2017-09-07T14:03:59-05:00 2016-12-31 131639826 EISNERAMPER LLP 130 NORTH 18TH STREET SUITE 3000 PHILADELPHIA PA 191032757 990 2016-01-01 231645908 UNIVERSITY CITY SCIENCE CENTER UNIV 2159666045 3711 MARKET STREET 8TH FLOOR PHILADELPHIA PA 19104 STEPHEN S TANG PRESIDENT 2159666045 2017-08-28 1 EDWARD S LEONARD P01261018 2158818800 64.238.150.12 2017-08-28 09:26:30 ED P 4315150A839E12A78154AAF83A05078E473CC2D3 11E4F87B808601681ED7EBCCE25F4947C06DAB1C 2016 2021-01-29 14:40:06Z STEPHEN S TANG 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 26211721 0 X WWW.SCIENCECENTER.ORG X 1963 PA TO ACCELERATE TECHNOLOGY COMMERCIALIZATION IN THE GREATER PHILADELPHIA REGION. 27 26 78 0 0 0 4605546 1720575 22673873 21569431 6922741 64965 971879 462830 35174039 23817801 410930 842410 0 0 5255866 5444137 0 0 516000 20987065 18088062 26653861 24374609 8520178 -556808 86869382 88627776 65852235 67396604 21017147 21231172 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 1673919 1569147 SEE DETAIL SCHEDULE O NARRATIVE 1630559 842410 3955261 SEE DETAIL SCHEDULE O NARRATIVE 13914143 16483685 SEE DETAIL SCHEDULE O NARRATIVE COMMUNITY ENGAGEMENTTHE SCIENCE CENTER SUPPORTS THE COMMUNITY THROUGH A VARIETY OF PROGRAMS AND PARTNERSHIPS, INCLUDING QUORUM, THE REGIONAL AFFINITY INCUBATION NETWORK (RAIN), THE MICROSOFT REACTOR, 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 2016, THE THIRD FULL YEAR OF OPERATION, FIRSTHAND WORKED WITH 639 LOCAL YOUTHS AND PROVIDED MORE THAN 5,500 HOURS OF STUDENT ENGAGEMENT THROUGH OVER 30 INDIVIDUAL PROGRAMS AND EVENTS. FIRSTHAND PROGRAMS INCLUDE:(1) 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.(2) 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.(3) 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.(4) 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. (5) 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.(6) 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.(7) 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. QUORUMQUORUM 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 RELATED PROGRAMS THROUGHOUT THE REGION. 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, 2016, 53,626 PEOPLE PARTICIPATED IN 970 EVENTS AND PROGRAMS IN QUORUM. IN 2016, MORE THAN 12,600 PEOPLE PARTICIPATED IN 192 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 8TH ANNUAL RAIN CONFERENCE IN JULY 2016. TITLED SIZE MATTERS: HOW LARGE ENTERPRISES ARE LEVERAGING THE STARTUP COMMUNITY, THE CONFERENCE EXPLORED HOW LARGE ENTERPRISES IN THE GREATER PHILADELPHIA REGION CAN LEVERAGE THE INNOVATION COMMUNITY AS A RESOURCE FOR GROWTH AND COMPETITIVENESS.UNIVERSITY CITY KEYSTONE INNOVATION ZONETHE 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 $2.38 MILLION IN TAX CREDITS AWARDED BY THE PENNSYLVANIA DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT IN 2016 AS PART OF THE KEYSTONE INNOVATION ZONE (KIZ) TAX CREDIT PROGRAM. SINCE 2006, OVER $10.3 MILLION IN KIZ TAX CREDITS HAVE BEEN AWARDED TO 63 COMPANIES IN THE UNIVERSITY CITY KIZ. 1261098 61338 MICROSOFT REACTORA PARTNERSHIP BETWEEN THE SCIENCE CENTER, MICROSOFT, SEVENTYSIX CAPITAL AND WEXFORD SCIENCE & TECHNOLOGY, THE MICROSOFT REACTOR IS A SPACE DEDICATED TO THE DEVELOPER AND STARTUP COMMUNITY. MANAGED BY SCIENCE CENTER PERSONNEL, THE MICROSOFT REACTOR CONNECTS DEVELOPERS AND ENTREPRENEURS TO SUBJECT-MATTER EXPERTS, PROGRAMS AND TRAINING TO HELP ADVANCE THEIR IDEAS. THE REACTOR SOFT LAUNCHED IN JULY 2016 AND FORMALLY OPENED FOUR MONTHS LATER IN NOVEMBER. IT IS ONE OF THREE REACTORS IN THE U.S. IN JULY 2016, THE SCIENCE CENTER AND MICROSOFT ESTABLISHED A STRATEGIC DIGITAL ALLIANCE THAT FOCUSES ON DIGITAL LITERACY, SMALL BUSINESS AND ENTREPRENEURSHIP, HEALTH AND WELLNESS, AND YOUTH ENGAGEMENT WITH STEM SUBJECTS. 1261098 61338 18479719 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 80 0 1 78 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 0 PA NJ NY MD CA MA FL GA DC X UNIVERSITY CITY SCIENCE CENTER 2159666000 3711 MARKET STREET STE 800 PHILADELPHIA PA 19104 STEPHEN TANG PRESIDENT AND CEO 40.00 X X 648443 0 40973 STEPHEN K KLASKO BOARD MEMBER 0.30 X 0 0 0 CRAIG R CARNAROLI BOARD MEMBER - CHAIRMAN 1.00 X X 0 0 0 ERNEST J DIANASTASIS BOARD MEMBER 0.30 X 0 0 0 MICHAEL A DIPIANO BOARD MEMBER - VICE CHAIRM 1.00 X X 0 0 0 GLEN N GAULTON BOARD MEMBER 1.00 X 0 0 0 KEITH LEAPHART BOARD MEMBER 0.30 X 0 0 0 DARIO C ALTIERI BOARD MEMBER 0.30 X 0 0 0 KENNETH L KRING BOARD MEMBER 1.00 X 0 0 0 TARA L WEINER BOARD MEMBER 1.00 X 0 0 0 DAVID R KING BOARD MEMBER 0.30 X 0 0 0 CARL KOPFINGER BOARD MEMBER 1.00 X 0 0 0 KENNETH J BLANK BOARD MEMBER - VICE CHAIRM 1.00 X X 0 0 0 CHRISTOPHER M CASHMAN BOARD MEMBER 0.30 X 0 0 0 KATHLEEN M SHAY BOARD MEMBER 0.30 X 0 0 0 M BRIAN BLAKE BOARD MEMBER 0.30 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 THOMAS J TODOROW BOARD MEMBER 0.30 X 0 0 0 WILLIAM J MARRAZZO BOARD MEMBER 0.30 X 0 0 0 KEITH A ORRIS BOARD MEMBER 0.30 X 0 0 0 STEPHEN SPINELLI JR PHD BOARD MEMBER 0.30 X 0 0 0 KERRY BENSON BOARD MEMBER 0.30 X 0 0 0 STEPHEN ZARRILLI BOARD MEMBER 0.30 X 0 0 0 DAWN A BONNELL BOARD MEMBER 0.30 X 0 0 0 RICHARD W VAGUE BOARD MEMBER 0.30 X 0 0 0 ROBERT MARCANTUONO VP FIN. AND ADMIN. (THRU 9/16/16) 20.00 20.00 X 84639 84638 19487 SAUL BEHAR VP & GENERAL COUNSEL, SECR 40.00 X 326310 0 47635 MONICA CAWVEY GALLAGHER VP OF DEVELOPMENT (THRU 9/30/16) 40.00 X 187793 0 28383 LORRAINE LOPRESTI VP, FIN. & ADMIN.(EFF. 8/30) 20.00 20.00 X 26974 26974 2422 CURTIS HESS SENIOR VP REAL ESTATE 10.00 30.00 X 92649 277946 47635 JEANNE MELL VP MKTG/COMMUNICATION & CO 40.00 X 224089 0 37948 CHRISTOPHER LAING VP OF SCIENCE & TECHNOLOGY 40.00 X 239097 0 32350 MARY ROBERTSON SENIOR PROPERTY MANAGER 1.00 40.00 X 0 135720 27230 ADAM GREENSPAN DIRECTOR, BUSINESS INCUBAT 40.00 X 117810 0 29562 RICHARD SOUTHERLAND DIRECTOR OF CONSTRUCTION 1.00 40.00 X 0 118478 17538 JEFFERY ANDREWS SENIOR PROPERTY MANAGER 1.00 40.00 X 0 162195 8136 PETER MELLEY DIRECTOR - S&T PROGRAMS 40.00 X 127700 0 13724 2075504 805951 353023 7 0 1 0 GCA SERVICE GROUP PO BOX 643823 PITTSBURGH PA 15264 JANITORIAL SERVICES 1317924 ALLIED BARTON SECURITY SERVICES PO BOX 828854 PHILADELPHIA PA 19182 SECURITY SERVICES 630320 THE SULLIVAN COMPANY 2 LA GRANGE AVENUE ESSINGTON PA 19029 CONSTRUCTION SERVICES 392540 HERMAN GOLDNER & CO INC 7777 BREWSTER AVENUE PHILADELPHIA PA 19153 CONSTRUCTION SERVICES 346902 PALMER WATERPROOFING 2175 BENNETT ROAD PHILADELPHIA PA 19116 CONSTRUCTION SERVICES 245552 15 105399 920251 694925 1720575 RENTAL INCOME FROM EXEMPT-PURPOSE 532000 16483685 16483685 EQUITY IN JOINT VENTURE PARTNERSH 531390 3432350 3432350 INCUBATOR OPERATIONS 541900 1569147 1569147 BUSINESS & COMMUNITY NETWORK 541900 61338 61338 SCIENCE & TECHNOLOGY 541900 22911 22911 21569431 90931 90931 2312034 2338000 -25966 -25966 -25966 18750 105399 55920 -37170 -37170 CAPITAL CONTRIBUTION TO PHASE 1 V 900099 500000 500000 500000 23817801 22069431 0 27795 842410 842410 2114626 897325 813708 403593 2289086 1254292 994288 40506 258134 135324 111174 11636 459252 233705 187896 37651 323039 164304 136121 22614 4402 4402 158109 32650 125459 132700 9100 123600 223362 223362 962594 446315 516279 393167 43004 350163 664876 264654 400222 6647573 6266606 380967 65415 20701 44714 2669087 2669087 5275532 4382017 893515 222964 152516 70448 SECURITY 456809 455213 1596 MISCELLANEOUS 160639 158131 2508 OTHER TAXES 41750 38880 2870 BAD DEBT 9083 9083 24374609 18479719 5378890 516000 6376135 9461252 2377932 3350196 3921434 2648512 344988 454425 110075206 54321623 62534501 55753583 4228204 4300738 1603000 3016000 1256942 5625909 4226246 4017161 86869382 88627776 3896670 2754218 58249525 61249533 3706040 3392853 65852235 67396604 X 19488814 20312839 1528333 918333 21017147 21231172 86869382 88627776 X -556808 124099 646734 X X 0 1 X 1 0 X 1924994 1233705 2332245 4605546 1720575 11817065 18153690 18757011 21368957 22673873 21569431 102522962 20078684 19990716 23701202 27279419 23290006 114340027 0 10239430 11136550 11821274 13158257 12669187 59024698 10239430 11136550 11821274 13158257 12669187 59024698 55315329 142359 180442 145181 146048 90931 704961 142359 180442 145181 146048 90931 704961 1000000 500000 1500000 20221043 20171158 23846383 28425467 23880937 116544988 0.47460 0.48910 0.00600 0.00640 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. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 223362 223362 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. 239353 8032 247385 234167 5186 239353 227194 6973 234167 206908 20286 227194 188354 18554 206908 1.00000 0 0 5206056 5206056 99962647 50714364 49248283 4141065 3607259 533806 765438 765438 55753583 INVESTMENTS - PROGRAM RELATED 5625909 F 5625909 DEPOSITS & OTHER CURRENT LIAB. 1041713 OTHER LONG TERM LIABILITIES 2351140 3392853 X 20839317 1018291 1018291 19821026 3996775 3996775 23817801 26267741 1893132 1893132 24374609 0 24374609 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 AND SCEC, ARE FOR PROFIT ENTITIES WHICH ARE SUBJECT TO INCOME TAXES. THERE WERE NO FEDERAL OR STATE INCOME TAX EXPENSES FROM THE CONSOLIDATED ENTITIES AS OF DECEMBER 31, 2016 AND 2015. 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, 2016 AND 2015, 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 PENALITIES 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 662,371. QED MATCH 300,000. DIRECT FUNDRAISING EXPENSES 55,920. PART XI, LINE 4B - OTHER ADJUSTMENTS: EQUITY IN NET EARNINGS (LOSS) OF JV'S 3,432,350. INVESTMENT INCOME 90,391. REALIZED LOSS ON SALE OF INVESTMENTS -25,966. CONTRIBUTIONS TO PHASE 1 VENTURES 500,000. PART XII, LINE 2D - OTHER ADJUSTMENTS: EXPENDITURES OF CONSOLIDATED SUBSIDIARIES 1,537,212. QED PROGRAM MATCH 300,000. DIRECT FUNDRAISING EXPENSES 55,920. NUCLEUS EVENT 124149 105399 18750 4713 21920 29287 124149 105399 18750 4713 21920 29287 55920 -37170 1 UNIVERSITY OF DELAWARE 220 HULLIHEN HALL NEWARK DE 19716 516000297 501(C)(3) 87500 PROOF OF CONCEPT FUNDING THE PENNSYLVANIA STATE UNIVERSITY 500 UNIVERSITY DRIVE HERSHEY PA 17033 246000376 501(C)(3) 75000 PROOF OF CONCEPT FUNDING RUTGERS UNIVERSITY 3 RUTGERS PLAZA ASB III NEW BRUNSWICK NJ 08901 226001086 501(C)(3) 137500 PROOF OF CONCEPT FUNDING INVISALERT SOLUTIONS INC 16 EISENHARD DR IVYLAND PA 18974 433411785 N/A 53600 DIGITAL HEALTH ACCELERATOR FUNDING GRAPHWEAR TECHNOLOGIES INC 3401 MARKET STREET SUITE 201 PHILADELPHIA PA 19104 474163279 N/A 57200 DIGITAL HEALTH ACCELERATOR FUNDING GRANDROUND TABLE INC 3401 MARKET STREET SUITE 201 PHILADELPHIA PA 19104 452723904 N/A 57200 DIGITAL HEALTH ACCELERATOR FUNDING ONCORA MEDICAL 700 COMMODORE COURT UNIT 2720 PHILADELPHIA PA 19146 472182320 N/A 57200 DIGITAL HEALTH ACCELERATOR FUNDING TISSUE ANALYTICS INC 8 MARKET PLACE SUITE 405 BALTIMORE MD 21202 471863600 N/A 50203 DIGITAL HEALTH ACCELERATOR FUNDING ONE HEALTH 3401 MARKET STREET SUITE 201 PHILADELPHIA PA 19104 811182918 N/A 41787 DIGITAL HEALTH ACCELERATOR FUNDING BIOSIGNAL ANALYTICS INC 3624 MARKET STREET SUITE 5E PHILADELPHIA PA 19104 474638129 N/A 9653 P1V FUNDING POLYCORE THERAPEUTICS LLC 3180 CHESTNUT STREET SUITE 104 PHILADELPHIA PA 19104 473081314 N/A 25000 P1V FUNDING POLYCERMANX INC 924 N PENNSYLVANIA ST SUITE C INDIANAPOLIS IN 46204 813413743 N/A 6693 P1V FUNDING RECENSA THERAPEUTICS INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 813159327 N/A 5895 P1V FUNDING REGENNERA THERAPEUTICS INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 813358803 N/A 11813 P1V FUNDING QUANTITATIVE RADIOLOGY SOLUTIONS 3624 MARKET STREET SUITE 5E PHILADELPHIA PA 19104 462926646 N/A 110498 P1V FUNDING SDM INNOVATIONS INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 812145696 N/A 11280 P1V FUNDING TALEE BIO INC 3001 MARKET STREET SUITE 140 PHILADELPHIA PA 19104 812792302 N/A 31338 P1V FUNDING P1V FUNDING P1V FUNDING P1V FUNDING 3 14 PART I, LINE 2: GRANT FUNDS MONITORING AT UCSC IS AN ORGANIZATION-WIDE ENDEAVOR. THE GRANT ADMINISTRATOR COORDINATES THE GRANT PROCESS FROM APPLICATION THROUGH CLOSE OUT WITH OVERSIGHT PROVIDED BY AN EXECUTIVE STAFF MEMBER. THE GRANT ADMINISTRATOR REVIEWS THE AWARD DOCUMENTATION AND APPLICABLE LAWS 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 BY THE GRANT ADMINISTRATOR IN CONJUNCTION WITH THE ASSIGNED EXECUTIVE. UPON TERMINATION OF THE AWARD, IT IS THE RESPONSIBILITY OF THE GRANT ADMINISTRATOR TO FINALIZE THE GRANT AND SUBMIT ALL REQUIRED CLOSE OUT MATERIALS. X 1 1 X X X X 0 1 0 0 0 0 0 0 0 STEPHEN TANG PRESIDENT AND CEO 442215 0 206228 0 0 0 28245 0 12728 0 689416 0 0 0 ROBERT MARCANTUONO VP FIN. AND ADMIN. (THRU 9/16/16) 56763 56762 27876 27876 0 0 8379 8379 1364 1365 94382 94382 0 0 SAUL BEHAR VP & GENERAL COUNSEL, SECR 239100 0 87210 0 0 0 28245 0 19390 0 373945 0 0 0 MONICA CAWVEY GALLAGHER VP OF DEVELOPMENT (THRU 9/30/16) 126709 0 61084 0 0 0 18980 0 9403 0 216176 0 0 0 CURTIS HESS SENIOR VP REAL ESTATE 65100 195300 27549 82646 0 0 7061 21184 4847 14543 104557 313673 0 0 JEANNE MELL VP MKTG/COMMUNICATION & CO 159200 0 64889 0 0 0 23336 0 14612 0 262037 0 0 0 CHRISTOPHER LAING VP OF SCIENCE & TECHNOLOGY 169800 0 69297 0 0 0 25137 0 7213 0 271447 0 0 0 MARY ROBERTSON SENIOR PROPERTY MANAGER 0 129257 0 6463 0 0 0 12731 0 14499 0 162950 0 0 JEFFERY ANDREWS SENIOR PROPERTY MANAGER 0 147559 0 14636 0 0 0 5744 0 2392 0 170331 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 $116,000 FOR THE YEAR ENDED DECEMBER 31, 2016. FORM 990, PART III, LINE 4A, PROGRAM SERVICE ACCOMPLISHMENTS: THE PORT BUSINESS INCUBATOR AT THE HEART OF THE SCIENCE CENTER LIES THE PORT BUSINESS INCUBATOR, WHICH 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 CREATED MORE THAN 12,000 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. THIS MAKES THE PORT ONE OF THE MOST FLEXIBLE INCUBATOR FACILITIES IN THE REGION. 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. FORM 990, PART III, LINE 4B, PROGRAM SERVICE ACCOMPLISHMENTS: 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 GREATER PHILADELPHIA AND CENTRAL PA 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 WILL ULTIMATELY 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 REGIONAL 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://SCIENCECENTER.ORG/PROGRAMS/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. 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 WILL LAUNCH NEW COMPANIES IN A COST-EFFICIENT MANNER, LEVERAGING FEDERAL SBIR/STTR FUNDING. P1V WILL TEST 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 WILL PROVIDE 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. P1V IS BEING LAUNCHED AS A PILOT WITH FUNDING FROM THE US ECONOMIC DEVELOPMENT ADMINISTRATION, THE SCIENCE CENTER, AND WEXFORD SCIENCE & TECHNOLOGY. THROUGH P1V, THE SCIENCE CENTER WILL CAPITALIZE ON AND EXPAND ITS DEEP RELATIONSHIPS WITH UNIVERSITIES AND HEALTHCARE INSTITUTIONS THROUGHOUT THE TRI-STATE GREATER PHILADELPHIA 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 WILL LEVERAGE SBIR/STTR FUNDING AND AGGREGATE RESOURCES THAT CAN BE SHARED AMONG SEVERAL PROJECTS, CREATING ECONOMIES OF SCALE. AS A COLLABORATIVE PLATFORM, P1V WILL PROVIDE GREATER OPPORTUNITIES FOR INVENTORS, INSTITUTIONS, ENTREPRENEURS AND INVESTORS TO FORM AND GROW SPINOUT COMPANIES AROUND EARLY-STAGE TECHNOLOGIES WITH HIGH COMMERCIAL POTENTIAL. INNOVATION CENTER @3401 LOCATED AT 3401 MARKET STREET, THE INNOVATION CENTER @3401 IS A COLLABORATION BETWEEN THE SCIENCE CENTER AND DREXEL UNIVERSITY, AND IS HOME TO DREAMIT VENTURES. OPENED IN JUNE OF 2014, THIS NEW SYNERGISTIC PROGRAM SUPPORTS INNOVATION, COLLABORATION, AND BUSINESS CREATION. 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. 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 BE PLACED INTO THE HANDS OF CUSTOMERS. THE DIGITAL HEALTH ACCELERATOR PROVIDES FUNDING, MENTORSHIP (INTELLECTUAL PROPERTY, SALES AND MARKETING, REGULATORY, FUNDRAISING ETC.), WARM INTRODUCTIONS, AND A FLEXIBLE WORKPLACE FOR PARTICIPANTS. THE FIRST TWO CLASSES OF 13 INTERNATIONAL AND DOMESTIC COMPANIES HAVE CREATED MORE THAN 160 JOBS, GENERATED SALES REVENUES OF MORE THAN $20M, AND ATTRACTED INVESTMENTS OF ALMOST $22M TO DATE. THE SCIENCE CENTER IS CONSIDERING OPTIONS FOR HOSTING ADDITIONAL COHORTS. FORM 990, PART III, LINE 4C, PROGRAM SERVICE ACCOMPLISHMENTS: REAL ESTATE THE SCIENCE CENTER 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 APPROVAL BY THE AUDIT COMMITTEE, AT WHICH TIME IT WILL BE 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 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. 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 XI, LINE 9: NET RPI ACTIVITY -745,700. UNREALIZED GAIN ON INTEREST RATE SWAP 252,194. NET SCEC ACTIVITY -129,141. NET PORT OF TECHNOLOGY ACTIVITY 1,269,381. 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 1030374 29573677 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 10408 298724 UNIVERSITY CITY SCIENCE CENTER WHALEY PARTNERS LP 3711 MARKET STREET 8TH FLOOR PHILADELPHIA PA 19104 208824011 INVESTMENT PA UNIVERSITY CITY SCIENCE CENTER RELATED 153382 0 0 0.80070 PORT OF TECHNOLOGY INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 233054794 INCUBATOR STARTUP SUPPORT PA UNIVERSITY CITY SCIENCE CENTER C 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 -270046 519415 1.00000 0 SCEC VENTURES INC 3711 MARKET STREET SUITE 800 PHILADELPHIA PA 19104 474043064 PROPERTY DEVELOPMENT PA UNIVERSITY CITY SCIENCE CENTER C 3290472 3178124 1.00000 0 0 0 0 0 0 0 0 0 0 1 0 0 1 0 0 1 1 0 0 RESEARCH PARK INC M -466112 RESEARCH PARK INC - NET INTERCOMPANY CHANGE P 3469878 RESEARCH PARK INC J 306347 SCEC VENTURES INC - NET INTERCOMPANY CHANGE Q -421578