Question
I have a 15 year old, mature japanese elm. Looks healthy (leaves, growth etc). At the base there is a fungus-like growth, about 7 inches in diameter-looks like bulbus mold, is brown. When I kicked of the tree it fell and brown light powder was emitted-like smoke. The area in the tree was more pail and discolored.  Any ideas?

Thanks

Rich Howlin, Chelsea, MI  

Answer
It sounds like one of the powder puff fungi. The "smoke" are the spores from the fruiting body --the puff ball. These fungi do not infect trees and are more a decaying fungi living off decaying grass and leaves and the soil duff.  It is more than likely just happened to grow the fruiting body near the tree trunk. Nothing to worry about.