2015-03-09T09:49:24-05:00 2014-06-30 BATCHELOR TILLERY & ROBERTS LLP 3605 GLENWOOD AVENUE SUITE 350 RALEIGH NC 27612 990 2013-07-01 581406628 MCNC % PATRICIA L MOODY MCNC 9192481820 3021 CORNWALLIS ROAD Suite RESEARCH TRIANGLE PARK NC 277092889 PATRICIA L MOODY CFO/TREASURER 9192481820 2015-03-09 true Ronald A Batchelor P00077863 9192481820 2013 2016-02-25 16:41:14Z PATRICIA L MOODY 3021 CORNWALLIS ROAD RESEARCH TRIANGLE PARK NC 27709 36856935 false X www.mcnc.org X 1980 NC TO PROVIDE ADVANCED ELECTRONIC AND INFORMATION TECHNOLOGIES TO THE NC EDUCATION COMMUNITY AND GOVERNMENT AGENCIES AND TO BENEFIT ECONOMIC DEVELOPMENT IN NC. 13 13 84 13 701 -9029400 54702209 5941142 20843556 30912075 11918 -30856 0 0 75557683 36822361 36945 22476 0 0 8360272 9014712 0 0 0 20670397 31925021 29067614 40962209 46490069 -4139848 157992132 149772893 25185625 19924894 132806507 129847999 TO PROVIDE ADVANCED ELECTRONIC AND INFORMATION TECHNOLOGIES TO THE NC EDUCATION COMMUNITY AND GOVERNMENT AGENCIES AND TO BENEFIT ECONOMIC DEVELOPMENT IN NC. false false 39684500 22476 30912075 MCNC PROVIDES TECHNICAL INFRASTRUCTURE TO EDUCATE, INNOVATE AND ENHANCE ECONOMIC DEVELOPMENT THROUGHOUT NORTH CAROLINA. MCNC SERVES THE NORTH CAROLINA PUBLIC SECTOR COMMUNITY BY PROVIDING HIGH QUALITY NETWORK INFRASTRUCTURE AND NETWORK RELATED SERVICES. MCNC PROVIDES THE WAN/BACKBONE AND INTERNET CONNECTIVITY TO THE 17 STATE UNIVERSITIES, 58 COMMUNITY COLLEGES, 26 INDEPENDENT UNIVERSITIES AND COLLEGES, 115 LOCAL EDUCATION AGENCIES (BASICALLY TO EACH COUNTY'S PUBLIC K-12 SCHOOL'S ADMINISTRATION), 93 CHARTER SCHOOLS, 5 PRIVATE K12 SCHOOLS, 10 LIBRARIES, 24 RESEARCH INSTITUTIONS, 149 PUBLIC HEALTH (FREE CLINICS & HOSPITAL LOCATIONS), AND 31 GOVERNMENT AGENCIES. THESE SERVICES ARE PROVIDED WITH A SERVICE LEVEL AGREEMENT OF 99.99% "UP" TIME. MCNC ADDITIONALLY PROVIDES COLLOCATION/HOSTING OR BACKUP/STORAGE DATA CENTER SERVICES FOR 8 STATE COLLEGES, 6 INDEPENDENT HIGHER EDUCATION COLLEGES, 6 GOVERNMENT AGENCIES, 12 RESEARCH INSTITUTIONS, 3 COMMUNITY COLLEGES, 2 K12 INSTITUTIONS AND 3 PUBLIC HEALTH INSTITUTIONS. THESE SERVICES ARE PROVIDED 24/7/365. DURING FY 2014 MCNC RECEIVED THE USE OF LAND FOR THEIR CAMPUS FROM TUCASI (TRIANGLE UNIVERSITIES CENTER FOR ADVANCED STUDIES, INC.), VALUED AT $783,469. 39684500 true true false true false false false false false true true false false false true true true true false false false false false false false false false true false true false false false false false false true true false false false false false true true true false false true 67 0 84 true false false false false false false false false false false false false false X 13 13 false false false false false false false true true false false false true true true true true true true false X PATRICIA L MOODY 9192481820 3021 EAST CORNWALLIS ROAD RESEARCH TRIANGLE PARK NC 277092889 MITZIE BRANON DIRECTOR 0.25 X 0 0 0 EDWARD CARNEY DIRECTOR 0.25 X 0 0 0 ANTHONY M COPELAND VICE CHAIRMAN 0.25 X 0 0 0 BARBARA ENTWISLE DIRECTOR 0.25 X 0 0 0 TRACEY FUTHEY DIRECTOR 0.25 X 0 0 0 DONALD A HAILE DIRECTOR 0.25 X 0 0 0 PETER LANGE VICE CHAIRMAN 0.25 X 0 0 0 JOHN LEYDON DIRECTOR 0.25 X 0 0 0 JOAN LORDEN DIRECTOR 0.25 X 0 0 0 ROBERT POMPEY DIRECTOR 0.25 X 0 0 0 TOM RABON CHAIRMAN 0.25 X 0 0 0 R SCOTT RALLS DIRECTOR 0.25 X 0 0 0 A HOPE WILLIAMS DIRECTOR 0.25 X 0 0 0 JOSEPH FREDDOSO PRESIDENT/CEO 64.26 X X 397032 0 48197 PATRICIA L MOODY CFO/TREASURER/SECRETARY 44.58 X 188715 0 28205 EDWARD T JACOBSON VP, CHIEF OPERATING OFFICER 46.68 X 215974 0 37174 TERRI MCGAUGHEY GENERAL COUNSEL/SECRETARY 36.69 X 167928 0 34338 SHIRLEY JENNINGS ASST. SECRETARY 40.0 X 55225 0 14527 S MARK JOHNSON CTO 44.86 X 175626 0 35315 TODD S BROUCKSOU SR. DIRECTOR OPERATIONS 42.67 X 170838 0 24803 JOHN H MOORE SR. DIRECTOR STRATEGIC PLAN. 42.29 X 169122 0 25067 DAVID FURINESS DIR CLIENT NETWORK ENG 44.54 X 141604 0 29460 BETSY HINE DIRECTOR, HUMAN RESOURCES 41.02 X 140141 0 34273 MATTHEW VALENZISI CHIEF NETWORK ARCHITECT 56.57 X 136420 0 25265 1958625 0 336624 20 false true false GLOBE COMMUNICATIONS LLC PO BOX 860787 ORLANDO FL 328860787 BROADBAND CONSTRUCT. 3166586 BROADPLEX LLC 100 E MEETING STREET MORGANTON NC 28655 FIBER CONSTRUCTION 1007755 COMTECH TECHNICAL SERVICE LLC 8973 OAK RIDGE DRIVE HILDEBRAN NC 28637 FIBER INSTALLATION 275955 KATALYST NETWORK GROUP LLC PO BOX 1443 HICKORY NC 28603 FIBER INSTALLATION 142140 K L GATES LLP PO BOX 17047 RALEIGH NC 276197047 LEGAL SERVICES 132138 6 5495901 445241 5941142 CONTRACT REVENUE 541900 3081269 3080568 701 FEES & CONTRACTS FROM GOVERNMENT AGENCIES 900099 27830806 27830806 30912075 3541 3541 0 0 0 0 0 177 34574 -34397 -34397 -34397 0 0 0 0 36822361 30911374 701 -30856 22476 22476 0 0 0 1410379 1283445 126934 0 5859024 5399555 459469 567260 533907 33353 680431 631829 48602 497618 465859 31759 0 167779 106726 61053 37169 30898 6271 116556 58278 58278 0 0 2037494 1968747 68747 1656 828 828 202885 188580 14305 694392 691560 2832 0 542301 528603 13698 204076 184876 19200 0 94745 89934 4811 13894 13894 0 8907252 8880688 26564 197843 187260 10583 TRANSFERS TO MCNC ENDOWMNET 7712331 7712331 LEASED LINES 6998618 6997369 1249 PROVISION FOR FIBER CUTS/RELOC 2210572 2210572 MAINTENANCE & REPAIRS 623412 611606 11806 1162046 884679 277367 40962209 39684500 1277709 0 0 0 1762865 1773505 0 0 13888695 8874492 0 0 0 0 0 3392943 0 0 2784455 2972297 166471688 35790047 135774492 130681641 0 0 0 0 0 0 0 0 3781625 2078015 157992132 149772893 11323225 3144496 0 0 13361199 16204372 0 0 0 0 0 0 0 0 0 0 501201 576026 25185625 19924894 X 13856411 17045028 118950096 112802971 0 0 132806507 129847999 157992132 149772893 -4139848 1181340 X false true X true true true X 6668848 26822896 65215932 54702209 5941142 159351027 0 783469 783469 783469 783469 783469 3917345 7452317 27606365 65999401 55485678 6724611 163268372 3366187 159902185 4603 11244 22056 7508 3541 48952 6297 3795 2520 2520 701 15833 0 163333157 91528028 0.97899 0.97885 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 116556 116556 40845653 40962209 1000000 250000 1000000 1000000 1000000 1000000 4000000 6000000 73917 32633 46086 116556 269192 250000 250000 250000 250000 1000000 1500000 53157124 7712331 9796664 39785 41266 70585068 44785621 1740000 6742509 34790 76216 53157124 50037746 -581502 4580000 33002 57621 44785621 43154464 980515 6120034 156279 60988 50037746 37356790 3104000 3029428 222176 113578 43154464 1.00000 false true true 451866 451866 11816132 6780556 5035576 135582307 25345048 110237259 18621383 3664443 14956940 130681641 0 CAPITAL LEASE 576026 576026 X 38003701 1181340 1181340 36822361 36822361 40962209 40962209 40962209 PART V, LINE 4 INTENDED USES OF THE ORGANIZATION'S ENDOWMENT FUNDS: MCNC INDIRECTLY HOLDS ASSETS IN ENDOWMENT FUNDS THROUGH ITS SUPPORTING ORGANIZATION, MCNC ENDOWMENT. THE MCNC ENDOWMENT WAS ESTABLISHED TO BE OPERATED EXCLUSIVELY FOR THE BENEFIT OF MCNC FOR CHARITABLE, EDUCATIONAL AND SCIENTIFIC OBJECTIVES, AND FOR THE PUBLIC PURPOSE OF PROMOTING SCIENTIFIC RESEARCH AND EDUCATION TO ENCOURAGE THE DEVELOPMENT OF THE ELECTRONIC AND INFORMATION TECHNOLOGIES INDUSTRIES IN THE STATE OF NORTH CAROLINA. SCHEDULE D, PART X, LINE 2 UNCERTAIN TAX POSITIONS UNDER FIN 48 (ASC 740): MANAGEMENT OF THE COMPANY DOES NOT BELIEVE THE COMBINED FINANCIAL STATEMENTS INCLUDE ANY UNCERTAIN TAX POSITIONS. TAX YEARS ENDED JUNE 30, 2011 THROUGH JUNE 30, 2014 REMAIN OPEN FOR EXAMINATION BY TAXING AUTHORITIES AS OF THE DATE OF THIS REPORT. true WIRELESS RESEARCH CENTER OF NC 3331 HERITAGE TRADE DR SUITE 101 WAKE FOREST NC 27587 273397703 501(C)(3) 10000 TO HELP BROADEN THE CENTER'S ECONOMIC DEVELOPMENT IMPACT IN NC 1 0 SCHEDULE I, PART I, LINE 2 GENERAL INFORMATION ON GRANTS AND ASSISTANCE: GRANT RECIPIENTS HAVE TO COMPLY WITH FEDERAL GRANT REGULATIONS, AND MCNC IS RESPONSIBLE FOR MONITORING THEM RELATIVE TO THE GRANT REGULATIONS. X X X X false false false true false false false false false JOSEPH FREDDOSO PRESIDENT/CEO 394980 0 0 2052 0 27048 0 23345 0 447425 0 0 0 PATRICIA L MOODY CFO/TREASURER/SECRETARY 186305 0 0 2410 19038 0 9654 0 217407 0 0 0 S MARK JOHNSON CTO 173956 0 0 0 1670 0 18485 0 17357 0 211468 0 0 0 EDWARD T JACOBSON VP, CHIEF OPERATING OFFICER 214707 0 0 0 1267 0 22387 0 15848 0 254209 0 0 0 TERRI MCGAUGHEY GENERAL COUNSEL/SECRETARY 165802 0 0 0 2126 0 17550 0 17265 0 202743 0 0 0 TODD S BROUCKSOU SR. DIRECTOR OPERATIONS 169378 0 0 0 1460 0 17222 0 8879 0 196939 0 0 0 JOHN H MOORE SR. DIRECTOR STRATEGIC PLAN. 166954 0 0 0 2168 0 17026 0 8519 0 194667 0 0 0 DAVID FURINESS DIR CLIENT NETWORK ENG 140323 0 0 0 1281 0 14923 0 14956 0 171483 0 0 0 BETSY HINE DIRECTOR, HUMAN RESOURCES 138295 0 0 0 1846 0 14774 0 21200 0 176115 0 0 0 MATTHEW VALENZISI CHIEF NETWORK ARCHITECT 135440 0 0 0 980 0 14146 0 11697 0 162263 0 0 0 PART I, LINE 5A QUESTIONS REGARDING COMPENSATION: The president's bonus formulation for fYE 6-30-2014 had four factors. 25% of the bonus was based on completion of a succession plan; 25% was based on a customer satisfaction survey; 25% was based on strategic planning performance; and 25% was based on revenue growth over the prior year. DUKE UNIVERSITY CUSTOMER 277801 TECHNOLOGY SERVICES false JONATHON HINE EMPLOYEE 40984 NOC ANANLYST false PART IV, COLUMN D BUSINESS TRANSACTIONS INVOLVING INTERESTED PERSONS: PETER LANGE IS A DIRECTOR ON MCNC'S BOARD AND PROVOST FOR DUKE UNIVERSITY. DUKE UNIVERSITY IS A CUSTOMER OF MCNC, FOR WHICH MCNC PROVIDES BANDWIDTH RELATED TECHNOLOGY SERVICES. IN FISCAL YEAR 2014, MCNC RECORDED COMBINED REVENUES OF $277,801 FOR SERVICES PROVIDED TO DUKE UNIVERSITY AND DUKE UNIVERSITY MEDICAL CENTER. JONATHON HINE IS AN ASSOCIATE NETWORK OPERATIONS ANALYST FOR MCNC AND IS THE SON OF BETSY HINE, MCNC'S SENIOR DIRECTOR OF HUMAN RESOURCES. FORM 990, PART VI - SECTION B, LINE 11B FORM 990 REVIEW PROCESS: WHILE THE 990 WAS NOT PROVIDED TO THE GOVERNING BODY BEFORE IT WAS FILED, THE AUDITED FINANCIAL STATEMENTS WERE. IT IS THE RESPONSIBILITY OF THE CHIEF FINANCIAL OFFICER TO VERIFY THE RECONCILIATION OF THE TAX RETURN TO THE AUDITED FINANCIAL STATEMENT PRIOR TO THE TAX RETURN BEING FILED. THE CHIEF FINANCIAL OFFICER PROVIDES THE RETURN TO THE FINANCE AND AUDIT COMMITTEE THE NEXT TIME IT MEETS, SUBSEQUENT TO THE RETURN'S COMPLETION. DIRECTORS ARE MADE AWARE AND COPIES WILL BE PROVIDED UPON REQUEST. FORM 990, PART VI - SECTION B, LINE 12C MONITORING CONFLICTS OF INTEREST: MCNC'S DIRECTORS ARE REQUIRED TO SIGN A NEW CONFLICT OF INTEREST POLICY STATEMENT ANNUALLY. SUBSEQUENT REVIEW OF ANY NOTED EXCEPTIONS ARE APPROPRIATELY ACTED UPON IF REQUIRED. FORM 990, PART VI - SECTION B, LINE 15 PROCESS FOR DETERMINING COMPENSATION: COMPENSATION FOR MCNC'S CEO/PRESIDENT IS DERIVED THROUGH A MULTI-FACETED APPROACH. SALARY SURVEY DATA IS COLLECTED AND SHARED WITH THE BOARD'S NOMINATING & GOVERNANCE COMMITTEE. THE NOMINATING & GOVERNANCE COMMITTEE THEN PRESENTS THEIR RECOMMENDATION TO THE BOARD. UPON A PROPERLY RECORDED BOARD VOTE, A CONTRACT IS THEN EXECUTED. FOR ALL OTHER POSITIONS, EACH JOB IS CAREFULLY STUDIED BY THE DIRECTOR OF HUMAN RESOURCES AND A JOB CLASS ASSIGNED. SALARY SURVEY DATA IS THEN COLLECTED AND A SALARY RANGE FOR THE JOB CLASS IS DETERMINED IF THE CLASS DID NOT HAVE A PREVIOUSLY DETERMINED RANGE (NEW JOB CLASSES WOULD BE THE ONLY CASE WHERE RANGES ARE NOT CURRENTLY AVAILABLE). THE EMPLOYEE IS THEN OFFERED A SALARY WITHIN THE RANGE BASED ON THEIR SPECIFIC SKILL SETS AND EXPERIENCE LEVELS. ANY OFFICER SALARY BEYOND THE CEO/PRESIDENT'S COMPENSATION FURTHER REQUIRES BOARD APPROVAL. FORM 990, PART VI - SECTION C, LINE 19 MAKING INFORMATION AVAILABLE TO THE PUBLIC: MCNC'S MISSION IS POSTED ON THE MCNC WEBSITE. OUR ARTICLES OF INCORPORATION ARE AVAILABLE ON-LINE WITH THE NC SECRETARY OF THE STATE'S OFFICE. ALL OTHER DOCUMENTS ARE AVAILABLE UPON WRITTEN REQUEST TO THE CORPORATE SECRETARY. MCNC ENDOWMENT PO BOX 12889 RTP NC 27709 582591748 SUPPORT MCNC NC 501(C)(3) 11A MCNC true false false false false false false false false false false false false false false false true true false MCNC ENDOWMENT R 7712331 FMV