How are the RSP's charged in these situations?

[Jo Shea, founder, kanggah.com]

I came across these on the Cira website.

Should CIRA's revenues surpass its operating costs and reserve requirements
it will decrease its fees to its Registrars, which currently stand at $20
per year per registration plus applicable taxes. Any such decrease to its
Registrars should translate to lower fees for Registrants. Additionally it
should be noted that if a Registrant has paid for more than one year "up
front" and that CIRA lowers its fees, CIRA will automatically extend the
registration period in a pro-rated fashion.

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Existing .ca Domain Names that are not pre-registered with CIRA prior to the
Operational Transfer Date will cease to be active following the OTD.
However, CIRA will reserve these names for the original Registrants for a
30-day period following the OTD. Registrants will be able to register these
names with CIRA during this period, but the Registrar will be charged a $20
penalty for registering such names in addition to the standard fees. These
extra fees may be passed on to the Registrant, at the Registrar�s
discretion.

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First - Are they a serious about pro-rating time if they lower fees? It
seems to be contradictory. They say that registrars may set  their own
prices, so wouldn't extending the time on a domain name effectively decrease
the registrar's yearly fee?

Consider:
Customer pays registrar or RSP 4 years x $40/year.
After 1 year, Cira lowers its fee to $15 - they're saying here they would
then extend the name by 1 extra year.
Customer has then paid $160/5 years =  $32/year.

Second, I realize this may only happen in limited numbers , but I didn't see
mention of this in the docs - is OpenSRS doubling the fee for late
pre-registrations to the RSP as well?


Jo Shea
Danjo Creations