UM’s President’s House Purchase Sparks Questions

University of Michigan’s president, Santa Ono, is currently in the spotlight due to the recent purchase of a swanky half-a-million-dollar house he bought in Oakland County. This move prompted several questions around his contractual obligations and tax matters.

Tradition has it that UM’s president’s house, recently revamped for $11.5 million, is expected to be the permanent residence of University of Michigan’s president. While previous university presidents have owned additional homes, Santa Ono’s contract states clearly that he’s required to live in the presidential house.

However, it’s interesting to note that Ono has registered his driver’s license and voter registration to his new West Bloomfield Township house in Oakland County where he’s claimed he’ll only be living during holidays or on weekends.

Ono’s new declaration of residency, of course, has prompted local tax assessors’ review in Oakland County. There’s been some doubt as Ono has claimed Michigan’s principle housing tax exemption on his new house. Basically, this exemption allows you to not pay up to 18 mills of school operating tax on your primary residence. This has saved Santa Ono around $3,800 this year on his property taxes.

Many believe it’s not a clear-cut case as it seems Ono is trying to live most of his time in two different places. In response to these claims, UM asserts that President Ono strikes a balance between living at the presidential house and his West Bloomfield home.

Ono’s actions have stirred mixed reactions amongst the university’s faculty, regents, and students. While some believe it’s crucial for the university president to reside on campus for community engagement, others feel that it’s not an issue as long as he is fulfilling his professional duties efficiently.

While it does appear that Santa Ono has found a workaround to his contractual and tax obligations, whether he has violated any federal tax laws is still up for discussion.

Intriguingly, it’s not the first time a university president has bought a house while still contracted to live in the university’s official residence. Former Northern Michigan University President, Fritz Erickson, had also bought an off-campus house for some downtime. He voiced that continuously “living on campus was akin to always being at work.”

Till The Dust Settles

Meanwhile, all attention seems to be on West Bloomfield’s local tax assessor, Robert Scripture, who’s set to review and decide on the legitimacy of Santa Ono’s primary residence exemption filed on his new house. If denied, the case would be handed over to the state, with room for an appeal by Ono.

Whether or not Santa Ono’s appeal succeeds or backfires, is, for now, up in the air.

Author: HERE Novi