The following publically available auDA Board meeting minutes explain the policy with respect to any surplus.

auDA Board Minutes - 14 April 2008 
http://www.auda.org.au/minutes/minutes-14042008/ 

" ... 

4. 08/09 Budget 

The board noted that the 08/09 budget is almost break-even, in line with the agreed budgetary policy to reduce auDA's operating surplus over time. Accordingly, auDA is not in a position to further reduce its domain name fee at this time.

In approving the 08/09 budget, the board noted that the Industry Competition Advisory Panel's recommendations (due at the end of 2008) may have an impact on auDA's expenses in 2009 and its ongoing cost structure.

Motion (proposed Kim Heitman, seconded Marty Drill): That the board approve the 08/09 budget. Carried. 

... "


auDA Board Meeting - 13 June 2006 
http://www.auda.org.au/minutes/minutes-13062006/ 

" ...

5. 2006/07 Budget and auDA Domain Name Fee 

The board discussed the proposed 2006/07 budget. The most significant variance from the 2005/06 budget is capital expenses relating to improving .au DNS infrastructure, pursuant to the CEO's report. 

The finance committee recommended that the auDA domain name fee be reduced from $5.50 to $4.50 (ex GST). This would decrease auDA's surplus to the equivalent of 12 months operating expenses, in line with board policy. The committee assumed a growth rate in .au of 12%. The board noted that this is a very conservative assumption and agreed to review it in 12 months.

Motion (proposed CLO, seconded PS): That the board approve the 2006/07 budget and reduction of the auDA domain name fee from $5.50 to $4.50 (ex GST). Carried.

... "

auDA Board Minutes - 15 April 2005 
http://www.auda.org.au/minutes/minutes-15042005 

" ...

3.       Finance Report 

The board noted the March accounts approved by the Finance Committee.  

The board discussed the draft 2005/06 budget, previously approved by the Finance Committee. 

The board accepted the Expenses and Income Projection which produced a surplus of approximately 12-months operating costs. 

Motion (proposed GC, seconded KH): That the board approve the 2005/06 budget.   Carried. 

Action:  auDA staff to publish a summary of the budget on the web site. 

The finance committee presented a report on the domain name fee review.  It was confirmed that one of auDA's objectives is to reduce the auDA domain name fee and the finance committee suggested that this reduction be based on the operating surplus.  The board agreed that a surplus of approximately 12-months operating expenses was prudent and therefore the auDA domain name fee can be reduced to $5.50.  The board agreed a review should be undertaken every 6-months to ensure that actual income and expenses tracks correctly.  

Motion (proposed GC, seconded JR): That the board approve a $2.00 reduction in the auDA Domain Name Fee from $7.50 to $5.50 to be implemented on 1 May 2005.  Carried 

Action: CEO to issue media release in relation to the auDA Domain Name Fee reduction. 

... "

auDA Board Minutes - 14 February 2005 
http://www.auda.org.au/minutes/minutes-14022005/ 

" ...

7.       Other Business 

Following a discussion on the growing cash surplus it was agreed that the finance committee develop a policy on the appropriate level of reserve funds to be held, and a strategy to bring the current capital surplus into line with that policy. A recommendation is to be circulated to the Board by end March for discussion at the April meeting. 

... "


Josh
--
http://josh.id.au/

On Fri, Dec 05, 2008 at 03:25:54PM +1100, Brett Fenton wrote:
> Without speaking for auDA, what you'll find is that auDA has always budgeted a 
> surplus, due largely to very conservative budgeting but also to build 
> finances to handle forseen (operating costs) and non-forseen contingencies 
> (once off legal actions for example).
> 
> They are by definition a not for profit entity, so I think what you'll find is 
> that they have decided they have a sufficiently large bank balance to cover 
> reasonable operations and contingencies, and are now running a budget that is 
> either break even or in slight deficit. 
> 
> Thats very normal and is really a non-story. 
> 
> On Friday 05 December 2008 15:16:57 DomainNames.com.au wrote:
> 
> > and since auda is in the red, does that mean we will start seeing more
> > domain names being deleted and placed back into the pool for
> > re-registration?