Odd Red Growth - Help with Identification

[Cement Mule]

I have been cycling a tank for about 5 weeks now, with live rock and added some corals this week. But I have found this odd red growth in the rocks with a tube. At night, the tube will close up. If you have any idea what this is, please let me know. I have not seen anything come out of the tube.

Thanks in advance.

 

[username in use]

Looks like some kind of tunicate. A type of filter feeder.

 

[RedRubyDragon]

Might be a sponge?
Pretty nice red

Is it a solid texture or is it like fabric? (where you can see separations)
Sorry, pic is a little blurry on my screen

 

[Ron Reefman]

My first guess would be a sponge, but it could be a tunicate as well.