MSU officials have defended thousands of dollars spent in travel for the Board of Trustees since it recently came under public scrutiny, stating the expenses are allowed under university policy.
But the policies university leaders have said are common practice — limiting international travel expenses and allowing spouse reimbursement — do not line up with policies on the books.
Trustee Faylene Owen took a trip with her husband and former trustee, Larry Owen, to Germany and France this past year as part of a trip to see the men’s basketball team play Connecticut.
Costs of the trip included limousines, cash stipends and accommodations that cost as much as $1,275 per night, according to expense documents — more than five times the $250 maximum that should have been allowed under MSU travel regulations.
The reimbursable rate for overnight lodging is set by the U.S. Department of State and depends on location and dates.
As a whole, the trip cost the university $26,319, according to university expense documents.
MSU also paid for some spouses’ travel expenses, which the university travel policy explicitly outlaws.
In a report from Detroit ABC affiliate WXYZ, MSU President Lou Anna K. Simon said it is university policy to reimburse travel for both trustees and their spouses.
University spokesman Kent Cassella reiterated her claim in an interview with The State News last week.
After The State News pointed out the written policy Wednesday, Cassella said exceptions are made when trustees are using rooms for business purposes, such as meeting donors and hosting alumni events, or when rooms are needed to support business activities in a specific location.
The MSU Manual of Business Procedures states: “As a general policy, expenses attributable to spouse travel are not reimbursable. … In order to be approved, these situations must meet the bona fide criteria provided for by IRS regulations otherwise taxable income may result.”
Owen’s actions appear to be in direct contrast with the manual, which states that trustees should not use university money to pay for their spouses’ travel.
Owen said in an interview with The State News on Sunday that her trip to Germany was a good investment for the university and provided opportunities for engagement. Owen was unavailable to comment because of an illness, her sister said when reached by The State News on Wednesday.
Records also show former trustee Melanie Foster traveled to South Africa three weeks after she lost reelection in November; the university paid for her husband to go as well. Foster could not be reached for comment.
Exceptions are made to the policy for spouses of trustees and others are considered integral to the trip, Cassella said in a statement. He said the manual guides trustee travel, but is not used as a rule book.
He said travel money does not come from tuition dollars or government funding, but revenue from parking, brand licensing and intellectual property.
Every trip trustees take on MSU’s dime is approved by Bill Beekman, vice president and secretary of the board.
He approves forms that detail estimated costs of lodging and other topics.
Beekman did not return multiple calls for comment.
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