Re: [nc-budget] NEXT STEPS IN THE ADMINISTRATION OF DNSO VOLUNTARY FUND

["Erica Roberts" <erica.roberts@bigpond.com>]

Agreed - however the expenditure delegations should be confined to
expenditure of funds allocated in the NC budget.
I will need to pay the consultant shortly and would appreciate guidance on
how to arrange payment.

erica
----- Original Message -----
From: "Cochetti, Roger" <RCochetti@verisign.com>
To: <nc-budget@dnso.org>
Sent: Tuesday, April 17, 2001 8:51 AM
Subject: [nc-budget] NEXT STEPS IN THE ADMINISTRATION OF DNSO VOLUNTARY FUND


> I believe that we now have an agreement in principal with ICANN management
> over the administration of the funds that will be voluntarily collected,
> which should now pave the way for our actual solicitation of donations.
>
> I will ask ICANN management to draft an MOU that describes in greater
detail
> how the funds will be administered for us by them, addressing
specifically:
>
> *to whom checks should be made payable
> *what reports we will receive on the condition of the funds
> *to whom we should address instructions on disbursements
> *how long we should expect it to take for such instructions to be executed
> *how ICANN management will advise us if they conclude that they cannot
> comply with a disbursement instruction
>
> If you have any thought son any additional areas in which we need
> clarification from ICANN management, please let me know asap.
>
> In addition, I believe that we now need a Names Council Resolution that
sets
> forth the procedures for authorizing disbursements of these funds (i.e.
who
> has the authority to instruct ICANN management to make a disbursement).
My
> suggestion is that the Names Council delegate to the Budget Committee the
> authority to authorize expenditures from (by majority vote of the full
> membership of the Committee) the voluntary funds of up to $10,000 and that
> expenditures of greater than $10,000 be approved by the full Names
Council.
>
> Separately, I believe that the Names Council should delegate the same
> limited spending authority to the Budget Committee for funds in the
assessed
> dues from the DNSO Constituencies.
>
> Without these delegations of authority, it could appear that every single
> expenditure of both voluntary and assessed funds would require the
approval
> of the entire Council, which seems a great waste of their time,
particularly
> since the Council already approved a budget.
>
> Rather than call another meeting of the Budget Committee to discuss these
> two proposals (two delegations of authority from the Council to the
> Committee) I thought I'd circulate them and ask for your comment.
>
> Thanks
>
>
>
>
>
>
> -----Original Message-----
> From: M. Stuart Lynn [mailto:lynn@icann.org]
> Sent: Thursday, April 12, 2001 11:15 PM
> To: Cochetti, Roger; Louis Touton (E-mail)
> Cc: 'nc-budget@dnso.org'
> Subject: [nc-budget] Re: PROPOSAL FROM NAMES COUNCIL BUDGET COMMITTEE ON
> THE ADMINISTRATIO N OF DNSO VOLUNTARY FUND
>
>
> Dear Roger:
>
> Thank you for your letter conveying the Names Council resolution
> regarding ICANN administration of DNSO funds. Louis and I would like
> to confirm that we accept both the Names Council's understanding of
> ICANN's offer and acknowledge the Council's acceptance of our offer.
>
> We look forward to being of service to the Names Council in this regard.
>
> Stuart
>
> At 12:19 PM -0400 4/9/01, Cochetti, Roger wrote:
> >Stuart and Louis-
> >
> >As you will recall, over the past several months, the DNSO Names
Council's
> >Budget Committee has been designing a structure for the administration of
> >the funds that we expect to be voluntarily donated later this year to the
> >DNSO. During our consideration of this subject, ICANN management
> represented
> >to us that it would be willing to enter into an agreement with the Names
> >Council under which ICANN management would be willing to serve as a
> >custodian for the DNSO of the funds that are voluntarily donated to the
> >DNSO.  Under this custodial relationship, as the Budget Committee
discussed
> >it with ICANN management, ICANN management would be responsible for
> >faithfully executing financial decisions of the Names Council or its
> >designee, unless ICANN management feels that the execution by ICANN
> >management of any particular instruction would either be illegal or would
> >jeopardize ICANN's tax exempt status.  These decisions would mainly
involve
> >the deposit or release of funds donated to the DNSO.
> >
> >The Council has asked the Committee to resolve this administrative matter
> >quickly in order that the solicitation and generation of funds for the
> >voluntary fund can get underway.  Accordingly, the NC Budget Committee
> >approved the attached resolution last week in which we accept ICANN's
offer
> >to administer these voluntarily-collected funds under defined
> circumstances.
> >Because we are anxious to proceed with this matter, the Committee asks
that
> >you both confirm that you accept our understanding of your offer; and
> >acknowledge our acceptance of your offer within five days of today.
> >
> >As an aside, I would note that the administration of these voluntary
funds
> >is distinct from  -- but not entirely un-related to -- the administration
> of
> >the funds that are collected from the DNSO Constituencies for dues
payments
> >to the DNSO.  The funds generated by the dues paid annually by the DNSO's
> >seven Constituencies have been administered by ICANN management since
1999
> >(without any formal agreement) and the Budget Committee will now begin an
> >examination of the administration of the funds generated by assessed
> >Constituency dues.
> >
> >Thanks for your cooperation on this,
> >
> >Roger Cochetti,
> >Chair
> >Names Council Budget Committee
> >
> >
>
>===========================================================================
> =
> >=========================================
> >
> >
> >
> >The NC Budget Committee resolves to accept the offer by ICANN to
administer
> >DNSO funds on the understanding that:
> >* ICANN will charge no administration fee
> >* ICANN management will dispense these funds according to instructions
> >from the Names Council or its designee, unless ICANN formally notifies
the
> >Names Council and its Budget Committee that  to do so would either be
> >illegal or jeopardize ICANN's tax status.
> >
> >To ensure that arrangements for the administration of DNSO funds are
> >completed in a timely manner, the Budget Committee requests ICANN
> >confirmation within 5 days to the arrangements outlined above.
> >
> >The Budget Committee further resolves that, in the event that ICANN is no
> >longer willing to manage DNSO funds, it will  proceed with the
> establishment
> >of a custodial relationship for its voluntary funds by a non-profit
> >corporation that would be organized in, and under the laws of, France;
> >recognizing that this French non-profit organization may establish a bank
> >account for the DNSO's voluntary fund with a bank either inside or
> >outside of France.
>
> --
>
> __________________
> Stuart Lynn
> President and CEO
> ICANN
> 4676 Admiralty Way, Suite 330
> Marina del Rey, CA 90292
> Tel: 310-823-9358
> Fax: 310-823-8649
> Email: lynn@icann.org