[arin-ppml] Tenfold fee increases?

[David Farmer]

Let’s be honest; the original $100 was just a number thrown out because
ARIN knew it had to charge something but didn’t have a good idea what the
real costs would be. The $1,000 number seems very reasonable to me, maybe
even low. At $10,000, I have a small amount of sympathy for an argument
that could be too high. Nevertheless, I trust the people we have put on the
board, and if they tell me that’s the right number, I’m inclined to let
things play out.

IP Brokers aren’t the only ones seeing ARIN fee increases. Some former
end-users have also seen very large fee increases in recent years. Further,
with the Legacy fee cap going away at the end of the year that will be
effectively a very massive fee increase for some.

All that said, I couldn’t find any justification for the increase from
$1,000 to $10,000. If there is justification or other details regarding the
increase, I’d appreciate a pointer to them.

Thanks

On Thu, Jun 1, 2023 at 15:32 Tom Fantacone <tom at iptrading.com> wrote:

> I was a bit stunned this morning to see our organization's ARIN fees
> would be going up by a factor of 10.  We live in inflationary times,
> but that's an increase of, let's see, I guess 1,000%?
>
> Before the rest of you resource holders on the list have a coronary,
> let me qualify that this fee increase is for just for registered
> facilitators (brokers) and most of you won't be affected.  This
> time.  But the more general issue of ARIN raising fees in an
> extravagant manner with no solicitation for public discussion of the
> impact affects all of us.
>
> When ARIN began the facilitators' program the annual fee was just
> $100.  A few years later the fee was raised tenfold to $1,000.  Today
> we learned that another tenfold increase would go into effect making
> our annual fee $10,000.  So it's actually a 100-fold increase in
> about a decade.
>
> Our own organization won't be too affected by this.  We can handle
> it, and most of the larger IP brokers can as well.  It may even help
> us by driving away some competition.  But that shouldn't be the
> point.  There are smaller organizations that are facilitators that
> will be severely impacted.  We work with some of these and while they
> may not handle the volume of transactions we do, they do an excellent
> job in moving IPv4 resources to organizations that need them and
> educating the parties along the way.
>
> There are some other changes to the facilitator program, including
> requiring liability insurance for ARIN, background checks, customer
> references, etc.  I assume this is to keep some of the riff-raff out
> and may be helpful.  I don't see how outrageous fee increases help anyone.
>
> Other sharp fee increases have been brought up and complained about
> on this list, always after the fact.  The recent resource holder fee
> increases that saw end user organizations suddenly treated as ISPs
> comes to mind.  Recently, transfer fees spiked from $300 to $500 per
> transfer and were suddenly appled to source organizations in all
> transfers (it used to be just transfers from end user orgs).  As if
> that wasn't enough, ARIN started charging transfer recipients an
> additional transfer fee.  I can tell you from first-hand experience
> this hurt small organizations looking to acquire IPv4 blocks.
>
> I recommend ARIN transparently solicit public input when pondering
> fee increases of such magnitude.  Hopefully before our fee goes up
> another 1,000%.
>
> Regards,
>
> Tom Fantacone
>
>
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-- 
===============================================
David Farmer               Email:farmer at umn.edu
Networking & Telecommunication Services
Office of Information Technology
University of Minnesota
2218 University Ave SE        Phone: 612-626-0815
Minneapolis, MN 55414-3029   Cell: 612-812-9952
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