget.
 
Attendees on the call:
 

ICANN
Dan Halloran
Kurt Pritz
 
Registrars

Ross Rader

Bob Connelly

Elana Broitman

Ken Stubbs

Bruce Tonkin

Tom Keller

Tim Ruiz

Steve Heflin

 
Summary notes of the call: 

The ICANN staff explained that the vote required from the registrars is the approval of registrars' payment of the variable fee.  If registrars representing 66% of the CNOBIN fees collected (note, it is based on fees, not names) do not support ICANN's collection from the registrars, ICANN will collect from the gTLD registries.  The registries, would then most likely collect from us.  Also noted was the fact that a side agreement to NSI's Registrar Accreditation Agreement requires NSI to support payment of the fees.  Given that NSI represents approximately 25% of the fees, ICANN needs only the registrars representing about 40% of the fees.

The discussion centered around two general themes: greater transparency and deliverables.

A. Transparency - The registrars on the call asked for greater transparency regarding ICANN's work, particularly Paul Twomey's agenda and work.  We also requested more budgetary details - at an earlier time in the process - in order to allow registrars to play a more participatory role in framing the budget.  The ICANN staff heard us loud and clear and reported that they have proposed to Paul that ICANN present a project-based budget, in addition to the current presentation.  They also support doing this earlier in the process.  The idea behind the project-based budget is that money is tied to specific mission goals, so that stakeholders like registrars can help negotiate which of the goals are changed or delayed according if we want to constrain budgetary growth.

On the budgetary note, ICANN will present the next budget from a zero-base perspective.

B. Deliverables - We also made the point that at a time when registrars' business budgets are experiencing little or negative growth, it is difficult for us to justify supporting the growth of ICANN's budget.  We need to see what we are getting out of the organization, as the popular perception is that ICANN focuses much more on issues of interest to non-payers, rather than on registrars.  The ICANN staff assured us that this is not the case, and will do a better job of shedding light on their work in order to show how much of it affects us directly or indirectly.

Moreover, ICANN was asked to "deliver" by clearing out old agenda items before moving onto new ones.  Kurt, as ICANN's new VP, Business Operations, pledged to do just that - and said he has already been happily impressed that this is ICANN's staff's mode of operation.