2018-08-06T06:24:22-05:00 2017-12-31 131639826 EISNERAMPER LLP 130 NORTH 18TH STREET SUITE 3000 PHILADELPHIA PA 191032757 990 2017-01-01 231645908 UNIVERSITY CITY SCIENCE CENTER UNIV 2159666045 3711 MARKET STREET 8TH FLOOR PHILADELPHIA PA 19104 CURTIS M HESS INTERIM PRESIDENT 2159666045 2018-08-02 1 EDWARD S LEONARD P01261018 2158818800 2017 2022-09-23 18:48:47Z CURTIS M HESS 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 35519176 0 X WWW.SCIENCECENTER.ORG X 1963 PA TO ACCELERATE TECHNOLOGY COMMERCIALIZATION IN THE GREATER PHILADELPHIA REGION. 27 26 80 0 0 0 1720575 1342285 21569431 22565755 64965 156386 462830 477831 23817801 24542257 842410 415653 0 0 5444137 5802368 0 0 729375 18088062 17509954 24374609 23727975 -556808 814282 88627776 85155120 67396604 65428467 21231172 19726653 X TO ACCELERATE COMMERCIALIZATION OF THE REGION'S MOST PROMISING SCIENCE AND TECHNOLOGY INNOVATIONS, THEREBY PROMOTING TECHNOLOGY-BASED ECONOMIC DEVELOPMENT, COLLABORATION, EDUCATION AND THE CONTINUING REDEVELOPMENT OF THE SCIENCE CENTER CAMPUS IN UNIVERSITY CITY. 0 0 2832504 415653 5171672 SCIENCE & TECHNOLOGYSEE DETAIL SCHEDULE O NARRATIVE 1343314 54818 COMMUNITY ENGAGEMENTSEE DETAIL SCHEDULE O NARRATIVE 13140412 17839265 RESEARCH PARKSEE DETAIL SCHEDULE O NARRATIVE 17316230 1 1 0 1 0 0 0 0 0 1 1 0 1 0 1 1 0 1 0 0 0 0 0 0 1 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 1 123 0 1 80 1 0 0 0 0 0 1 1 0 0 X 27 26 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 1 0 PA NJ NY MD CA MA FL GA DC X UNIVERSITY CITY SCIENCE CENTER 2159666000 3711 MARKET STREET STE 800 PHILADELPHIA PA 19104 DARIO C ALTIERI BOARD MEMBER 1.00 X 0 0 0 KERRY BENSON BOARD MEMBER 0.30 X 0 0 0 M BRIAN BLAKE BOARD MEMBER 0.30 X 0 0 0 KENNETH J BLANK BOARD MEMBER - VICE CHAIRMAN 1.00 X X 0 0 0 DAWN A BONNELL BOARD MEMBER 0.30 X 0 0 0 CRAIG R CARNAROLI BOARD MEMBER - CHAIRMAN 1.00 X X 0 0 0 CHRISTOPHER M CASHMAN BOARD MEMBER 0.30 X 0 0 0 ERNEST J DIANASTASIS BOARD MEMBER 0.30 X 0 0 0 MICHAEL A DIPIANO BOARD MEMBER - VICE CHAIRMAN 1.00 X X 0 0 0 GLEN N GAULTON BOARD MEMBER 0.50 X 0 0 0 JANE H HOLLINGSWORTH BOARD MEMBER 0.30 X 0 0 0 OSAGIE O IMASOGIE BOARD MEMBER 0.30 X 0 0 0 J LARRY JAMESON BOARD MEMBER 0.30 X 0 0 0 DAVID R KING BOARD MEMBER 0.30 X 0 0 0 STEPHEN K KLASKO BOARD MEMBER 0.30 X 0 0 0 CARL KOPFINGER BOARD MEMBER 1.00 X 0 0 0 KENNETH L KRING BOARD MEMBER 0.50 X 0 0 0 KEITH LEAPHART BOARD MEMBER 0.30 X 0 0 0 WILLIAM J MARRAZZO BOARD MEMBER 0.30 X 0 0 0 MICHELE MASUCCI BOARD MEMBER 0.30 X 0 0 0 JEREMY NOWAK BOARD MEMBER 0.30 X 0 0 0 KEITH A ORRIS BOARD MEMBER 0.30 X 0 0 0 KATHLEEN M SHAY BOARD MEMBER 1.00 X 0 0 0 STEPHEN SPINELLI JR PHD BOARD MEMBER 0.30 X 0 0 0 STEPHEN TANG PRESIDENT AND CEO (THROUGH 1/31/18) 40.00 X X 658713 0 47410 THOMAS J TODOROW BOARD MEMBER 0.30 X 0 0 0 RICHARD W VAGUE BOARD MEMBER 0.30 X 0 0 0 TARA L WEINER BOARD MEMBER 1.00 X 0 0 0 STEPHEN ZARRILLI BOARD MEMBER 0.30 X 0 0 0 SAUL BEHAR VP & GENERAL COUNSEL, SECRETARY 40.00 X 337326 0 56110 RACHEL CERVANTES VP OF CORPORATE DEVELOPMENT (EFF. 5/1/17) 40.00 X 142076 0 7864 CURTIS HESS SENIOR VP REAL ESTATE 10.00 30.00 X 90930 272790 59058 LORRAINE LOPRESTI CFO AND VP OF FIN. & ADMIN., TREASURER 20.00 20.00 X 89783 89783 25446 JEANNE MELL VP MKTG/COMMUNICATION & CO 40.00 X 233245 0 38915 WENYONG WANG VP OF SCIENCE & TECHNOLOGY (EFF 7/24/17) 40.00 X 99559 0 780 CHRISTOPHER LAING VP OF SCIENCE & TECHNOLOGY (FORMER) 40.00 X 175014 0 22360 RICHARD SOUTHERLAND DIRECTOR OF CONSTRUCTION 1.00 40.00 X 0 122449 18606 PETER MELLEY DIRECTOR, NEW VENTURES 40.00 X 128651 0 12883 MARY ROBERTSON PROPERTY MANAGER 1.00 40.00 X 0 139910 28710 JEFFERY ANDREWS SENIOR PROPERTY MANAGER 1.00 40.00 X 0 167134 17726 CLAYTON MORAVEC III CORPORATE CONTROLLER 20.00 20.00 X 63633 63633 17548 2018930 855699 353416 6 0 1 0 GDI SERVICESS INC 780 5TH AVE STE 115 KING OF PRUSSIA PA 19406 JANITORIAL SERVICES 666695 BELCHER ROOFING CORP 111 COMMERCE DR MONTGOMERYVILLE PA 18936 CONSTRUCTION SERVICES 425161 ALLIED BARTON SECURITY SERVICES PO BOX 828854 PHILADELPHIA PA 19182 SECURITY SERVICES 366816 LAZ PARKING MIDATLANTIC 15 LEWIS STREET 5TH FLOOR HARTFORD CT 06103 PARKING MANAGEMENT 222000 HERMAN GOLDNER & CO INC 7777 BREWSTER AVENUE PHILADELPHIA PA 19153 CONSTRUCTION SERVICES 184368 10 94450 819966 427869 1342285 RENTAL INCOME FROM EXEMPT-PURPOSE 532000 17839265 17839265 EQUITY IN JOINT VENTURE PARTNERSH 531390 3125351 3125351 INCUBATOR OPERATIONS 541900 1546321 1546321 BUSINESS & COMMUNITY NETWORK 541900 54818 54818 22565755 163963 163963 10919423 10927000 -7577 -7577 -7577 27750 94450 49919 -22169 -22169 CAPITAL CONTRIBUTION TO PHASE 1 V 900099 500000 500000 500000 24542257 23065755 0 134217 415653 415653 2027573 895682 785381 346510 2773171 1389057 1098640 285474 238504 122822 88848 26834 402354 208381 159476 34497 360766 178888 145818 36060 10315 10315 74687 17636 57051 133500 6200 127300 211760 211760 1083571 339409 744162 323410 49010 274400 721485 315625 405860 6815370 6452478 362892 94349 18091 76258 2535271 2535271 4398540 3524396 874144 275088 204796 70292 SECURITY 451067 449230 1837 OTHER TAXES 284248 101988 182260 MISCELLANEOUS 52004 49125 2879 BAD DEBT 45289 32177 13112 23727975 17316230 5682370 729375 9461252 9991973 3350196 4891158 2648512 1315204 454425 150769 111644506 58170486 55753583 53474020 4300738 6736538 3016000 1577056 5625909 4279820 4017161 2738582 88627776 85155120 2754218 3290558 61249533 58840084 3392853 3297825 67396604 65428467 X 20312839 19543320 918333 183333 21231172 19726653 88627776 85155120 X 814282 -147282 -2171519 X X 0 1 X 1 0 X 1233705 2332245 4605546 1720575 1342285 11234356 18757011 21368957 22673873 21569431 22565755 106935027 19990716 23701202 27279419 23290006 23908040 118169383 0 11136550 11821274 13158257 12669187 13066628 61851896 11136550 11821274 13158257 12669187 13066628 61851896 56317487 180442 145181 146048 90931 163963 726565 180442 145181 146048 90931 163963 726565 1000000 500000 500000 2000000 20171158 23846383 28425467 23880937 24572003 120895948 0.46580 0.47460 0.00600 0.00600 X SCHEDULE A, PART III, LINE 12, EXPLANATION OF OTHER INCOME: CAPITAL CONTRIBUTION TO PHASE 1 VENTURES - 2015 AMOUNT: $ 1,000,000. 2016 AMOUNT: $ 500,000. 2017 AMOUNT: $ 500,000. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 211759 211759 0 PART II-B, LINE 1: THE UNIVERSITY CITY SCIENCE CENTER UTILIZED THE SERVICES OF CONSULTANTS TO ASSIST IN THE PROCUREMENT OF PUBLIC SECTOR FUNDING TO SUPPORT ITS PROGRAMS AND CAPITAL PROJECTS. THE CONSULTANTS POSITIONED UCSC TO RECEIVE FUNDING, PRIMARILY THROUGH DIRECT GRANTS. 247385 37530 284915 239353 8032 247385 234167 5186 239353 227194 6973 234167 206908 20286 227194 1.00000 0 0 5212637 5212637 101609591 54360800 47248791 4185232 3809686 375546 637046 637046 53474020 INVESTMENTS - PROGRAM RELATED 4279820 F 4279820 DEPOSITS & OTHER CURRENT LIAB. 1087499 OTHER LONG TERM LIABILITIES 2210326 3297825 X 22126660 1366139 1366139 20760521 3781737 3781737 24542258 27265274 3537299 3537299 23727975 0 23727975 PART V, LINE 4: DEVELOPMENT FUND INCOME IS ALLOCATED FOR USE IN SCIENCE CENTER OPERATIONS. THE FUND IS AVAILABLE TO SUPPORT WORKING CAPITAL, DEVELOPMENT AND CAPITAL PURPOSES. THE ESTHER M. KLEIN ENDOWMENT FUND SUPPORTS KLEIN GALLERY (EKG) OPERATIONS THROUGH STEAM PROGRAMMING, IN AN EFFORT TO PROMOTE ART AND SCIENCE AND ART EDUCATION TO THE SURROUNDING PHILADELPHIA COMMUNITY. PART X, LINE 2: THE SCIENCE CENTER IS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, ALTHOUGH ITS CONSOLIDATED ENTITIES, THE PARK, PTI, PIV, AND SCEC, ARE FOR PROFIT ENTITIES WHICH ARE SUBJECT TO INCOME TAXES. TOTAL FEDERAL AND STATE INCOME TAX EXPENSE FROM THE CONSOLIDATED ENTITIES WAS $180,000 AND $0 FOR THE YEARS ENDED DECEMBER 31, 2017 AND 2016, RESPECTIVELY. ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA REQUIRE MANAGEMENT TO EVALUATE TAX POSITIONS TAKEN AND RECOGNIZE A TAX LIABILITY, IF THE CENTER HAS TAKEN AN UNCERTAIN TAX POSITION THAT MORE LIKELY THAN NOT WOULD NOT BE SUSTAINED UPON EXAMINATION BY A GOVERNMENT AUTHORITY. MANAGEMENT HAS ANALYZED THE TAX POSITIONS TAKEN BY THE CENTER, AND HAS CONCLUDED THAT AS OF DECEMBER 31, 2017 OR 2016, THERE ARE NO UNCERTAIN POSITIONS TAKEN OR EXPECTED TO BE TAKEN THAT WOULD REQUIRE RECOGNITION OF A LIABILITY OR DISCLOSURE IN THE CONSOLIDATED FINANCIAL STATEMENTS. THE CENTER WOULD RECOGNIZE FUTURE ACCRUED INTEREST AND PENALTIES RELATED TO UNRECOGNIZED TAX BENEFITS AND LIABILITIES IN INCOME TAX EXPENSE IF SUCH INTEREST AND PENALTIES ARE INCURRED. PART XI, LINE 2D - OTHER ADJUSTMENTS: REVENUE OF CONSOLIDATED SUBSIDIARIES 996,220. QED MATCH 320,000. DIRECT FUNDRAISING EXPENSES 49,919. PART XI, LINE 4B - OTHER ADJUSTMENTS: EQUITY IN NET EARNINGS (LOSS) OF JV'S 3,125,351. INVESTMENT INCOME 163,963. REALIZED LOSS ON SALE OF INVESTMENTS -7,577. CONTRIBUTIONS TO PHASE 1 VENTURES 500,000. PART XII, LINE 2D - OTHER ADJUSTMENTS: EXPENDITURES OF CONSOLIDATED SUBSIDIARIES 3,167,380. QED PROGRAM MATCH 320,000. DIRECT FUNDRAISING EXPENSES 49,919. NUCLEUS EVENT 122200 94450 27750 4181 24651 21087 122200 94450 27750 4181 24651 21087 49919 -22169 1 ROWAN UNIVERSITY 201 MULLICA HILL ROAD GLASSBORO NJ 08028 222764819 501(C)(3) 100000 QED PROOF OF CONCEPT FUNDING THE PENNSYLVANIA STATE UNIVERSITY 500 UNIVERSITY DRIVE HERSHEY PA 17033 246000376 501(C)(3) 100000 QED PROOF OF CONCEPT FUNDING HOSPITAL UNIVERSITY OF PENNSYLVANIA 3451 WALNUT STREET PHILADELPHIA PA 19104 231352685 501(C)(3) 100000 QED PROOF OF CONCEPT FUNDING IMMERGE LABS LLC 3401 GRAYS FERRY AVE BLDG 176-1004 PHILADELPHIA PA 19146 814724734 N/A 25000 DIGITAL HEALTH ACCELERATOR FUNDING REGDESK INC 3401 MARKET STREET SUITE 200 PHILADELPHIA PA 19104 465749922 N/A 25000 DIGITAL HEALTH ACCELERATOR FUNDING REPISODIC INC 614 S 4TH STREET NUM 112 PHILADELPHIA PA 19147 821095813 N/A 25000 DIGITAL HEALTH ACCELERATOR FUNDING PAINQX INC 1 YORKTOWN CIRCLE KENNETT SQUARE PA 19348 474331446 N/A 25000 DIGITAL HEALTH ACCELERATOR FUNDING ONE HEALTH 3401 MARKET STREET SUITE 201 PHILADELPHIA PA 19104 811182918 N/A 15143 DIGITAL HEALTH ACCELERATOR FUNDING 3 5 PART I, LINE 2: GRANT FUNDS MONITORING AT UCSC IS AN ORGANIZATION-WIDE ENDEAVOR. THE GRANT PROCESS IS COORDINATED FROM APPLICATION THROUGH CLOSE OUT WITH OVERSIGHT PROVIDED BY AN EXECUTIVE STAFF MEMBER. AWARD DOCUMENTATION AND APPLICABLE LAWS ARE REVIEWED TO ENSURE COMPLIANCE WITH THE TERMS AND CONDITIONS OF THE AWARD. IN INSTANCES WHERE THE SCIENCE CENTER GRANTS SUB-AWARDS, THE SCIENCE CENTER RESERVES THE RIGHT TO REQUEST PROOF OF EXPENDITURE AS WELL AS SUPPORTING DOCUMENTATION TO SUBSTANTIATE EXPENSES FROM THE SUB-RECIPIENT. REPORTING REQUIREMENTS ARE COORDINATED IN CONJUNCTION WITH THE ASSIGNED EXECUTIVE. UPON TERMINATION OF THE AWARD, ALL REQUIRED CLOSE OUT MATERIALS ARE SUBMITTED. X 1 1 X X X X 0 1 0 0 0 0 0 0 0 STEPHEN TANG PRESIDENT AND CEO (THROUGH 1/31/18) 423330 0 204160 0 31223 0 28584 0 18826 0 706123 0 0 0 SAUL BEHAR VP & GENERAL COUNSEL, SECRETARY 245675 0 90942 0 709 0 34187 0 21923 0 393436 0 0 0 CURTIS HESS SENIOR VP REAL ESTATE 66890 200671 23849 71547 191 572 9284 27851 5480 16443 105694 317084 0 0 LORRAINE LOPRESTI CFO AND VP OF FIN. & ADMIN., TREASUR 80733 80733 8930 8930 120 120 8860 8860 3863 3863 102506 102506 0 0 JEANNE MELL VP MKTG/COMMUNICATION & CO 168686 0 63585 0 974 0 24160 0 14755 0 272160 0 0 0 CHRISTOPHER LAING VP OF SCIENCE & TECHNOLOGY (FORMER) 101597 0 67611 0 5806 0 17186 0 5174 0 197374 0 0 0 MARY ROBERTSON PROPERTY MANAGER 0 133135 0 6657 0 118 0 12948 0 15762 0 168620 0 0 JEFFERY ANDREWS SENIOR PROPERTY MANAGER 0 150750 0 15075 0 1309 0 16240 0 1486 0 184860 0 0 PART I, LINE 1A THE SCIENCE CENTER REIMBURSES THE DUES OF THE PRESIDENT/CEO OF THE CENTER PAID TO THE UNION LEAGUE OF PHILADELPHIA. THIS ORGANIZATION INCLUDES AS MEMBERS MANY TOP LEADERS IN BUSINESS, LAW, ACADEMIA, ETC., PROVIDING FACILITIES AND RESOURCES FOR NETWORKING, MEETINGS, AND KNOWLEDGE ENHANCEMENT. MEMBERSHIP IN THE LEAGUE FOSTERS DEVELOPMENT AND ENHANCEMENT OF RELATIONSHIPS WITH RESOURCES AND INDIVIDUALS VITAL TO THE CONTINUATION AND GROWTH OF THE CENTER'S PROGRAMS AND GOALS. PART I, LINE 3 SEE SCHEDULE O NARRATIVE - FORM 990, PART VI, SECTION B, LINE 15. PART I, LINE 4B SECTION 457(F) DEFERRED COMPENSATION PLAN. ACCRUED CONTRIBUTION APPLICABLE TO OFFICERS, KEY EMPLOYEES, AND HIGHEST COMPENSATED EMPLOYEES LISTED ON SCHEDULE J TOTALED $114,000 FOR THE YEAR ENDED DECEMBER 31, 2017. FORM 990, PART III, LINE 4A, PROGRAM SERVICE ACCOMPLISHMENTS: SCIENCE & TECHNOLOGY QED PROOF OF CONCEPT PROGRAM IN EARLY 2009 THE SCIENCE CENTER LAUNCHED THE NATION'S FIRST MULTI-INSTITUTIONAL PROOF-OF-CONCEPT PROGRAM TO FUND AND PROMOTE THE DEVELOPMENT AND COMMERCIALIZATION OF EARLY-STAGE LIFE SCIENCE TECHNOLOGIES AT ACADEMIC RESEARCH INSTITUTIONS. THIS PROGRAM - NAMED "QED", AFTER THE LATIN PHRASE QUOD ERAT DEMONSTRANDUM ("THAT WHICH MUST BE DEMONSTRATED") - PROVIDES BUSINESS DEVELOPMENT AND FUNDING SUPPORT FOR ACADEMIC RESEARCHERS THROUGHOUT PENNSYLVANIA, NEW JERSEY AND DELAWARE BY SUPPORTING EARLY-STAGE LIFE SCIENCE R&D WITH HIGH COMMERCIAL POTENTIAL. AS ANGEL INVESTORS, VENTURE CAPITALISTS, AND ESTABLISHED COMPANIES INCREASINGLY INVEST IN LATER-STAGE ENTERPRISES, FINDING EARLY-STAGE FUNDING TO ACCELERATE INNOVATION HAS BECOME MORE DIFFICULT. QED ASSISTS PROMISING RESEARCHERS IN BRIDGING THE GAP - OFTEN REFERRED TO AS THE "VALLEY OF DEATH" - BETWEEN PUBLICLY FUNDED LABORATORY RESEARCH AND PRIVATELY-FUNDED TECHNOLOGY COMMERCIALIZATION AND PRODUCT DEVELOPMENT. QED LEVERAGES THE SCIENCE CENTER'S RELATIONSHIPS WITH UNIVERSITIES, GOVERNMENT AGENCIES, AND PUBLIC AND PRIVATE COMPANIES, DRIVING TECHNOLOGY TRANSFER AND NEW BUSINESS FORMATION, ADVANCING ENTREPRENEURSHIP, AND ENCOURAGING INNOVATION, COMPETITIVENESS, AND KNOWLEDGE-BASED RETENTION AND EXPANSION. THE PROGRAM'S KEY GOAL IS TO MARSHAL EXISTING REGIONAL RESOURCES TO SUBSTANTIALLY REDUCE INVESTMENT RISK IN BOTH EARLY-STAGE LIFE SCIENCE AND DIGITAL HEALTH R&D PROJECTS, PREPARING THEM FOR ESTABLISHED HEALTH CARE COMPANIES AND PRIVATE INVESTORS, WITHOUT ADDING TO THE PROLIFERATION OF SUB-SCALE, UNDERCAPITALIZED VENTURES ALREADY IN THE MARKET. BY ENGAGING THE REGION'S ACADEMIC INSTITUTIONS, RESEARCH SCIENTISTS, ENTREPRENEURS, INVESTORS, AND INDUSTRY STAKEHOLDERS IN EARLY-STAGE COMMERCIALIZATION, THE SCIENCE CENTER SEEKS TO INCREASE THE PACE AND VALUE OF TECHNOLOGY TRANSFER IN THE REGION. QED GOES BEYOND A TYPICAL GAP FUND IN TWO PRIMARY RESPECTS THAT CAN BE APPLIED TO ANY RESEARCH AREA. FIRST, IT ADDS COMMERCIAL GUIDANCE AS A CRITICAL, EARLY COMPONENT. THIS GUIDANCE TAKES THE FORM OF BUSINESS ADVISORS, SPECIALIST CONSULTANTS (E.G., PATENT LAWYERS, REGULATORY EXPERTS, AND MEDICAL REIMBURSEMENT CONSULTANTS), TECHNICAL AND CLINICAL REVIEW OF TECHNOLOGY BY OUTSIDE REVIEWERS, AND MARKET-BASED SCREENING AND SELECTION. SECOND, IT PROMOTES COMPETITIVE PARTICIPATION BY A LARGE NUMBER OF RESEARCH INSTITUTIONS, INCORPORATING TRANSPARENT PROCESSES AND IDENTIFYING PROJECTS WITH THE GREATEST COMMERCIAL POTENTIAL. CURRENTLY, A TOTAL OF 21 RESEARCH INSTITUTIONS IN PENNSYLVANIA, NEW JERSEY AND DELAWARE PARTICIPATE IN THE PROGRAM. PROJECTS ARE REVIEWED, PRIORITIZED, AND RECOMMENDED FOR FUNDING BY A SELECTION TEAM COMPRISED EXCLUSIVELY OF PROFESSIONALS WHO WORK IN VENTURE CAPITAL AND INDUSTRY, REPRESENTING NUMEROUS REGIONAL AND NATIONAL FIRMS AND COMPANIES. PARTICIPATING ACADEMIC INSTITUTIONS, INVESTORS, AND COMPANIES ARE LISTED AT HTTP://WWW.SCIENCECENTER.ORG/DISCOVER/QED. EACH PROJECT SELECTED FOR FUNDING RECEIVES UP TO $200,000 OVER 12 MONTHS, WITH HALF OF THE FUNDING PROVIDED BY THE SCIENCE CENTER AND THE OTHER HALF BY THE SCIENTIST'S HOST INSTITUTION. CONTINUED FUNDING DURING THE PROJECT IMPLEMENTATION PHASE IS CONDITIONAL UPON SATISFYING THE OBJECTIVES OUTLINED IN THE R&D PLAN, ACCORDING TO MILESTONES AND SCHEDULE. THE QED STAFF MEETS REGULARLY WITH THE PROJECT TEAMS, AND THE INVESTIGATORS PROVIDE PERIODIC PROGRESS UPDATES ON RESEARCH AND COMMERCIALIZATION ACTIVITIES. DURING THIS PHASE, THE QED STAFF ALSO ASSISTS WITH THE IDENTIFICATION AND PURSUIT OF APPROPRIATE SOURCES OF FOLLOW-ON FUNDING FOR SUCCESSFUL PROJECTS THAT EXIT THE PROGRAM. THROUGH 10 FUNDING CYCLES, QED HAS AWARDED AN AGGREGATE OF MORE THAN $6 MILLION TO 31 PROJECTS AT RESEARCH INSTITUTIONS THROUGHOUT THE TRI-STATE AREA. THE PROGRAM HAS FACILITATED THE FORMATION OF EIGHT STARTUP COMPANIES AND THE LICENSING OF 10 TECHNOLOGIES. IN ADDITION, 13 PROJECTS HAVE LEVERAGED A TOTAL OF $22 MILLION IN FOLLOW-ON FUNDING. PHASE 1 VENTURES (P1V) P1V IS A TECHNOLOGY ACCELERATOR FOR NEW BUSINESS FORMATION AND GROWTH. FOR ACADEMIC INSTITUTIONS SEEKING TO COMMERCIALIZE TECHNOLOGIES THROUGH NEW STARTUPS, P1V IS A TURNKEY APPROACH TO THE MARKET-DRIVEN CREATION AND DEVELOPMENT OF NEW INVESTIBLE COMPANIES. P1V PROVIDES STRATEGIC FUNDING; INDEPENDENT PROVEN MANAGEMENT, CORPORATE STRUCTURE AND RESOURCES THAT AVOID INSTITUTIONAL CONFLICT OF INTEREST; AND CONNECTIONS TO NETWORKS OF ENTREPRENEURS, INVESTORS, AND INDUSTRY PARTNERS. TECHNOLOGIES WITH COMMERCIAL PROMISE ARE SELECTED AND NURTURED FOR THE PREPARATION OF COMPETITIVE GRANT APPLICATIONS. PROJECTS THAT SECURE SBIR/STTR FUNDING THROUGH P1V ARE ELIGIBLE FOR ADDITIONAL SUPPORT AND SERVICES, INCLUDING SUPPLEMENTARY FUNDING, MANAGEMENT AND ADVISORY EXPERTISE, AND PHYSICAL SPACE. THE GOAL FOR EACH OF THESE "PHASE 1" PROJECTS IS TO COMPLETE RESEARCH MILESTONES, VALIDATE MARKET OPPORTUNITIES, AND PREPARE AND SUBMIT A COMPETITIVE "PHASE 2" SBIR/STTR APPLICATION. P1V IS A MANAGED, STANDARDIZED, MULTI-INSTITUTIONAL PROCESS THAT LAUNCHES NEW COMPANIES IN A COST-EFFICIENT MANNER, LEVERAGING FEDERAL SBIR/STTR FUNDING. P1V TESTS THE SCIENTIFIC AND MARKET FEASIBILITY OF TECHNOLOGIES FOR NEW COMPANY FORMATION AND LAUNCH, THEREBY ENHANCING THE ABILITY OF THESE PROJECTS TO ATTRACT GRANTS AND PRIVATE SECTOR INVESTMENT. P1V PROVIDES ACCESS TO STRATEGIC FUNDING; INDEPENDENT MANAGEMENT, CORPORATE STRUCTURE AND RESOURCES THAT AVOID INSTITUTIONAL CONFLICTS OF INTEREST; PROVEN EXPERTISE IN EARLY PRODUCT DEVELOPMENT AND PROJECT MANAGEMENT; AND CONNECTIONS TO NETWORKS OF ENTREPRENEURS, INVESTORS, AND INDUSTRY PARTNERS. THROUGH P1V, THE SCIENCE CENTER IS CAPITALIZING ON AND EXPANDING ITS DEEP RELATIONSHIPS WITH UNIVERSITIES AND HEALTHCARE INSTITUTIONS THROUGHOUT THE TRI-STATE AREA AND BEYOND, IN ORDER TO FACILITATE MORE (AND BETTER) START-UP COMPANY FORMATION THAT WILL ULTIMATELY LEAD TO ECONOMIC GROWTH AND JOB CREATION. AS A PUBLIC-PRIVATE PARTNERSHIP, P1V WILL BE ECONOMICALLY VIABLE BECAUSE IT LEVERAGES SBIR/STTR FUNDING AND AGGREGATE RESOURCES THAT CAN BE SHARED AMONG SEVERAL PROJECTS, CREATING ECONOMIES OF SCALE. AS A COLLABORATIVE PLATFORM, P1V PROVIDES GREATER OPPORTUNITIES FOR INVENTORS, INSTITUTIONS, ENTREPRENEURS AND INVESTORS TO FORM AND GROW SPINOUT COMPANIES AROUND EARLY-STAGE TECHNOLOGIES WITH HIGH COMMERCIAL POTENTIAL. SINCE THE INCEPTION OF THE PROGRAM, P1V HAS COMMITTED A TOTAL OF MORE THAN $1.9 MILLION OF FUNDING TO 28 COMPANIES; THESE COMPANIES HAVE SUBSEQUENTLY ATTRACTED A TOTAL OF CLOSE TO $2.4 MILLION OF NON-DILUTIVE FUNDING, PLUS A TOTAL OF $1 MILLION OF FOLLOW-ON INVESTMENT. FOURTEEN RESEARCH INSTITUTIONS ARE REPRESENTED IN THE PROGRAM. THE PORT BUSINESS INCUBATOR THE SCIENCE CENTER'S PORT BUSINESS INCUBATOR HOUSES AND FACILITATES THE GROWTH OF EARLY-STAGE TECHNOLOGY COMPANIES. SINCE THE SCIENCE CENTER'S INCEPTION IN 1963, GRADUATE ORGANIZATIONS AND CURRENT RESIDENTS OF THE INCUBATOR HAVE SUPPORTED MORE THAN 40,000 DIRECT AND INDIRECT JOBS THAT REMAIN IN THE GREATER PHILADELPHIA REGION TODAY AND CONTRIBUTE MORE THAN $13 BILLION TO THE REGIONAL ECONOMY ANNUALLY. THE PORT PROVIDES FACILITATED ACCESS TO AN INNOVATION ENVIRONMENT OF ADVISORY SERVICES, BUSINESS SERVICES, ACADEMIC RESOURCES AND EXPERTISE, AND A 30,000-SQUARE-FOOT BUSINESS INCUBATOR FACILITY. PORT COMPANIES BENEFIT FROM THE SCIENCE CENTER'S BUSINESS ADVISORY COMMUNITY OF PROVEN ENTREPRENEURIAL MENTORS, AND THE SCIENCE CENTER'S SCIENTIFIC ADVISORY COMMITTEE COMPRISING THE SENIOR RESEARCH OFFICERS AT THE REGION'S LEADING RESEARCH INSTITUTIONS. COMPANIES ARE HOUSED WITHIN A PLUG-AND-PLAY, STATE-OF-THE-ART OFFICE AND LABORATORY FACILITY ABLE TO ACCOMMODATE UP TO 150 PERSONNEL. RESIDENTS HAVE ACCESS TO EDUCATIONAL AND NETWORKING EVENTS, BROADBAND CONNECTIVITY, SHARED LABORATORY AND OFFICE EQUIPMENT, AND SHARED CONFERENCE FACILITIES. PORT MANAGERS SUPPORT THE INCUBATION PROCESS, ASSISTING RESIDENTS WITH INDIVIDUAL GROWTH NEEDS AND FACILITATING THEIR "GRADUATION" FROM THE PORT. TYPICAL RESIDENTS HAVE SEED-STAGE TO SERIES A CAPITAL AND 1-25 EMPLOYEES. THE PORT FLEXIBLY ACCOMMODATES THE CHANGING NEEDS OF EMERGING, FAST-GROWTH COMPANIES BY OFFERING FOOTPRINTS FROM VIRTUAL THROUGH SINGLE DESK, TO SINGLE-, DOUBLE- OR TRIPLE-OCCUPANCY OFFICE SPACE, AND A RANGE OF LAB SPACE TO ACCOMMODATE 1 - 16 RESEARCHERS. FORM 990, PART III, LINE 4A IN FURTHERING THEIR ADVANCEMENT OF SCIENCE, THE INCUBATOR COMPANIES' WORK ENCOMPASSES INNOVATIONS IN THERAPEUTICS, MEDICAL DEVICES, DIAGNOSTICS, RESEARCH TOOLS, BIOINFORMATICS, NANOTECHNOLOGY, INFORMATION TECHNOLOGY, AND CLEAN ENERGY. BASED ON ITS INITIAL SUCCESS AS AN "INCUBATOR OF INCUBATORS," THE PORT HAS CONTINUED TO HOST A NUMBER OF PROGRAMS ON BEHALF OF ACADEMIC INSTITUTIONS, CORPORATIONS, AND GOVERNMENT ORGANIZATIONS WHICH ARE SEEKING FLEXIBLE WAYS TO INCUBATE THEIR OWN BUSINESS VENTURES. PORT STAFF CONTINUES TO SEEK OPPORTUNITIES TO PARTNER AND COLLABORATE WITH DOMESTIC AND FOREIGN ORGANIZATIONS IN BUSINESS INCUBATION AND ACCELERATION. INNOVATION CENTER @3401 LOCATED AT 3401 MARKET STREET, THE INNOVATION CENTER @3401 IS THE LARGEST GROUP OF FUNDED EARLY-STAGE TECH COMPANIES IN PHILADELPHIA. A COLLABORATION BETWEEN THE SCIENCE CENTER AND DREXEL UNIVERSITY, IC@3401 IS ALSO HOME TO DREAMIT VENTURES & CHARACTER LAB. OPENED IN 2014, THIS SYNERGISTIC PROGRAM SUPPORTS INNOVATION, COLLABORATION, AND BUSINESS CREATION; IT IS AN INTEGRATED COMMUNITY DESIGNED TO HELP ENTREPRENEURS GO FROM AN IDEA TO A BUSINESS. PROJECTS THAT ENTER AS TEAMS OF 2 TO 3 GRADUATE AS TEAMS OF 8 TO 12, HAVING OBTAINED THEIR FIRST REVENUES, HIRED THEIR FIRST EMPLOYEES, AND RAISED THEIR FIRST CAPITAL. THE INNOVATION CENTER @3401 BUILDS UPON THE SUCCESS OF DREXEL'S EXCITE CENTER AND THE SCIENCE CENTER'S LONG AND IMPACTFUL TRADITION OF INCUBATING STARTUPS AND CONVENING COMMUNITIES AROUND INNOVATION AND ENTREPRENEURSHIP. IC@3401 CURRENTLY HAS 41 MEMBER COMPANIES; IN 2017, 26 MEMBER COMPANIES RAISED OVER $16 MILLION OF FUNDING AND INVESTMENT. DIGITAL HEALTH ACCELERATOR LAUNCHED IN 2014, THE DIGITAL HEALTH ACCELERATOR FOCUSES ON COMPANIES DEVELOPING A HEALTHCARE PRODUCT COMPRISING A DIGITAL COMPONENT. TO BE ELIGIBLE, COMPANIES MUST HAVE A PRODUCT THAT IS AT LEAST AT PROTOTYPE STAGE AND READY TO BEGIN COMMERCIAL DEVELOPMENT. THE DIGITAL HEALTH ACCELERATOR PROVIDES FUNDING, MENTORSHIP (INTELLECTUAL PROPERTY, SALES AND MARKETING, REGULATORY, FUNDRAISING ETC.), WARM INTRODUCTIONS, AND A FLEXIBLE WORKPLACE FOR PARTICIPANTS. TO DATE, THE COMPANIES IN THE PROGRAM HAVE CREATED MORE THAN 180 JOBS, GENERATED SALES REVENUES OF MORE THAN $20.7 MILLION, AND ATTRACTED INVESTMENTS OF MORE THAN $46.4 MILLION. UCITY SQUARE AS THE SCIENCE CENTER HAS EXPANDED ITS IMPACT AND FOOTPRINT, WE'VE ADAPTED AND EXPANDED OUR OPERATIONS AS WELL. THE CAMPUS THAT THE SCIENCE CENTER HAS BUILT OVER THE LAST 50+ YEARS IS NOW KNOWN AS UCITY SQUARE, A MIXED-USE COMMUNITY THAT WE'RE CONTINUING TO DEVELOP IN PARTNERSHIP WITH WEXFORD SCIENCE + TECHNOLOGY. UCITY SQUARE REFERS TO OUR EXISTING PHYSICAL ASSETS, AS WELL AS THE PLANNED ADDITIONAL 4 MILLION SQUARE FEET OF OFFICE, LAB, RESIDENTIAL AND RETAIL. THE GROWTH OF UCITY SQUARE AS A PHYSICAL DEVELOPMENT LEVERAGES THE SCIENCE CENTER'S VISION OF PHILADELPHIA AS A GLOBAL INNOVATION CITY, BY PROVIDING MORE SPACE FOR COMPANIES TO GROW AND SCALE, MORE COMMUNITY MEMBERS TO INTERACT AND COLLABORATE WITH, AND MORE OPPORTUNITIES FOR PROGRAMMING, EDUCATION, ACCESS, AND INCLUSION. AT UCITY SQUARE, THE SCIENCE CENTER WILL CONTINUE TO EXPAND UPON ITS 50+ YEAR LEGACY OF SUPPORTING INNOVATION, ENTREPRENEURSHIP, AND TECHNOLOGY-BASED ECONOMIC DEVELOPMENT. UCITY SQUARE IS THE PLACE FOR INNOVATION TO HAPPEN - AND THE SCIENCE CENTER IS THE NUCLEUS THAT MAKES IT ALL POSSIBLE. FORM 990, PART III, LINE 4B, PROGRAM SERVICE ACCOMPLISHMENTS: COMMUNITY ENGAGEMENT THE SCIENCE CENTER SUPPORTS THE COMMUNITY THROUGH A VARIETY OF PROGRAMS AND PARTNERSHIPS, INCLUDING QUORUM, THE REGIONAL AFFINITY INCUBATION NETWORK (RAIN), EDUCATION INITIATIVES SUCH AS OUR FIRSTHAND PROGRAM, AND THE UNIVERSITY CITY KEYSTONE INNOVATION ZONE (UC KIZ). STEAM (SCIENCE, TECHNOLOGY, ENGINEERING, ART AND MATH) THE SCIENCE CENTER'S STEAM PROGRAMMING ADDS ART TO THE STEM SUBJECTS OF SCIENCE, TECHNOLOGY, ENGINEERING AND MATH, TO CREATE PROJECT-BASED PROGRAMS AND WORKSHOPS THAT EMPOWER INDIVIDUALS AND CONVENE COMMUNITIES AROUND CREATIVE APPLICATIONS OF TECHNOLOGY. MANY OF OUR STEAM OFFERINGS FOCUS ON REACHING AT-RISK YOUTH, PRIMARILY IN THE NEIGHBORHOODS SURROUNDING THE SCIENCE CENTER'S WEST PHILADELPHIA CAMPUS, WHILE OTHERS ARE OPEN TO ALL MEMBERS OF THE COMMUNITY. OUR GOAL IS TO SPARK AND NURTURE A LIFELONG INTEREST IN THE STEM DISCIPLINES AND LOWER THE BARRIERS TO ENTRY FOR THOSE SEEKING A CAREER IN A STEM-RELATED FIELD. EQUAL PARTS SCIENCE, TECHNOLOGY, ENGINEERING, ART AND MATH, THE SCIENCE CENTER'S FIRSTHAND INITIATIVE PROVIDES PHILADELPHIA'S CURIOUS MINDS ACCESS TO THE KNOWLEDGE AND RESOURCES OF THE SCIENCE CENTER. BY FUELING DISCOVERY AND EXPLORATION WITH INTERACTIVE PROGRAMMING, WE ARE OPENING THE DOORS FOR THE MINDS OF TOMORROW. USING A COMBINATION OF HIGH- AND LOW-TECH TOOLS PAIRED WITH HANDS-ON PROJECT-BASED LEARNING OPPORTUNITIES, FIRSTHAND OFFERS YEAR-ROUND PROGRAMMING TO YOUTH FREE OF CHARGE. MAKING THE FIRSTHAND EXPERIENCE UNIQUE IS THE LOCATION IN A PROFESSIONAL SCIENCE/BUSINESS ENVIRONMENT, DEMONSTRATIONS IN THE LABS OF COMPANIES WORKING ON THE SCIENCE CENTER CAMPUS, AND MENTORSHIP OPPORTUNITIES WITH SCIENTISTS, DESIGNERS AND ENTREPRENEURS WHO MAKE UP THE SCIENCE CENTER COMMUNITY. DURING 2017, THE FOURTH FULL YEAR OF OPERATION, FIRSTHAND WORKED WITH 307 LOCAL YOUTH AND PROVIDED MORE THAN 4,100 HOURS OF STUDENT ENGAGEMENT THROUGH 28 INDIVIDUAL PROGRAMS AND EVENTS. FIRSTHAND PROGRAMS INCLUDE: - DNA SELFIE ASKS GROUPS OF 10 TO 15 MIDDLE SCHOOL GIRLS TO LOOK AT AND PRESENT THEMSELVES IN A NEW CREATIVE LIGHT. THEY TRANSLATE REAL-LIFE LAB EXPERIENCES BY EXTRACTING THEIR OWN DNA AND STUDYING THEIR OWN CELLS TO TRANSFORM THEM INTO INNOVATIVE SELF-PORTRAITS USING PHOTO-MICROSCOPY, VINYL CUTTERS, LASER CUTTERS AND THEIR OWN INGENUITY. THE GIRLS THEN DESIGN A GROUP EXHIBIT OF THEIR GENETIC "SELFIES" TO EXHIBIT TO THE PUBLIC. - POLYMER PLAY TEACHES YOUTH ABOUT THE INS AND OUTS OF MATERIAL SCIENCE THROUGH MAKING AND BUILDING WITH POLYMERS. REAL-LIFE LAB EXPERIENCES INSPIRE EXPERIMENTS AND CONSTRUCTION PROJECTS. ACTIVITIES INCLUDE MAKING BIO-PLASTIC, RECYCLING PLASTICS INTO NEW MATERIALS, AND EXPERIMENTING WITH TOOLS LIKE VACUUM SEALS, LASER CUTTERS AND POWER TOOLS. A FINAL TEAM PROJECT IS DESIGNED AND BUILT BY THE GROUP, AND THEN EXHIBITED TO THE PUBLIC. - AMPITUP EXPLORES THE INNER WORKINGS OF THE BATTERIES AND CIRCUITS THAT POWER OUR DAILY ACTIVITIES. STUDENTS STEP INTO THE WORLD OF ELECTROCHEMISTRY AND TINKER WITH DESIGNING DIFFERENT TYPES OF BATTERIES AND EXPERIMENTING WITH ELECTRICAL CIRCUITS. PARTICIPANTS LEARN TO USE SOLDERING IRONS, MULTI-METERS, LASER CUTTERS AND HAND TOOLS. AT THE END OF THE PROGRAM THE FINAL PROJECTS ARE PRESENTED TO THE PUBLIC AT THE SCIENCE CENTER. - TASTE TEST, A SUMMER PROGRAM LAUNCHED IN 2016, ENCOURAGES STUDENTS TO PLAY WITH THEIR FOOD AND EXPERIMENT WITH THEIR SENSES. PARTICIPANTS LEARN ABOUT THE FACTORS THAT AFFECT FLAVOR, EXPLORE HOW YOUR SENSES WORK TOGETHER WHEN YOU EAT, AND UNDERSTAND WHY EACH PERSON'S UNIQUE GENETICS INFLUENCE THEIR TASTING EXPERIENCE. USING CULINARY TOOLS, STUDENTS DIVE INTO THE COMPLEX WORLD OF MOLECULAR GASTRONOMY TO CREATE BUBBLES OUT OF GRAPE JUICE AND TURN FRUIT INTO SPAGHETTI, AND THEN DESIGN THEIR OWN EXPERIMENTS AND PRESENT THEM TO THE SCIENCE CENTER COMMUNITY. - PROJECT INQUIRY, ALSO LAUNCHED IN 2016, IS AN INNOVATIVE EIGHT-MONTH PROGRAM FOR HIGH SCHOOL SOPHOMORES THAT EXPLORES CONCEPTS IN ENGINEERING, DESIGN, TECHNOLOGY, AND ENTREPRENEURSHIP. STUDENTS LEARN HOW TO USE LAB EQUIPMENT, INVESTIGATE THE DESIGN PROCESS, AND SOLVE REAL WORLD PROBLEMS USING CUTTING-EDGE TECHNOLOGIES LIKE LASER CUTTERS AND 3D PRINTERS. USING THIS NEWFOUND KNOWLEDGE, THE PARTICIPANTS THEN WORK DIRECTLY WITH PROFESSIONAL SCIENTISTS AND ENTREPRENEURS WHO SERVE AS MENTORS FOR TEAM PROJECTS. - FIRSTHAND TEACHERS INSTITUTE IS AN OPPORTUNITY FOR EDUCATORS LOOKING TO BRING THE TENETS OF STEAM EDUCATION INTO THEIR CLASSROOMS. THE GOAL IS FOR EDUCATORS TO LEARN THE PRACTICE OF DESIGN-BASED STEAM EDUCATION BY EXPERIENCING IT THEMSELVES. THE TAKEAWAYS ARE A RESOURCE KIT FOR INCLUDING STEAM PEDAGOGY IN FUTURE LESSON PLANS. - THE SCIENCE CENTER EXPERIENCE IS A WINDOW INTO THE WORLD OF REAL-LIFE SCIENCE RESEARCH LABS. THE SCIENCE CENTER'S LABS AND OFFICE SPACES ARE TEEMING WITH SCIENTISTS AND ENTREPRENEURS WHO ARE EAGER TO SHARE FIRSTHAND EXPERIENCES OF THEIR WORK AND CAREER PATHS WITH STUDENTS AND TEACHERS. PARTICIPANTS TOUR THE SCIENCE CENTER CAMPUS, VISIT THE LABS AND INTERACT WITH THE RESIDENT SCIENTISTS TO LEARN WHAT IT'S REALLY LIKE TO WORK IN THE STEM DISCIPLINES. THE SCIENCE CENTER'S STEAM PERSONNEL ALSO MANAGE AND OPERATE AN ART GALLERY SPACE ON THE SCIENCE CENTER CAMPUS THAT IS OPEN TO THE PUBLIC, KNOWN AS ESTHER KLEIN GALLERY (EKG). EXHIBITS HELD AT EKG EXPLORE INTERSECTIONS BETWEEN ART, DESIGN, SCIENCE AND TECHNOLOGY. THE PRIMARY AIM OF EKG IS TO EXAMINE NEW ART AND CONTEMPORARY ARTS PRACTICES THAT ARE INFLUENCED BY TECHNOLOGY AND THE SCIENCES, AND TO GENERATE PUBLIC DISCOURSE THROUGH THE EXHIBITION OF CREATIVE WORKS THAT COMMENT ON LIFE AND OUR ENVIRONMENT IN A DIGITAL AGE. EKG CELEBRATED ITS 40TH ANNIVERSARY IN 2016, AND IN 2017 LAUNCHED AN ARTIST-IN-RESIDENCE PROGRAM FOCUSED ON BIOTECHNOLOGY, IN PARTNERSHIP WITH INTEGRAL MOLECULAR, A BIOTECH COMPANY AND UCITY SQUARE RESIDENT. THE GOAL OF THE RESIDENCY PROGRAM IS TO PROVIDE ACCESS, OPPORTUNITY AND AWARENESS FOR ARTISTS TO EXPLORE THE EVER-CHANGING WORLD OF BIOTECHNOLOGY. QUORUM QUORUM IS A SCIENCE CENTER INITIATIVE THAT UNITES THE REGION'S ENTREPRENEURSHIP AND INNOVATION COMMUNITIES THROUGH A CENTRAL, NEUTRAL GATHERING SPACE AT 3711 MARKET STREET AND PROGRAMS THAT CONNECT ENTREPRENEURS TO INVESTORS AND ADVICE. AN EFFORT TO SUPPORT LONG-TERM COLLABORATIVE REGIONAL ECONOMIC DEVELOPMENT, QUORUM STRENGTHENS THE REGION'S CULTURE OF TECHNOLOGY-BASED ECONOMIC DEVELOPMENT BY OFFERING PROGRAMS AND FACILITATING CONNECTIONS BETWEEN ENTREPRENEURS, INNOVATORS, FUNDERS AND RESOURCE ORGANIZATIONS, WITH THE ULTIMATE GOAL OF INNOVATION, COMPANY FORMATION AND JOB CREATION. BETWEEN JUNE 2011 WHEN QUORUM OPENED ITS DOORS AND DECEMBER 31, 2017, 70, 043 PEOPLE PARTICIPATED IN 1,146 EVENTS AND PROGRAMS IN QUORUM. IN 2017, MORE THAN 11,400 PEOPLE PARTICIPATED IN 187 QUORUM PROGRAMS AND EVENTS. REGIONAL AFFINITY INCUBATION NETWORK (RAIN) RAIN IS A REGIONAL NETWORK OF 75-PLUS RESEARCH PARKS, BUSINESS INCUBATORS, CO-WORKING SPACES, ACCELERATORS AND SUPPORT ORGANIZATIONS IN PENNSYLVANIA, NEW JERSEY AND DELAWARE THAT SHARE INFORMATION, CAPABILITIES AND OPPORTUNITIES - AS WELL AS BUILD STRENGTH ACROSS THE REGION. LAUNCHED IN 2009, RAIN HAS EXPANDED TO INCLUDE THE DIVERSE GROUP OF CO-WORKING SPACES, ACCELERATORS AND OTHER MODELS THAT SUPPORT ENTREPRENEURSHIP IN THE REGION. MORE THAN 150 PEOPLE ATTENDED THE 9TH ANNUAL RAIN CONFERENCE IN JULY 2017. TITLED DIVERSITY & ACCESS: BUILDING AN INCLUSIVE ENTREPRENEURIAL COMMUNITY, THE CONFERENCE EXPLORED HOW INNOVATION COMMUNITIES ARE ENGAGING A DIVERSE AND INCLUSIVE POPULATION WITH ENTREPRENEURSHIP. AFTER A KEYNOTE FROM THE EWING MARION KAUFFMAN FOUNDATION'S DIRECTOR OF ENTREPRENEURIAL COMMUNITIES, PHILIP GASKIN, THE CONFERENCE LOOKED AT EXISTING SUCCESSFUL PROGRAMS THAT PROMOTE DIVERSITY, INVESTORS FOCUSED ON MAKING AN IMPACT, AND RESOURCES THAT EXPAND OPPORTUNITY BEYOND THE STATUS QUO. UNIVERSITY CITY KEYSTONE INNOVATION ZONE THE SCIENCE CENTER IS ONE OF THE FOUNDING PARTNERS AND THE FISCAL AGENT OF THE UNIVERSITY CITY KEYSTONE INNOVATION ZONE (UC KIZ), A PARTNERSHIP DESIGNED TO BUILD KNOWLEDGE-BASED ECONOMIES AND CULTIVATE ENTREPRENEURSHIP IN PENNSYLVANIA. HOME TO NUMEROUS LIFE SCIENCES AND IT STARTUPS, SEVERAL MAJOR UNIVERSITIES, NON-PROFIT RESEARCH INSTITUTES, AND RESEARCH AND TEACHING HOSPITALS, THE UC KIZ COMMUNITY HAS THE INFRASTRUCTURE AND RESOURCES THAT GROWING LIFE SCIENCES AND IT COMPANIES NEED. UC KIZ PARTNERS INCLUDE BIOADVANCE, DREXEL UNIVERSITY, THOMAS JEFFERSON UNIVERSITY, UNIVERSITY CITY SCIENCE CENTER, THE UNIVERSITY OF PENNSYLVANIA, UNIVERSITY OF THE SCIENCES AND THE WISTAR INSTITUTE. THIRTY-SIX UC KIZ COMPANIES RECEIVED A COLLECTIVE $2.4 MILLION IN TAX CREDITS AWARDED BY THE PENNSYLVANIA DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT IN 2017 AS PART OF THE KEYSTONE INNOVATION ZONE (KIZ) TAX CREDIT PROGRAM. SINCE 2006, OVER $12.7 MILLION IN KIZ TAX CREDITS HAVE BEEN AWARDED TO 79 COMPANIES IN THE UNIVERSITY CITY KIZ. FORM 990, PART III, LINE 4C, PROGRAM SERVICE ACCOMPLISHMENTS: RESEARCH PARK THE SCIENCE CENTER LEGACY CAMPUS ENCOMPASSES 17 ACRES, 15 BUILDINGS, AND 2.5 MILLION SQUARE FEET WITHIN A FOUR-BLOCK AREA THAT IS HOME TO 100 COMPANIES EMPLOYING 8,000 PEOPLE. CURRENTLY, THE SCIENCE CENTER OWNS AND MANAGES APPROXIMATELY 1.5 MILLION SQUARE FEET OF SPACE IN SEVEN BUILDINGS, INCLUDING THREE INCUBATORS FOR FLEDGLING BUSINESSES. IN KEEPING WITH THE AGILITY OF ENTREPRENEURS, SHORT-TERM LEASES ARE AVAILABLE, WITH OPPORTUNITIES FOR GROWTH. IN 2014, WE OPENED OUR NEWEST OFFICE AND LAB BUILDING AT 3737 MARKET STREET, A 332,000-SQUARE-FOOT MIXED USE PROPERTY. THE ANCHOR TENANT IS PENN PRESBYTERIAN MEDICAL CENTER'S CENTER FOR SPECIALTY CARE. FORM 990, PART VI, SECTION A, LINE 6 THE OWNERSHIP OF SHARES OF THE CORPORATION IS RESTRICTED TO CORPORATIONS QUALIFIED FOR EXEMPTION FROM FEDERAL INCOME TAXES UNDER SECTION 501(C) (3) OF THE INTERNAL REVENUE CODE. FORM 990, PART VI, SECTION A, LINE 7A ANNUAL STOCKHOLDER MEETINGS: AFTER EACH ANNUAL ELECTION OF DIRECTORS, THE BOARD OF DIRECTORS MEETS FOR THE PURPOSE OF ORGANIZATION, ELECTION OF A CHAIRMAN OF THE BOARD AND OTHER OFFICERS, AND THE TRANSACTION OF OTHER BUSINESS AT THE OFFICE OF THE CORPORATION. FORM 990, PART VI, SECTION A, LINE 7B REGULAR AND ANNUAL MEETINGS ARE HELD FOR THE TRANSACTION OF BUSINESS. SPECIAL MEETINGS MAY ALSO BE HELD AT THE DIRECTION OF THREE OR MORE SHAREHOLDERS. FORM 990, PART VI, SECTION B, LINE 11B THE COMPLETED 990 IS PRESENTED FOR REVIEW AND DISCUSSION BY THE AUDIT COMMITTEE, AND IS SUBSEQUENTLY MADE AVAILABLE TO THE ENTIRE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 12C EACH BOARD MEMBER AND EXEMPT EMPLOYEE IS REQUIRED TO ANNUALLY SIGN A CONFLICT OF INTEREST DISCLOSURE FORM, INDICATING THAT HE/SHE UNDERSTANDS THE POLICY AND WILL ALERT THE ORGANIZATION SHOULD A CONFLICT OCCUR. THIS PROCESS IS OVERSEEN BY THE SCIENCE CENTER'S GENERAL COUNSEL. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD HIRED SULLIVAN COTTER ON DECEMBER 24, 2013 TO REVIEW CEO AND EXECUTIVE COMPENSATION AND PROVIDE BENCHMARK INFORMATION ON SALARY AND INCENTIVE COMPENSATION. AN ARRAY OF 501 C3 AND FOR-PROFIT BENCHMARKS WERE INCLUDED IN THE STUDY IN ORDER TO COMPARE ENTITIES AND THEIR COMPENSATION STRUCTURES THAT REPRESENTED BUSINESS AND SERVICE OPERATIONS OF A COMPARABLE NATURE. THE FINDINGS FROM THE SULLIVAN COTTER STUDY WERE AND HAVE BEEN INCORPORATED INTO ANNUAL REVIEW AND COMPENSATION PLANNING FOR THE CEO AND HIS TEAM. THE EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS ANNUALLY REVIEWS MANAGEMENT COMPENSATION AND APPROVES ALL CHANGES. IN 2017 THE BOARD REENGAGED SULLIVAN COTTER TO PERFORM AN UPDATED STUDY FOR CEO AND EXECUTIVE COMPENSATION RELATED TO 2018 COMPENSATION. FORM 990, PART VI, SECTION C, LINE 19 A PERSON REQUESTING A COPY OF THE GOVERNING DOCUMENTS ETC. PLACES HIS / HER REQUEST WITH THE SECRETARY OF THE UNIVERSITY CITY SCIENCE CENTER. UPON RECEIPT OF THE REQUEST, THE REQUESTED INFORMATION IS MADE AVAILABLE TO THE INTERESTED PARTY. FORM 990, PART VI, SECTION B, LINE 16B: THE SCIENCE CENTER IS IN THE PROCESS OF DOCUMENTING ITS POLICY REGARDING EVALUATION OF PARTICIPATION IN JOINT VENTURES AND SIMILAR ARRANGEMENTS. PRESENTLY, THE CENTER UNDERTAKES SIGNIFICANT DUE DILIGENCE PRIOR TO ENTERING INTO ANY JOINT VENTURE ARRANGEMENT, WHICH INCLUDES TAKING APPROPRIATE STEPS TO SAFEGUARD THE CENTER'S EXEMPT STATUS WITH RESPECT TO ANY SUCH ARRANGEMENT. FORM 990, PART XI, LINE 9: NET RPI ACTIVITY -724,317. NET SCEC ACTIVITY 90,415. NET P1V ACTIVITY -1,537,617. FORM 990, PART XII, LINE 2C: THERE HAS BEEN NO CHANGE DURING THE CURRENT PERIOD BY THE ORGANIZATION IN THE AUDIT OVERSIGHT OR INDEPENDENT AUDITOR SELECTION PROCESS. 3701 UNIVERSITY CITY SCIENCE CENTER ASSOCIATES LLC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 233040121 COMMERICAL REAL ESTATE PROPERTY OWNERSHIP AND RENTAL PA 1144065 33954655 UNIVERSITY CITY SCIENCE CENTER 3701 UNIVERSITY CITY SCIENCE CENTER ASSOCIATES LP 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 233040122 COMMERICAL REAL ESTATE PROPERTY OWNERSHIP AND RENTAL PA 11556 342976 UNIVERSITY CITY SCIENCE CENTER WHALEY PARTNERS LP 3711 MARKET STREET 8TH FLOOR PHILADELPHIA PA 19104 208824011 INVESTMENT PA UNIVERSITY CITY SCIENCE CENTER RELATED 135069 0 0 0.80070 PHASE I VENTURES LLC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 474150042 TECHNOLOGY ACCELERATOR PA UNIVERSITY CITY SCIENCE CENTER RELATED 172196 1074369 0 1 0.51200 PORT OF TECHNOLOGY INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 233054794 INCUBATOR STARTUP SUPPORT PA UNIVERSITY CITY SCIENCE CENTER C -93831 1583380 1.00000 0 RESEARCH PARK INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 232671100 SERVICES - REAL ESTATE MGMT PA UNIVERSITY CITY SCIENCE CENTER C 266076 858650 1.00000 0 SCEC VENTURES INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 474043064 PROPERTY DEVELOPMENT PA UNIVERSITY CITY SCIENCE CENTER C -62075 3249544 1.00000 0 0 0 0 0 0 0 0 0 0 1 0 0 1 0 0 1 0 0 0 RESEARCH PARK INC M -458241 RESEARCH PARK INC - NET INTERCOMPANY CHANGE P -33738 RESEARCH PARK INC J 325152 SCEC VENTURES INC - NET INTERCOMPANY CHANGE P -110933 PORT OF TECHNOLOGY INC - NET INTERCOMPANY CHANGE P -232384