<html><head><meta http-equiv="Content-Type" content="text/html; charset=UTF-8"></head><body><div>One of the major issues with disbursing funds is accounting and accountability. Get one of those wong and the Internet Society loses its tax exempt status. Losing its tax exempt status could result, in the extreme, in the liquidation of ISOC. At the worst, such an event, and the path to that event, would mean lots of lawyers getting rich and those of us in chapters getting nothing. </div><div><br></div><div>Tax law is specific about banning individuals from enriching themselves from a non-profit. This is one of the structural reasons why non profit pay is so much less than private sector pay for the same job. </div><div><br></div><div>A problem with simply paying block grants to chapters is if ANY chapter improperly spends the money, then ALL of ISOC is at risk. </div><div><br></div><div>I am not saying ISOC should not be financially supporting Chapters. What I am saying is that if there is going to be some sort of funding model proposed, please also propose how the accountability mechanisms will work. </div><div><br></div><div><br></div><div id="composer_signature"><meta http-equiv="Content-Type" content="text/html; charset=UTF-8"><font size="2">--<br dir="auto">Sent from a mobile device. Sorry for typos or weird auto-correct. Thank IETF LEMONADE for mobile email! See <<a href="http://www.standardstrack.com/ietf/lemonade/>" original_font_attr="-1" original_line_height_attr="" dir="auto">https://www.standardstrack.com/ietf/lemonade/</a>></font><br></div><div style="font-size:100%;color:#000000"><!-- originalMessage --><div>-------- Original message --------</div><div>From: Keith Davidson <keith@internetnz.net.nz> </div><div>Date: 4/8/2016 1:28 AM (GMT-03:00) </div><div>To: 'Chapter Delegates' <chapter-delegates@elists.isoc.org> </div><div>Subject: Re: [Chapter-delegates] ISOC-NY President Resigns </div><div><br></div></div>I respect the validity of the concept of bulk funding as a method of <br>supporting chapters. But there is some risk attached for ISOC in taking <br>such an approach. It might be that 100 chapters pull ISOC in 100 <br>different directions. There would likely be high levels of duplication <br>of efforts and energies with many people doing the same function. etc <br>etc. What safeguards would ISOC have that the funds were not being <br>wasted, or mis-used?<br></body></html>