# March 28, 2025 Budget Task Force Catchup

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

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#### 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.)*

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#### 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**.

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#### 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.

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**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).

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**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.

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#### 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](https://mpc.intersectmbo.org/cardano-proposal-submission)
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).

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#### 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](https://mpc.intersectmbo.org/cardano-proposal-submission) remains open for new submissions.

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**Meeting Adjourned:** 12:29 EDT

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#### 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.

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**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.*