2011-08-12T12:56:29-05:00 2010-09-30 DELOITTE TAX LLP 655 west broadway suite 700 SAN DIEGO CA 921018590 990 2009-10-01 330435954 THE SCRIPPS RESEARCH INSTITUTE SCRI 8587841000 10550 NORTH TORREY PINES ROAD LA JOLLA CA 92037 Donna Weston 8587848300 2011-08-12 1 6192326500 2009 2016-02-24 21:20:13Z Richard A Lerner MD 10550 NORTH TORREY PINES ROAD LA JOLLA CA 92037 431232804 0 X WWW.SCRIPPS.EDU X 1924 CA TSRI conducts biomedical and biochemical research and postgraduate training programs. 28 25 2861 47 -719115 -737115 372869629 368243444 6374012 5440534 -6334148 9290873 2578637 4129895 375488130 387104746 6669000 7538338 0 198826209 188196176 180000 2784151 188802020 195575476 394297229 391489990 -18809099 -4385244 814310975 850789296 153091940 167734219 661219035 683055077 The Scripps Research Institute's ("TSRI") mission is to perform high impact basic biomedical research, improve the human condition by Fostering translation of its discoveries into useful products and engaging in the highest quality graduate scientific education and post graduate scientific training. TSRI is known for its entrepreneurial environment and its emphasis in research relating to synthetic chemistry, the relationship between molecular structure and activity and chemical biology. 0 0 349208023 5440534 RESEARCH GRANTS, CONTRACTS AND FELLOWSHIPS ARE RECEIVED FROM PUBLIC AND PRIVATE INSTITUTIONS AND INDIVIDUALS AND ARE USED TO CONDUCT BIOMEDICAL RESEARCH AND TO DEVELOP ANSWERS TO FUNDAMENTAL AND IMPORTANT QUESTIONS. THIS USE ANTICIPATES THAT THE PURSUIT OF BASIC KNOWLEDGE IN CHEMISTRY AND BIOLOGY WILL INEVITABLY LEAD TO BENEFICIAL RESULTS APPLICABLE TO THE HUMAN CONDITION AND TREATMENT OF DISEASE. RESEARCH IS CONDUCTED IN LA JOLLA, CALIFORNIA AND JUPITER, FLORIDA. 19811823 7538338 TSRI recognizes that a robust education program is key to the success of its laboratory-based investigations, and offers both graduate and post-graduate education programs. Post-doctoral education programs include fellowships for focused and supervised training on problems that will become central to subsequent investigations as these young scientists begin their scientific careers. TSRI's graduate program seeks to create an individualized curriculum for students studying at the interface of biology and chemistry - areas of scientific inquiry for which The Scripps Research Institute has earned its reputation for excellence. Courses can be chosen for either focused or interdisciplinary studies. Opportunities to craft a research project and area of study that encompasses several laboratories outside of the student's mentor are not only available but encouraged. Accommodations are made to suit the student's sensibilities and obstacles are routinely overcome to keep the best interests of the students at the forefront of the program. 369019846 1 1 0 1 0 0 0 0 1 1 1 0 0 0 1 1 0 1 1 0 0 0 1 1 1 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 1 1 0 0 1 276 0 2861 1 1 1 0 0 0 0 0 0 0 0 28 25 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA CT FL MD NJ NY PA X Donna Weston 8587848300 3301 North Torrey Pines Court La Jolla CA 92037 Warren Beatty 1.00 X 0 0 0 J Gary Burkhead 1.00 X 0 0 0 Gary N Coburn 1.00 X 0 0 0 George H Conrades 1.00 X 0 0 0 J Michael Cook 1.00 X 0 0 0 Thomas E Dewey Jr 1.00 X 0 0 0 Alexander W Dreyfoos 1.00 X 0 0 0 A Brent Eastman MD 1.00 X 0 0 0 Richard J Elkus Jr 1.00 X 0 0 0 Marjorie Fink 1.00 X 0 0 0 Phillip Frost MD 1.00 X 0 0 0 Richard Gephardt 1.00 X 0 0 0 Louis L Gonda 1.00 X 0 0 0 Steven Green 1.00 X 0 0 0 Paul L Herrling PhD 1.00 X 0 0 0 Lawrence C Horowitz MD 1.00 X 0 0 0 Thomas H Insley 1.00 X 0 0 0 Amin Khoury 1.00 X 0 0 0 Claudia S Luttrell 1.00 X 0 0 0 James R Mellor 1.00 X 0 0 0 John J Moores 1.00 X 0 0 0 Mark Pearson 1.00 X 0 0 0 Lynn Schenk 1.00 X 0 0 0 Ralph J Shapiro 1.00 X 0 0 0 Mark S Skaggs 1.00 X 0 0 0 Andrew J Viterbi PhD 1.00 X 0 0 0 Gerald Cohn 1.00 X 0 0 0 Richard A Lerner MD 40.00 X X 1310980 0 59348 Douglas Bingham 40.00 X 574292 0 63667 Donna Weston 40.00 X 367947 0 57452 Thomas Northrup 40.00 X 255237 0 50522 Cary Thomas 40.00 X 336813 0 61272 Kaye Wynne 40.00 X 290646 0 60556 Harry Orf 40.00 X 242957 0 59058 Gerald Edleman 40.00 X 428999 0 62870 Gerald Joyce 40.00 X 413994 0 63183 Julius Rebek Jr 40.00 X 416657 0 69419 William Roush 40.00 X 413834 0 61974 Peter Wright 40.00 X 411309 0 60812 5463665 0 730133 263 0 1 0 Deloitte & Touche LLP 655 W Broadway Suite 700 San Diego CA 921018590 Audit & Tax 684869 Olson & Cepuritis LTD 20 North Wacker Drive 36th floor Chicago IL 60606 Legal 661901 Quine Intellectual 2033 Clement Avenue Alemeda CA 94501 Patent Attorney 580555 Schwegman Lundberg Woessner PA 1600 TCF TOWER 121 S 8th Street Minneapolis MN 55402 Legal 455759 Xnth 2601 Westhall Lane Maitland FL 32751 Architectural Design 354745 18 173920 1988240 279026814 87054470 138476 368243444 Patent Office 900099 5440534 5440534 5440534 10740301 10740301 5303607 5303607 919071 1479889 -560818 -560818 -560818 27500000 13617713 28257794 14309347 -757794 -691634 -1449428 -1449428 165575 173920 81028 84547 84547 SHARED SERVICES 900099 860469 860469 Library Services 900099 479795 479795 K-1 Income 531390 -2081923 -719115 -1362808 44218 44218 -697441 387104746 5440534 -719115 14139883 7084000 7084000 454338 454338 3818684 1375323 2443361 138269196 130569636 6033669 1665891 8229849 7631523 442197 156129 28757707 28096381 564053 97273 9120740 8508147 515110 97483 2257 1828 429 180000 180000 42597312 35671376 6654257 271679 68834800 68305439 412583 116778 24619724 23246287 1284626 88811 3362623 3243541 60182 58900 2634194 2634194 34971010 34722516 232015 16479 3424290 2425301 994139 4850 Utilities 13790089 13722938 48184 18967 Publications 361637 260065 92120 9452 Licenses and Taxes 13920 103393 -90932 1459 963620 963620 391489990 369019846 19685993 2784151 28292689 16432711 65161723 61127656 526261 1109290 2691319 3969802 1240859 938068 3670437 3665890 662052776 280983927 387723705 381068849 186264706 237001444 132574715 140142266 6164561 5333320 814310975 850789296 30793186 41171369 41731213 39922784 44400000 42615000 8150000 8150000 28017541 35875066 153091940 167734219 X 446750228 459621044 178426800 183911347 36042007 39522686 661219035 683055077 814310975 850789296 X 0 1 1 X 1 1 X SCRIPPS HEALTH LA JOLLA CA RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 2257 2257 0 Part II-B, Line 1i: Explanation of Other Lobbying Activities: TSRI PAYS ANNUAL DUES TO THE ASSOCIATION OF INDEPENDENT RESEARCH INSTITUTES, THE NATIONAL ASSOCIATION FOR BIOMEDICAL RESEARCH, THE CALIFORNIA ASSOCIATION OF CERTIFIED PUBLIC ACCOUNTANTS AND THE FLORIDA RESEARCH CONSORTIUM, A PORTION OF WHICH ARE USED FOR LOBBYING ACTIVITIES. 57023972 2763384 2641687 1383139 61045904 50896638 6124230 53243 50139 57023972 0.35000 0.65000 0 0 19645590 19645590 394709859 109992056 284717803 18119390 14798800 3320590 225621216 154863643 70757573 3956721 1329428 2627293 381068849 Investment in Limited Partnerships 140142266 F 140142266 Payable to Unitrust/Gift Annuity Beneficiaries 1765692 Pension Liability 31591724 Bond Premium 2517650 35875066 387104746 391489990 -4385244 17711221 8510065 26221286 21836042 415298770 17711221 1111281 18822502 396476268 -9371522 -9371522 387104746 393461741 1971750 1971750 391489991 0 391489991 Part V, Line 4: Description of Intended Use of Endowment Funds: Investment return from the endowments supports scientific projects consistent with the mission and principles of The Scripps Research Institute. Part X: Description of Uncertain Tax Positions Under FIN 48: TSRI adopted FIN 48 during the year ended 9/30/08. No liability for uncertain tax positions has been recorded on the financial statements for the current year. Part XI, Line 8 - Other Adjustments: Shared Services: -860469. Other/rounding: -988. BOOK/TAX DIFFERENCE ON K-1 INCOME: 9371522. Part XII, Line 2d - Other Adjustments: rent expenses netted against rent revenue: 1479889. loss on disposal of equipment: 491861. Outside shared service gross revenue: -860469. Part XII, Line 4b - Other Adjustments: Book/Tax Difference on K-1 Income: -9371522. Part XIII, Line 2d - Other Adjustments: rent expenses netted against rent revenue: 1479889. loss on disposal of equipment: 491861. 1 Europe (including Iceland & Greenland) Program services Laboratory for TSRI Scientist & Student Research 454338 Europe (including Iceland & Greenland) Investments 0 SEE PART IV 0 0 0 454338 Europe (including Iceland & Greenland) Laboratory for TSRI Scientist & Student Research 454338 Electronic Fund/Wire N/A N/A 1 0 Procedure for Monitoring Grants Outside the U.S.: Schedule F, Part I, Line 2: TSRI monitors the amounts provided to the foreign organization by adherence to a grant contract for the lab provided for use of the TSRI researcher and monitors detailed billing statements for student research expenditures. Schedule F, Part IV Other Information TSRI HAS MANY SCIENTISTS THAT TRAVEL AROUND THE WORLD. GLOBAL TRAVEL IS REQUIRED BY THE SCIENTISTS TO ATTEND VARIOUS MEETINGS AND SPEAK ON THEIR AREAS OF SPECIALTY. IT IS NOT FEASIBLE TO GATHER THE DETAILED INFORMATION REGARDING EXPENDITURES FOR PART I. THERE ARE NO OFFICES OUTSIDE OF THE US OR EMPLOYEES WHO RESIDE OUTSIDE OF THE U.S. X X X X X X 1 Sanky Communications Inc E-Philanthropy 0 91027 75000 16027 Sanky Communications Inc Direct Mail Donor Acquisition 0 26125 105000 -78875 117152 180000 -62848 CA FL CT IL MI MA NJ NY PA The Ray Romano 182825 17250 165575 79016 Frenchman's Creek 156670 156670 2012 339495 173920 165575 81028 81028 84547 1 Scholarship/stipends-kellogg graduate students at $28,000 per student 253 7084000 0 X X X 1 1 X X X X X 0 1 0 0 0 0 0 0 0 Richard A Lerner MD 979753 0 0 0 331227 0 49000 0 10348 0 1370328 0 0 0 Douglas Bingham 557994 0 0 0 16298 0 50069 0 13598 0 637959 0 0 0 Donna Weston 350929 0 0 0 17018 0 49000 0 8452 0 425399 0 0 0 Thomas Northrup 248306 0 0 0 6931 0 38050 0 12472 0 305759 0 0 0 Cary Thomas 304749 0 0 0 32064 0 49000 0 12272 0 398085 0 0 0 Kaye Wynne 259778 0 0 0 30868 0 49000 0 11556 0 351202 0 0 0 Harry Orf 228953 0 0 0 14004 0 46650 0 12408 0 302015 0 0 0 Gerald Edleman 418394 0 0 0 10605 0 49000 0 13870 0 491869 0 0 0 Gerald Joyce 410896 0 0 0 3098 0 49000 0 14183 0 477177 0 0 0 Julius Rebek Jr 407513 0 0 0 9144 0 49000 0 20419 0 486076 0 0 0 William Roush 408623 0 0 0 5211 0 49000 0 12974 0 475808 0 0 0 Peter Wright 404159 0 0 0 7150 0 49000 0 11812 0 472121 0 0 0 Part I, Line 1a The Scripps Research Institute travel policies permit business class travel on flights of more than three hours. First class travel is permitted on smaller aircraft if business class travel is not offered on these long-haul flights. TSRI's trustees serve without compensation. However, upon request, TSRI will reimburse trustees for the cost of accompanied travel if such reimbursement is necessary to obtain trustee participation at the meetings. Finally, TSRI has two campuses; one in La Jolla, CA and one in Jupiter, Florida. The President and CEO maintains a house in both locations. A housing allowance is provided for one of those locations. Part I, Line 4b: Richard Lerner, M.D. participated in a deferred compensation plan. No payments were made during the year. Total TSRI liability at 9/30/2010 was $5,636,000. Douglas Bingham participated in a supplemental executive retirement plan. No payments were made during the year. Liability at 9/30/2010 was $1,450,000. See Schedule O 630304653 13033WRC9 2005-02-23 39547350 See Schedule O 0 0 39547350 22905721 641629 16000000 2005 1 0 1 1 0 0 0 0 0 1 0 0 0 0 0 1 See Schedule O 0 X 4 138476 Cost/selling price 0 1 1 Third Party Use: Part I, Line 32b: Shares of stock gifted to TSRI are transferred into our brokerage account at Morgan Stanley Smith Barney and they in turn sell the shares and wire the stock proceeds to TSRI. Non Reporting of Revenue: Part I, Line 33: 2 stock gifts, for a total of $138,476, were given to be applied against pledges. They were applied against a pledge receivable rather than revenue. Form 990, Part VI, Section A, line 2 TSRI Board of Trustee members Claudia S. Luttrell and Mark S. Skaggs have a family relationship. Dr. Richard Lerner and Dr. Phillip Frost have a business relationship. Dr. Richard Lerner and Gerald Cohn have a business relationship. Dr. Lawrence Horowitz, Mark Pearson, Ralph Shapiro, Richard Elkus and Louis Gonda have a business relationship with each other. Form 990, Part VI, Section B, line 11 On June 28, 2011, the Audit Committee reviewed a draft of the Form 990 (including all supplemental schedules.) This review included a presentation of the statements by the Chief Financial Officer with particular emphasis on disclosures about governance and about transactions involving interested persons. The 990 will be provided to the full Board of Trustees prior to filing. Form 990, Part VI, Section B, line 12c TSRI's Conflict of Interest Policy covers all scientific employees, key employees, officers and trustees. It is administered by the Professional Affairs Committee of the Board of Trustees. The conflict of interest policy complies with the requirements of other oversight bodies such as the NIH. All transactions involving potential or actual conflicted persons are brought before the Professional Affairs Committee which, after examination of all relevant information, may do one of the following: 1. Approve the transaction subject to a conflict mitigation plan 2. Disapprove the transaction 3. Request additional information Further, there is an anonymous "hot line" where all employees are invited to disclose information of a broad nature, including potential or perceived conflicts of interest. Once approved by the Professional Affairs Committee, transactions involving officers are brought to the Board of Trustees for final review and approval. Form 990, Part VI, Section B, line 15 The Board of Trustees annually approves the compensation for the President; and, on a bi-annual basis the Board's Compensation Committee (CC) selects and engages an outside compensation consultant. This would be done less than bi-annually only if there have been material changes in the Institute or the President's responsibilities. The consultant meets with the VP of HR to ensure it has complete and accurate information regarding the Institute and scope of executive responsibility. The consultant determines peer institutions for inclusion in a compensation survey. The consultant conducts a compensation review using specialized and published surveys, and submits a written opinion to the CC in accordance with the provisions of Section 53.4958-6(c)(2) and satisfies the professional advice requirements of Section 53.4958-1(d)(iii) of the Income Tax Regulations. After the consultant presents the survey to the CC, the CC reviews the executive performance as communicated from the Executive Committee of the Board of Trustees. The CC reviews executive travel, business expenses, and Outside Professional Activities Disclosure. The CC then makes an independent recommendation to the Board of Trustees on executive compensation, which must be approved by the Board of Trustees. Affected trustees abstain from participation in this process. Form 990, Part VI, Section C, line 19 Governing documents and conflict of interest policies are not available to the public at this time. The financial statements are available on the TSRI web-site and are filed with the State of Florida by the Scripps Florida Funding Corporation. The statements are provided to bond holders through TSRI's dissemination agent. The annual information return is provided upon request. Form 990, Schedule K, Part I (A) Issuer Name: California Infrastructure and Economic Development Bank (F) Description of Purpose: 1. To acquire the Immunology building and to refinance the 1994 Arnold and Muriel Beckman Chemistry building construction bonds 2. To pay for a portion of the issuance cost of both issues 3. To pay for capitalized interest on the bonds during the construction period Form 990, Schedule R, Part II: TSRI and The Skaggs Institute for Research ceased to be related organizations during the year ended September 30, 2010, but was included as a related organization herein to be consistent with the Skaggs form 990 filing. Form 990, Schedule L, part IV a. Paul Herrling, Trustee b. Employee of Novartis and a director of Novartis affiliate, The Novartis Institute for Functional Genomics (GNF) c. $8.7 million in payments from Novartis or GNF d. Licensing & faculty recruitment agreements and equipment usage e. NO Form 990, Schedule L, part IV a. Richard A. Lerner, M.D., President & CEO b. TSRI President & CEO c. $389,000 d. Licensing Agreement e. NO Form 990, Schedule L, part IV a. Brent Eastman, M.D., Trustee b. Key Employee of Scripps Health c. Cost of services paid to Scripps Health d. $2,494,095 e. No Form 990, Schedule L, Additional Information PHILLIP FROST, M.D. IS A TRUSTEE OF TSRI AND IS A SIGNIFICANT SHAREHOLDER IN OPKO HEALTH, INC. ("OPKO"). OPKO IS A HEALTH CARE COMPANY FOCUSED ON THE DEVELOPMENT OF PHARMACEUTICALS, HAS A USE LICENSE WITH TSRI, AND MAY BE INVOLVED IN BUSINESS TRANSACTIONS WITH TSRI IN THE FUTURE. RICHARD A. LERNER, M.D. IS THE PRESIDENT AND CEO OF TSRI. DR. LERNER SERVES AS CHAIRMAN ON ONE OF THE SCIENTIFIC ADVISORY BOARD OF PFIZER, INC. HE IS UNCOMPENSATED FOR HIS SERVICES TO PFIZER. TSRI AND PFIZER, INC. ARE PARTIES TO A COLLABORATIVE RESERACH AGREEMENT CURRENTLY IN PLACE. IN ADDITION, DR. LERNER SERVES ON THE BOARD OF DIRECTORS AND IS THE CHAIR OF THE COMPENSATION COMMITTEE OF OPKO. OPKO'S RELATIONSHIP WITH TSRI IS EXPLAINED ABOVE. Several interested persons have equity positions held in the ordinary course of business, in companies with which TSRI does business including Thermo Fisher, Merck Serono, Pfizer, Teva Pharmaceuticals, Fidelity Management and Research and Marsh Risk and Insurance Services. FORM 990, PART VII, SECTION B: TSRI patents many of its discoveries. For most of those discoveries, the cost of these patents is recovered from third parties pursuant to the terms of the underlying license. the skaggs institute for research ALSAM Foundation 6190 S Moffat Farm Salt Lake City UT 841210000 870549234 Grant Making UT section 501(c)(3) Private Foundation 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 The Skaggs Institute for Research C 1988240