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Former MSU trustees call for Byrum’s resignation over misused tax exemption

June 14, 2023
Board Chair Diane Byrum at the Board of Trustees special meeting on Oct. 31, 2022.
Board Chair Diane Byrum at the Board of Trustees special meeting on Oct. 31, 2022.

Two former Michigan State University trustees have called for the resignation of current trustee Dianne Byrum following a news report detailing her years-long improper use of a state tax exemption.

In the joint statement, the former trustees, Democrat Brian Mosallam and Republican Pat O’Keefe, said Byrum’s failure to pay her local school mileage tax through improper double-use of the state’s homestead exemption make her “unfit to govern any education institution.”

“It is unconscionable that an elected official of a higher education institution would cheat teachers and children out of the tax dollars needed in the classrooms,” the statement said.

Byrum’s actions were first reported by The Detroit News, which found that she and her husband saved hundreds of thousands of dollars with the misuse of the state's homestead exemption.

The exemption allows homeowners to declare one primary residence, shielding it from school operating taxes levied on second homes and rental properties. Here, Byrum wrongly used the exemption on two homes.

Wednesday evening, Byrum told The State News she was unaware of the wrongdoing until it was brought to her attention by The Detroit News. She said she has since “taken immediate steps” to correct any issues.

In their statement, Mossallam and O’Keefe called it “unbelievable” that she would be unaware, given her long career in the state legislature.

“That weak excuse that it was a 'paperwork error' is proof that she either does not care enough about making sure she is in compliance with state law, or that she is using her political influence to have local township officials give her cover, especially considering her daughter is the county clerk,” the statement said.

Byrum’s daughter, Barb Byrum, serves as the clerk of Ingham County, where one of the homes is located.

In response to that allegation, Byrum said once again that it was a mistake, calling the assertion that she used political or familial influence in the matter “ridiculous on its face.”

Byrum has served on MSU’s board since 2008, serving as chair for much of her tenure. Her current term as trustee ends in 2024.

She said Wednesday evening that despite the former trustees' demand, she has “no intention of resigning,” though she doesn’t hope to seek another term.

Mosallam served as trustee from 2012-2020, when he lost his reelection to O’Keefe, who served for just two years before resigning over concerns with MSU’s handling of Title IX in 2022.

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