Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Lori, Thank you for this question. I hope it is acceptable that I share your question with the wider list of community members interested in the budget and with the BFC (Board Finance Committee), as I am sure many have similar questions or interest on the topic. Once all FY15/FY16 expenses (~$28m) will have been withdrawn from the Reserve Fund, we expect its remaining balance to be approximately $60m. Separately, the Board has initiated a board working group to re-evaluate the rationale, target level and governance of the Reserve Fund, which outcome will allow to determine the adequacy of this balance and next steps. If compared to the reference you mention below of 100% of annual operating expenses, the expected remaining balance would represent about 45% of this aggregate (using the FY17 budget of $132m of operating expenses). This is obviously a concern for the Board and BFC, and for the ICANN management, and I suspect for many community members as well. I welcome further input from the IPC on this topic. Looking forward to seeing you in Helsinki as well.
Thank you. Best,
Xavier
On Jun 21, 2016, at 10:22, Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> wrote:
Hi Xavier,
Thank you for this information. I apologize for missing the earlier calls but I have had a very demanding travel schedule this spring. I am still interested in knowing if the projected withdrawal from the reserves will keep the reserves at the industry standard of 90%-110% of annual operating expenses. I didn't see a clear figure for it when I looked through the budget. As this is a matter of governance rather than budget, we just want to make sure that ICANN is in compliance with industry best practices.
I look forward to seeing everyone in Helsinki.
Lori S. Schulman Senior Director, Internet Policy International Trademark Association (INTA) +1-202-704-0408, Skype: lsschulman
From: Xavier J. Calvez [mailto:xavier.calvez@icann.org] Sent: Tuesday, June 21, 2016 12:56 PM To: Metalitz, Steven <met@msk.com<mailto:met@msk.com>> Cc: Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> Subject: Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Steve, Just following up to ensure you have received the email I sent on Sunday with the section 4 of the budget document containing the updated expenses for this project. I don't know if we have Lori's address in our distribution list, so I will forward the email to her.
Thank you. Best,
Xavier
On Jun 18, 2016, at 13:12, Metalitz, Steven <met@msk.com<mailto:met@msk.com>> wrote: Thank you for this information, Xavier. Relative to the FY 17 budget and operating plan being prepared for Board consideration, when do you expect to have projected cost estimates for stewardship transition / accountability activities for FY 17, as well as your recommendation as to whether these should be funded from reserves or otherwise? As you know, this was an issue raised by the Intellectual Property Constituency in its comments on the draft budget and operating plan. Thank you.
Steve Metalitz, IPC VP
From: community-finance-bounces@icann.org<mailto:community-finance-bounces@icann.org> [mailto:community-finance-bounces@icann.org] On Behalf Of Xavier J. Calvez Sent: Saturday, June 18, 2016 12:10 AM To: community-finance@icann.org<mailto:community-finance@icann.org>; cwg-stewardship@icann.org<mailto:cwg-stewardship@icann.org>; CCWG-Accountability Cc: Executive Team; COMMS Team; icann-board@icann.org<mailto:icann-board@icann.org>; Finance Staff Subject: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Dear all, You find at the link below the updated project's expenses as of FY16 Q3 (from July 2014 to March 2016). As indicated a few months ago, we have added new detailed information on the staff support with the individual positions, names and percentages of effort over the period.
https://www.icann.org/resources/pages/iana-stewardship-project-costs
Thank you.
Best, Xavier
Xavier Calvez ICANN CFO 12025 Waterfront Drive, Suite 300 Los Angeles, CA 90094 Office : +1 (310) 301 5838 Mobile : +1 (805) 312 0052 Fax : +1 (310) 957-2348
Hi Xavier,
Thank you for the precise and transparent answer. I am very pleased that you shared it with a broader group of concerned members and the BFC. The more we understand ICANN's current finances, the better for all concerned. I will share with the IPC and perhaps we might speak in Helsinki? The target levels and governance of the Reserve Fund are key issues and I would propose that they are addressed as soon as possible to ensure ICANN's optimal financial health. This may include taking another look at the budget before it is approved in order to minimize the impact on reserves.
Lori
Lori S. Schulman Senior Director, Internet Policy International Trademark Association (INTA) +1-202-704-0408, Skype: lsschulman
From: Xavier J. Calvez [mailto:xavier.calvez@icann.org] Sent: Tuesday, June 21, 2016 2:47 PM To: Lori Schulman <lschulman@inta.org> Cc: Metalitz, Steven <met@msk.com>; community-finance@icann.org; BFC <fin-comm@icann.org>; Susanna Bennett <susanna.bennett@icann.org> Subject: Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Lori, Thank you for this question. I hope it is acceptable that I share your question with the wider list of community members interested in the budget and with the BFC (Board Finance Committee), as I am sure many have similar questions or interest on the topic. Once all FY15/FY16 expenses (~$28m) will have been withdrawn from the Reserve Fund, we expect its remaining balance to be approximately $60m. Separately, the Board has initiated a board working group to re-evaluate the rationale, target level and governance of the Reserve Fund, which outcome will allow to determine the adequacy of this balance and next steps. If compared to the reference you mention below of 100% of annual operating expenses, the expected remaining balance would represent about 45% of this aggregate (using the FY17 budget of $132m of operating expenses). This is obviously a concern for the Board and BFC, and for the ICANN management, and I suspect for many community members as well. I welcome further input from the IPC on this topic. Looking forward to seeing you in Helsinki as well.
Thank you. Best,
Xavier
On Jun 21, 2016, at 10:22, Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> wrote: Hi Xavier,
Thank you for this information. I apologize for missing the earlier calls but I have had a very demanding travel schedule this spring. I am still interested in knowing if the projected withdrawal from the reserves will keep the reserves at the industry standard of 90%-110% of annual operating expenses. I didn't see a clear figure for it when I looked through the budget. As this is a matter of governance rather than budget, we just want to make sure that ICANN is in compliance with industry best practices.
I look forward to seeing everyone in Helsinki.
Lori S. Schulman Senior Director, Internet Policy International Trademark Association (INTA) +1-202-704-0408, Skype: lsschulman
From: Xavier J. Calvez [mailto:xavier.calvez@icann.org] Sent: Tuesday, June 21, 2016 12:56 PM To: Metalitz, Steven <met@msk.com<mailto:met@msk.com>> Cc: Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> Subject: Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Steve, Just following up to ensure you have received the email I sent on Sunday with the section 4 of the budget document containing the updated expenses for this project. I don't know if we have Lori's address in our distribution list, so I will forward the email to her.
Thank you. Best,
Xavier
On Jun 18, 2016, at 13:12, Metalitz, Steven <met@msk.com<mailto:met@msk.com>> wrote: Thank you for this information, Xavier. Relative to the FY 17 budget and operating plan being prepared for Board consideration, when do you expect to have projected cost estimates for stewardship transition / accountability activities for FY 17, as well as your recommendation as to whether these should be funded from reserves or otherwise? As you know, this was an issue raised by the Intellectual Property Constituency in its comments on the draft budget and operating plan. Thank you.
Steve Metalitz, IPC VP
From: community-finance-bounces@icann.org<mailto:community-finance-bounces@icann.org> [mailto:community-finance-bounces@icann.org] On Behalf Of Xavier J. Calvez Sent: Saturday, June 18, 2016 12:10 AM To: community-finance@icann.org<mailto:community-finance@icann.org>; cwg-stewardship@icann.org<mailto:cwg-stewardship@icann.org>; CCWG-Accountability Cc: Executive Team; COMMS Team; icann-board@icann.org<mailto:icann-board@icann.org>; Finance Staff Subject: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Dear all, You find at the link below the updated project's expenses as of FY16 Q3 (from July 2014 to March 2016). As indicated a few months ago, we have added new detailed information on the staff support with the individual positions, names and percentages of effort over the period.
https://www.icann.org/resources/pages/iana-stewardship-project-costs
Thank you.
Best, Xavier
Xavier Calvez ICANN CFO 12025 Waterfront Drive, Suite 300 Los Angeles, CA 90094 Office : +1 (310) 301 5838 Mobile : +1 (805) 312 0052 Fax : +1 (310) 957-2348
Lori, Thank you. I definitely welcome further discussion in Helsinki. And when saying " the more we understand ICANN's finances, the better...", you are "preaching to the choir". I was not just being polite in thanking you for your question! The section 4 of the budget document, which I shared with all of you, contains all the information relative to this project, for you and the IPC to be able to comment further. I will simply emphasize that this project's expenses of $8.8m for FY17 are suggested to be funded from the Reserve Fund, as a temporary measure, until a permanent funding source is identified through community consultation. We will discuss this topic further while in Helsinki.
Thank you. Best,
Xavier
On Jun 21, 2016, at 13:35, Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> wrote:
Hi Xavier,
Thank you for the precise and transparent answer. I am very pleased that you shared it with a broader group of concerned members and the BFC. The more we understand ICANN’s current finances, the better for all concerned. I will share with the IPC and perhaps we might speak in Helsinki? The target levels and governance of the Reserve Fund are key issues and I would propose that they are addressed as soon as possible to ensure ICANN’s optimal financial health. This may include taking another look at the budget before it is approved in order to minimize the impact on reserves.
Lori
Lori S. Schulman Senior Director, Internet Policy International Trademark Association (INTA) +1-202-704-0408, Skype: lsschulman
From: Xavier J. Calvez [mailto:xavier.calvez@icann.org] Sent: Tuesday, June 21, 2016 2:47 PM To: Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> Cc: Metalitz, Steven <met@msk.com<mailto:met@msk.com>>; community-finance@icann.org<mailto:community-finance@icann.org>; BFC <fin-comm@icann.org<mailto:fin-comm@icann.org>>; Susanna Bennett <susanna.bennett@icann.org<mailto:susanna.bennett@icann.org>> Subject: Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Lori, Thank you for this question. I hope it is acceptable that I share your question with the wider list of community members interested in the budget and with the BFC (Board Finance Committee), as I am sure many have similar questions or interest on the topic. Once all FY15/FY16 expenses (~$28m) will have been withdrawn from the Reserve Fund, we expect its remaining balance to be approximately $60m. Separately, the Board has initiated a board working group to re-evaluate the rationale, target level and governance of the Reserve Fund, which outcome will allow to determine the adequacy of this balance and next steps. If compared to the reference you mention below of 100% of annual operating expenses, the expected remaining balance would represent about 45% of this aggregate (using the FY17 budget of $132m of operating expenses). This is obviously a concern for the Board and BFC, and for the ICANN management, and I suspect for many community members as well. I welcome further input from the IPC on this topic. Looking forward to seeing you in Helsinki as well.
Thank you. Best,
Xavier
On Jun 21, 2016, at 10:22, Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> wrote: Hi Xavier,
Thank you for this information. I apologize for missing the earlier calls but I have had a very demanding travel schedule this spring. I am still interested in knowing if the projected withdrawal from the reserves will keep the reserves at the industry standard of 90%-110% of annual operating expenses. I didn’t see a clear figure for it when I looked through the budget. As this is a matter of governance rather than budget, we just want to make sure that ICANN is in compliance with industry best practices.
I look forward to seeing everyone in Helsinki.
Lori S. Schulman Senior Director, Internet Policy International Trademark Association (INTA) +1-202-704-0408, Skype: lsschulman
From: Xavier J. Calvez [mailto:xavier.calvez@icann.org] Sent: Tuesday, June 21, 2016 12:56 PM To: Metalitz, Steven <met@msk.com<mailto:met@msk.com>> Cc: Lori Schulman <lschulman@inta.org<mailto:lschulman@inta.org>> Subject: Re: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Steve, Just following up to ensure you have received the email I sent on Sunday with the section 4 of the budget document containing the updated expenses for this project. I don't know if we have Lori's address in our distribution list, so I will forward the email to her.
Thank you. Best,
Xavier
On Jun 18, 2016, at 13:12, Metalitz, Steven <met@msk.com<mailto:met@msk.com>> wrote: Thank you for this information, Xavier. Relative to the FY 17 budget and operating plan being prepared for Board consideration, when do you expect to have projected cost estimates for stewardship transition / accountability activities for FY 17, as well as your recommendation as to whether these should be funded from reserves or otherwise? As you know, this was an issue raised by the Intellectual Property Constituency in its comments on the draft budget and operating plan. Thank you.
Steve Metalitz, IPC VP
From: community-finance-bounces@icann.org<mailto:community-finance-bounces@icann.org> [mailto:community-finance-bounces@icann.org] On Behalf Of Xavier J. Calvez Sent: Saturday, June 18, 2016 12:10 AM To: community-finance@icann.org<mailto:community-finance@icann.org>; cwg-stewardship@icann.org<mailto:cwg-stewardship@icann.org>; CCWG-Accountability Cc: Executive Team; COMMS Team; icann-board@icann.org<mailto:icann-board@icann.org>; Finance Staff Subject: [community-finance] IANA Stewardship Transition - Project Expenses - FY16 Q3 update
Dear all, You find at the link below the updated project’s expenses as of FY16 Q3 (from July 2014 to March 2016). As indicated a few months ago, we have added new detailed information on the staff support with the individual positions, names and percentages of effort over the period.
https://www.icann.org/resources/pages/iana-stewardship-project-costs
Thank you.
Best, Xavier
Xavier Calvez ICANN CFO 12025 Waterfront Drive, Suite 300 Los Angeles, CA 90094 Office : +1 (310) 301 5838 Mobile : +1 (805) 312 0052 Fax : +1 (310) 957-2348
participants (2)
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Lori Schulman -
Xavier J. Calvez