March 28, 2025 Budget Task Force Catchup

Meeting Minutes: Budget Task Force Catchup Date/Time: March 28, 2025, 11:58 EDT Location: Virtual Meeting


1. Attendees

  • Budget Task Force Members:

    • Andreas Pletscher

    • Dave Dionisio

    • Jack Briggs

    • Jose Velazquez

    • Kristijan Kowalsky

    • Lawrence Clark

    • Lloyd Duhon

    • Marc Gorman

    • Prof. Steven

(Additional participants referenced in transcript but not actively speaking may include support staff or observers.)


2. Meeting Purpose

A regular catchup to discuss the status of:

  • The 2025 Budget timeline and proposals.

  • Ongoing efforts around the net change limit (NCL) actions.

  • Plans for reconciling and finalizing budget proposals.

  • Development of a smart contract–based treasury management solution.


3. Key Discussion Points

3.1 Updates on Budget Proposals & Timeline

  • Proposal Submissions:

    • 22 proposals received so far; more expected soon.

    • IO and CDC proposals are anticipated early next week.

    • Submission form remains open; proposals can still be added but will have cutoffs for each budget cycle.

    • Proposals to be published on Monday, enabling community review prior to the 15th, when a formal upvote/downvote mechanism (with DREP identification) will go live.

  • Committee Review & “Rogue” Proposals:

    • Committees (e.g., Marketing Committee) are putting forward coordinated proposals.

    • Concern raised about how to differentiate “official” committee proposals from individual or “rogue” submissions.

    • Plan to have committees label which proposals they endorse (or do not support), so DREPs have clearer guidance.

  • Reconciliation Phase & Workshops:

    • Community and committee feedback will culminate in reconciliation workshops.

    • Preliminary survey feedback on whether these should be in-person or virtual is being summarized; a more detailed proposal will be presented Monday.

    • Earliest possible date for budget-related treasury withdrawals could be June 3, subject to the required on-chain Info Action period (six epochs).

    • Potential to ship an “early” budget for strongly supported items while allowing more time for contentious or complex proposals.

  • Communications & Engagement Schedule:

    • A consolidated schedule of all community touchpoints is in development.

    • Aim to leverage Intersect committees and hubs for outreach, educational materials, and gathering feedback.

    • An Intersect Knowledge Base page will host FAQs, educational content, and relevant links in multiple languages.


3.2 Net Change Limit (NCL) Discussion

  • Two net change limit proposals currently exist:

    1. One that covers both 2025 and 2026.

    2. One from the Budget Task Force that covers only 2025 (350M ADA).

  • By constitutional language, “the then applicable” net change limit is whichever passes most recently and meets constitutional thresholds.

  • Concerns exist about confusion arising from multiple NCL actions. The older 2025–26 NCL has low voter engagement (~15% support); the single-year 2025 NCL is performing better.

  • Next Steps:

    • Focus on ensuring the 2025 NCL action passes.

    • Consider a separate 2026 NCL proposal once 2025 is resolved to avoid adding complexity for DREPs.

    • Clarify final interpretation of net change limit overrides (pending Constitutional Committee confirmation).


3.3 Smart Contract Treasury Administration

  • Objective: Develop a smart contract framework that administers vendor payments in line with the approved budget, including:

    • Secure multi-signature review/approval.

    • Integration with an Intersect “contracting process.”

    • Auditable records and compliance with financial regulations.

  • Operation Model:

    • Auto-Pay (funds released automatically at intervals) vs. Manual-Pay (milestone proof required before payment) under review.

    • Must also accommodate fiat-rail payments and currency conversions for jurisdictions where crypto payments are not viable.

  • Development Collaboration:

    • IO is contracting a developer for the on-chain elements.

    • Volunteers from Budget Committee (and CF for technical or regulatory viewpoints) are needed to define detailed requirements.

    • A user-friendly interface to handle proposals, payments, and audits is essential.


4. Action Items & Next Steps

  1. Publish Proposals (Monday):

    • All submitted budget proposals go live for community review.

    • Committees will label which proposals they support or oppose.

    • Link for reference: Proposal Submission Portal

  2. Gov Tool Enhancements (by April 15):

    • Enable upvote/downvote, comments, and DREP verification on proposals.

  3. Workshops & Reconciliation Planning:

    • Proposed consolidation workshop dates: April 7, 10, 14, 24 (7–12 AM PT and 7–10 PM PT, subject to change).

    • Further details to be coordinated via a dedicated Reconciliation Working Group.

  4. Net Change Limit Clarifications:

    • Seek formal interpretation from the ICC (Constitutional Committee) on “the then applicable” language and confirm that the latest valid NCL supersedes previous.

    • Budget Task Force to continue outreach and communications to support passing of the 2025 NCL.

  5. Smart Contract Treasury Management Requirements:

    • Volunteers from Budget Committee and CF to refine user flows, define key parameters (auto-pay vs. manual-pay), and ensure multi-currency compatibility.

    • Prepare a solution demo for feedback once initial development is ready.

  6. Educational & FAQ Materials:

    • Intersect to expand Knowledge Base with guidance on net change limit, budget processes, and general governance.

    • Explore translations to reach non-English-speaking community members.

  7. Follow-up Meeting (Monday):

    • Budget Committee will review survey feedback on reconciliation format and net change limit updates.

    • Discussion on potential 2026 net change limit language (timing TBD).


5. Additional Notes

  • Constitutional Constraints: Some details (e.g., net change limit interpretation) may require formal clarification by the Constitutional Committee.

  • Key References:

    • “the then applicable” phrase in Article 4, Section 3 of the Constitution clarifies that the most recently enacted net change limit holds.

    • Budget Proposal Submission Portal remains open for new submissions.


Meeting Adjourned: 12:29 EDT


6. Next Meeting

  • Date: Monday, March 31, 2025 (Budget Committee Meeting)

  • Topics:

    • Finalizing NCL approach and 2025/2026 distinction.

    • Reconciliation workshop details.

    • Smart contract administrator requirements and demonstration planning.


Prepared by: Budget Committee Secretary Date Issued: March 29, 2025

For any corrections or additions, please contact the Budget Task Force lead or the Intersect administrative team.

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