Author(s): Donald M. Heath
Date: 1998.5.19
Committee: Executive Committee of BoT
Document: 98-024
Status: FINAL
Maintainer: D.M. Heath
Access: Unrestricted

Meeting was called to order by ISOC Chair, Frode Greisen at 8:00am ET USA.

Frode Greisen
Scott Bradner
George Sadowsky
Donald M. Heath

1. Cash Flow Report
Monthly cash flow report, projecting four months forward, shows a reasonable cash position with steadily increasing ending balance each month. Heath reported that the 11 May 1998 report was generated to reflect a negative cash flow from INET’98 operations of $125,000. This was done as a conservative hedge.

Heath also pointed out that the keys to continued positive movement in the ISOC cash position is to collect outstanding dues; convert existing Organization members to their next higher level of membership; collect committed INET’98 sponsorships; gain additional INET’98 sponsors and Network Training Workshop (NTW) sponsors; and, continue increasing the number of Organization members.

2. Funds Status Report
Membership continues to increase slowly, but steadily. We have now passed the point where annual recurring revenue exceeds the requirements for basic operation. The goal has been raised, so that we may build our reserves on the balance sheet.

Board members are encouraged to identify potential new Organization members to the ISOC staff for follow up, and to assist in the closing of new Organization members.

3. Financials – April
Fund balance is negative even though cash position continues to improve. Heath explained this is due to the accrual method of accounting used. The “fund balance,” or “reserve” will build up slowly for this reason, but cash is the key to our financial health at this time.

The financials on a month-to-month basis are a reasonable benchmark for the financial status and health of ISOC; but, because of the difficulty of spreading the budget month-to-month for receipt of revenues, the year-to-date column may be a better indicator of performance to plan.

Heath reported that basic expenses are expected to be below plan for the year. The unknown is INET’98, although that conference is expected to produce a reasonable surplus.

4. RFC Editor
Bradner requested that Heath consult with the IETF through the IAB and the IESG regarding their disposition of the RFC Editor function. ISOC has a proposal from ISI to continue the function. Heath will send that to the IAB and the IESG for consideration, asking them what they expect and for recommendations on proceeding.

It was felt by the Executive Committee that for the first year, we would be well-advised to continue with the existing team (which has been performing as the “RFC Editor” from the beginning); and, that thereafter, we could consider opening up the bidding process.

Minimal discussion regarding the intent of the ISOC-EU formation. The discussion was best summed up by Greisen who stated that as long as ISOC-EU was an instrument of the European Chapters, and that they remained true to the ISOC principles, there should be no concern.

If the European Chapters became the instrument of ISOC-EU, then that may be cause for concern and perhaps cause for the ISOC BoT to take action. Further, if ISOC-EU were to take any action counter to ISOC, or if they acted without ISOC consent, there could be cause for concern, and, potentially, for action by the ISOC BoT.

6. US Government “White Paper”
The US government “White Paper” was expected to have been released by the date of the ExComm conference call (19 May 1998). It was not; but, it was reported that expectations are that it will be released during the same week and that it will defer decisions to the new corporation – the evolved IANA. This was accepted positively by the Executive Committee.

7. Elections
Bradner reported that we have already received votes representing over 21% of the membership! We are, thus, assured of having the best turnout ever. This is attributed to the electronic voting capability. Recognition of Mr. Marty Schulman, a volunteer to the ISOC staff from Cisco, was cited for his excellent work in the implementation of the process and the system to effect the electronic voting.

8. INET’98
Sadowsky reported that sponsorships committed have by and large met the minimum budgeted expectations. He encourages all to continue to seek out additional sponsors for contingency. The workshop budget is typically in a dynamic state – because of ISOC’s desire to reach the broadest spectrum of individuals from countries needing Internet expertise. It appears to be essentially in balance, accepting a number of soft assumptions, which is a substantial improvement during the last couple of months.

Program is set and in good shape. Heath reported on the current status of the plenary sessions and expects to have speakers firm by 8 June 1998, the deadline for publishing the “final” conference brochure.

It isn’t known, yet, whether the conference will produce a surplus, but the current perspective indicates movement in a the positive direction. At the same time, Sadowsky reports that in the past three weeks net registrations were 10, 11, and 22 respectively. It may be cause for concern, or it may be a “lull” between two deadlines for discounted registration. Registrations are now standing at 445.

9. Other
Discussion of paying conference fees or expenses for Trustees Emeritus was conducted. Owing to the uncertainty of the financial success of the INET’98 conference, and to historical precedent, it was agreed that ISOC would continue its existing policy of not paying the fees and expenses of Trustees Emeritus.

Meeting was adjourned at 9:05am

All Board Executive Committee Meeting Minutes

Meeting (19 May 1998)