Public Interest Registry

“Public interest registry's bylaws were amended in two sections: (1) to accommodate the possibility that a future president of the corporation may or may not be a member of the board when elected and (2) to conform to the approved practice of the corporation regarding the duties of the treasurer and clarifying the treasurer's ability to designate certain reporting duties to a senior person within the corporation's finance and administration department.”

“Public interest registry is a membership corporation and its only member is the internet society (isoc), which is classified as a publicly supported charitable organization under code section 501(c)(3).”

“The internet society appoints the members of the governing body.”

“The following decisions of the governing body are subject to the member's approval: (1) amendment, revocation or repeal of the bylaws; (2) entering into, amending, terminating, assigning, or bringing any legal action with respect to, or waiving any material right under, and agreement or contract with: (i) the internet corporation for assigned names and numbers (icann) or (ii) afilias limited; and (iii) payment, contribution or subvention of any amount in excess of $50,000 to any person, entity or organization, charitable or otherwise, other than in connection with the purchase of goods or services received by the corporation.”

“The irs form 990 is prepared and reviewed by an independent accounting firm grant thornton llp. The finance team, executive team, and legal counsel will complete a final review once the form 990 is delivered. Once reviewed and finalized, the form 990 is sent to each board member. Prior to filing, the form 990 is reviewed at a board meeting, with a representative of the independent accounting firm present to address any questions from the board members. After the board's review, the form 990 is filed.”

“PUBLIC INTEREST REGISTRY'S CONFLICT OF INTEREST POLICY REQUIRES DISCLOSURE OF ANY ACTUAL OR POTENTIAL CONFLICT OF INTEREST ON THE PART OF AN OFFICER, DIRECTOR, MANAGER, OR MEMBER OF A COMMITTEE WITH BOARD-DELEGATED POWERS. AN INTERESTED PERSON MUST DISCLOSE THE EXISTENCE OF THE FINANCIAL INTEREST, AND MUST DISCLOSE ALL MATERIAL FACTS TO THE BOARD OF DIRECTORS AND/OR THE MEMBERS OF THE COMMITTEE WITH BOARD-DELEGATED POWERS CONCERNING THE PROPOSED TRANSACTION OR ARRANGEMENT. THE DISINTERESTED MEMBERS OF THE BOARD OR COMMITTEE WILL DETERMINE WHETHER A CONFLICT OF INTEREST EXISTS, AFTER CONSIDERING ALL MATERIAL FACTS, AND AFTER A DISCUSSION WITH THE INTERESTED PERSON. THE INTERESTED PERSON WILL BE REQUIRED TO LEAVE THE BOARD OR COMMITTEE MEETING WHILE THE BOARD OR COMMITTEE DISCUSSES THE MATTER AND VOTES ON WHETHER A CONFLICT OF INTEREST EXISTS. If a Board member or a committee member is determined to have a conflict of interest, he or she is required to leave the Board or committee meeting while the Board or committee discusses, deliberates on, and votes on, the transaction in question.”

“It is the desire of public interest registry to compensate each of its officers and key employees at a level that represents the fair market value of that person's services, and does not exceed such fair market value, taking into consideration all fringe benefits as well as cash compensation. In 2013, public interest registry hired an outside compensation consultant to analyze comparable data relating to the compensation of its ceo, and the compensation of its other officers and key employees. The ceo study was performed separately. In the case of the ceo, the consultant used a comparative survey in the washington, d.c. Metro area, looking at a mix of industries and sizes of organizations, both non-profit and for-profit. The consultant analyzed the compensation received by similarly qualified individuals holding comparable positions at similar organizations. The ceo compensation committee discussed and analyzed the consultant's report and other independent research and made its recommendation to the board of directors based on those findings. After detailed discussion and deliberation among board members, the recommendation was accepted and the deliberation and decision-making process documented in the board's annual minutes. In the case of the compensation of other officers and key employees the consultant used both (1) a comparative survey in the washington, d.c. Metro area, looking at a mix of industries and sizes of organizations, both non-profit and for-profit, and (2) a large national survey that also covered a mix of industries and sizes of organizations, both non-profit and for-profit. The consultant analyzed the compensation received by similarly qualified individuals holding comparable positions at similar organizations. The consultant then discussed the data and its findings with public interest registry's internal compensation review committee. The internal compensation review committee followed the recommendations of the outside consultant, and set compensation levels within the range of fair market value compensation, as determined by the consultant. The ceo also participated in the process of setting the compensation of the other officers and key employees, but not his own compensation. Because of the difference in the level of formal documentation prepared, public interest registry has answered line 15a "yes", and line 15b "no". We are revising our process so that next year, we expect to be able to answer "yes" to both.”

“The 990 is distributed to guidestar and is freely available on their website. In addition public interest registry makes its 990 return available to the general public upon written request.”

“Public Interest Registry makes these documents available upon request.”

“Afilias ltd. (afilias) provides registry technical services to public interest registry including electronic connection to customers (registrars), to add, modify or delete domain names within the .org database. These services include 24/7, 365 days a year, technical support to registrars, development of registry computer software systems including customer billing, and revenue recognition in accordance with generally accepted accounting principles, (gaap). In addition, afilias provides technical support in implementing public interest registry's domain name abuse policies designed to stop or reduce malware, virus or other activities. Also, afilias collaborates with public interest registry on the analysis and discussion of customer and business trends both domestically and internationally. Starting in 2009, public interest registry commissioned a consultant to determine if the proposed contract extension in discussion with afilias represented a fair market price. The consultant concluded that the fees paid to afilias under the proposed extension were a fair market price. The study was extensive and compared the proposed fees for the services to be rendered to other similar registries that had at least 3 million domain names under management. In early 2012, public interest registry's board initiated an internal update of this study, and again compared the fee structure, including fees that would accrue to afilias as a result of a price increase for domain names. Public interest registry found that the fees paid to afilias would still be within the range of fair market value for the services rendered.”

“DURING 2013, THE PUBLIC INTEREST REGISTRY CHANGED INVESTMENT ADVISORY FIRMS. ACCORDINGLY, GROSS RECEIPTS FOR FORM 990 PURPOSES TOTALED $120,482,205 IN 2013, OF WHICH $49,158,704 REPRESENTS THE GROSS AMOUNT RECEIVED FROM THE SALE OF SUCH FUNDS. THESE ASSETS WERE IMMEDIATELY TRANSFERRED TO AND REINVESTED BY THE NEW INVESTMENT ADVISORY FIRM IN ACCORDANCE WITH THE PUBLIC INTEREST REGISTRY'S INVESTMENT POLICY STATEMENT. Organization's Mission Form 990, Part III, Line 1 PUBLIC INTEREST REGISTRY'S EXEMPT PURPOSES ARE LESSENING THE BURDENS OF GOVERNMENT AS AN INTEGRAL PART OF THE INTERNET SOCIETY (ISOC), A 501(C)(3)ORGANIZATION, SUPPORTING THE IMPORTANT MISSION OF ISOC TO FACILITATE, SUPPORT AND PROMOTE THE EVOLUTION AND GROWTH OF THE INTERNET AS A GLOBAL RESEARCH AND COMMUNICATIONS INFRASTRUCTURE, AND EDUCATING THE COMMUNITY OF NONCOMMERCIAL, NON-GOVERNMENTAL ORGANIZATIONS (NGOS) AND OTHER NONPROFIT ORGANIZATIONS ABOUT HOW TO UTILIZE THE INTERNET MORE EFFECTIVELY AND MORE EFFICIENTLY TO ACCOMPLISH THEIR MISSIONS TO BENEFIT THE PUBLIC. Program Services Form 990, Part III, Line 4a: PUBLIC INTEREST REGISTRY'S PRIMARY ACTIVITY IS TO MAINTAIN THE .ORG DOMAIN REGISTRY AS THE EXEMPLARY TOP LEVEL DOMAIN (TLD) REGISTRY SERVICE, BY ADVOCATING FOR HIGHER STANDARDS OF INTERNET SECURITY, SAFETY AND RELIABILITY. PUBLIC INTEREST REGISTRY'S MISSION IS TO FACILITATE THE EFFECTIVE USE OF A GLOBAL INTERNET AMONG NON-COMMERCIAL AND OTHER INTERNET USERS WORLDWIDE. PUBLIC INTEREST REGISTRY IS COMMITTED TO SUPPORTING ISOC'S GOALS OF ENCOURAGING THE EVOLUTION OF THE INTERNET AS A RESEARCH, EDUCATION AND COMMUNICATION INFRASTRUCTURE EQUALLY ACCESSIBLE TO THE GLOBAL NON-COMMERCIAL, NGO AND NON-PROFIT COMMUNITY. IN 2011 PUBLIC INTEREST REGISTRY INITIATED ACTIVITY RESPONDING TO THE INTERNET CORPORATION FOR ASSIGNED NAMES AND NUMBERS (ICANN) INITIATIVE TO EXPAND THE NUMBER OF GENERIC TLDS AVAILABLE IN THE INTERNET IN AN EFFORT TO INCREASE COMPETITION, ENHANCE CONSUMER CHOICE, AND ENABLE INNOVATION. PUBLIC INTEREST REGISTRY ENGAGED IN EXTENSIVE CONVERSATIONS WITH MEMBERS OF THE GLOBAL NGO COMMUNITY ABOUT THEIR INTEREST IN AND SUPPORT FOR A UNIQUE .NGO/.ONG DOMAIN. THE OUTREACH EFFORT WAS DESIGNED TO SEEK BETTER UNDERSTANDING OF WHAT THE NGO COMMUNITY WOULD LOOK FOR IN A NEW .NGO/.ONG DOMAIN AND TO HELP DEVELOP THE ECONOMIC JUSTIFICATION FOR BUILDING SUCH A DOMAIN. IN ADDITION, PUBLIC INTEREST REGISTRY EXPLORED THE OPTION TO OFFER MULTIPLE INTERNATIONALIZED DOMAIN NAME (IDN) VERSIONS OF .ORG IN LANGUAGE-SPECIFIC SCRIPTS. SUCH PREPARATORY WORK WAS ESSENTIAL IN ASSESSING THE LEVEL OF INTEREST IN THESE NEW DOMAINS. SUBSEQUENTLY, IN APRIL 2012, PUBLIC INTEREST REGISTRY SUBMITTED SIX NEW TLD APPLICATIONS TO ICANN IN AN EFFORT TO CREATE AND BECOME THE REGISTRY OPERATOR OF .NGO, .ONG, AND FOUR IDNS: TWO CHINESE SCRIPTS, HINDI, AND CYRILLIC.IN NOVEMBER OF 2013, PUBLIC INTEREST REGISTRY ENTERED INTO CONTRACTS WITH ICANN FOR THE FOUR IDN TLDS. THREE OF THOSE TLDS WERE LAUNCHED IN APRIL 2014. THE FOURTH, A CHINESE FOUR-CHARACTER IDN, HAS BEEN APPROVED FOR DELEGATION BY ICANN. PUBLIC INTEREST REGISTRY IS ACTIVELY DEVELOPING A BUSINESS PLAN FOR THIS IDN AND WILL LAUNCH IT AS SOON AS THE PLAN IS FINALIZED. IN ADDITION PUBLIC INTEREST REGISTRY SIGNED CONTRACTS WITH ICANN FOR .NGO AND .ONG IN 2014 AND WE ANTICIPATE THOSE DOMAINS WILL LAUNCH IN OCTOBER 2014. IN 2012 PUBLIC INTEREST REGISTRY BEGAN RESEARCH AND INVESTIGATION INTO THE POTENTIAL FOR CONDUCTING REGISTRAR FUNCTIONS THROUGH AN AFFILIATE SO AS TO DISTRIBUTE DOMAIN NAME REGISTRATIONS WITH A FOCUS ON THE GRASSROOTS NGO COMMUNITY OF THE GLOBAL SOUTH. THIS RESEARCH AND INVESTIGATION IS DESIGNED IN PART TO DETERMINE IF DISTRIBUTION THROUGH AN AFFILIATE WILL BETTER SERVE OUR COMMUNITY AT REASONABLE COSTS WITH EXEMPLARY SERVICE. IN 2014, PUBLIC INTEREST REGISGTRY'S BOARD OF DIRECTORS AND OUR MEMBER THE INTERNET SOCIETY'S BOARD OF TRUSTEES APPROVED CREATING A NOT-FOR-PROFIT AFFILIATE FOR DISTRIBUTION OF DOMAIN NAMES AND RELATED S”

“The public interest registry issues audited financial statements on a separate basis. Additionally, public interest registry's financial results are included in a consolidated audited financial statement report issued by the internet society, public interest registry's sole member.”