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Monday, April 10, 2006

Audit doesn't look good for Tx. Southern Pres.


Texas Southern University President Priscilla Slade spent nearly $650,000 during the past seven years on personal purchases not allowed under her contract, according to the school's internal auditor.

The report, released Thursday to the Houston Chronicle under the Texas Public Information Act, shows that Slade used university money for donations to her church, automobile repairs, a full-time maid and maintenance and upgrades for her previous residence in Missouri City.

The four-page report concludes that $647,949 of Slade's spending is not permitted under the contract and questions the legitimacy of $25,713 worth of other purchases, including Christmas gifts for TSU regents. The analysis shows that the president and her staff followed the university's policies on one purchase, a $64.30 vehicle registration fee.

Slade has declined to comment. Her attorney, Ron Franklin, acknowledged that she has first-class tastes, but said there is a historical precedent at TSU for every expense she made.

"They were the kind and nature of expenditures that have been permitted in the past and were permitted under her contract," he said.

Members of TSU's governing board asked for the audit after learning that the university spent roughly $286,000 on furniture, landscaping and security for Slade's newly constructed Spanish-style house near Memorial Park.

The nine-member board, appointed by the governor, will meet May 5 to decide the future of Slade, who is on paid leave pending the outcome of the internal audit and an outside investigation. The Harris County District Attorney's Office also is looking into the spending.

TSU Board Chairman J. Paul Johnson declined to comment Thursday, citing the university's ongoing inquiry. But David Diaz, a regent and Corpus Christi attorney, said, "It doesn't look good. There is so much of it that bothers me deeply."

$143,000 in maid services
Until the new report, no detailed accounting had been done of Slade's spending, even as bills came in for exercise classes and golf lessons, a remodeled bathroom and new air conditioner at the president's house and moving expenses.

It was unclear how much of Slade's spending has been deemed appropriate thus far.

The spending in dispute includes $154,528 in home furnishings, $143,636 in maid services and $48,363 in china, crystal, silverware and other serving pieces from Neiman Marcus.

Franklin defended the expenses as related to Slade's many roles, including diplomat, advocate and fundraiser for the historically black institution of 11,000 students.

The china and silverware, in particular, may be used for events at her house, but are kept at the university, he said.

Slade wants the university to be seen as first class in every way, Franklin said.

"If (the purchases) are excessive in some people's minds, then she will certainly accept that opinion," he said.

"She would plead guilty to that. There are not bean bag chairs in the law school. There are leather couches. There is not Crate & Barrel china in the boardroom. It's expensive china."

The University of Houston and Texas A&M University provide houses for their presidents, but TSU is part of a growing number of universities that do not.

Slade is expected to entertain donors in her home and receives $48,000 annually for housing expenses, which is intended to cover mortgage payments and property taxes and supplements an annual salary of more than $260,000.

Her contract provides up to $50,000 annually for travel, entertainment and other expenses related to university business. It also says the expenses "shall be reasonable," and subject to approval of the board chairman.

The audit does not address whether Slade exceeded the contractual limit on appropriate business-related expenses. Records previously released by TSU and not included in the audit released Thursday show Slade additionally spent more than $100,000 last year on travel, entertainment, meals and other items that would seem to be covered by the $50,000 cap in her contract.

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