Minutes | Meeting of the Finance Committee of the Board (BFC) | 23 February 2026

BFC Attendees: Alan Barrett, Patricio Poblete, Sajid Rahman (Chair), Amitabh Singhal, and Tripti Sinha

BFC Member Apology: Byron Holland

Other Board Member Attendee: Constance de Leusse

ICANN Staff Attendees: Kristy Buckley (Senior Director, New gTLD Program), Xavier Calvez (SVP, Planning and Chief Financial Officer), Franco Carrasco (Board Operations Manager), Kirsten Crownhart (Financial Planning and Analysis Senior Manager), Rob Gomez (Vendor Management Associate Manager), Marika Konings (VP, New gTLD Program Lead), Wendy Profit (Board Operations Senior Manager), Vivek Sengupta (Senior Director, Procurement), Amy Stathos (Deputy General Counsel), and Theresa Swinehart (SVP, Global Domains and Strategy)

Invited Guest: ICANN Vendor Strategist/Sourcing Consultant

The following is a summary of discussions, actions taken, and actions identified:

1. Agenda Review – The BFC reviewed the agenda for the meeting and conducted a conflicts check.
2. BFC Workplan: – Staff provided an update on the BFC's workplan.
3. New gTLD Program: 2026 Round Update – Given that the BFC has been tasked with receiving overall project updates for the New generic Top-Level Domains (gTLD) Program: 2026 Round (2026 Round), staff presented the BFC with the status of implementation, and an overview of the overall progress of the 2026 Round. Staff reported that: (1) the base Registry Agreement is on track for Board consideration during ICANN85; (2) the list of evaluated Registry Service Provider (RSP) evaluation program was published in January 2026; and (3) the development of the gTLD Application Processing is completed and it is currently going through in its testing phase. Staff provided an overview and the status of the governance and launch readiness processes established for the launch of the 2026 Round that focus on ensuring all operational, organizational, and technical plans are prepared to deliver services effectively. Staff also provided an update on ICANN's risk management approach.
4. New gTLD Program: 2026 Round Financials – The BFC received an update on the implementation costs to date, noting that both implementation and processing are currently under budget, respectively. The savings are primarily due to, timing on the Application Management Systems (TAMS) development, performing technical testing internally for the RSP evaluation applicants and receiving fewer ASP applications for eligibility review than originally projected. Staff reported that the FY26 implementation costs are higher than the previous fiscal year, primarily due to development of TAMS and the translation work in this fiscal year. Average staffing for the implementation is now approximately 40 full-time staff members, which is higher than the previous fiscal year. Staff also reported that professional services expenses for the implementation phase exceeded the original budget, largely due to extended utilization of consultants and contracts beyond initial planning assumptions, as well as additional work on name collision and the Registry Systems Testing projects. Further, staff reported that the current forecast anticipates full utilization of the US$70 million implementation budget. Staff also provided a brief overview of the funding approved by the Board and reported that the implementation activities are proceeding within the approved funding framework.
5. New gTLD Program: 2026 Round Vendor Contracts Batch #3 - Staff presented the BFC with the Batch #3 of vendor service contracts for the 2026 Round which are the vendors with which contracts are expected to be needed in the next six to 12 months and that are expected to exceed US$750,000. These contracts cover services for the name collision, financial capability, geographic and reserved name evaluations, independent objectors, and auction services for contention resolution. The BFC noted that the contingency built into the application fee provides necessary fiscal flexibility for vendor negotiations and unforeseen expenses. Staff explained that the procurement process has been followed, and that cost reasonableness has been assessed through competitive bidding and historical comparisons. The BFC discussed the rationale and cost components for the service contracts. Having determined that the procurement process was followed and that costs remain affordable and reasonable, the BFC recommended that the Board authorize the President and CEO, or his designee(s), to the commitment of funds for contracting and disbursement in furtherance of the contract with vendors in Batch #3 of contracts.
   • Action: ICANN staff to prepare relevant materials for Board consideration.
6. New gTLD Program: 2026 Round Contractor Contract Extensions – The BFC considered funding for extensions of existing contractor agreements to support both implementation and processing phases of the 2026 Round. To ensure continuity and facilitate resource planning for the processing phase, staff explained that while new requests for proposals were not conducted for these extensions, the extensions meet the procurement criteria for exceptions. Specifically, the contractors were originally selected through competitive bidding, now have a proven track record of quality, and possess institutional expertise that would be costly and disruptive to replace at this stage. Having determined that the costs remain affordable and reasonable, the BFC recommended that the Board authorize the President and CEO, or his designee(s), to extend, and make disbursements in furtherance of, the relevant vendor contracts.
   • Action: ICANN staff to prepare relevant materials for Board consideration.
7. New gTLD Program: 2026 Round Applicant Support Program (ASP) Funding – The BFC considered additional funding needed to support the ASP. Staff noted that more applicants than the number originally budgeted may qualify under the ASP. Given the Board's and the Community's acceptance of using funds from the 2012 New gTLD Program Auction Proceeds (Auction Proceeds) to fund the initial budgeted number of ASP applicants, the BFC discussed using the same funding source to support up to 30 additional qualified ASP applicants. The BFC discussed the importance of clearly communicating the funding approach. Following discussion, the BFC recommended that the Board approve the use of up the Auction Proceeds to cover the incremental direct costs of supporting an additional 30 applicants, should they qualify for support.
   • Action: ICANN staff to prepare relevant materials for Board consideration.