Author(s): Martin Burack
Date: 1999.7.23
Committee: Executive Committee of BoT
Document: 99-05
Status: DRAFT
Maintainer: Martin Burack
Access: Unrestricted

The meeting was called to order by Geoff Huston, Chair, at 8:10am, EDT.

Geoff Huston
Don Heath
Vint Cerf
Christine Maxwell
Lynn St. Amour
Marty Burack

Don Heath reported that our financials are not where they were expected to be. This is due primarily to: the expected negative results from INET’99 and the NTW, the lack of new organizational members, and the cost of PR and strategic planning. A projection will be issued by Don shortly.

2. INET’99 and NTW
We are anticipating a combined loss of US$330,000 in INET and the NTW, roughly evenly split, officially. However, a conversation with Don subsequent to the conference call indicated the following: Because revenues obtained by the Geneva office are booked to that cost center, the INET/NTW cost centers do not reflect $135,000 in INET sponsorship revenue raised by the Geneva office. And, 1998 INET/NTW salaries of $50,000 are not reflected in the 1999 books. Taking those things into account, the true net loss for INET & NTW is $245,000. Since INET surpluses and losses flow straight to the bottom line, unlike membership dues (which are accrued), the impact is immediate (and therefore amplified compared to dues).

In retrospect, San Jose was not the right place to hold an INET. We did not have a strong local organization, and there are too many Internet conferences in Silicon Valley. Sponsorships were below expectations, and registrations were off by 1/3. e.g., We expected several hundred walk-ons and got less than 100.

In Yokohama, we have a strong local organization. Fund raising has started for INET 2000. Sponsor brochures have already been printed. Letters have been sent to INET’99 sponsors, thanking them and urging them to sponsor INET 2000.

It was noted that due to the lack of a strong INET local organization, much more time was required of the staff to support INET’99. Additionally, the strategic plan also took time away from focusing on membership recruiting.

Don has a target list of 28 prospective organizational members and 28 executive members who are candidates for upgrading to Gold. Lynn has an additional 20 prospective members targeted. A fund raising committee was established, initially consisting of Don, Lynn, Geoff, Vint, and Christine. Support will be enlisted from Board members and others. The goal is to raise US$500,000 cash by the end of the year.

We’ve looked at hiring someone to help bring in organizational members. But the people who were interviewed had up-front salary demands that were more than our finances can currently handle. Now that INET is over, Don and Lynn will be able to focus on fund raising and Don feels, with the help of the fund raising committee and the Board, they will bring in sufficient revenue to get ISOC back in good financial shape.

Michael Goodman should have a strategic plan ready for review by Don and Lynn by the end of August. Since the plan would require up-front investing, implementation will be carefully reviewed and timed to ensure that we can properly fund the initiatives.

A webmaster has been hired.

All Board Executive Committee Meeting Minutes

Meeting (23 July 1999)