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# System prepended metadata

title: 'MIP40c3-SP75: Modify Oracles Core Unit Budget'
tags: [Summaries]

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tags: Summaries
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# MIP40c3-SP75: Modify Oracles Core Unit Budget

This post summarizes the main points of this subproposal from GovAlpha's perspective:

- This MIP40c3 subproposal proposes a new budget for the Oracles Core Unit (ORA-001).
- The proposed budget will run from 2022-07-01 until 2023-06-30. This end date is in line with the proposed budget windows detailed in MIP40 and will allow a follow-up budget to be ratified in the June 2023 governance cycle, to commence in July 2023.
- It falls within the grace period for new budget submissions detailed [here](https://forum.makerdao.com/t/amended-mip40-important-information-for-core-units/15450/3), so it is eligible to enter the August Governance Cycle.
- Two options are presented for Maker Governance to choose between:
    - Business as usual: 5,061,125 DAI streamed over 12 months
    - Reduced Budget: 4,554,575 DAI streamed over 12 months
    - These will be submitted on-chain along with reject budget and Abstain as options.
- The Reduced Budget would also exempt the Oracles Core Unit from future DAO-wide budget reductions - see below.
- The budget also details updates to the MKR vesting for the Oracles Core Unit that MKR holders approved in [MIP40c3-SP15](https://mips.makerdao.com/mips/details/MIP40c3SP15).
- At the end of the budget proposal, if no other budget has been proposed or approved, **the budget will roll over** with a new stream created via Executive Vote.
- This proposal has been assigned `High-Impact` based on the methodology listed [here](https://forum.makerdao.com/t/introducing-impact-estimations/14267).

#### Further discussion

While MIP40 specifies that the options for budget proposals should be increased budget; no change; reject; and abstain, GovAlpha feels that this budget that proposes no change and a reduced budget amount meets the spirit of the new budget framework and will allow it to proceed on-chain. GovAlpha thinks that asking the proposal author to propose an increased budget amount to meet the requirements of the new budget framework (MIP40) as written is counter-productive and not in keeping with the spirit of the MIP and that the MIP should be clarified to account for this scenario. (pinging @strat-fin-core-unit in case they disagree with this interpretation)

With regards to the reduced budget option - this exempts the Oracles Core Unit from DAO-wide budget reductions that Maker Governance may approve in the future. GovAlpha feels that this provision is clear and will not permit such proposals to enter an executive vote unless the Oracles Core Unit is exempted if this option is approved.