Arc Institute

Nonprofit profile at a glance

EIN
871920284
IRS 990 coverage
2021–2024
Official website data refreshed
Sep 2026
Forms available
Form 990 2024
Location
Palo Alto, California, United States
Phone
6508994880
Rating
71
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Medical Research N.E.C.

Official website

Reported finances

Revenue
$122,280,682
Expenses
$82,781,856
Assets
$184,388,461
Liabilities
$83,668,141

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

20 people listed

Executive titles in this filing

  • Silvana M Konermann PhD (EXECUTIVE DIRECTOR/ PRESIDENT)

Highest reported compensation

  • Alden J Woodrow (CHIEF OPERATING OFFICER): $1,216,916 total reported compensation
  • Julia M Kazaks (GENERAL COUNSEL/ SECRETARY): $549,867 total reported compensation
  • Patrick D Hsu PhD (Core Investigator/ Co-Founder): $528,636 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Arc Institute's mission is to accelerate scientific progress, understand the root causes of complex diseases, and narrow the gap between discoveries and impact on patients.

What it reported doing in 2024

- Core Investigators (which include the following labs) are provided with no-strings-attached, multi-year funding as well as cutting-edge scientific and infrastructure support to enable high-risk, high-reward science. They are innovative pioneers enabled to pursue their very best ideas. The Gilbert lab has an expertise in synthetic biology, functional genomics and cancer biology. We build CRISPR epigenetic editing tools to turn genes on and off and to perturb gene regulatory elements. We are developing CRISPR functional genomics approaches to map individual genes or sets of genes that regulate phenotypes of interest in vitro and in vivo. We are focused on utilizing our expertise to tackle big problems in deadly human cancers such as metastasis and drug resistance. The Hsu Lab works at the intersection of synthetic biology and genomics to invent new biotechnologies for improving human health. The Konermann lab develops and applies next-generation functional genomics to understand the cellular and molecular pathways underlying the neuronal system and neurodegenerative disease, with the long-term goal of developing rationally targeted therapeutics for neurodegenerative disorders. The Li Lab combines chemistry, biochemistry, immunology, and physiology to uncover basic mechanisms in innate immunity and, in parallel, develop therapeutic hypotheses and lead molecules. Innate immune pathways as the first line of defense against pathogens present many exciting opportunities for scientists from many disciplines. These pathways are a rich source of novel chemistry: they involve diverse molecular patterns in pathogens, little-explored second messengers, and drugs with poorly understood mechanism. Activation of innate immunity is a proven therapeutic strategy for vaccination, viral infection, and cancer, while inhibition is a strategy for treating autoimmune diseases and neurodegeneration. To date, however, most modulators of innate immunity are broad, non-specific, and poorly characterized, such as killed bacteria, alum crystals, and steroids. The Li lab seeks to improve understanding of these pathways and facilitate the development of more precise drugs for preventing or treating specific diseases. The Horns Lab creates and uses new technologies to understand and manipulate cells. We aim to discover the fundamental principles governing how cells and tissues operate, and to harness these insights to improve human health. Our work unites molecular engineering, synthetic biology, and genomics to answer questions and solve problems in immunology, neuroscience, cancer, and aging. The Goodarzi Lab combines modern experimental and computational technologies to understand complex human diseases at a molecular level. We are predominantly focused on metastatic progression in multiple cancers and neurodegenerative diseases as the biggest challenges to human health in the 21st century. - Technology Development Centers As biomedical research has become more advanced, it has become more dependent on complicated tooling that is difficult or impossible for any single lab to pursue today. Arc Technology Centers are focused on advancing and distributing key biomedical technologies within the institute that require high capital scale, targeted expertise, and systematic innovation. Our Technology Centers provide long-term career options for Arc scientists beyond their training period. By enabling competitive compensation relative to the biotech and tech industries (such as for research scientists and computer programmers), our goal is to expand the ecosystem of available career paths in research and maintain continuity in critical technical know-how. We have 5 staffed Technology Centers focused on 1. Cellular Models 2. Genome Engineering 3. Mammalian Models 4. Multi-omics 5. Computational biology - Translational Programs Making an impact on complex diseases requires new fundamental biological insights into disease mechanisms and new technologies that can ta

Operating model

Revenue model
Donor-supported. 99% of the money available for current operations came from contributions and gifts.
Distribution model
Direct operator. The filing allocates 82% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and the filing reports few safeguards for money sent abroad.

Rating breakdown

  • Financial Efficiency: 55
  • Transparency & Controls: 73
  • Accountability: 91
  • Sustainability: 69
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 53.1%; rating input score 53
  • Program expense ratio: 77.4%; rating input score 77
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 68th percentile among comparable filings
  • Pay-setting controls: 3 of 6 controls in place; rating input score 50
    • Compensation committee: Missing
    • Independent consultant: Pass
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Pass
    • Board or committee approval: Pass
  • Foreign activity oversight: Scored; rating input score 0
  • Grant itemization coverage: 100%; rating input score 100; 77th percentile among comparable filings
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 77th percentile among comparable filings
  • Governance controls: 7 of 9 controls in place; rating input score 78
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Fail
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 32.3%; rating input score 93; 93rd percentile among comparable filings
  • Total-asset coverage ratio: 2.23; rating input score 67; 67th percentile among comparable filings
  • Liabilities to assets ratio: 0.45; rating input score 40; 40th percentile among comparable filings
  • Officer compensation ratio: 7.6%; rating input score 6; 6th percentile among comparable filings

Growth

  • Program expense growth: 59.1% per year; rating input score 100; 99th percentile among comparable filings
  • Revenue growth: 38.6% per year; rating input score 100; 98th percentile among comparable filings
  • Asset growth: 20.7% per year; rating input score 100; 93rd percentile among comparable filings

Details

  • What they do: 7 programs and campaigns described on the official site · 4 operating locations identified
  • Where the money goes: 53.1% of revenue deployed · 77.4% of spending went to programs
  • Governance: 3 of 3 board members independent · 7 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $64.1M in reported program spending
  • Leadership: top reported pay $1.2M · 20 people listed · 3 of 6 pay-setting controls reported
  • Highest-paid contractors: 5 contractors listed · $2.5M reported
  • Consistency: 34 of 34 current checks pass
  • Schedules: 8 filed schedules · includes major donors, foreign activity, grants, and executive pay
  • Filing history: 4 filing years from 2021 to 2024
  • Contacts: How to reach this organization
  • Money network: 27 filed money-flow records
  • Related organizations: 7 filed related-organization links
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • Review — Financial Efficiency: Mission deployment rate scored 53/100.
  • High — Transparency & Controls: Foreign activity oversight scored 0/100.
  • Review — Accountability: Governance controls: 2 of 9 not reported.
  • High — Sustainability: Officer compensation ratio scored 6/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 40/100.