2016-02-12T15:47:13-06:00 2015-06-30 Grant Thornton LLP 2010 CORPORATE RIDGE SUITE 400 MCLEAN VA 22102 990 2014-07-01 131656692 United States Pharmacopeial Convention % JAMES P THOMPSON UNIT 3018810666 12601 Twinbrook Parkway Rockville MD 20852 Richard Wailes Chief Operating Officer 3018810666 2016-02-12 true Mary Torretta P00847851 7038477500 2014 2016-08-17 19:52:53Z Ronald T Piervincenzi 12601 Twinbrook Parkway Rockville MD 20852 252622219 false X www.usp.org X 1820 MD TO IMPROVE THE HEALTH OF PEOPLE AROUND THE WORLD THROUGH WORLD THROUGH PUBLIC STANDARDS AND RELATED PROGRAMS THAT HELP ENSURE THE QUALITY, SAFETY, AND BENEFIT OF MEDICINES AND FOODS. 14 14 700 845 0 0 9085654 14764699 184631934 208520967 8673831 6348983 818288 1099618 203209707 230734267 213586 203453 0 0 96737005 100159995 0 0 0 99918903 101896328 196869494 202259776 6340213 28474491 365933521 405208320 161394929 177375716 204538592 227832604 X TO IMPROVE THE HEALTH OF PEOPLE AROUND THE WORLD THROUGH PUBLIC STANDARDS AND RELATED PROGRAMS THAT HELP ENSURE THE QUALITY, SAFETY, AND BENEFIT OF MEDICINES AND FOODS. false false 129039661 204828067 See Schedule O 2899768 2764851 See Schedule O 13048954 203453 928049 See Schedule O 144988383 true true false true false false false false false false true false false true false true false true false true true true false false false false false true false true true false false false false false false false false false false true false false false true true true true false false true X 61 0 true 700 true false true IN CH BR ET GH false false false false false false false false X 14 14 false false false false true true true true true false false true true true true true true true true false MD X JAMES P THOMPSON 3012306348 12601 TWINBROOK PARKWAY Rockville MD 20852 X Timothy R FransonBS PharmMD President 4.0 0.0 X 0 0 0 Rene H Bravo MDFAAP Past President 4.0 0.0 X 0 0 0 John E Courtney PhD Treasurer 4.0 0.0 X 0 0 0 Robert M Russell MD Medical Sciences Trustee 4.0 0.0 X 0 0 0 Duane M Kirking PharmDPhD Chair, USP Board of Trustees 4.0 0.0 X 0 0 0 Marilyn K Speedie PHD Pharmaceutical Trustee 4.0 0.0 X 0 0 0 Carolyn H AsburySCMPHPhD Public trustee 4.0 0.0 X 0 0 0 Robert L Buchanan PhD At-Large Trustee 4.0 0.0 X 0 0 0 Thomas MenighanBSPharmMBA At-Large Trustee 4.0 0.0 X 0 0 0 Jeffrey L Sturchio PhD At-Large Trustee 4.0 0.0 X 0 0 0 Thomas R TempleBSPharmMS At-Large Trustee 4.0 0.0 X 0 0 0 Gail R Wilensky PhD At-Large Trustee 4.0 0.0 X 0 0 0 Kiran Muzandar-Shaw At-Large Trustee 4.0 0.0 X 0 0 0 Stephen P Spielberg MD PHD Medical Sciences Trustee 4.0 0.0 X 0 0 0 Roger L Williams PhD OUTGOING CEO 38.0 0.0 X 625796 0 59016 Susan S De Mars EVP, CHIEF LEGAL OFFICER 38.0 0.0 X 507280 0 66034 Vijayaraghavan Srinivasan EVP, CHIEF SCIENCE OFFICER 38.0 0.0 X 532450 0 61268 Ronald T Piervincenzi CEO 38.0 0.0 X 688838 0 14126 Michael D Maves MD SVP, DEVELOPMENT 38.0 0.0 X 437867 0 39861 Kelly Willis SVP, Global Public Health 38.0 0.0 X 29423 0 1473 Emily Kaine VP, Strategy 38.0 0.0 X 123077 0 10162 Scott Henderson Sr.VP Info and Services 38.0 0.0 X 336850 0 49445 Angela Long Sr.VP Global Alliance & Org 38.0 0.0 X 323999 0 47807 Susan Bach VP HUMAN RESOURCES 38.0 0.0 X 227539 0 28726 Richard Wailes Chief Op. Officer 38.0 0.0 X 399344 0 51092 James Thompson Global VP Fin/Act/Trs/Purch 38.0 0.0 X 231703 0 39573 Hermes Van Der Lee SVP GLOBAL LAB OPS 38.0 0.0 X 270901 0 26741 Barbara Hubert VP SALES & MARKETING 38.0 0.0 X 289051 0 33768 Kevin Hool VP RESEARCH & INNOVATION 38.0 0.0 X 317749 0 47701 Todd Cecil VP, CHEMICAL MEDICINES 38.0 0.0 X 314328 0 48042 Matthew Van Hook VP GLOBAL LEGAL AFFAIRS 38.0 0.0 X 255899 0 30715 Samir Wahab VP, RSL 38.0 0.0 X 255882 0 40618 6167976 0 696168 332 false true false Berkeley Research Group LLC 181 W Madison St 2950 CHICAGO IL 60602 Consulting 2633573 McKinsey Company 300 E Randolph St 3100 CHICAGO IL 60601 Mgmt. Consulting 1715000 Daniel J Edelman Inc 200 E Randolph St 63 CHICAGO IL 60601 Public Relations 684808 APPS Associates LLC 40 Nagog Park 105 ACTON MA 01720 IT Consulting 641833 Radius GGE USA Inc WHITEFRIARS LEWINS MEAD BRISTOL 0 UK BS1 2NT Consulting 318403 21 12859082 1905617 1905617 14764699 COMPENDIAL ACTIVITIES 511190 204828067 204828067 ALLIED COMPENDIAL ACTIVITIES 900099 2764851 2764851 NON-COMPENDIAL ACTIVITIES 900099 928049 928049 208520967 4276865 4276865 0 131149 131149 0 0 0 23960070 21887952 2072118 2072118 2072118 0 0 0 OTHER INCOME 900099 968469 968469 968469 230734267 208520967 7448601 173103 173103 0 30350 30350 0 3175539 2159367 1016172 0 77816257 52915055 24901202 6653540 4524407 2129133 7662387 5210423 2451964 4852272 3299545 1552727 0 227459 227459 314595 314595 0 0 353183 353183 17380063 11470842 5909221 765394 757740 7654 4504839 3378629 1126210 3704480 2778360 926120 0 5617803 4213352 1404451 3620081 2715061 905020 0 2896781 2172586 724195 3368523 2357966 1010557 34093923 25570442 8523481 10579059 7934294 2644765 859039 644279 214760 COGS 8455116 8455116 VALIDATION & CALIBRATION 2202122 2202122 BANK & CREDIT CARD FEES 1498119 1123589 374530 PUBLICATIONS/SUBSCRIPTIONS 710196 355098 355098 0 745553 546657 198896 202259776 144988383 57271393 0 19011499 32632990 634221 1441283 2496341 3726666 24705262 48977367 0 0 0 0 0 0 48847687 49319705 3399729 3453539 192388515 77912241 118381248 114476274 100516528 99382928 10543143 12271150 0 0 0 0 37397863 39526418 365933521 405208320 45851575 50802822 0 0 4401013 4814536 109360000 109360000 0 0 0 0 1782341 12398358 0 0 0 0 161394929 177375716 X 204538592 227832604 0 0 0 0 204538592 227832604 365933521 405208320 X 28474491 -4796108 5988 -390359 X false true X true true true X 11476249 12058237 10666763 9085654 14764699 58051602 133976191 148646258 165964538 184631934 208520967 841739888 31125 31125 0 0 145483565 160704495 176631301 193717588 223285666 899822615 0 0 0 899822615 3271009 3321352 2894581 3108959 4408014 17003915 0 3271009 3321352 2894581 3108959 4408014 17003915 0 3286090 677414 968469 4931973 148754574 164025847 182811972 197503961 228662149 921758503 0.97620 0.97688 0.01845 0.01846 X MISCELLANEOUS REVENUE 2012 2013 2014 TOTAL RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 34294 34294 144954089 144988383 1000000 250000 false 1000000 1000000 1000000 1000000 4000000 6000000 120000 69122 71063 34294 294479 250000 250000 250000 250000 1000000 1500000 0 11439846 11439846 0 103501262 27080388 76420874 0 3361889 824961 2536928 0 71980662 50006892 21973770 0 2104856 2104856 114476274 DEBT FINANCING 983166 INVESTMENT IN FOREIGN SUBS 38337204 OTHER ASSETS 206048 39526418 0 0 X Liability for Uncertain Tax Positions (ASC 740) SChedule D, Part X, Line 2 USPC is exempt from Federal income taxes under the provisions of Section 501(C)(3) of the Internal Revenue Code and has been classified by the Internal Revenue Service as an organization that is not a private foundation. USPC is, however, subject to tax on its unrelated business income. For financial statement purposes, USPC is required to record a liability for any material income tax position taken which does not meet the minimum thresholds of 'more likely than not' to be successful under regulatory challenge. For the years, ended June 30, 2015 and 2014 there was no provision for income taxes since management believes that USPC had no material unrelated business activities or material uncertain tax positions requiring the recognition of a liability. true South America 1 33 Program Services Compendial 8633536 East Asia and the Pacific 1 71 Program Services Compendial 12878468 South Asia 1 140 Program Services Compendial 11439054 Europe (Including Iceland and Greenland) 1 5 Program Services Sales Office 1282117 Sub-Saharan Africa 1 9 Program Services PQM Office/USAID 856980 Sub-Saharan Africa 1 7 Program Services CePat 90211 Middle East and North Africa Grantmaking 30000 6 265 6 265 35210366 35210366 Middle East and North Africa FELLOWSHIP 30000 WIRE 1 true false true false false true Procedure for Monitoring Use of Grant Funds Outside U.S. Schedule F, Part I, Line 2 USP WILL ESTABLISH A SPECIFIC REPORTING PROCESS AND TIMING WITH EACH INDIVIDUAL GRANT RECIPIENT. THE REPORTING METHODOLOGY AND TIMING OF THE REPORTS WILL VARY ON A PER GRANT BASIS. AT A MINIMUM, THE GRANTEE WILL BE EXPECTED TO PROVIDE A NARRATIVE STATEMENT AS TO THE PROGRESS MADE IN ACCOMPLISHING THE PURPOSE OF THE GRANT. true UNIVERSITY OF NOTRE DAME 830 GRACE HALL NOTRE DAME IN 46556 350868188 501(c)(3) 30000 1ST INSTLMNT-GLOBAL FELLOWSHIP AWARD (N. MEYERS) Contribution for Dr. Tom Foster Memorial Fund 2012 Trumpeter Contribution Sponsorship District 5 Meeting Donation for District 3 Meeting Sponsorship Contribution for CHPA RSQ Conference Contribution for Biennial Symposium 2012 Cheers Award Dinner Endowment Pledge Sponsorship Donation Contribution for Dr. James T Stewart Endowment Donation to External Quality Control Program Research Fellowships UNIVERSITY OF MASSACHUSETTS ROOM 405 140 HICKS WAY AMHERST MA 01003 043167352 501(c)(3) 30000 1ST INSTLMNT-GLOBAL FELLOWSHIP AWARD (M. RUDDIN) American Foundation for Pharma Edu (AFPE) 6076 FRANCONIA ROAD ALEXANDRIA VA 22310 530214882 501(c)(3) 22500 Fellowship Awards NEWARK MENTORING MOVEMENT 60 PARK PLACE SUITE 601 NEWARK NJ 07102 455092471 501(c)(3) 10250 CONTRIBUTION- 2015 CHARITY GOLF OUTING APHA FOUNDATION 2215 CONSTITUTION AVENUE NW WASHIN WASHINGTON DC 20037 526039142 501(c)(3) 20000 CONTRIBUTION-2014 BOWL OF HYGEIA American Pharmacists Association 2215 CONSTITUTION AVENUE NW WASHIN WASHINGTON DC 20037 530026265 501(c)(6) 15000 CONTRIBUTION-2014 RECEPTION AT FIP CONGRESS American Assoc of Pharmaceutical Scientists 2107 WILSON BLVD ARLINGTON VA 22201 521034846 501(c)(3) 6225 CONTRIBUTION-2014 AAPS ANNUAL MTG NOV 3-5 2014 PAN AMERICAN HEALTH AND EDUC FOUNDATION 525 23RD STREET WASHINGTON DC 20037 237072046 501(c)(3) 20000 CONTRIBUTION-EXT QUALITY CNTL PGM 7 1 Procedure for Monitoring Use of Grant Funds Inside U.S. Schedule I, Part I, Line 2 USP WILL ESTABLISH A SPECIFIC REPORTING PROCESS AND TIMING WITH EACH INDIVIDUAL GRANT RECIPIENT. THE REPORTING METHODOLOGY AND TIMING OF THE REPORTS WILL VARY ON A PER GRANT BASIS. AT A MINIMUM, THE GRANTEE WILL BE EXPECTED TO PROVIDE A NARRATIVE STATEMENT AS TO THE PROGRESS MADE IN ACCOMPLISHING THE PURPOSE OF THE GRANT. X X false true X X X X X true true false false false false false false false Michael D Maves MD SVP, DEVELOPMENT 214902 0 27914 0 195051 0 23092 0 16769 0 477728 0 0 0 Roger L Williams PhD OUTGOING CEO 476606 0 56647 0 92543 0 53325 0 5691 0 684812 0 0 0 Susan S De Mars EVP, CHIEF LEGAL OFFICER 451676 0 55604 0 0 0 49265 0 16769 0 573314 0 0 0 Vijayaraghavan Srinivasan EVP, CHIEF SCIENCE OFFICER 462427 0 45005 0 25018 0 49232 0 12036 0 593718 0 0 0 Scott Henderson Sr.VP Info and Services 305056 0 31794 0 0 0 32676 0 16769 0 386295 0 0 0 Angela Long Sr.VP Global Alliance & Org 290894 0 28355 0 4750 0 31038 0 16769 0 371806 0 0 0 Susan Bach VP HUMAN RESOURCES 206604 0 20935 0 0 0 23316 0 5410 0 256265 0 0 0 Richard Wailes Chief Op. Officer 360020 0 39324 0 0 0 39056 0 12036 0 450436 0 0 0 Barbara Hubert VP SALES & MARKETING 260906 0 28145 0 0 0 28358 0 5410 0 322819 0 0 0 Kevin Hool VP RESEARCH & INNOVATION 289533 0 28216 0 0 0 30932 0 16769 0 365450 0 0 0 Todd Cecil VP, CHEMICAL MEDICINES 165854 0 23004 0 125470 0 31273 0 16769 0 362370 0 0 0 James Thompson Global VP Fin/Act/Trs/Purch 210567 0 21136 0 0 0 23761 0 15812 0 271276 0 0 0 Matthew Van Hook VP GLOBAL LEGAL AFFAIRS 232477 0 23422 0 0 0 26000 0 4715 0 286614 0 0 0 Samir Wahab VP, RSL 230441 0 25441 0 0 0 26000 0 14618 0 296500 0 0 0 Hermes Van Der Lee SVP GLOBAL LAB OPS 241226 0 29675 0 0 0 26741 0 0 0 297642 0 0 0 Ronald T Piervincenzi CEO 495896 0 58671 0 134271 0 0 0 14126 0 702964 0 0 0 Tax Indemnification and Gross-Up Payments Schedule J, Part I, Line 1b Roger Williams received $48,533 upon the end of his employment with USP as a tax gross-up payment on the fair market value of his personal automobile. The payment of this expense was approved by the Board of Trustees. The compensation was reported correctly on Form W-2 as taxable income to the recipient. Housing Allowance Schedule J, Part I, Line 1b Ron Piervincenzi received $134,271 to pay for moving expenses related to his relocation from New Jersey to Maryland when he commenced his employment with USP. The payment of this expense was approved by the Board of Trustees. The compensation was reported correctly on Form W-2 as taxable income to the recipient. Severance or change of control Schedule J, Part I, Line 4A The following individuals received severance or change of control payments: Michael Maves $189,584 Todd Cecil $121,076 In addition, Roger Williams received $48,533 towards an automobile provided as part of a departure agreement. Supplemental Nonqualified Retirement Plan Schedule J, Part I, Line 4b The following individuals participate in the supplemental nonqualified retirement plan: Todd Cecil Scott Henderson Richard Wailes Hermes Van Der Lee Susan De Mars Kevin Hool Barbara Hubert Angela Long V. Srini Srinivasan Roger Williams The following individuals received a payout from the supplemental nonqualified retirement plan: Roger Williams $44,010 V. Srini Srinivasan $25,018 The following individuals received deferrals from the supplemental nonqualified retirement plan: Roger Williams $27,584 Susan De Mars $23,265 V. Srini Srinivasan $23,232 Scott Henderson $6,676 Angela Long $5,513 Richard Wailes $12,356 Barbara Hubert $2,358 Kevin Hool $4,932 Todd Cecil $5,273 Hermes Van Der Lee $741 A MARYLAND ECONOMIC DEVELOPMENT CORPORATION 2012 521376562 2012-09-29 109360000 Refinance 2008 and 2009 tax-exempt false false false A 0 0 109360000 0 0 109360000 0 0 4524 0 109355476 0 2012 true false true true A false false false false 0 false false false true A false true false false false false 0 false 0 false true A true X CONTRIBUTED RAW MATERIAL 277 1905617 REPLACEMENT COST false true false Program Service Accomplishments FORM 990, PART III, LINE 4A COMPENDIAL PROGRAMS - USP ESTABLISHES INTERNATIONALLY RECOGNIZED PUBLIC STANDARDS (BOTH DOCUMENTARY STANDARDS AND THE PHYSICAL REFERENCE MATERIALS THAT SUPPORT THE APPLICATION AND USE OF THESE DOCUMENTARY STANDARDS) TO HELP ASSURE GOOD QUALITY MEDICINES, DIETARY SUPPLEMENTS, FOOD INGREDIENTS, AND RELATED PRODUCTS USED TO MAINTAIN HEALTH AND TREAT DISEASE. THESE STANDARDS ARE DEVELOPED USING AN OPEN, PUBLIC PROCESS AND ARE APPROVED BY INDEPENDENT SCIENTIFIC EXPERTS. PRESCRIPTION AND OVER THE COUNTER MEDICINES AVAILABLE IN THE UNITED STATES MUST, BY FEDERAL LAW, MEET USP'S PUBLIC STANDARDS, WHERE SUCH STANDARDS EXIST. MANY OTHER COUNTRIES REQUIRE THE USE OF HIGH-QUALITY STANDARDS SUCH AS USP'S TO ASSURE THE QUALITY OF MEDICINES, FOOD INGREDIENTS, AND RELATED PRODUCTS. USP DISSEMINATES ITS STANDARDS TO PHARMACEUTICAL MANUFACTURERS, PHARMACISTS, FOOD MANUFACTURERS, AND OTHER USERS THROUGH ITS USP-NF, FOOD CHEMICALS CODEX (FCC), OTHER COMPENDIA AND PUBLICATIONS, AND OFFICIAL USP REFERENCE STANDARD MATERIALS. THESE STANDARDS ARE SHARED WITH OTHER COUNTRIES AROUND THE WORLD VIA THEIR DRUG REGULATORY AGENCIES AND COMPANIES. INCREASINGLY, DRUG REGULATORY AUTHORITIES IN OTHER COUNTRIES ARE RECEIVING ASSISTANCE FROM USP IN UNDERSTANDING HOW THEY CAN IMPROVE THE QUALITY OF MEDICINES PROVIDED TO THEIR CITIZENS BY USING USP STANDARDS. VOLUNTEER EXPERTS FROM THOSE COUNTRIES ARE ACTIVE PARTICIPANTS IN USP'S STANDARDS-SETTING BODIES. IN ADDITION, USP DEVELOPS STANDARDS THAT ARE VITAL TO ENSURING AND IMPROVING PATIENT SAFETY IN A VARIETY OF SETTINGS RELATED TO THE APPROPRIATE LABELING, STORAGE, DISTRIBUTION AND USE OF MEDICINES. HEALTH CARE CLINICIANS AS WELL AS PATIENTS RELY ON THESE STANDARDS TO HELP ENSURE THAT MEDICINES ARE DELIVERED AND USED APPROPRIATELY. Program Service Accomplishments Form 990, Part III, Line 4B ALLIED COMPENDIAL PROGRAMS - USP CONDUCTS VERIFICATION PROGRAMS FOR PHARMACEUTICAL INGREDIENTS, AND FOR DIETARY SUPPLEMENT INGREDIENTS AND PRODUCTS. THESE PROGRAMS INVOLVE INDEPENDENT TESTING AND REVIEW TO VERIFY THE IDENTITY, STRENGTH, QUALITY AND PURITY OF INGREDIENTS AND PRODUCTS FOR MANUFACTURERS WHO CHOOSE TO PARTICIPATE. THEY HELP TO IMPROVE THE QUALITY OF MEDICINES AND DIETARY SUPPLEMENTS THAT ARE MANUFACTURED AND THEN PROVIDED TO PATIENTS AND CONSUMERS THROUGH THE GLOBAL SUPPLY CHAIN. USP CONDUCTS EDUCATIONAL CLASSES AND PROGRAMS FOR CHEMISTS, SCIENTISTS, AND HEALTHCARE PRACTITIONERS IN THE UNITED STATES AND AROUND THE WORLD. USP SEEKS TO IMPROVE THE EFFECTIVE USE OF ITS STANDARDS THAT AFFECT BEST PRACTICES IN MANUFACTURING AND REGULATION OF PHARMACEUTICALS, DIETARY SUPPLEMENTS, AND FOOD INGREDIENTS. PROGRAM SERVICE ACCOMPLISHMENTS FORM 990, PART III, LINE 4C GLOBAL PUBLIC HEALTH - USPS GLOBAL PUBLIC HEALTH DIVISION CONTRIBUTES TO IMPROVED GLOBAL HEALTH BY ENSURING THE AVAILABILITY OF RELEVANT PUBLIC STANDARDS FOR THE WORLDS MOST ESSENTIAL MEDICINES, SUPPORTING THE GLOBAL MANUFACTURING SECTOR TO INCREASE THE SUPPLY OF QUALITY ASSURED MEDICINES, AND STRENGTHENING NATIONAL AND REGIONAL REGULATORY SYSTEMS TO SUPPORT IMPROVED QUALITY ASSURANCE SYSTEMS, GLOBALLY. USP IMPLEMENTS ITS PROMOTING THE QUALITY OF MEDICINES (PQM) PROGRAM IN PARTNERSHIP WITH USAID, TO ENSURE THE QUALITY OF MEDICINES IN 30 COUNTRIES AROUND THE WORLD. USPS CENTER FOR PHARMACEUTICAL ADVANCEMENT AND TRAINING (CEPAT) IN GHANA BUILDS HUMAN RESOURCES IN SUB-SAHARAN AFRICA AND BEYOND, FOR CONTINUED IMPROVEMENT OF PHARMACEUTICAL QUALITY ASSURANCE AND QUALITY CONTROL EFFORTS IN THE REGION. USP MAINTAINS FOUR REGIONAL NETWORKS OF OFFICIAL MEDICINES CONTROL LABORATORIES (NOMCOL) WHICH HELP BUILD REGIONAL COOPERATION AND SUSTAINABLE CAPACITY FOR ONGOING EFFORTS TO ASSURE THE QUALITY OF MEDICINES, GLOBALLY. USP STANDARDS ARE MADE AVAILABLE TO REGULATORS IN LOWER AND MIDDLE INCOME COUNTRIES AT NO COST, OR AT SHARPLY DISCOUNTED COST. IN ADDITION, USP PROVIDES DIRECT TECHNICAL ASSISTANCE THROUGH A NUMBER OF OTHER GLOBAL HEALTH IMPACT PROGRAMS. USP ENGAGES IN OTHER PUBLIC HEALTH INITIATIVES INCLUDING SERVING AS THE SECRETARIAT FOR A MAJOR GROUP OF OTHER NON-PROFIT ORGANIZATIONS THAT JOIN TO COORDINATE PATIENT SAFETY/MEDICAL ERROR EFFORTS. UNDER FEDERAL LAW, ONE OF USP'S HEALTH CARE INFORMATION INITIATIVES IS THE DEVELOPMENT OF A DRUG CLASSIFICATION SYSTEM THAT MEDICARE PRESCRIPTION DRUG BENEFIT PLANS MAY USE TO DEVELOP THEIR FORMULARIES. Members or Stockholders Form 990, Part VI, Line 6 The members of USP are representatives from organizations in the US and abroad in the following categories: -Health practitioner professional and scientific associations -Consumer and other public interest organizations -Manufacturer, trade, and affiliated associations -Governmental bodies, divisions, or associations -Non-government standards-setting and conformity assessment bodies Members or Stockholders Who May Elect AND DECISIONS SUBJECT TO APPROVAL Form 990, Part VI, Line 7a & 7b THE MEMBERS OF USP ELECT THE MEMBERS OF THE BOARD OF TRUSTEES AT EACH FIVE-YEAR MEETING OF THE CONVENTION. UP TO THREE ADDITIONAL TRUSTEES MAY BE APPOINTED BY THE BOARD DURING THE FIVE-YEAR CYCLE. Form 990 Review Process Form 990, Part VI, Line 11b The Form 990 was reviewed thoroughly by the organization's Vice President of Finance, Accounting & Treasury in initial draft and final form prior to filing. The Form 990 was provided to the audit committee for review and approval. The Form 990 was also made available electronically to all members of the board of directors before it was filed with the IRS. Conflict of Interest Policy Monitoring & Enforcement Form 990, Part VI, Line 12c USP's conflict of interest policy is reflected in its bylaws and in its code of ethics. This policy is implemented with respect to our employees and volunteers (members of the board of trustees and the council of experts and expert committees, USP's standard setting bodies) through specific provisions in the employee handbook, the rules of business practice for the board of trustees, and the rules and procedures of the council of experts. All trustees, members of the council of experts and expert committees, and employees in director level or above positions or positions where they work with expert committees are required to submit and keep current a disclosure statement identifying any conflict of interest. For USP's volunteers, a conflict of interest is defined broadly under the bylaws to include a financial interest in a company or any other relationship or interest that could interfere with the individual's ability to exercise independent judgment. Trustees, experts and employees are required to recuse themselves from any matter in which they have a potential conflict, and employees may also be required to divest themselves of interests that present a potential conflict. At each meeting of the board and all expert committees, the chair reminds members of the conflict of interest rules. The identification and resolution of conflicts of interest is handled as follows for USP employees and volunteers: Employees: Disclosure statements are collected annually by the legal department from employees at the director level and above and employees who work directly with USP's expert committees. If an employee discloses that he or she has a financial interest above the specified threshold, the Chief Legal Officer reviews the interest with the CEO. If the CEO determines that the interest is an isolated one and one that would be difficult to divest (e.g., a retirement plan from a former employer, or a spouse's employment), the employee is allowed to retain the interest but must recuse himself/herself in any situation where there is a potential conflict. In other cases, such as where there are multiple interests above the threshold, the CEO may ask the employee to divest. Members of the Board of Trustees: Disclosure statements are collected by the secretary, and the board members have an obligation to update them as necessary to keep them current. If a board member has a potential conflict, then in accordance with the bylaws he or she must recuse himself/herself from any final deliberation and vote in the matter. Council of Experts and Expert Committee Members: Disclosure statements are collected by the executive secretariat, and members have an obligation to update them as necessary to keep them current. The chair of each expert committee, working with staff (scientific liaison/executive secretariat/secretary), has responsibility for resolving conflict issues. Process for Determining Compensation Form 990, Part VI, Line 15A & 15B The USP Board of Trustees approved a total compensation philosophy which governs the overall compensation program for staff with the following key provisions: - USP will link base pay and variable pay to performance in such a way that it aligns with USP's strategic planning process and outcome-based metrics, and results in differential rewards. - USP will continually evaluate and realign performance measures to conform to changing strategic goals and other business needs. - USP's total cash compensation program will be designed using a market-driven whole job family structure to deliver average total compensation, direct and indirect, relative to those offered within various labor markets in which USP competes for talent. - The total compensation package will be established, reviewed, and approved in a manner that qualifies for the rebuttable presumption of reasonableness and will be reviewed periodically to ensure that it continues to be aligned with USP's strategic direction and financial limits and continues to be both reasonable and competitive. Under the Rules of Business Practice of the Board of Trustees, the Operations Committee is responsible for overseeing the organization's compensation and benefit programs, including: 1. Reviewing and making recommendations to the Board regarding the overall compensation philosophy and principles of the organization. 2. Reviewing the structure of the staff compensation program, including salary levels, benefits, and the success sharing plan and the extent to which they are achieving desired purposes. 3. Reviewing and making recommendations to the Executive Committee and the Board regarding employee benefit plans and employee benefits, with the board retaining responsibility for final approval of the insurer or insurers through whose policies the plan benefits are to be funded and the rules and procedures for administration of the plan. 4. Based on input from the Executive Vice President & Chief Executive Officer, reviewing and making recommendations to the Board regarding the proposed metrics for organizational performance under the success sharing plan, and the achievement of such metrics. USP management utilizes various compensation resources that provide guidelines for the establishment of fair, equitable and consistent, compensation structures, systems, and methodologies that drives a performance-driven culture in support of organization goals. Independent compensation consultants may be engaged based on organization initiatives, to provide information on industry-wide pay practices through salary survey data and prevailing market trends that help in determining competitive pay levels, to clearly identify USPs peer group, and to help evaluate the reasonableness of total compensation for positions in relation to market norms. Employee compensation decisions are made in partnership between Human Resources and the direct supervisor which are reviewed by department vice presidents and/or division chiefs. Salary increases (merit pay) is determined by degree to which each individual contributes to the organizations strategic goals and based on meeting or exceeding established goals as documented in the performance assessment evaluation process. Annual salary increases resulting from the performance assessment and merit review process are reviewed and approved by the CEO. For Chief Executive Officer (CEO) compensation, the Board of Trustees use current market data to evaluate and set CEO pay annually based on performance. The Executive Committee makes all CEO compensation decisions; the Board Chair and Board Treasurer approve compensation decisions in writing. The organization periodically reviews and modifies, as necessary, the total compensation philosophy and practices within the context of the broader organizational strategy to ensure continued appropriateness. How Documents are Made Available to the Public Form 990, Part VI, Line 19 USP makes these documents available to the public to the extent required by law. Other Changes in Net Assets or Fund Balances: Form 990, Part XI, Line 9 Unrealized Foreign Exchange Losses (390,359) ------------ $(390,359) USP HOLDING LLC 12601 TWINBROOK PARKWAY ROCKVILLE MD 20852 562515663 HOLDING MD 333622 22511776 USP USP HOLDING INTERNATIONAL LLC 12601 TWINBROOK PARKWAY ROCKVILLE MD 20852 562515662 HOLDING MD 0 24 USp USPC Foundation 12601 Twinbrook Parkway Rockville MD 208521790 463065881 Public Health MD 501(C)(3) 11a USPC true US PHARMACOPEIA INDIA PRIVATE LTD ICICI KNOWLEDGE PARK GENOME VALLEY HYDERBAD IN 500 131656692 SCIENTIFIC IN USPHUSPHI C Corp 1698812 17782970 1.00000 true US PHARMACOPEIA RESEARCH AND DVP CORP BUILDING 11 ALLEY 67 LIBING ROAD SHANGHAI CH 2012 131656692 SCIENTIFIC CH USP Holding C Corp 37373 4614253 1.00000 true UNITED STATES FARMACOPEIA BRASIL LTDA WTORRE TECHNOLOGY PARK AVENIDA CECI SAO PAULO BR N. 1 131656692 SCIENTIFIC AL USPHUSPHI C Corp -1734366 8836910 1.00000 true US PHARMACOPEIA STND RESEARCH & DEV Waigaoqiao Free Trade 520 NFu Te SHANGHAI CH 200131 131656692 SCIENTIFIC CH USP Holding C Corp 2492438 34469501 1.00000 true CENTER FOR PHARM ADVANCEMENT AND TRAIN No3 Park AvenueMortorway Ext ACCRA GH WY1 131656692 SCIENTIFIC GH USPHUSPHI C CORP -1202228 1196361 1.00000 true false true false false false false false false false false false false false false false false false false false Center for Pharmaceutical Advancement & Train b 1000000 Cash US Pharmacopeia Stnd Research & Dev b 1200000 Cash