2023-05-12T16:09:17-05:00 2022-06-30 366055558 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 990 2021-07-01 237326030 MICHIGAN STATE UNIVERSITY FOUNDATION MICH 5173539268 325 E GRAND RIVER AVE 275 EAST LANSING MI 48823 DAVID WASHBURN EXECUTIVE DIRECTOR 5173539268 2023-05-12 1 DAVID WASHBURN XXX-XX-XXXX BRIDGET T ROCHE P00666837 3128560200 3 AAL1 IAL1 2021 2023-04-26 12:10:37Z MICHIGAN STATE UNIVERSITY RESEARCH FOUNDATION DAVID WASHBURN 325 E GRAND RIVER AVE 275 EAST LANSING MI 48823 132845217 0 5167 X WWW.MSUFOUNDATION.ORG X 1973 MI TO PROVIDE SUPPORT FOR THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY (CONTINUED IN SCHEDULE O) AND TO PROMOTE, SPONSOR, ASSIST, AND CARRY OUT EDUCATIONAL, SCIENTIFIC, CHARITABLE AND RELATED ACTIVITIES AND OBJECTIVES OF MICHIGAN STATE UNIVERSITY. 20 19 31 21 1378659 740717 3897622 5943760 359800 993417 49675807 43975781 1917709 586627 55850938 51499585 12203569 14823054 0 0 2737669 3905765 0 0 0 4574657 4992408 19515895 23721227 36335043 27778358 535425307 547375250 37012623 71408072 498412684 475967178 TO PROVIDE SUPPORT FOR THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY AND TO PROMOTE, SPONSOR, ASSIST, AND CARRY OUT EDUCATIONAL, SCIENTIFIC, CHARITABLE AND RELATED ACTIVITIES AND OBJECTIVES OF MICHIGAN STATE UNIVERSITY. 0 0 17322301 14823054 993417 GRANTING FUNDS TO ADVANCE RESEARCH AND THE UNIVERSITY'S SCHOLARLY INFRASTRUCTURE OF TEACHING AND DISSEMINATION OF NEW KNOWLEDGE, UNDERWRITING MSU'S WORK IN TECHNOLOGY COMMERCIALIZATION, DEVELOPING, SCALING AND DE-RISKING BIO-BASED TECHNOLOGIES THROUGH MBI INTERNATIONAL, A WHOLLY-OWNED FOUNDATION SUBSIDIARY, FOSTERING THE CREATION OF STARTUP ENTERPRISES ORIGINATING FROM MSU THROUGH THE FOUNDATION'S SPARTAN INNOVATIONS AND INVESTMENT HOLDINGS SUBSIDIARIES, AND PROVIDING FACILITIES AND BUILDING SITES AT THE UNIVERSITY CORPORATE RESEARCH PARK AND FOUNDATION PARK I FOR TECHNOLOGY ENTERPRISES, UNIVERSITY TECHNOLOGY-DEVELOPMENT INITIATIVES, AND UNIVERSITY/INDUSTRY COLLABORATIONS. 1967290 SPARTAN INNOVATIONS PROVIDES THE EDUCATIONAL AND FINANCIAL SUPPORT NECESSARY TO TURN MSU RESEARCH TECHNOLOGIES INTO SUCCESSFUL MICHIGAN BUSINESSES - AND SPUR ENTREPRENEURSHIP IN THE MICHIGAN ECONOMY. 19289591 1 1 0 0 0 0 0 0 0 0 1 1 0 1 1 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 1 40 0 1 31 1 1 1 1 CJ 0 0 0 0 0 0 0 0 0 0 X 20 19 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA FL IA KS MO NC ND NM OK VA MI X REBEKAH SKRZYNIARZ 5173539268 325 E GRAND RIVER AVE SUITE 275 EAST LANSING MI 48823 DAVID WASHBURN EXECUTIVE DIRECTOR 37.00 3.00 X X 391066 0 56480 MELISSA WOO PRESIDENT 2.00 0.00 X X 0 0 0 RANDOLPH COWEN CHAIRMAN 2.00 0.20 X X 0 0 0 SCOTT ESTON VICE CHAIRMAN 2.00 0.00 X X 0 0 0 BRUCE LEECH TREASURER 2.00 0.00 X X 0 0 0 JOHN PHILLIPS SECRETARY 2.00 0.20 X X 0 0 0 JON BRAEUTIGAM DIRECTOR 2.00 0.00 X 0 0 0 KERMITT BROOKS DIRECTOR 2.00 0.00 X 0 0 0 JEFFREY DEGRAAF DIRECTOR 2.00 0.00 X 0 0 0 MELANIE FOSTER DIRECTOR 2.00 0.00 X 0 0 0 DOUGLAS GAGE DIRECTOR 2.00 0.00 X 0 0 0 PATRICIA HEMINGWAY HALL DIRECTOR 2.00 0.00 X 0 0 0 LINDA HUBBARD DIRECTOR 2.00 0.00 X 0 0 0 PAT O'KEEFE DIRECTOR 2.00 0.00 X 0 0 0 WILLIAM SEIFERT DIRECTOR 2.00 0.00 X 0 0 0 STAN SOKOLOWSKI DIRECTOR 2.00 0.00 X 0 0 0 SAMUEL L STANLEY JR MD DIRECTOR 2.00 0.00 X 0 0 0 JANICE STIPP DIRECTOR 2.00 0.00 X 0 0 0 JOEL WITTENBERG DIRECTOR 2.00 0.00 X 0 0 0 TERESA WOODRUFF DIRECTOR 2.00 0.00 X 0 0 0 REBEKAH SKRZYNIARZ DIRECTOR OF FINANCE 38.00 2.00 X 146282 0 34514 JEFFREY WESLEY EXECUTIVE DIRECTOR RCV & SI 40.00 0.00 X 276900 0 47015 FRANK URBAN DIRECTOR OF VENTURE CREATION 40.00 0.00 X 141389 0 40542 BRADLEY FINGLAND DIRECTOR OF VENTURE CREATION 40.00 0.00 X 142243 0 31242 PREM BODAGALA DIRECTOR OF RED CEDAR VENTURES 40.00 0.00 X 146308 0 25302 1244188 0 235095 6 0 1 0 CAMBRIDGE ASSOCIATES LLC PO BOX 83232 CHICAGO IL 606910232 CONSULTING SERVICES 552243 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 ACCOUNTING SERVICES 212022 2 4133037 1810723 5943760 MANAGEMENT FEE REVENUE 900099 888417 888417 SPONSORSHIP 900099 105000 105000 993417 1081934 296040 785894 579711 579711 124239479 81345632 42893847 42893847 1082619 41811228 MISCELLANEOUS REVENUE 900099 6237 6237 REBATE REVENUE 900099 679 679 6916 51499585 993417 1378659 43183749 14823054 14823054 1185733 948586 237147 2190155 1971140 219015 151033 135930 15103 273160 245844 27316 105684 95116 10568 86099 38622 47477 551836 160641 391195 2494922 2494922 61725 30862 30863 160893 64340 96553 60351 15088 45263 121658 30414 91244 161355 40339 121016 44273 11068 33205 59982 14995 44987 10938 10938 130374 130374 BAD DEBT EXPENSE 645642 645642 UNRELATED BUSINESS TAX 323478 323478 SUBS/ONLINE SERVICES 66473 16618 49855 PROFESSIONAL DVLPMT 7241 7241 5168 1292 3876 23721227 19289591 4431636 0 1205041 148266 21985143 19146473 2626980 5029131 3082835 4000599 55181 68142 26698668 39590 9511758 26659078 191928835 158785326 278012038 278389055 5508554 10812222 21508942 44336958 535425307 547375250 2957323 5940681 19883743 19984023 6047524 20800259 8124033 24683109 37012623 71408072 X 457180437 438609082 41232247 37358096 498412684 475967178 535425307 547375250 X 27778358 -57259403 -32960 7068499 X 0 1 X 1 0 X 9276982 2317054 1698782 3897622 5943760 23134200 9276982 2317054 1698782 3897622 5943760 23134200 23134200 10131881 9350559 8024217 4739251 1661645 33907553 0 499088 0 442883 740717 1682688 150311 6916 157227 58881668 1399011 0.39290 0.34990 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: FEE FOR VIOLATION ON CONTRACT - 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 150,001. 2021 AMOUNT: $ 0. REBATE REVENUE - 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 310. 2021 AMOUNT: $ 679. MISCELLANEOUS REVENUE - 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 0. 2021 AMOUNT: $ 6,237. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 7309525 7309525 0 24828 12458 12370 36930 27132 9798 19327385 19327385 26659078 VENTURE CAPITAL INVESTMENT 143468554 F LIMITED PARTNERSHIPS 134920501 F 278389055 DUE FROM RELATED ENTITIES 27217475 INVESTMENTS IN RELATED ENTITIES 17119483 44336958 DUE TO RELATED ENTITIES 17175394 ANNUITIES PAYABLE 7104979 LIFE ESTATE AGREEMENT OBLIGATIONS 402736 24683109 X PART X, LINE 2: FIN 48 FOOTNOTE THE FOUNDATION IS EXEMPT FROM FEDERAL INCOME TAXES UNDER THE INTERNAL REVENUE CODE (CODE) SECTION 501(C)(3), AND IS ALSO NOT A PRIVATE FOUNDATION UNDER THE MEANING OF THE CODE, SECTION 509(A)(1). HOWEVER, INCOME FROM CERTAIN ACTIVITIES NOT DIRECTLY RELATED TO THE FOUNDATION'S TAX-EXEMPT PURPOSE IS SUBJECT TO TAXATION AS UNRELATED BUSINESS INCOME. MBI AND UCRP-I ARE EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTIONS 501(C)(3) AND 501(C)(2), RESPECTIVELY, OF THE CODE. ACCORDINGLY, NO PROVISION FOR INCOME TAXES FOR EITHER ENTITY IS INCLUDED IN THE ACCOMPANYING CONSOLIDATED STATEMENTS OF ACTIVITIES AND CHANGES IN NET ASSETS. SPARTAN INNOVATIONS IS A LOW-PROFIT, LIMITED LIABILITY COMPANY AND IS TREATED AS A DISREGARDED ENTITY (AN ENTITY THAT IS NOT RECOGNIZED AS AN ENTITY SEPARATE FROM ITS OWNER, THE FOUNDATION) FOR INCOME TAX PURPOSES. INVESTMENT HOLDINGS LLC, RED CEDAR VENTURES, MI RISE, AND FOUNDATION PARK ARE FOR-PROFIT LIMITED LIABILITY COMPANIES AND ARE TREATED AS DISREGARDED ENTITIES FOR INCOME TAX PURPOSES. THE ORGANIZATION RECORDS INTEREST AND PENALTIES RELATED TO TAX POSITIONS AS INTEREST EXPENSE OR OTHER EXPENSES, RESPECTIVELY, IN THE CONSOLIDATED STATEMENTS OF ACTIVITIES AND CHANGES IN NET ASSETS. THERE WERE NO MATERIAL INTEREST AND PENALTIES. CAYMAN ISLANDS 0 0 INVESTMENT 128571000 0 0 0 0 0 0 128571000 0 128571000 1 0 1 1 1 0 PART III ACCOUNTING METHOD: 1 MICHIGAN STATE UNIVESRSITY BOARD OF TRUSTEES 325 E GRAND RIVER AVE STE 275 EAST LANSING MI 48824 386005984 115 14823054 0 SUPPORT UNIVERSITY 1 0 PART I, LINE 2: PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS ALL GRANTS TO MICHIGAN STATE UNIVERSITY ARE DISCUSSED AND APPROVED BY THE EXECUTIVE COMMITTEE, GRANTS COMMITTEE, AND BOARD OF DIRECTORS. DISBURSEMENTS ARE MADE THROUGHOUT THE YEAR AS FUNDS ARE REQUESTED. X X X X 0 0 0 0 0 0 0 1 0 DAVID WASHBURN EXECUTIVE DIRECTOR 315044 0 67700 0 8322 0 31504 0 24976 0 447546 0 0 0 JEFFREY WESLEY EXECUTIVE DIRECTOR RCV & SI 240108 0 35100 0 1692 0 24700 0 22315 0 323915 0 0 0 FRANK URBAN DIRECTOR OF VENTURE CREATION 121664 0 18750 0 975 0 12625 0 27917 0 181931 0 0 0 REBEKAH SKRZYNIARZ DIRECTOR OF FINANCE 126557 0 18750 0 975 0 13250 0 21264 0 180796 0 0 0 BRADLEY FINGLAND DIRECTOR OF VENTURE CREATION 122518 0 18750 0 975 0 12625 0 18617 0 173485 0 0 0 PREM BODAGALA DIRECTOR OF RED CEDAR VENTURES 126583 0 18750 0 975 0 13250 0 12052 0 171610 0 0 0 PART I, LINE 7 COMPENSATION INCLUDES BOTH BASE AND VARIABLE COMPENSATION (NON-FIXED PAYMENTS). IN ACCORDANCE WITH ITS POLICIES, ALL ELEMENTS (BASE, VARIABLE, BENEFITS, AND PERQUISITES) ARE COMPARED TO MARKET. FOR THOSE INDIVIDUALS LISTED IN FORM 990, PART VII, SECTION A, LINE 1A, WHO ARE ELIGIBLE, BONUSES ARE PAID PURSUANT TO THEIR SERVICE AGREEMENT WITH THE ORGANIZATION. BONUS AMOUNTS ARE PROPOSED BY THE INDIVIDUAL'S SUPERVISOR TO THE EXECUTIVE DIRECTOR AND DIRECTOR OF FINANCE. THE BOARD CHAIR APPROVES FINAL BONUS AMOUNTS. BONUS AMOUNTS PAID ARE DIRECTLY CORRELATED TO THE INDIVIDUAL'S PERFORMANCE AND GOAL ACHIEVEMENT. FORM 990, PART I, LINE 6: THE NUMBER OF VOLUNTEERS IS THE TOTAL FOR MSU FOUNDATION AND ITS WHOLLY-OWNED SUBSIDIARIES. FORM 990, PART VI, SECTION A, LINE 1A DELEGATION OF AUTHORITY ACCORDING TO THE ORGANIZATION'S BY-LAWS, A SIX-MEMBER EXECUTIVE COMMITTEE, CONSISTING OF THE CHAIRPERSON OF THE BOARD, THE VICE CHAIRPERSON, THE PRESIDENT, THE SECRETARY, THE TREASURER, AND EXECUTIVE DIRECTOR TO ACHIEVE A MEMBERSHIP OF SIX. DURING THE INTERVALS BETWEEN MEETINGS OF THE BOARD, THE EXECUTIVE COMMITTEE SHALL HAVE AND MAY EXERCISE ON BEHALF OF THE BOARD ALL OF THE AUTHORITY OF THE BOARD IN RESPECT TO THE MANAGEMENT OF THE FOUNDATION. THE EXECUTIVE COMMITTEE SHALL OVERSEE BUDGETARY AND FISCAL POLICY AND MAKE RECOMMENDATIONS TO THE BOARD REGARDING THE GENERAL FISCAL POLICY OF THE FOUNDATION. THE EXECUTIVE COMMITTEE SHALL REPORT ITS ACTS TO THE BOARD AT THE NEXT REGULARLY SCHEDULED MEETING OF THE BOARD. FORM 990, PART VI, SECTION A, LINE 2 BUSINESS RELATIONSHIPS CERTAIN LISTED OFFICERS AND BOARD MEMBERS ALSO SERVE AS OFFICERS AND BOARD MEMBERS OF A RELATED ENTITY. FORM 990, PART VI, SECTION B, LINE 11B ORGANIZATION'S PROCESS TO REVIEW FORM 990 THE FORM 990 WAS PREPARED BY A NATIONAL INDEPENDENT ACCOUNTING FIRM IN CONJUNCTION WITH THE ORGANIZATION'S INTERNAL FINANCE DEPARTMENT. A DRAFT OF THE RETURN IS REVIEWED BY THE DIRECTOR OF FINANCE, EXECUTIVE DIRECTOR, AND INTERNAL ACCOUNTING PERSONNEL. FOLLOWING THE REVIEW AND APPROVAL THE FORM 990 WAS PROVIDED TO EACH OF THE OTHER VOTING MEMBERS OF THE BOARD OF DIRECTORS PRIOR TO THE FILING. FORM 990, PART VI, SECTION B, LINE 12C ENFORCEMENT OF CONFLICTS POLICY: CONFLICT OF INTEREST STATEMENT IS SIGNED BY EACH BOARD MEMBER AT THE START OF EACH NEW CALENDAR YEAR. IF THE BOARD MEMBER IS NOT ABLE TO SIGN OR IF THEY DISCLOSE THAT THERE IS A CONFLICT, THIS IS DISCUSSED WITH THE GOVERNING BOARD. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION PROCESS FOR TOP OFFICIAL UPON HIRING THE EXECUTIVE DIRECTOR, THE FOUNDATION UTILIZES INDEPENDENT CONSULTANTS AND THE FOUNDATION'S COMPENSATION COMMITTEE TO PREPARE A WRITTEN OFFER OF EMPLOYMENT LETTER. IN ADDITION, COMPENSATION OF THE EXECUTIVE DIRECTOR IS REVIEWED BY THE COMPENSATION COMMITTEE EACH YEAR AND COMPENSATION IS ADJUSTED ACCORDINGLY. COMPENSATION PROCESS FOR OFFICERS COMPENSATION OF THE FOUNDATION'S MANAGEMENT TEAM AND REMAINING STAFF IS REVIEWED AND APPROVED AS A SALARY LINE ITEM BY THE BOARD OF DIRECTORS DURING THE ANNUAL (JUNE) BUDGETING PROCESS AND IS DOCUMENTED IN THE BOARD MEETING MINUTES. ANNUALLY, SALARIES ARE REVIEWED BY THE EXECUTIVE DIRECTOR AND CHIEF FINANCIAL OFFICER WITH LOCAL AND NATIONAL COMPARATIVES TO JOB DESCRIPTIONS FOUND ON THE INTERNET AND WITHIN THE MSU STRUCTURE. FORM 990, PART VI, SECTION C, LINE 19 AVAILABLE UPON REQUEST. FORM 990, PART XI, LINE 9: CAPITAL CONTRIBUTION - INVESTMENT HOLDINGS 3,650,000. CAPITAL CONTRIBUTION - SPARTAN INNOVATIONS 1,400,000. CAPITAL CONTRIBUTION - MI RISE 3,180,000. GAIN/LOSS IN SUBSIDIARY -1,142,095. SATISFACTION OF PROGRAM RESTRICTIONS -19,406. 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