2022-05-13T16:02:09-05:00 2021-06-30 366055558 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 990 2020-07-01 237326030 MICHIGAN STATE UNIVERSITY FOUNDATION MICH 5173539268 325 E GRAND RIVER AVE NO 275 EAST LANSING MI 48823 DAVID WASHBURN EXECUTIVE DIRECTOR 5173539268 2022-05-15 1 DAVID WASHBURN XXX-XX-XXXX BRIDGET T ROCHE P00666837 3128560200 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z DAVID WASHBURN 325 E GRAND RIVER AVE NO 275 EAST LANSING MI 48823 202227431 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, SCIENTIFIS, CHARITABLE AND RELATED ACTIVITIES AND OBJECTIVES OF MICHIGAN STATE UNIVERSITY. 20 19 25 21 1761258 269895 1698782 3897622 0 359800 14389536 49675807 632581 1917709 16720899 55850938 14256763 12203569 0 0 3923855 2737669 0 0 0 6019191 4574657 24199809 19515895 -7478910 36335043 407199391 535425307 27285039 37012623 379914352 498412684 X 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. 1 0 14204679 12203569 359800 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, MICHIGAN RISE PRE-SEED FUND III AND INVESTMENT HOLDINGS SUBSIDIARIES, AND PROVIDING FACILITIES AND BUILDING SITES AT THE UNIVERSITY CORPORATE RESEARCH PARK FOR TECHNOLOGY ENTERPRISES, UNIVERSITY TECHNOLOGY-DEVELOPMENT INITIATIVES, AND UNIVERSITY/INDUSTRY COLLABORATIONS. 978363 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. 15183042 1 1 0 0 0 0 0 0 0 0 1 1 0 0 1 1 0 1 0 0 0 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 41 0 1 25 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 40.00 3.00 X X 381744 0 54355 TRACI CANNON FMR SPECIAL PROJECTS (THRU 6/2020) 0.00 0.00 X 327955 0 21626 JEFFREY WESLEY EXECUTIVE DIRECTOR 40.00 0.00 X 265557 0 50727 FRANK URBAN DIRECTOR OF VENTURE CREATION 40.00 0.00 X 141368 0 41348 BRADLEY FINGLAND DIRECTOR OF VENTURE CREATION 40.00 0.00 X 140872 0 29189 PREM BODAGALA DIRECTOR OF RED CEDAR VENTURES 40.00 0.00 X 138888 0 25856 REBEKAH SKRZYNIARZ DIRECTOR OF FINANCE 40.00 2.00 X 129354 0 31780 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 JOHN PHILLIPS SECRETARY 2.00 0.00 X X 0 0 0 BRUCE LEECH TREASURER 2.00 0.00 X X 0 0 0 JON BRAEUTIGAM DIRECTOR 2.00 0.00 X 0 0 0 KERMITT BROOKS DIRECTOR (BEG 9/2020) 2.00 0.00 X 0 0 0 DIANNE BYRUM DIRECTOR (THRU 2/2021) 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 STEVE HSU DIRECTOR (THRU 7/2020) 2.00 0.00 X 0 0 0 LINDA HUBBARD DIRECTOR 2.00 0.00 X 0 0 0 PAT O'KEEFE DIRECTOR (BEG 2/2021) 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 TERESA SULLIVAN DIRECTOR (THRU 9/2020) 2.00 0.00 X 0 0 0 JOEL WITTENBERG DIRECTOR 2.00 0.00 X 0 0 0 TERESA WOODRUFF DIRECTOR (BEG 8/2020) 2.00 0.00 X 0 0 0 1525738 0 254881 7 1 1 0 CAMBRIDGE ASSOCIATES LLC PO BOX 83232 CHICAGO IL 606910232 CONSULTING SERVICES 453577 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 ACCOUNTING SERVICES 101200 2 3236011 661611 3897622 MANAGEMENT FEE REVENUE 900099 326300 326300 SPONSORSHIP 900099 33500 33500 359800 2971853 172988 2798865 1767398 1767398 193080447 146376493 46703954 46703954 1588270 45115684 MISCELLANEOUS REVENUE 900099 150001 150001 REBATE REVENUE 900099 310 310 150311 55850938 359800 1761258 49832258 12203569 12203569 1028872 823098 205774 1331192 1198073 133119 97674 87907 9767 219593 197634 21959 60338 54304 6034 31542 8558 22984 353824 177151 176673 3320063 33496 3286567 20159 10079 10080 76674 41465 35209 86475 21619 64856 45793 11448 34345 137864 34466 103398 1492 373 1119 2995 749 2246 12242 12242 102453 102453 BAD DEBT EXPENSE 270839 270839 UNRELATED BUSINESS TAX 78146 78146 SUBS/ONLINE SERVICES 28721 7180 21541 MEMBERSHIPS 4136 1034 3102 1239 1239 19515895 15183042 4332853 0 1184589 1205041 15080493 21985143 3291219 2626980 1033067 3082835 50641 55181 9540410 28652 1742635 9511758 175982467 191928835 193066416 278012038 5508554 15767864 21508942 407199391 535425307 2073833 2957323 17856420 19883743 0 6047524 7354786 8124033 27285039 37012623 X 343581972 457180437 36332380 41232247 379914352 498412684 407199391 535425307 X 36335043 79376892 2786397 X 0 1 X 1 0 X 4297601 9276982 2317054 1698782 3897622 21488041 4297601 9276982 2317054 1698782 3897622 21488041 21488041 6465462 10131881 9350559 8024217 4739251 38711370 113738 0 499088 0 442883 1055709 7958 150311 158269 61413389 409053 0.34990 0.38120 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: FEE FOR VIOLATION ON CONTRACT - 2016 AMOUNT: $ 0. 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 150,001. REBATE REVENUE - 2016 AMOUNT: $ 0. 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 310. MISCELLANEOUS REVENUE - 2016 AMOUNT: $ 7,958. 2017 AMOUNT: $ 0. 2018 AMOUNT: $ 0. 2019 AMOUNT: $ 0. 2020 AMOUNT: $ 0. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 7411525 7411525 24828 7492 17336 36930 21160 15770 2067127 2067127 9511758 VENTURE CAPITAL INVESTMENT 151082350 F LIMITED PARTNERSHIPS 126929688 F 278012038 ANNUITIES PAYABLE 6344747 DUE TO RELATED ENTITIES 1347655 LIFE ESTATE AGREEMENT OBLIGATIONS 431631 8124033 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. THE FOUNDATION RECORDED FEDERAL AND STATE UNRELATED BUSINESS INCOME TAX EXPENSE IN THE AMOUNT OF $78,156 AND $48,856 DURING FISCAL YEARS 2021 AND 2020, RESPECTIVELY. 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 AND RED CEDAR VENTURES 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. 1 MICHIGAN STATE UNIVERSITY BOARD OF TRUSTEES 325 E GRAND RIVER AVE STE 275 EAST LANSING MI 48824 386005984 115 12203569 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 317672 0 55750 0 8322 0 28500 0 25855 0 436099 0 0 0 TRACI CANNON FMR SPECIAL PROJECTS (THRU 6/2020) 92560 0 0 0 235395 0 9511 0 12115 0 349581 0 0 0 JEFFREY WESLEY EXECUTIVE DIRECTOR 236900 0 26500 0 2157 0 23600 0 27127 0 316284 0 0 0 FRANK URBAN DIRECTOR OF VENTURE CREATION 127108 0 14000 0 260 0 12981 0 28367 0 182716 0 0 0 BRADLEY FINGLAND DIRECTOR OF VENTURE CREATION 126692 0 14000 0 180 0 12981 0 16208 0 170061 0 0 0 PREM BODAGALA DIRECTOR OF RED CEDAR VENTURES 124708 0 14000 0 180 0 12981 0 12875 0 164744 0 0 0 REBEKAH SKRZYNIARZ DIRECTOR OF FINANCE 115192 0 14000 0 162 0 12019 0 19761 0 161134 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 INDIVIDUALS SUPERVISOR TO THE EXECUTIVE DIRECTOR AND DIRECTOR OF FINANCE. THE BOARD CHAIR APPROVES FINAL BONUS AMOUNTS. BONUS AMOUNTS PAID ARE DIRECTLY CORRELATED TO THE INDIVIDUALS PERFORMANCE AND GOAL ACHIEVEMENT. FORM 990, PART I, LINE 6: THE NUMBER OF VOLUNTEERS IS THE TOTAL FOR MSU FOUNDATION AND SPARTAN INNOVATIONS. FORM 990, PART III, LINE 2 MICHIGAN RISE PRE-SEED FUND III, LLC WAS ADDED DURING THE YEAR AND PROVIDES EARLY STAGE FINANCING FOR COMPANIES IN THE STATE OF MICHIGAN. FORM 990, PART VI, SECTION A, LINE 1 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 - SPARTAN INNOVATIONS 653,500. CAPITAL CONTRIBUTION - INVESTMENT HOLDINGS 1,550,000. CAPITAL CONTRIBUTION - MI RISE 3,556,875. GAIN/LOSS IN SUBSIDIARY -1,322,973. SATISFACTION OF PROGRAM RESTRICTIONS -1,651,005. SPARTAN INNOVATIONS 325 E GRAND RIVER SUITE 275 EAST LANSING MI 48823 460683865 ENTERPRENEUR MI 230644 530691 MSU FOUNDATION INVESTMENT HOLDINGS LLC 325 E GRAND RIVER SUITE 275 EAST LANSING MI 48823 464056160 INVESTMENT MI 464079 5156424 MSU FOUNDATION FOUNDATION PARK I LLC 325 E GRAND RIVER SUITE 275 EAST LANSING MI 48823 802432427 INVESTMENT MI 0 8114651 MSU FOUNDATION MICHIGAN RISE PRE-SEED FUND III LLC 325 E GRAND RIVER SUITE 275 EAST LANSING MI 48823 802482435 INVESTMENT MI 191214 3749217 MSU FOUNDATION TECHNOLOGY INVESTMENTS I LLC 325 E GRAND RIVER SUITE 275 EAST LANSING MI 48823 320421927 INVESTMENT DE 0 0 INVESTMENT HOLD CHARITABLE REMAINDER TRUSTS (1) 000000000 N/A MI MSU FOUNDATION 0 1 0 0 0 0 1 0 0 0 0 1 0 0 1 1 1 1 0 0