2013-08-02T15:22:56-05:00 2012-12-31 Grant Thornton LLP 2010 CORPORATE RIDGE SUITE 400 MCLEAN VA 22102 990 2012-01-01 331025119 Public Interest Registry % LAWRENCE C MARTIN PUBL 7038895778 1775 Wiehle Avenue Suite 200 Reston VA 20190 LAWRENCE MARTIN 7038895774 2013-05-21 true Mary Torretta 7038477500 2012 2016-02-24 21:20:13Z Brian Cute 1775 Wiehle Avenue Reston VA 20190 69772320 false X www.pir.org X 2002 PA Lessening the burdens of government, and supporting The Internet Society ("ISOC") as an integral part of its activity to promote and support the growth and evolution of the internet for public benefit. 5 5 23 0 0 0 0 61065446 66072808 1031243 974597 0 0 62096689 67047405 24250000 26505000 0 0 3028868 3699119 0 0 0 33961833 35623567 61240701 65827686 855988 1219719 78681946 85017910 69169608 73758225 9512338 11259685 X See Schedule O false false 64153518 26505000 66072808 See Schedule O 64153518 true false false false false false false false false true false false true true true true true false true true false false false false false false true false true false false false false false false false true false false false false false true false false false true 33 0 true 23 true false false false false false false false false false false X 5 5 false false false false true true true true true false false true true true true true true true false false PA VA X LAWRENCE C MARTIN 7038895778 1775 WIEHLE AVENUE 200 Reston VA 20190 X Maarten Botterman 8.0 X X 12000 0 0 Erik Huizer 8.0 X X 12000 0 0 Amitabh Singhal 8.0 X X 12000 0 0 Arthur Reilly 8.0 X X 12000 0 0 Raimundo Beca 8.0 X 12000 0 0 Mitchell Weintraub Sch J L 8.0 X 0 0 0 Brian Cute 40.0 X 292676 0 60515 Nancy Gofus 40.0 X 216923 0 35199 David Maher 40.0 X 178523 0 30067 Lawrence Martin 40.0 X 199414 0 49966 Lance Wolak 40.0 X 208443 0 40564 Don Blumenthal 40.0 X 139838 0 24237 Michelle Coon 40.0 X 125201 0 29715 Paul Diaz 40.0 X 146958 0 43519 Thuy LeDinh 40.0 X 127798 0 40900 Lauren Price 40.0 X 145820 0 41176 1841594 0 395858 13 false true true Afilias 300 Welsh Rd Bldg 3 Ste 105 HORSHAM PA 19044 Registry IT 29081068 Solution Street 3206 Latigo Ct OAKTON VA 22124 Software Devlp 729436 AM Global 2001 Massachusetts Ave WASHINGTON DC DC 20036 Consulting 266000 Holland Knight 11050 Lake Underhill Rd ORLANDO FL 32825 Legal 201680 4 0 REGISTRATION FEES 900099 65403107 65403107 RELATED REGISTRY REVENUE 900099 669701 669701 66072808 698532 698532 0 0 0 0 0 3000980 2724915 276065 276065 276065 0 0 0 0 67047405 66072808 974597 26500000 26500000 0 5000 5000 0 1181988 969230 212758 0 1717392 1408261 309131 397153 325665 71488 221798 181874 39924 180788 148246 32542 281282 230651 50631 212639 174364 38275 70155 57527 12628 0 0 33939 27830 6109 68478 56152 12326 0 176726 144915 31811 250672 205551 45121 0 302939 248410 54529 620383 508714 111669 0 218509 179177 39332 0 0 165832 135982 29850 98788 81006 17782 REGISTRY ADMIN & DEVELOPMENT 30021766 30021766 MARKETING 2286989 1875331 411658 OTHER MISCELLANEOUS EXPENSES 74385 60996 13389 BUSINESS/PRODUCT DEVELOPMENT 740085 606870 133215 65827686 64153518 1674168 0 0 0 7226536 10643653 0 0 733663 841343 0 0 0 0 0 0 0 0 499690 424395 1158548 537155 388868 621393 41069847 42487610 0 0 0 0 0 616050 28763342 29383466 78681946 85017910 884980 1183393 0 0 62713117 66710438 0 0 0 0 0 0 0 0 0 0 5571511 5864394 69169608 73758225 X 9512338 11259685 0 0 0 0 9512338 11259685 78681946 85017910 1219719 527628 X false true X true X X X false false false INTERNET SOCIETY 541650477 0 true true true 26500000 1 26500000 1158548 537155 621393 621393 DEFERRED REGISTRY EXPENSES 29379431 SECURITY DEPOSITS 4035 29383466 0 ICANN FEE LIABILITY 740695 OTHER LIABILITIES 148294 CUSTOMER DEPOSITS 2453834 AFILIAS PAYABLE 2521571 5864394 X 67575033 527628 527628 67047405 67047405 65827686 65827686 65827686 FIN 48 (ASC) 740 FOOTNOTE SCHEDULE D, PART X, LINE 2 PIR is exempt from Federal income tax under Section 501(c)(3) of the Internal Revenue Code and is classified as an organization which is not a private foundation as defined by Section 509. No material taxable unrelated business income was generated and, accordingly, no provision for income taxes has been made in the accompanying financial statements. PIR follows the accounting guidance that creates a single model to address uncertainty in income tax positions and clarifies the accounting for income taxes by prescribing the minimum recognition threshold a tax position is required to meet before being recognized in its consolidated financial statements. Under the requirements of this guidance, organizations could now be required to record an obligation as the result of income tax positions they have historically taken on various tax exposure items. PIR is not required to record such an obligation. Sub-Saharan Africa 0 0 Program Services See Form 990, Part III 53000 North America 0 0 Program Services See Form 990, Part III 80000 South Asia 0 0 Program Services See Form 990, Part III 1204000 South America 0 0 Program Services See Form 990, Part III 35000 Europe (Including Iceland and Greenland) 0 3 Program Services See SCH F, Part V 213000 East Asia and the Pacific 0 0 Program Services See Form 990, Part III 35000 Central America and the Caribbean 0 1 Program Services See Form 990, Part III 8000 0 4 0 4 1628000 1628000 false false false false false false Form 990, Schedule F, Part I, Line 3 IN APRIL 2012, PIR EMPLOYED A CITIZEN AND RESIDENT OF GERMANY AS DIRECTOR OF CHANNEL MANAGEMENT FOR EUROPE, THE MIDDLE EAST, AND AFRICA. AS GROWTH IN THE TRADITIONAL NORTH AMERICAN MARKET FOR .ORG CONTINUES TO SLOW, PIR HAS INTENSIFIED ITS FOCUS ON EUROPE, AFRICA, AND ASIA THROUGH ADDITIONAL DEDICATED SALES FOCUS, AS WELL AS EXPANDED MARKETING PROGRAMS FOR REGISTRARS OPERATING IN THE UNDERSERVED AREAS OF THE WORLD. PIR ALSO CONTRACTED WITH ORGANIZATIONS OUTSIDE OF THE UNITED STATES TO CONDUCT WORKSHOPS THAT ENABLED PIR TO ENGAGE 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 A 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 AND OFFERING .NGO/.ONG DOMAINS. ADDITIONALLY, THE WORKSHOPS ARE A GRASSROOTS EFFORT TO FACILITATE BRINGING NGO'S ONLINE, WITH TRAINING ON REGISTERING DOMAIN NAMES, AND BUILDING AND MAINTAINING WEBSITES. true Internet Society 1775 Wiehle Ave Suite 201 Reston VA 20190 541650477 501(C)(3) 26500000 Support 2 Student Fellowships/Sponsorship Dominios Latin A 1 Procedure for Monitoring Use of Grant Funds Inside U.S. Schedule I, Part I, Line 2 Pursuant to its governing documents, Public Interest Registry (PIR) is a supporting organization that is obligated to support the Internet Society (ISOC), a public supported 501(c)(3) organization. As a result of this relationship, the IRS has classified PIR as a supporting organization. PIR maintains records to substantiate the amount of its grants to ISOC. X true true X X X X X X false false false false false false false false false Brian Cute 272676 0 20000 0 0 0 39635 0 20880 0 353191 0 0 0 Nancy Gofus 216923 0 0 0 0 0 32539 0 2660 0 252122 0 0 0 David Maher 161523 0 17000 0 0 0 26778 0 3289 0 208590 0 0 0 Lawrence Martin 181714 0 17700 0 0 0 28947 0 21019 0 249380 0 0 0 Lance Wolak 177578 0 30865 0 0 0 28274 0 12290 0 249007 0 0 0 Don Blumenthal 135000 0 4838 0 0 0 20745 0 3492 0 164075 0 0 0 Michelle Coon 113829 0 11372 0 0 0 18964 0 10751 0 154916 0 0 0 Paul Diaz 143158 0 3800 0 0 0 23070 0 20449 0 190477 0 0 0 Thuy LeDinh 113949 0 13849 0 0 0 19913 0 20987 0 168698 0 0 0 Lauren Price 131103 0 14717 0 0 0 20230 0 20946 0 186996 0 0 0 Form 990, Part VII, Section A, Line 6: DURING 2012, PIR PAID $58,507 IN COMPENSATION TO CORDIA PARTNERS, WHICH IS PARTIALLY OWNED BY PIR'S TREASURER AND CONSULTANT, MITCHELL WEINTRAUB. THAT COMPENSATION INCLUDED SERVICES RENDERED BY MR. WEINTRAUB AND BY OTHER PROFESSIONAL EMPLOYEES OF THE FIRM. THE NATURE OF THE SERVICES INCLUDED $37,124 FOR BOARD ADVISEMENT SERVICES AND $21,383 FOR OTHER SERVICES. PIR DETERMINED ON THE BASIS OF OUTSIDE COMPARABILITY DATA THAT THE AMOUNT OF COMPENSATION PAID DID NOT EXCEED THE FAIR MARKET VALUE OF THE SERVICES RENDERED. Mitchell Weintraub Entity 35% owned by M.W. 58507 board advisement services false Form 990, Schedule L, Part IV DURING 2012, PIR PAID $58,507 IN COMPENSATION TO CORDIA PARTNERS, WHICH IS PARTIALLY OWNED BY PIR'S TREASURER AND CONSULTANT, MITCHELL WEINTRAUB. THAT COMPENSATION INCLUDED SERVICES RENDERED BY MR. WEINTRAUB AND BY OTHER PROFESSIONAL EMPLOYEES OF THE FIRM. THE NATURE OF THE SERVICES INCLUDED $37,124 FOR BOARD ADVISEMENT SERVICES AND $21,383 FOR OTHER SERVICES. PIR DETERMINED ON THE BASIS OF OUTSIDE COMPARABILITY DATA THAT THE AMOUNT OF COMPENSATION PAID DID NOT EXCEED THE FAIR MARKET VALUE OF THE SERVICES RENDERED. SEE DISCLOSURE ON SCHEDULE J, PART III. 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 (PIR) 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. PIR'S MISSION IS TO FACILITATE THE EFFECTIVE USE OF A GLOBAL INTERNET AMONG NON-COMMERCIAL AND OTHER INTERNET USERS WORLDWIDE. PIR 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 PIR 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. PIR 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, PIR 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, PIR 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. PIR ANTICIPATES THAT ICANN WILL MAKE ITS DECISION TO APPROVE AND DELEGATE THESE TLDS IN 2013 OR 2014. IN 2012 PIR BEGAN RESEARCH AND INVESTIGATION INTO THE POTENTIAL FOR CONDUCTING REGISTRAR FUNCTIONS THROUGH AN AFFILIATE SO AS TO DISTRIBUTE DOMAIN NAME REGISTRATIONS TO THE NON-PROFIT, .NGO/.ONG AND NON-COMMERCIAL COMMUNITY. 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. ADDITIONALLY, PIR HAS ESTABLISHED A RESOURCE CENTER ON ITS VARIOUS WEBSITES AND LAUNCHED TARGETED EDUCATIONAL CAMPAIGNS TO MAKE AVAILABLE DOCUMENTS AND APPLICATIONS SUCH AS MARKETING TOOLS, WHITE PAPERS AND FAQ'S ON INTERNET TOPICS SUCH AS SOCIAL MEDIA NETWORKING AND INTERNATIONALIZED DOMAIN NAMES (IDN'S). IN ADDITION, PIR, SINCE ITS FOUNDING, HAS BEEN AN ACTIVE SUPPORTER OF THE NON-COMMERCIAL USERS CONSTITUENCY (NCUC) WITHIN ICANN. THE NCUC REPRESENTS THE VIEWS OF NON-COMMERCIAL, NGO AND NONPROFIT ORGANIZATIONS. PIR PROVIDES WEBINARS AND FORUMS FOR EDUCATIONAL PURPOSES WITHIN THE SCOPE OF THE REGISTRY INDUSTRY, SUCH AS THE .ORG FORUM AND DNSSEC WEBINARS. MANAGING THE .ORG REGISTRY INCLUDES MAKING SURE OUR COMMUNITY HAS A VOICE IN CRITICAL ISSUES RELATED TO INTERNET POLICIES AND PROCEDURES. TO EFFECTIVELY REPRESENT SPECIFIC AND COLLECTIVE INTERESTS, .ORG RELIES ON THE INSIGHT AND KNOWLEDGE OF ITS ADVISORY COUNCIL, BOARD OF DIRECTORS AND REGISTRARS. WORKING WITH THE ICANN, THE INTERNET SOCIETY (ISOC), TECHNICAL ENGINEERS AND VARIOUS INTERNET LEADERS AROUND THE WORLD, PIR INITIATES, SUPPORTS AND FUNDS INTERNET ENHANCEMENTS THAT MEET THE NEEDS AND GOALS OF .ORG CUSTOMERS. .ORG IS USED BY INDIVIDUALS, ORGANIZATIONS AND COMPANIES TO EDUCATE MOBILIZE AND EMPOWER THEIR COMMUNITIES. SEE ADDITIONAL INFORMATION ABOUT PIR'S ACTIVITIES ON THE PIR WEBSITE AT PIR.ORG. MEMBERS OR STOCKHOLDERS FORM 990, PART VI SECTION A, LINE 6: The 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). ELECTION OF MEMBERS FORM 990, PART VI SECTION A, LINE 7A: The Internet Society appoints the members of the governing body. BOARD APPROVAL FORM 990, PART VI SECTION A, LINE 7B: 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. FORM 990 Review Process FORM 990, PART VI SECTION B, LINE 11: The supporting documents for the Form 990 are prepared by the finance team. Once prepared, the Form 990 supporting documents are reviewed by the Vice President of Finance prior to sending to the Independent Accounting Firm. The Independent Accounting Firm will then perform a review of the supporting documents for the Form 990 and prepare the Form 990. The finance team, executive team, Legal Counsel and Treasurer will complete a final review once the 990 is delivered. Once reviewed and finalized, the Form 990 is then presented at a Board meeting for the Board for review. After the Board's review, the Form 990 is filed. CONFLICT OF INTEREST POLICY FORM 990, PART VI SECTION B, LINE 12C: PIR'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. PROCESS TO DETERMINE COMPENSATION FORM 990, PART VI SECTION B, LINE 15B: The CEO compensation was set by the Board who hired a compensation consultant to determine reasonable CEO compensation. Compensation for other Officers and Key Employees is determined by the CEO after review of an independent compensation consultant's report on compensation levels. PUBLIC INSPECTION FORM 990 PART VI SECTION C, LINE 18: The 990 is distributed to Guidestar and is freely available on their website. In addition PIR makes its 990 return available to the general public upon written request. PUBLIC AVAILABILITY OF DOCUMENTS FORM 990 PART VI SECTION C, LINE 19: Public Interest Registry makes these documents available upon request. Comp. of Highest Paid Ind. Contractors Form 990, Part VII,Section B: Afilias LTD. (Afilias) provides registry technical services to PIR 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 PIR's domain name abuse policies designed to stop or reduce malware, virus or other activities. Also, Afilias collaborates with PIR on the analysis and discussion of customer and business trends both domestically and internationally. Starting in 2009, PIR 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, PIR'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. PIR found that the fees paid to Afilias would still be within the range of Fair Market Value for the services rendered. FINANCIAL STATEMENTS AND REPORTING FORM 990 PART XI, LINE 2D: The Public Interest Registry issues audited financial statements on a separate basis. Additionally, PIR's financial results are included in a consolidated audited financial statement report issued by the Internet Society, PIR's sole member. THE INTERNET SOCIETY 1775 WIEHLE AVE SUITE 201 RESTON VA 20190 541650477 Education DC 501(c)(3) 7 NA false false true false false false false false false false true false false true true true false false false The Internet Society b 26500000 FMV The Internet Society k 282585 FMV The Internet Society n 32461 FMV The Internet Society p 720 FMV The Internet Society o 13954 FMV