Future
for the
F Y 2 0 0 9 A n n u A l R e p o R t
CELEBRATING 40 YEARS
CELEBRATING 40 YEARS
2 Evolving for the Future
C o n t e n t s
10 s e c t i o n I : cr e a t i n g V e n u e s f o r Gr e a t Sc i e n c e
11 Annual Meeting
13 The Journal of Neuroscience
20 s e c t i o n II : s u p p o r t i n g t h e N e u r o s c i e n c e C o m m u n i t y
21 Membership
24 Chapters
26 Professional Development
34 s e c t i o n III : E d u ca t i n g a n d E n g a g i n g t h e P u b l i c
35 Public Outreach
38 Science Advocacy
Values
n Identifying and serving the evolving needs of energy efficiency, recycling, and other initiatives,
SfN members as well as the field of neuroscience. and being mindful of the broader impact of its
day-to-day practices, decisions, and actions.
n Continuing to promote greater diversity of
representation of women, minorities, and young n Developing effective strategic relationships and
investigators, along with geographic and specialty collaborative initiatives with appropriate external
balance, in SfN’s meetings, conferences, partners, including other scientific societies and
committees, and governance processes. associations, health advocacy groups, foundations,
public agencies, government entities, educational
n Seeking new and innovative ways to utilize institutions, corporate entities, information
technology in ongoing activities to better serve technology service providers, etc.
members and to help manage the problems of scale
as a successful association in the 21st century. n Building a model of iterative planning into
the fabric of SfN governance and management pro-
n Fulfilling its Mission in a socially, economically, cesses, incorporating regular evaluation of the impact
and environmentally responsible fashion, including and success of initiatives and activities, and periodic
minimizing SfN’s environmental footprint through revisiting of major programs and activity clusters.
1996
n SfN joins Brain
Awareness Week
campaign, launched by
the Dana Alliance
Neuroscience 2OO8:
Continued Excellence
16,000
*
14,000
12,000
10,000
8,000
6,000
*
4,000
2,000
0
2001 2002 2003 2004 2005 2006 2007 2008 2009
# of submissions
# of submissions projected for 2009
# of editorial pages published
# of projected editorial pages to be published for 2009
* Sept. 1, 2009 to Dec. 31, 2009
Features
Neurobiology Behavioral/Systems/
of Disease Cognitive
1,294 (21%) 2,431 (41%)
EIC
Features
121 (2%)
Development/Plasticity/R
EIC
76 (1%)
Development/ Cellular/Molecular
Plasticity/Repair
758 (13%) Cellular/Molecular
1,302 (22%)
Behavioral/Systems/Cog
Above: Mark Morris’ company partners professional dancers with students who
have limited mobility due to Parkinson’s disease. The classes enable students to
experience new forms of movement and self-expression.
person is behind you. Our broad neurons, causing tremors, stiffness, While there is growing interest
conception of proprioception is, and halting movements, hardly the in understanding how and whether
‘This is me here.’” hallmarks of a dancer. dance could benefit PD patients
Yet, Dance for PD, a joint physiologically, the classes appear
The Joy of Dance project between the Mark Morris to improve mood and concentra-
Dance Group and the Brooklyn tion. Further insight and advances,
Even for individuals who struggle
Parkinson Group, offers people however, may yet reveal new
to coordinate the most basic move-
with Parkinson’s the chance to treatments for human disorders in
ment, dance is still a superb release
engage in ballet, tap, jazz, and different ways, including through
and learning experience. The
modern dance exercises. In sessions, dance and rhythm.
degenerative disorder Parkinson’s
patients learn from movement
disease (PD) destroys basal ganglia
experts how they can use their
senses and brains to control
movement.
Captivating Rhythm
Rhythm is universal — all over the Model Nervous System
world, people respond to a steady Researchers have learned much
tempo. Strong beats drive people about CPGs and the rhythmic
to dance. Even young children activity of the nervous system by
seem to instinctively know how to studying crustaceans, like crabs
move to music. and lobsters. Compared with
Perhaps we are all so sensitive most mammals, these animals
to rhythm because it drives so have simpler nervous systems,
much of our biology. Our hearts Top: Lobsters have simplified neural
so they are attractive models for
beat rhythmically, and we wake pathways, which makes them good
understanding how neural circuits
and sleep to circadian rhythms. models to study the circuitry of the
produce rhythmic behaviors.
These intrinsic rhythms are as- nervous system. Right: Even in
Researchers, including SfN
sociated with rhythmic activity relatively simple nervous systems, brain
Past President Eve Marder, have
in the brain. Perhaps it is fitting cells form complex connections. These
been particularly interested in the
that rhythmic brain activity is vital connections, often illustrated in circuit
stomatogastric nervous system
to produce the movements that diagrams, like the one shown here
(STG) in these animals. The STG is
comprise dance. from the crab stomatogastric nervous
the part of the crustacean central
Even small changes to these system, form the foundations for
nervous system that controls the
natural rhythms can have dire ef- behavior and much of physiology.
movement of the stomach. The STG
fects on the whole animal. Diseases contains about 30 nerve cells that
like depression and injuries like are organized into two different
repeated concussions can throw rhythmic CPGs. Researchers have
rhythms off balance, ultimately mapped the connections between their rhythmic firing patterns.
resulting in changes in cognition, these cells, and the resulting These findings demonstrate that
mood, and behavior. web-like network can be studied the rhythmic activity is intrinsic
In living creatures, specialized to obtain insights into how larger to the CPG. Rather than wait for
neuronal circuits called central neural networks function. something to trigger their activity,
pattern generators (CPGs) produce these circuits are constantly active.
rhythmic behaviors, like walking, These crustacean studies reveal
swimming, breathing, and chew- Constantly Active an important principle about all
ing. The cells found in these circuits Where does the rhythmic activity neural networks: the nervous
produce electrical discharges in an of CPGs come from? Even when system is constantly active. It does
“oscillatory” pattern that repeats. they are removed from the body, not wait passively for a stimulus
groups of STG nerve cells maintain
to turn it on. The nervous system Changing Tempo forming one master network web.
is active day and night, whether Sensory stimuli are not alone in So, seemingly remote modifications
an organism is asleep or awake, modifying rhythms. Natural and can affect the whole animal.
although the patterns of activity not-so-natural chemicals modify By showing how small changes
are different during sleep than CPG rhythms as well. Dr. Marder’s in the chemical environment can
when the animal is awake. lab has shown that chemicals affect many nerve cells and the
Research indicates that sensory called neuromodulators fundamen- behaviors they produce, these stud-
stimuli modify internally gener- tally alter the activity produced by ies offer insight into the dramatic
ated activity. For example, the neuronal circuits so that the circuits effects of disorders like depression.
animal’s ingestion of food alters can produce different behaviors. Upsetting the balance of brain
the firing rhythm of STG cells and For example, one substance might chemicals changes the state of
ultimately increases movement in increase a rhythm’s rate and am- brain circuits, profoundly altering
the stomach. Similarly, the presence plitude, while another substance mood and behavior.
of a predator changes CPG firing might silence the rhythm. In studying cellular rhythms in
rhythm, resulting in swimming Because of the network crabs and lobsters, researchers are
behavior aimed at escape. structure of brain circuits, changing discovering the mechanisms driving
the rhythm of one brain cell can our rhythms — those in dance,
influence many others. In fact, thought, and sleep.
throughout the nervous system,
individual neural networks interact,
Membership:
Growing and Changing
Students and international members make up 54 percent of SfN’s membership. Evolving for the Future 21
The Society also is laying groundwork for
continued innovation by implementing strategies
that emerged from the 2007 member survey and
resulting membership enhancement plan. Efforts
include better communication with members to
38,677
40,000 raise awareness of SfN benefits and to facilitate
interactions with the Society. At Neuroscience
37,562
2008, “Did You Know” signs conveyed essential
36,653
36,183
information about SfN to members
13,727
and potential
35,000
34,215 members alike, and member communications tools
12,452
12,530
12,047 are evolving to encompass social networking sites,
such as Facebook, as other ways of engaging the
11,395
31,206 community.
28,357 In February, SfN launched a new data manage-
30,000
9,840 ment system that forms the foundation for future
member service enhancements and more efficient
information processing. Members can easily renew
9,043
their membership, update profiles, and express
25,000 interest in special content areas. Soon, more person-
Above: Ramesh Vemuri from the National Institute on Aging
introduced graduate students, postdoctoral fellows, and alized communication preferences will be available
25,110 24,950
junior neuroscientists to training opportunities through the
24,136
through the24,123
system.
National Institutes of Health at the “How to Fund Your NIH
22,820
20,000
Training Proposal” workshop during Neuroscience 2008. Serving New Members
21,366 While continuing to better serve its individual
aimed at facilitating greater participation by younger members, SfN is expanding its operation to serve
19,314
generations of neuroscientists. the neuroscience community in new ways in the
Responding to member needs also came in years to come. Arising from a consolidation with
15,000 unexpected ways this year as members in the United the Association of Neuroscience Departments
States and Italy faced crises following natural and Programs, SfN has created a new category of
disasters. When Hurricane Ike destroyed much of institutional program members to represent and
eastern Texas in October 2008, SfN established a address the needs of members engaged in educating
10,000 special fund for travel awards to the annual meeting and training new generations of neuroscientists.
and supported recovery efforts at the University of Over the coming fiscal year, SfN will focus
Texas Medical Branch in Galveston that benefited on increasing value for its members and strive to
neuroscience graduate students and research fellows. meet evolving needs of both its individual and
In response to the earthquake that devastated the new institutional members, as well as the field of
5,000
Abruzzo region of Italy in April 2009, SfN made neuroscience.
a donation to assist affected students and young
investigators in need. L
E A R N M O R E :
www.sfn.org/membership
0
2001 2002 2003 2004 2005 2006 2007
Then: 1970
International Membership Total U.S. Membership Total Now: 2009
Total Membership: 1,029 Total Membership: 38,761
4
38,677 38,761
40,000 37,562
36,183 36,653
13,727 13,885
34,215 12,452
35,000
31,206 11,395
12,047 12,530
3
3
28,357
30,000 9,840
9,043
25,000
24,136
25,110
24,123
24,950 24,876 2
22,820
20,000
19,314
21,366
2
15,000
1
10,000
1
5,000
0
2001 2002 2003 2004 2005 2006 2007 2008
Chapters
NORTH AMERICA 118
Canada 11
Mexico 2
United States and territories 105
EUROPE 8
Denmark Aarhus 1
Norway Trondheim 1
Spain Madrid 1
Switzerland Swiss Alpine 1
Turkey Izmir 1
Ukraine Kiev 1
United Kingdom London and Wales 2
Africa 2
TOTAL 138
Neuroscience 2008 offered three Short Courses to more than 850 registrants.
Global Burden of
Brain Disorders
Brain disorders have far-reaching Economic Hardship
impact, affecting people of all In addition to human suffering,
age groups from all geographic these disorders cause tremendous
locations. According to the World economic hardship for individuals
Health Organization (WHO), an and society: the loss of gainful
estimated 1 billion people world- employment, the caretaker’s loss
wide suffer from neurological and of family income, the cost of
psychiatric disorders. These disor- medications, and the need for other
ders account for 6.3 percent of the medical services. Some estimates
total burden of disease. As many place the economic burden of brain-
as 6.8 million people die annually related illness for 2008 at over $2
from brain disorders, accounting trillion worldwide. Another recent
for 12 percent of global deaths. study indicated that the economic
Brain disorders are considered one burden of serious mental health
of the greatest threats to public conditions in the United States
health, and yet there are many may top $317 billion, including
gaps in the understanding of these health-care costs, loss of earnings,
conditions. and disability payments, but not As the world population grows and
Moreover, mental disorders such including associated costs such as ages rapidly, the global scientific
as depression and schizophrenia incarceration or homelessness. community is working to develop new
are among the leading causes of Given the lack of health resources advances in medical research to offset
disability in the United States, in developing nations and the the burden of disease.
Canada, and Western Europe for expense of modern medicine, costs
ages 15 to 44 — prime working in those parts of the world are
years. A recent report conducted especially debilitating. Moreover, the percent of affected individuals in
by the WHO, World Bank, and absence of brain-related disorders developing nations fail to receive
Harvard University indicates mental from official cause of death tallies appropriate treatment. Nearly 70
disorders may account for more means they are often neglected in percent of those affected could
than 15 percent of the burden developing nations. And the stigma become seizure-free with appropri-
of disease in established market and discrimination that accompany ate antiepileptic drug treatment,
economies. neurological disorders often cause thereby decreasing stigma and
patients to go untreated. increasing their ability to lead
For instance, according to WHO, normal lives.
while some 50 million people
worldwide suffer from epilepsy, 90
As the global population con- and another study suggested about number of elderly people in the
tinues to age due to increased life 43 percent of all cases worldwide developing world is expected to
expectancy, worldwide neurological need a high level of care, like a jump 140 percent by 2030.
disease prevalence is expected nursing home. The proportion of elderly
to increase dramatically. Brain Finding effective ways to target people in industrialized nations
disorders are especially common and treat these debilitating condi- also will swell. In the European
among the elderly, and age-related tions is a priority for the global Union (EU), where state-provided
brain disorders, like dementia and health community. In the United health-care programs are the norm,
Alzheimer’s disease, pose a particular States alone, delaying the onset of those over 65 outnumber those
problem. In the United States, these Alzheimer’s disease by five years under 14 — the latter figure has
disorders were the subject of a major could save $50 billion in annual dropped 21 percent in 25 years.
policy evaluation and report led health-care costs, and researchers While there are now four working
by co-chairs Newt Gingrich, former believe interventions that delay persons for every pensioner in the
Republican speaker of the U.S. House disease onset and progression by EU, by 2050 there will be only two.
of Representatives, and Bob Kerrey, just one year would result in 9.2 Governments are grappling with
a former Democratic senator and million fewer cases of disease in how to provide adequate long-
governor from the state of Nebraska. 2050. They note that nearly all of term care for the elderly — and
the decline would be “attributable how to pay for it.
Approaching a to decreases in persons needing Researchers continue to deci-
high level of care.” pher the mysteries of these brain
Tipping Point
Age-related brain disorders diseases and disorders. Now more
The number of people suffering
affect entire families and society- than ever, neuroscience research
from dementia is already estimated
at-large. The National Institute on and a broader commitment to
to be in the tens of millions. WHO
Aging reports that in 2006, nearly biomedical research is nothing
estimates the incidence of Alzheim-
500 million people worldwide were less than a global imperative with
er’s disease and other dementias
65 and older; by 2030, that figure is monumental personal, economic,
will increase 66 percent by 2030,
expected to climb to 1 billion. The and social implications.
Mental Illness
Injuries, including self-inflicted
Alcohol and drug use
Malignant neoplasms (cancer)
Cardiovascular disease
Respiratory disease
Musculoskeletal disease
Sense organ disease
Digestive disease
0 5 10 15 20 25 30 35
The burden of disease is measured in disability-adjusted life years, a public health metric for assessing how a disease adversely
affects society through mortality and loss of health.
Unraveling
Alzheimer ’s Disease
Alzheimer’s disease is an emerging is daunting — there are currently the Alzheimer’s disease process.
problem in the developing world, fewer than 1,000 neurologists in Researchers are now looking for
according to researchers. As popula- the entire country. ways to limit protein aggregation
tions grow and life expectancies and tangle formation.
rise, the number of people suffering Alzheimer’s Disease Advances in genetics are help-
from age-related neurological dis- ing to identify people most at risk
Research
eases like Alzheimer’s may skyrocket. for developing Alzheimer’s disease
These predictions make unraveling
However, research is pointing the and the molecules and cellular
the biology of Alzheimer’s disease
way to promising new treatments. processes involved in disease onset.
all the more important. Ongoing
Researchers have identified three
research is helping to identify the
Alzheimer’s Disease genes ((APP, PSEN1, and PSEN2)
biological bases of memory loss,
that cause early-onset Alzheimer’s
in India cognitive decline, and brain cell
disease, which strikes before the
India offers one example of the death in Alzheimer’s disease.
age of 65. Although scientists
global impact of Alzheimer’s Many researchers are examining
agree that an array of genes likely
disease. According to the World the protein deposits that litter
contribute to and confer increased
Health Organization, average life Alzheimer’s disease brains for clues
risk for the more common, later-
expectancy in India is now 63 years to the cause of disease. Alzheimer’s
onset form of the disease, only one
of age — quickly approaching 65, disease brains contain plaques com-
gene ((APOE
APOE)) is currently known to
APOE
when vulnerability to Alzheimer’s posed of large deposits of a protein
do so. Researchers are now investi-
disease increases. The United called amyloid-beta. The plaques
gating how APOE is involved in the
Nations projects that by the year themselves were once believed
Alzheimer’s disease process.
2050, life expectancy in India will to be responsible for disrupting
Scientists also are identifying
rise to 73, and there will be 221 brain cell communication; however,
medical conditions and lifestyle
million Indian citizens who are 65 recent research implicates earlier
factors that increase the risk of
or older. forms and smaller amounts of
Alzheimer’s disease. For example,
According to the Alzheimer’s As- amyloid-beta. According to new
people with Type 2 diabetes may
sociation, one in eight people over research in animal models of
be at increased risk of developing
the age of 65 develops Alzheimer’s Alzheimer’s disease, treatments tar-
Alzheimer’s disease. Damage to
disease. So, by 2050, more than 27 geting amyloid-beta may prevent
the blood vessels that supply the
million Indians may be living with or delay disease progression.
brain also may increase Alzheimer’s
the disease. The challenge of caring Alzheimer’s disease brains also
disease risk. Together, these
for so many Alzheimer’s patients include aggregates of the tau pro-
findings suggest that maintaining
tein called neurofibrillary tangles.
Like amyloid plaques, these protein
clumps may be at the heart of
Cortex Cortex
Hippocampus
Left: Healthy nerve cells communicate across a space called the synapse.
In Alzheimer’s disease, however, the presence of plaques (in brown) and
tangles make for a toxic environment in which cells wither and normal
communication ceases. Above: As Alzheimer’s disease progresses, it kills
brain cells mainly in the hippocampus and cortex, which leads to
impairments in learning, memory, and thinking.
healthy weight, blood pressure, Deprived of their cellular connec- disease, specifically the genetic and
and cholesterol may reduce the risk tions, many mature brain cells die. lifestyle factors that protect against
for Alzheimer’s disease and other So, the new finding suggests that or enhance disease risk.
forms of dementia. Alzheimer’s disease kills brain cells Is Alzheimer’s disease prevent-
Additional research suggests by activating the pruning process able? Researchers are not sure. But
that Alzheimer’s disease may kill at the wrong time. Blocking this because it strikes late in life, they
brain cells by hijacking a process pruning process might therefore be recognize that even delaying dis-
involved in normal brain develop- beneficial to at-risk adults. ease onset by several years would
ment. During development, the greatly limit its reach. Achieving
brain makes too many brain cell Global Opportunity this goal will require the efforts of
connections. Like overgrown trees, a global community of scientists
Although researchers hope to stop
the ones that are not needed and clinicians, sensitive to both the
the expansion of Alzheimer’s dis-
are “pruned” back. Researchers similarities and unique needs of
ease in the developing world, they
recently found the precursor patients around the world.
recognize that the global commu-
protein that produces amyloid-beta
nity offers unique opportunities for
also produces a protein fragment
Alzheimer’s research. By studying
that activates the pruning process.
populations with rich cultural and
genetic diversity, researchers may
gain new insights into the causes of
Brain research is a proven path to better health, a stronger economy, and future sci-
entific advances. It is also a fascinating topic that excites the public of all ages. SfN
is committed to helping the public learn about brain function and how it influences
our lives, health, and social interactions. In FY2009, public outreach programming
evolved with the addition of new online resources for teachers and the public. Ad-
vocacy efforts increased substantially to help policy makers understand the health
and economic impact of research on society, as well as to support bold and visionary
funding created through the U.S. Recovery and Reinvestment Act.
Public Outreach:
Opportunities and Resources
Focused on Neuroeducation
As part of its commitment to public education, SfN
hosted a June “Neuroscience Research in Education
Summit” to spark discussion about how neuroscien-
tists and educators could work together to enhance
K-12 classroom education practices. Launched by
SfN President Tom Carew, the special presidential
At Neuroscience 2008, National Institutes of Health
initiative convened at the University of California,
directors and other NIH program leaders addressed the media
Irvine, a group of leaders from the education and
on research priorities in mental health, substance abuse, eye
science communities. Participants addressed issues health, stroke, and many other neurological diseases and
such as “what do teachers want and need to know disorders. From left: Paul Sieving, National Eye Institute;
about how students think and learn,” and “how can Tom Insel, National Institute on Mental Health; Story Landis,
a teacher’s questions drive neuroscience research?” National Institute of Neurological Disorders and Stroke;
The summit catalyzed a productive dialogue and Nora Volkow, National Institute on Drug Abuse.
focused on answering these questions. Participants
agreed on the imperative for educators to become
critical consumers of brain science and the need for resources. Popular publications — Research &
interdisciplinary partnerships that can shape a future Discoveries, Brain Facts, Brain Briefings, and Brain
agenda for the emerging field of neuroeducation. Research Success Stories — are broadly available
online in easy-to-download formats to broaden
Reaching a Wider Audience readership and reach. These publications illuminate
Working with the media and producing high quality the importance and excitement of basic science and
public information has been a core SfN emphasis for draw crucial links between fundamental discovery
many years. The 2008 annual meeting saw a tripling and the clinical, medical, and social applications
of news coverage, with exposure in the New York that contribute to better health, wellness, and
Times, Los Angeles Times, National Public Radio, quality of life.
NBC News, USA Today, Science, Nature, and more.
Robust coverage of The Journal of Neuroscience L
E A R N M O R E :
continued year-round with regular reporting from a www.sfn.org/public_education
wide range of outlets, from wires to radio to many www.sfn.org/newsroom
international and science publications. The Society
also promotes neuroscience knowledge by providing
the public with compelling, scientifically accurate
Investment and
Impact of Research
While biomedical research advances wide swings. The years 1998 to 2003 funded grant succeeded 53 percent
science and improves health for mil- were an economic boom, in large of the time on first submission. By
lions around the globe, it also has a part because Congress doubled the 2008, that success rate dropped
powerful economic impact. Although budget of the National Institutes of to less than 24 percent. Given
much research in this area predates Health (NIH), the hub of America’s estimates that each NIH grant funds
the recent economic downturn, the federal biomedical research enter- approximately six to seven jobs, the
data indicate the long-term value of prise. However, following that strong implications extended beyond the
science as an economic engine. investment, the NIH budget crested laboratory into local communities.
in 2003 and began to fall in real The American Recovery and
The U.S. and Global dollars, creating an 11 percent drop Reinvestment Act was an historic
Biomedical Investments in purchasing power. Many scientists affirmation of the role science plays
In the United States, biomedical were severely underfunded or not in the economy and provided a
research investment has been a story funded at all. In 2000, scientists crucial boost at a crucial time.
of upward growth, but subject to who tried to renew a previously Passed by Congress in early 2009, it
35%
30%
25%
20%
Success Rate
15%
10%
5%
0%
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Above: The application success rate for National Institutes of Health research project grants declined from about 32 to 21 percent
over the past decade. Opposite page: Public and private sector neuroscience investments create discoveries and jobs that
ultimately result in new therapies and diagnostic tools.
Neuroeconomics:
Money and the Brain
Whether to hold or sell a stock, or worth, but each values the other’s
rent or buy a house, we all face item more than his own. If a player
important economic decisions. chooses to cooperate, he gives
These decisions can be stressful, his item to the other player; if he
rewarding, or both. Researchers in defects, he keeps it. Both players
a new field called neuroeconomics benefit from exchanging goods.
are studying how the brain evalu- However, if one player cooperates,
ates economic information and and the other defects, the first
weighs financial risks and social ends up empty-handed and the
exchanges. second takes all.
Much of neuroeconomics is
based on decision theory and game Brain Imaging and
theory, mathematical ways to study Economic Games
risks and rewards in the presence
Brain imaging studies show that
or absence of social pressures. In
people find cooperating socially
the 1950s, researchers developed a
rewarding. When both players
classic social predicament called the
cooperate, a brain region involved
Prisoner’s Dilemma. In this game,
in anticipating reward called the
two people play criminals who are
striatum becomes active. However,
interrogated independently about
if a player faces off against a com-
a crime they committed together. If
puter instead of a human, mutual
the partners remain silent (cooper-
cooperation does not increase
ate), they both benefit, but if one
striatal activity, suggesting that the
chooses to testify against the other
social interaction of the economic
(defect), harsh punishment may
exchange is rewarding.
result. Each participant tries to mini-
Punishing unfair opponents and
mize his own punishment without
donating money to charity also are
knowing his partner’s intentions.
rewarding, according to imaging
Should he risk trusting his partner,
research, suggesting that people
or should he betray him?
may have an innate, biological
Many neuroeconomics
sense of equity. In repeated rounds
researchers study games that
of the game, if players are given
create different kinds of personal
and social rewards. In a variation
on the classic Prisoner’s Dilemma Above: Damage to the frontal cortex affects the ability to make good financial
game, each player has an item of decisions. Each color indicates the injured region in each of six study participants.
the option of penalizing their op- Hormones and Trust Risks and Sure Bets
ponents for repeatedly defecting, A hormone also may increase What about financial decisions that
an economic punishment activates trust in financial exchanges. In a do not involve social relationships?
the striatum, but a physical trust game, an investor decides Like people who only play the
punishment does not. In addition, how much money to give to an lottery when the jackpot breaks
the more a participant chooses to investment trustee. The trustee records, researchers found that
donate to a charity, the greater the automatically triples the invest- animals choose risky options over
activation in his striatum. ment, but can decide how much smaller sure bets when they cannot
Researchers determined other money to return to the investor. predict the likelihood of a reward.
brain regions involved in gauging Investors who took a sniff of Furthermore, both human and
financial fairness by studying oxytocin, a hormone involved in primate research shows that the
people with injuries or lesions. In lactation and birth, invested more
Highlights
o r g a n i z at i o n a l
Annual meeting
Annual meeting
45.4% Membership D 310
46.2%
Journal of Neu 5,373
Annual Meeting 8,984
Grants 230
Property Mana 4,645
General Progra 5,235
FY 2 0 0 9 e x p e n s e s — $ 2 4 , 7 8 1 , 0 4 4 FY 2 0 0 8 e x p e n s e s — $ 2 4 , 1 7 3 , 9 4 3
Membership development 1.3% The Journal of Membership development 1.5% The Journal of
Neuroscience General Programs Neuroscience General P
21.7% 20.8%
General programs General programs
21.1% 21.7%
Property Management Property
Grants Grants
Property Property
management Journal of Neuroscience
management Journal o
18.7% 16.9%
Grants 0.9%
*These graphs represent the functional revenue and expense totals for the most recent two fiscal years ending June 30, 2009
and 2008, respectively. These totals were obtained from the audited financial statements of the Society for Neuroscience.
Non-current Assets
Investments (Notes 2 and 13) 24,732,520 29,135,763
Property, furniture, equipment and improvements, net of
accumulated depreciation and amortization of $5,183,459 for 2009 (Notes 6, 8 and 9) 34,713,204 34,530,879
Deferred rent receivable (Note 5) 657,991 377,435
Deposits 3,892 3,892
Total non-current assets 60,107,607 64,047,969
lia b il it ie s and ne t as s e t s
Current Liabilities
Current portion of note payable (Note 8) $512,500 $483,333
Line of credit (Note 11) 1,601,561 1,764,960
Accounts payable and accrued liabilities 1,732,738 1,204,677
Deferred revenue 6,196,308 5,612,885
Total current liabilities 10,043,107 9,065,855
Non-current Liabilities
Note payable, net of current portion (Note 8) 18,579,167 19,091,667
Bonds payable (Note 9) 12,000,000 12,000,000
Tenant deposits 17,584 17,584
Interest rate swap obligation (Note 10) 4,413,612 1,695,549
Total non-current liabilities 35,010,363 32,804,800
Total liabilities 45,053,470 41,870,655
Net Assets
Unrestricted 15,979,027 23,040,876
Temporarily restricted (Note 3) 1,162,499 771,061
Total net assets 17,141,526 23,811,937
2009 2008
r ev e n u e Unrestricted Temporarily Restricted Total Total
Membership dues $4,643,634 $- $4,643,634 $4,503,158
The Journal of Neuroscience 5,952,069 - 5,952,069 5,437,701
Annual meeting 11,021,603 657,200 11,678,803 10,864,475
Investment income (loss) (Note 2) (4,682,752) (211,533) (4,894,285) (2,188,968)
Property management revenue (Note 5) 2,809,100 - 2,809,100 1,908,649
General program revenue 516,247 123,128 639,375 825,979
Net assets released from donor restrictions (Note 4) 177,357 (177,357) - -
Total revenue 20,437,258 391,438 20,828,696 21,350,994
ex pen se s
Program Services:
The Journal of Neuroscience 5,373,335 - 5,373,335 5,016,387
Annual meeting 8,984,465 - 8,984,465 9,143,335
Grants 230,934 - 230,934 336,573
General programs 5,235,839 - 5,235,839 5,242,459
Total program services 19,824,573 - 19,824,573 19,738,754
Supporting Services:
Membership development 310,633 - 310,633 368,997
Property management expenses 4,645,838 - 4,645,838 4,066,192
Total supporting services 4,956,471 - 4,956,471 4,435,189
Change in net assets before other item (4,343,786) 391,438 (3,952,348) (2,822,949)
o t h er it e m
Unrealized loss on interest rate swap (Note 10) (2,718,063) - (2,718,063) (1,695,549)
c a sh flow s f r om op e r at i ng ac t i vi ti e s 2 0 0 9 2008
Change in net assets $(6,670,411) $(4,518,498)
Adjustments to reconcile change in net assets to net cash provided by operating activities:
Depreciation and amortization 1,676,692 1,435,844
Net depreciation of investments 6,008,110 3,151,817
Unrealized loss on interest rate swap 2,718,063 1,695,549
(Increase) decrease in:
Accounts receivable (49,175) 161,029
Prepaid expenses (125,744) 688,872
Deferred rent receivable (280,556) (377,435)
Increase (decrease) in:
Accounts payable and accrued liabilities 528,061 (1,222,728)
Deferred revenue 583,423 397,893
Net cash provided by operating activities 4,388,463 1,412,343
c a sh flow s f r om i nve s t i ng ac t i vi ti e s
Sales and maturities (purchases) of investments, net (1,604,867) (238,764)
Purchase of property, furniture and equipment (1,859,017) (1,665,168)
Net cash used by investing activities (3,463,884) (1,903,932)
c a sh flow s f r om f i nanc i ng ac t i v i ti e s
Proceeds from line of credit 2,645,783 2,051,477
Payments on the line of credit (2,809,182) (1,317,073)
Payments on notes payable (483,333) (425,000)
Net cash provided (used) by financing activities (646,732) 309,404
Net increase (decrease) in cash and cash equivalents 277,847 (182,185)
Cash and cash equivalents at beginning of year 458,917 641,102
su p plem e nt al i nf or m at i on:
Interest paid $1,609,212 $1,676,374
1 . SU M M A RY OF S IG N IF I C ANT AC C O UNT I NG P O L I C I E S AND that market participants would use in pricing assets and liabilities, including
G E NERA L IN F ORM ATION assumptions about risk) used to measure fair value, and enhances disclosure
requirements for fair value measurements. The Society accounts for a
Organization
significant portion of its financial instruments at fair value or considers fair
The Society for Neuroscience (SfN) is a non-profit organization,
value in their measurement.
incorporated in the District of Columbia. The primary purposes of SfN are
to advance the understanding of the nervous system, including the part it Accounts receivable
plays in determining behavior, by bringing together scientists of various Accounts receivable are stated at their fair value. The allowance for doubtful
backgrounds and by facilitating the integration of research directed at accounts is determined based upon an annual review of account balances,
all levels of biological organization; to promote education in the field of including the age of the balance and the historical experience with the customer.
neuroscience; to inform the general public on the results and implications of
Property, furniture, equipment and improvements
current research in this area.
Property, furniture, equipment and improvements are stated at cost.
The 1121 Properties, LLC (the LLC) is a limited liability company,
Property, furniture, equipment and improvements are depreciated on a
incorporated in the District of Columbia on July 7, 2005. The primary purpose
straight-line basis over the estimated useful lives of the related assets, gener-
of the LLC is to engage in the business of performing services as directed by
ally three to ten years. The building and building costs are recorded at cost
SfN for leasing and maintaining the leases of offices and other retail space in
and are depreciated over thirty-nine years. Expenditures for major repairs
the premises known as 1121 14th St., NW, Washington, D.C. 20005.
and improvements with useful lives greater than one year and in excess of
The accompanying consolidated financial statements reflect the activity
$3,000 are capitalized and expenditures of lesser amounts for minor and
of the Society for Neuroscience and 1121 Properties, LLC (collectively, the
maintenance costs are expensed when incurred.
Society) as of June 30, 2009. The financial statements of the two organiza-
tions have been consolidated because they are under common control. All Income taxes
intercompany transactions have been eliminated during consolidation. The Society is exempt from Federal income taxes under Section 501(c)(3)
of the Internal Revenue Code. In addition, the Organization qualifies for the
Basis of presentation
charitable contribution deduction under Section 170(b)(1)(A) and has been
The accompanying consolidated financial statements are presented
classified as an organization that is not a private foundation under Section
on the accrual basis of accounting, and in accordance with Statement of
509(a)(2) of the Code. Accordingly, no provision for income taxes has been
Financial Accounting Standards No. 117, “Financial Statements of Not-for-
made in the accompanying consolidated financial statements.
Profit Organizations”.
The Society is required to report unrelated business income to the
The consolidated financial statements include certain prior year
Internal Revenue Service and the appropriate state taxing authorities. The
summarized comparative information in total but not by net asset class. Such
Society leases office space to several unaffiliated tenants. The activity is
information does not include sufficient detail to constitute a presentation in
considered to be unrelated business activity under the Internal Revenue
conformity with generally accepted accounting principles. Accordingly, such
Service regulations. Defined net income from the operations is taxable. To
information should be read in conjunction with the Society’s consolidated
date, there has been a loss from unrelated business activities.
financial statements for the year ended June 30, 2008, from which the
As of June 30, 2009, there were net operating loss carryforwards of approxi-
summarized information was derived.
mately $270,350. No deferred tax asset has been recognized due to uncertainty
Cash and cash equivalents realization. The net operating losses expire between 2028 and 2029.
The Society considers all cash and other highly liquid investments with In June 2006, the Financial Accounting Standards Board (FASB) released
initial maturities of three months or less to be cash equivalents. FASB Interpretation No. (FIN) 48, Accounting for Uncertainty in Income
At times during the year, the Society maintains cash balances at financial Taxes. FIN 48 interprets the guidance in FASB Statement of Financial Ac-
institutions in excess of the Federal Deposit Insurance Corporation (FDIC) counting Standards (SFAS) No. 109, Accounting for Income Taxes. When FIN
limits. Management believes the risk in these situations to be minimal. 48 is implemented, reporting entities utilize different recognition thresholds
and measurement requirements when compared to prior technical literature.
Investments
On December 30, 2008, the FASB Staff issued FASB Staff Position (FSP)
The Society invests in shares held in individual securities or investment
FIN 48-3, Effective Date of FASB Interpretation No. 48 for Certain Non-
funds which include bonds, stocks, money market funds held for investment
public Enterprises. During 2008, management elected to implement FASB
purposes, and limited partnerships. Investment fund managers trade in
interpretation No. (FIN) 48, Accounting for Uncertainty in Income Taxes. As a
various domestic and foreign financial markets, which carry a certain amount
result, SfN did not identify any uncertain tax positions that qualify for either
of risk of loss. Investments are stated at fair value based on quoted market
recognition or disclosure in the consolidated financial statements.
prices at the reporting date, or in absence of such quoted market price, a
For the purpose of corporate tax reporting for the LLC, all financial
reasonable estimate of fair value as approved by management. Realized
transactions are reported under SfN’s filing status.
and unrealized gains and losses are included in investment income in the
Consolidated Statement of Activities and Change in Net Assets. Deferred revenue
The fair value of financial instruments is determined by reference to vari- Deferred revenue consists of member dues, journal subscriptions, and
ous market data and other valuation techniques as appropriate. Credit risk annual meeting-related fees. The Society recognizes member dues and
from financial instruments relate to the possibility that invested assets within journal subscriptions on a pro-rata basis over an annual period, while annual
a particular industry segment may experience loss due to market conditions. meeting fees are recorded at the time the annual meeting occurs.
The Society has diversified its financial instruments to help ensure that no
Net asset classification
one industry segment represents a significant concentration of risk.
The net assets of the Society are reported in two self-balancing groups
Although management uses its best judgment at estimating fair value
as follows:
of the underlying assets for its investments, there are inherent limitations in
■■ Unrestricted net assets include unrestricted revenue and contributions
any valuation technique. Therefore, the value is not necessarily indicative of
received without donor-imposed restrictions. These net assets are available
the amount that could be realized in a current transaction. Future events will
for the operation of the Society and include both internally designated and
also affect the estimates of fair value, and the effect of such events on the
undesignated resources.
estimates of fair value could be material.
■■ Temporarily restricted net assets include revenue and contributions
Fair value measurements subject to donorimposed stipulations that will be met by the actions of the
The Society adopted the provisions of Statement of Financial Accounting Society and/or the passage of time. When a restriction expires, temporarily
Standards (SFAS) No. 157, entitled Fair Value Measurements. SFAS No. restricted net assets are reclassified to unrestricted net assets and reported
157 defines fair value, establishes a framework for measuring fair value, in the Consolidated Statement of Activities and Change in Net Assets as net
establishes a fair value hierarchy based on the quality of inputs (assumptions assets released from restrictions.
Telephone: 202.962.4000
Fax: 202.962.4941
www.sfn.org