Title: History of NCF and the Board
1Introduction
- History of NCF and the Board
- NCFs Offerings 1) Access 2) Community
- How members make use of NCF today
- Donations and the renewal process
- Roles with a Governance Board
2NCF Mantra
- NCF is a large group of people joining together
to share costs, doing something good for
themselves and their community - NCF facilitates Vibrant Community Interactions
- NCF People helping people
- NCF Ottawas online Public Commons
- NCF helps make the National Capital region
- a better place to live
3History of NCF
- NCF surfs the wave of internet success (but falls
off in 1995 and then treads water)
4Started in 1991, Underway in Late 1992
- The National Capital Freenet project was started
in November 1991 when George Frajkor and Jay
Weston of the Carleton University School of
Journalism approached Dave Sutherland, Director
of Carleton's Computing and Communications
Services with information about the Cleveland
FreeNet. - The founding National Capital Freenet Organizing
Committee was comprised of Dave Sutherland, June
Hacker, Tambrae Knapp, George Frajkor, Jay
Weston, Warren Thorngate, Ross Mutton, Robin
Allardyce of Carleton University and Richard
Mount of Mount, Yemensky, Daigle, Barristers and
Solicitors.
5Based on FreeNet software by FreePort
- Details are fuzzy, but apparently
- FreeNet menu system software was developed by
University of Toronto co-op students for
Case-Western Reserve University in Cleveland,
Ohio - FreePort was incorporated in the US as a
company to hold the property rights to the
FreeNet software and to control the product and
name - NCF purchased the FreeNet menu system software
for US600 and installed it on UNIX machines - NCF organized itself to use (not develop) FreeNet
community network software - Warren Thorngate (Carleton psych prof) ran weekly
classes to teach people how to be information
providers (menu builders) - Staffing plans included project administrator, a
systems administrator and five part-time
personnel two subscription and operation
assistants, a writer/trainer, a researcher and an
accountant
6Remember back in 1993?
- DOS, Windows 3.1, and 486 processors
- Windows 95 was two years away
- Email limited to academics and hi-tech workers
- 2400 baud modems were common, and 9600 modems
were high speed - No ISPs back then internet, whats that?
7Catching the Wave (1993)
15000
14000
13000
12000
11000
10000 9000
8000
7000
6000 5000
4000 3000 2000
1000 _________________________________________
________________ jan feb mar apr
may jun jul aug sep oct nov dec jan feb
(1993)
(1994)
Accounts
8Catching the Wave (contd)
- 2400/9600 (high speed) modems
- FreeNet was a miniature, self-contained version
of the modern-day internet - Content organized into categories by the Main
Menu (now Yahoo does that for the modern
internet) - Organizational content in FreePort menus (now
organizations have content in web sites) - Publicized by Ottawa Citizen (for free)
- Funded by start-up grants
- Hands-on board (founders), with no staff
- High-skill volunteers (eg., s/w development)
- 15,000 accounts by end of 1993
9Surfing the Wave Heady Times (1994)
- 9600/14.4K modems
- Publicized by Ottawa Citizen (for free)
- Staff Executive director, Office manager,
Fund-raiser - Grants and donation drives
- Interest groups stake claims in this New World
- Will every city, town, and village run its own
FreeNet? - Language rights, gay rights, commercial rights,
privacy rights - Jostling for menu position (today, jostling over
domain name) - Policies developed with eye toward
national/global significance - FreePort threatens NCF with a lawsuit over use of
FreeNet name - 60,000 (?) accounts by end of 1994
- ED brings in Boardwalk board development seminar
Board sees logic of governance model (but still
operating as management by committee with 15
bosses). No matter, its hard to fail in this
phase!
10Wipe-out! WWW ISPs Arrive (1995-96)
- 14.4K/28.8K modems
- Arrival of Windows 95, WWW browsers, and PPP
- World wide web and internet become household
words - But NCF is text-based FreePort menus
- City-based comnets not seen as the future
global, Yahoo - Ottawa Citizen leaves NCF starts its own site
and ISP - NCFs easy ride on the wave of success is over
- NCF fails to catch the next wave (PPP, WWW)
- FreeNets failing across the country
- Web-based comnets are soaring (TheGlobe.com
hits 600M) - NCF faces shortfalls
- Membership levels decline
- Grants dry up fund-raiser (a.k.a. grant getter)
let go
11Survival (1997-2000)
- 14.4K/33.6K modems
- NCF belatedly adds PPP access service and Lynx
(text web browser) - Account renewal program averts funding disaster
- Insufficient resources to keep up with the times
- NCF no longer trendy NCF never organized to do
development - Volunteers dry up
- Tough times test managements skill to even keep
NCF afloat - Membership levels decline steadily
- Shortfalls loom to avoid lay-offs leading to a
death spiral, NCF seeks contract revenue (but
further reducing NCFs ability to keep up with
internet services) - Cleveland FreeNet packs it in FreePort
corporation is long gone - Communication problems lead to crisis (Oct-Dec
2000) - Surprise termination of Executive Director
contract - Split board, each calling for resignation of other
12Reorganization (2001)
- Board strengthened substantially at March 2000
AGM governance model begins functioning after ED
on-board - Core staff in place (ED, system admin, office
admin) - Membership levels begin to steady at 7,000 (but
at half of sustainability level) - Contracts with potential synergies pursued
- HRDC thin client
- SmartCapital webmail, extended access, thin
client - NCF still has a good reputation (from the 1994
days) in certain camps - Tens of thousands of departed members may
disagree - Points awarded for survival, longevity, and good
intentions
13History of Revenue, Weekly Usage, Staff
Not shown Value of many non-cash donations
Exec Director
1995 WWW, ISPs 1996 FreePlan, PPP 1997 Renewal
program
Lisa
Chris
Ian
Fundraiser
Gordon
Sys Admin
(amortization in other) (unique users excl
Mitel?)
Ian
Roy
Yannick
Andre
Admin Coord/Mgr
Kyla
Sheila
14NCFs Offerings
- Dial-up Access
- Online Community
- Internet Services
15NCFs Access Offerings
- NCF offers dial-up access (text or PPP)
Dial-Up Access method Dial-Up Access method
Text PPP
1993 Direct connection to NCF (users computer is dumb and NCFs computer runs applications) (didnt exist in 1993)
2002 Direct connection to NCF (users computer is dumb and NCFs computer runs applications) Direct connection to the Internet (users computer runs internet client tools, eg., browser, email)
Access is valuable, and is the foundation of
NCFs ability to earn donations.
16Use of Text Access is Fading
Dec 1996
Dec 2001
17Characteristics of NCFs Dial-up Service (theory)
- (Marketing story)
- NCF's dial-up features
- access to all the usual PPP-based internet
services, plus special text services ('FreePort')
not offered elsewhere - generally 33.6K baud rate
- generally available (busy signals may be
encountered occasionally, requiring a few redials
to get service) - no connection limit, unless there is congestion,
in which case, guaranteed at least 2 peak hours
per day and unlimited non-peak hours - people to answer questions online, and (limited)
help by phone - Thousands of people find NCF's 33.6K modems
quite adequate for their everyday email and web
browsing.
18Characteristics of NCFs Dial-up Service (reality)
- (Problems need to be corrected)
- You can dial the same number and get different
(confusing) responses (depending on which
terminal server answers) - if you can get a response at all (busy or
endless ring) - 14.4K (OK for email) to 28.8K (adequate for
browsing?) - Modem-sharing system isnt functioning for all
ports - NCF has a modem-testing system to obtain service
quality data - Flakey (see modem test results)
- Your experience may vary
- People using NCF and accustomed to its quirks
obviously find it tolerable, but its a barrier
for new members and contributes to attrition
19Recent Modem Test Results (520-9013)
20Recent Modem Test Results (520-1135)
21NCFs Online Community Offerings
Presentation method Presentation method
Text Web
1993 FreePort community services (web didnt exist in 1993)
2002 FreePort community services No community services (cant even look up an NCF user ID)
At NCF, community interaction is still limited
to the text world (five years after the world
went WWW, NCF still has no web-based online
community services software). NCF needs to buy
and install web-based Online Community software.
Refer to http//builder.cnet.com/webbuilding/pages
/Authoring/CommunityTools/ for a short, readable
overview of whats available and widely used.
22Online Community Software Make or Buy?
- In 1992, FreePort online community software
package was purchased and then enhanced by a few
industrial-strength software development
volunteers (NCF had attraction power in 1994).
Enhancements may be why NCF survived while other
FreePort-based FreeNets failed. - Recommend doing the same now (but dont count on
help) - Find a package that is
- Full-featured as can be afforded (community is a
big part of NCFs purpose) - If its based on low/no-cost open technologies
easily installed at home (eg., Apache,
MySQL/Postgress, PHP), more likely to attract
enhancement by volunteer developers - Dont contract development of homebrews
(life-cycle cost is too expensive)
23How people use NCF today
- 7,000 members
- Useful, low-cost ISP
- Pockets of community interaction
24Usage FreePort community services
- Items in the period 2002 Feb27-Mar6, ranked by
number of users - All Guest --Registered Users--
- ----Uses---- Uses Uses Users Ratio Admin
Item/Service----- - 30320 (32) 1 99 2754 10.9 1
Service FreePortPPP - 20195 (21) 0 100 1849 10.9 0
Service PPP-login - 10125 (11) 2 98 1126 8.8 1
Service FreePort-menu-system - 7691 (8) 0 100 848 9.1 0
Service mail-mr - 20446 (21) 1 99 601 33.7 1
Service nr/mgnr-newsreader - 2881 (3) 6 94 433 6.3 1
menu.main - 844 (1) 0 100 218 3.9 1
Service mail-send - 548 (1) 1 99 155 3.5 4
Service lynx-web-browser - 629 (1) 4 96 94 6.4 1
Service who - 248 (0) 3 97 60 4.0 0
Service time-remaining - 468 (0) 0 100 54 8.6 9
Service mail-BBelm - 173 (0) 2 98 32 5.3 3
Service telnet-other - 87 (0) 8 92 30 2.7 13
Service userInfo--get-from-name - 98 (0) 5 95 29 3.2 7
Service userInfo--get-from-ID - 81 (0) 0 100 25 3.2 0
Service irc
25Usage FreePort, whats first
- First selection on Tuesday, March 05
- 823 55 Service mail-mr
- 127 8 FreePort-menu-system-exit
- 78 5 Communications Centre
- SEEN_MOTD Read your favourite
newsgroups (FavList) - 42 3 NCF and Usenet Newsgroups
- SEEN_MOTD Read your favourite
newsgroups (FavList) - 42 3 Service mail-BBelm
- 36 2 E-Mail
- See who your new e-mail is from
- 34 2 Service lynx-web-browser
- 30 2 Service mail-send
- 22 1 Service mail-from
- 20 1 Buy and Sell area
- Computing buy sell
(ott.forsale.computing) gtgtgt - 14 1 World Wide Web (WWW)
- NCF launch pad to the web using
LYNX 2.5FM-ncf browser - 14 1 NCF and Usenet Newsgroups
26Usage Newsgroups served by NCF
- Count Newsgroup
-
- 1 3162 ott.forsale.computing
- 2 2010 soc.culture.scottish
- 3 1306 ott.jobs
- 4 1168 ott.general
- 5 1077 rec.video.desktop
- 6 942 ott.forsale.other
- 7 812 soc.genealogy.britain
- 8 663 ncf.sigs.religion.christian
- 9 611 ncf.agm2002.general
- 10 605 alt.obituaries
- 11 603 comp.unix.solaris
- 12 600 ncf.general
- 13 576 soc.culture.indian
- 14 569 rec.video.production
- 15 535 comp.sys.mac.system
- 16 523 comp.lang.perl.misc
- 17 474 soc.men
March 5, 2002 (to all users of NNTP)
27Web Pages Hosted By NCF
- Three types NCF itself, Personal, and
Organizational - NCFs popular pages are personal pages
- NCF itself
- Portal page, office pages, AGM and Board pages,
etc - NCF-specific Help pages (non-specific help
elsewhere) - Personal
- Approximately 10 of members have web pages
(home pages) - Most are less than 250K bytes
- Largest is 43M bytes
- Some personal pages are businesses run by the
member - Organizational
- One or two hundred?
28NCF Portal Page
29NCFs Most-served Homepages 1st
Contact address is in Florida
30NCFs Most-served Homepages 2nd
This site contains stories in which you will
find depictions of violence and explicit sexual
content - Andrew Nellis (a former NCF board
member)
31NCFs Most-served Homepages 3rd
Richard Webbs directory of local businesses
32NCFs Most-served Homepages 4th
All about sharks!
33NCFs Most-served Homepages 5th
Film reviews, film facts
34NCFs Most-served Homepages 6th
weblog of Mark Woods of Perth
35Sample Organizational Page
36Sample Organizational Page 2nd
37Sample Organizational Page 3rd
38Internet Congestion at Carleton
Maxed out, meaning unacceptably poor response
time for users waiting for web pages
Acceptable during summer and when Carleton
students are on holiday.
39Donations and renewals
- Keeping NCF afloat, and independent
40How Donations Renewal Work
- NCF issues annual guidance to members about what
would be a reasonable donation, explaining - Enough to cover expected expenses
- Plus some extra to cover people who find NCF
difficult to afford - If there is an impending shortfall, NCF issues an
appeal for special donations (members have always
risen to the occasion) - Each year, members are asked to renew their
account, because - NCF needs to know if people are no longer
interested (for housekeeping) - It is a way to trigger awareness of NCFs need
for donations - Front-end loaded (Jan-Jun). Expect a big drop in
Jul-Dec. - NCF must always do things to earn donor support
- Good deeds
- Good services
- and then must ask for support (donations dont
just happen)
41Why Donations are the Way to Go
- Less wasted administrative expenses
- Attracts sponsors
- Differentiates NCF (eg., from ISPs)
- Resonates with NCFs mission and raison detre
- Dignified accommodation of low-income people
- Simple and it works
- Low-risk? Members have always come to NCFs aid
- Downsides
- Some donors are offended by freeloaders (I pull
my weight) - Some people are offended by ambiguous/disingenuous
messaging (Free to use, not free to run
FreeNet)
42NCF Donation Guidance in Context
Per year 275 Sympatico dial-up (100 hrs/month
max) 522 Sympatico DSL modem 621 Rogers Cable
modem
600 Typical Bell phone (305 base rate) 237
The Ottawa Citizen 453 Typical cable TV (232
base rate)
Compared with NCFs donation guidance of 60/year
43Donations in 2001 Jan/Feb 2002
Recommended donation is 60. Average (of those
50 who donate) is 53 65 of the 2778 users
last week were donors in the last year 48 of the
3691 donors last year used the system last week
(20 FreePort, 28 PPP) PPP users Average
donation 57 (max 550), sum 59K FreePort
Average donation 59 (max 380), sum
44K Non-users Average donation 49 (max
280), sum 94K
44Average Donation by Age Group
0x and 9x groups have insignificant number of
members
45Average Donation by Age Group
0x and 9x groups have insignificant number of
members
46Age of NCF Members
47Renewal Received Processed (vs target date)
The arrows indicate when renewal request letters
are sent (target date is day zero) Nov 1997
48Expenses
- 24-hour physical security and monitoring disk
back-ups - Climate-controlled fire-protected computer room
- Office space (though not ideal)
- Some donations are included as amortized
expenses - Software development, board members, office help,
etc (volunteers)
Much that is donated does not appear in the
financial statements
49Revenue History after Renewal Program
Shift from fund-raising donor drives to renewal
program Note shortfall in 1998 and donation
appeal, then on target in later years.
Organization becomes more independent
and efficient.
50Sweet Spot (sustainable operation)
- Minimum operational functions
- System Administration (technical skills)
- Office Administration (organizational mgmt
skills) - Executive Director (mgmt partnership skills)
- It is presumed that
- These functions are best filled by three
different people - Contracting (for fractional people) is
non-optimal - Thus minimum staff is three people
- At existing donation levels per person, it takes
at least 12,000 people to support three staff
(currently 7,000 people) - Therefore NCF must arrange to support 12,000
members
51Getting to Sustainable Operation
- Sustainable operation with three staff requires
12,000 members - Donations per member are reasonable but need
more members - Total modem capacity is the bottleneck only
supports 7,000 now - Modem capacity is Number of Modems x Number of
People Willing to Happily Share a Modem - External (market) factors and services offered by
NCF determine Willingness to Happily Share (and
donate) - Upgrading modems (eg., from 14.4K) would increase
usage per modem - Best plan to attract 12,000 donors is probably to
increase the number of modems - New capacity would probably be noticed without
marketing - Would people donate for something other than
modem access? Ask Yahoo, etc
52Governance
- The Board Governs,
- the Management Manages.
- Play your position.
53Board Members Collectively Oversee NCF
- Recruitment text
- Prospective board members come from all walks of
life and bring varied experience to the Board. - The ability to understand financial reporting and
to make business decisions is essential - Often board members have subject-area expertise,
such as experience in management or law. - Collectively, NCF's eleven board members have the
experience to recognize and approve plans and
strategies that will move NCF toward its goals. - NCF has a 'governance' board, where day-to-day
operations are handled by staff and volunteers,
under the management of the Executive Director.
The Board sets the mission, vision, principles,
and broad policies that guide the Executive
Director. The Board is responsible for employing
and evaluating the Executive Director, and for
monitoring macro parameters that measure the
operation of NCF.
54Ten Basic Responsibilities of the Board
- Determine the organization's mission and purposes
- Select the executive staff through an appropriate
process - Provide ongoing support and guidance for the
executive review his/her performance - Ensure effective organizational planning
- Ensure adequate resources
- Manage resources effectively (the buck stops with
them, ultimately) - Determine and monitor the organization's programs
and services - Enhance the organization's public image
- Serve as a court of appeal
- Assess its own performance
- From "Ten Basic Responsibilities of Nonprofit
Boards," published by the National Center for
Nonprofit Boards, Washington, DC 20036.
http//www.ncnb.org
55Roles in a Governance-Model Organization
(adapted from material provided by BOARDWALK
Board Development for Community Organizations,
a volunteer Board Development program of the
United Way Ottawa-Carleton, in co-operation with
the YMCA-YWCA of Ottawa)
56Organizational Roles (contd)
(adapted from material provided by BOARDWALK
Board Development for Community Organizations,
a volunteer Board Development program of the
United Way Ottawa-Carleton, in co-operation with
the YMCA-YWCA of Ottawa)
57Relationship between Board and Staff
- Board primarily governs, and staff primarily
manages - Board provides counsel to management and should
not get involved in the day-to-day affairs of the
organization - Directors do not have power or authority
individually - At times, individual board members may become
involved extensively with staff but must keep the
full board informed - (From http//www.nonprofits.org/npofaq/03/16.html)
58Relationship with Members
- Management, not the Board, should be the center
of member attention - Members should complain about operations to the
ED, not the board - Board generally cannot directly address immediate
member concerns - Board should ensure the ED resolves complaints
(thus earns attention) - ED must actively address member issues (thats
the EDs job) - If ED cannot solve member concerns, members
should complain to the Board (not about the
operational issue, but about the lack of
response) - Board members should be careful not to undermine
Management - Dont undermine the ED by attracting (or
accepting) attention. If Board is willing to
speak with members, why should they speak with
Management? - Take your cue from corporate and not-for-profit
boards low public profile. Help ED with
partners, but not with members. - If complaints are not being resolved by ED, find
out why, dont address operational problems
yourself (or at least not visibly to members).
59Helpful Adjuncts to a Governance Board
- To avoid distracting from and compromising
governance functions, sometimes it is useful to
create honorary and/or advisory boards as
adjuncts - Board designation is simply an honorific
- People are selected by governance board for their
appropriateness - Honorary board
- People willing to help by lending their name (not
their effort) - The more honorary board members, the merrier
- No governance or management involvement
- Advisory board
- Experts/experienced people willing to assist and
coach management - Small number of advisory board members, and as
required - No governance involvement (governance board
arbitrates)
60Governing by Use of Key Indicators
- Management should be governed by a mission and
measured by key indicators. - Strategy document produced by Management helps
ensure good understanding between Mgmt and
Board/members/supporters - Performance is measured by key indicators
- Usually revenue
- Donations from members, Number of members
- Key indicators keep the relationship clean,
impersonal, and effective - Everyone knows how its going without having to
be told or surprised - No hard feelings its business
- Helps resist the temptation to micro-manage
- Stick to key indicators
- Many indicators becomes no indicators
- Becomes management by committee
- Reduces accountability (if the Board manages,
whats left for ED to do?)
61Why Member Donations is a Key Indicator
- A good key indicator is one that
- Reflects the health and success of the
organization wrt its mission - Induces all the right behaviours from management
(without having to specify those behaviours) - Is easily measured and obvious to everyone
- Is difficult to accomplish in undesired ways
- Donations from members is a great key indicator
because - Donations must be earned by good
service/performance - People only donate if they are happy with NCF
- Making people happy with NCF requires doing many
things well - Donations are NCFs lifeblood
- Thus donations from members is a perfect direct
and indirect measure of NCFs operational
performance - Other revenue is excluded because NCF wants to be
dependent only on its members (and be accountable
to only its members)
62Doing the board job diligently
- Always do what a reasonably prudent person
would do. - Ask for data that you need its your right and
obligation. - When approving a financial statement, the Board
says we say to members that these statements are
correct - How do you know the statements are correct?
- What would a reasonably prudent person do?
- Advice Set up a finance committee with qualified
members. Know in detail how the money is spent. - Checks and balances are the basis of good
accountability be sure they exist. - It has evolved in reaction to centuries of scams
and fraud - Good check-and-balances are like good fences
(good neighbours) - Be proactive waiting for cause creates suspicion
and ill-will, but being proactive creates
respect. Its about doing the job expected of
the board and creating an organization with
obvious high integrity - Accepting responsibility earns respect in the
community - Respect is earned by operating with diligence and
by organizational success
63Board Calendar
Jan AGM motions Jul Mission/direction conclusion
Feb Annual reports and AGM prep Aug Policy review
Mar Orient new board members Sep Strategy
Apr Orientation Briefing on operations Oct Strategy
May Select officers and file info with govt Mission/direction brainstorming Nov ED performance review Strategy conclusion Budget discussion
Jun Mission/direction discussion Dec Budget conclusion Nomination committee
Mission review (board) Strategy budget review (mgmt) Policy proposals (mgmt) Succession planning (board) AGM (board)
64Advice Observations
- Governance Board governs
- Align with members and community, not with
management - Set your own agenda (plan instead of
react/respond to mgmt and events) - Know where the money is going (liability)
- Ask for information you need (to act reasonably
prudent) - Having more than one/two key indicators is like
having no key indicators - Management ED manages
- Keep the Board informed (dont hide problems or
delay discussion) - Be open and honest (discuss, not ignore, unwanted
Board decisions) - Effective and productive Build team spirit and
get things done - Serve the members (not institutions,
corporations, advertisers, etc) - Volunteering is an opportunity (not a right)
- Members-owners are also customers and can walk
away (and have) - No one has ever won an argument with a customer
(German) - The customer is always right (American)
- Newsgroup postings are not representative of NCF
members - Use random phone lists and surveys dont rely on
newsgroups or meeting
65Advice Observations (contd)
- As NCF becomes successful, interest groups will
want to co-opt NCF - Everyone can use NCF but no one interest group
should run NCF - Keep NCF-admin pages clear of non-NCF matters,
and give equal treatment to everyone in indices,
etc - Some members may act like customers, not owners
- Vote for free goodies
- Democracy is best with fully-informed voters
- Becoming informed takes work whats the
motivation? What stake? - Who should vote? (NCF is worth millions?)
- Voting age
- Locals
- Authenticated (one vote)
66Useful Resources
- Internet Nonprofit Center (http//www.nonprofits.
org/npofaq/) - (excellent info on governance and organization)
- Ottawa Volunteer Center
- (excellent info on creating vibrant volunteer
programs) - NCF Board manual
- (but needs to be updated)
- People at Public Interest Advocacy Centre (PIAC)
(http//www.piac.ca) - (informal legal advice)
- Duties of Directors at http//www.osler.com/
(look under Publications) - (good review of the duties of directors of
Canadian corporations) - Board members, Members of NCF, and the Citizens
of Ottawa - (just need to be asked)
67NCF is poised for Success! (2002)
- Contracts are coming to fruition
- HRDC thin client
- SmartCapital webmail, extended access, thin
client - Online Community software packages are available
- NCF has been running FreePort since the days of
Windows 3.1 - Hardware has been upgraded now time to upgrade
community network software? - WebCrossing, CommunityZero, etc
- Opportunity to establish a well-structured
organization - Modern infrastructure (ISP-like, including office
systems) - Proven organizational models/methods and
volunteer programs - With all its advantages, NCF ought to be able to
operate as well or better than benchmark
for-profit organizations - But intentionally two or three years behind, in
terms of ISP technology - Go for it! More than one million National
Capital residents await! NCF helps make the
National Capital region a better place to live.