A scandal that began in 2006 when a TSU regent complimented Priscilla Slade's choice of home furnishings ended Wednesday with a deal that lets the ousted leader of Texas' largest historically black university avoid prison in exchange for paying back $127,672.18.

It is only a fraction of the $500,000 in school money Slade was accused of spending, lavishly and improperly, on herself. Her first trial ended last year in a mistrial, and the former, much-beloved president was scheduled to again face judgment Friday.

Wednesday's settlement, reached after hours of negotiations and ending with Slade apologizing, brings the saga to an end.

"I thank God that it's over," Slade told reporters after the plea bargain. "I can move on with my life to bigger and better things."

Slade, a CPA, said she is now working as a consultant but declined to answer any other questions.

In addition to repaying the money, Slade will also be given 10 years of deferred adjudication in exchange for the "no contest" plea. That means the finding of guilt will not be on her record if she completes probation. If she violates probation, the conviction would be put on her record and she could be sentenced to up to life in prison.

Nonpayment of restitution would be a violation of her probation.

She must also perform 400 hours of community service.

Assistant District Attorney Julian Ramirez said Slade was held accountable.

"It was appropriate and agreeable to both sides," Ramirez said of the plea deal. "I don't think anybody wants to sit through a two-month trial for the second time."

The plea comes more than five months after Slade's first trial, in which she was accused of spending more than $500,000 of the financially strapped school's money on personal expenses, including bar tabs and furniture.

The eight-week proceeding ended in a mistrial when jurors deadlocked after deliberating for five days about whether the spending amounted to criminal behavior.

As part of Wednesday's deal, prosecutors insisted that Slade read the following statement, which she did in open court before state District Judge Brock Thomas.

"I accept responsibility as the President of Texas Southern University with regard to the expenditures described in the indictment as misapplications in not ensuring that Texas Southern University policies were followed. If I had the opportunity to do things differently I would do so. My thoughts and prayers are with the Texas Southern University family to whom I apologize."

First-degree felony charge

Mike DeGeurin , Slade's attorney, said she is not admitting guilt and would not be forced to admit she committed a crime. He said she accepts responsibility for not ensuring that proper guidelines were followed.

"A moment like this is not something to be happy about," DeGeurin said. "Both sides walk away a little bloody, but we're walking away."

Slade was charged with misapplication of fiduciary property of more than $200,000, a first-degree felony that could have landed her in prison for life.

Shortly after the mistrial, prosecutors vowed to continue their efforts and moved to force testimony from Slade's co-defendants who didn't testify in the first trial. The second trial was scheduled to begin jury selection Friday.

The retrial was expected to be shorter, punctuated with testimony from Quintin Wiggins, Slade's chief financial officer, and Bruce Wilson, the former vice president of purchasing at Texas Southern.

The two were ordered to testify, but would have had limited immunity keeping prosecutors from using their words against them.

Wiggins was convicted last May of helping Slade use money for personal expenses. He was sentenced to 10 years in prison.

Wilson's case is pending.

The $127,672.18 figure mostly represents TSU money that Slade spent fixing up her Missouri City home just before selling it, DeGeurin said. It was her next home, a 6,000-square-foot Memorial Park-area mansion, that drew attention to her spending habits in early 2006.

That's when Belinda Griffin, a TSU regent at the time, visited Slade's new home and complimented her on the furnishings. Griffin was surprised when Slade informed her that the university had paid for much of the furniture in the home.

Prompted by Griffin's questioning, the regents later learned that Slade billed the university $260,000 for furniture, landscaping and a security system.

Home no longer hers

The regents fired Slade that summer, and she sold the home to Mario Williams of the Houston Texans a few weeks later for about $1.5 million. Williams no longer owns the house.

Texas Gov. Rick Perry eventually replaced Griffin and the rest of the nine-member governing board because of the problems that were exposed on their watch.

Griffin said the plea gives TSU a chance to put the scandal in the past.

"It's time for the university, the community and the new administration to focus on the best interests of the students at TSU," she said. "I'm — for one — just glad this is behind us."

Student body relieved

Sanders Anderson , chairman of TSU's faculty senate during Slade's last years as president, said the plea deal is a fair one.

"It's appropriate. I didn't see any point in sending her to jail for the time they were talking about. Paying back the university and the deferred adjudication is important," Anderson said. "What she has gone through is sufficient as a penalty. She lost her position and hurt her reputation. I wouldn't see any pleasure in her donning a jumpsuit and going to jail."

Glenn Lewis, the new chairman of the Board of Regents, said he's glad the case is finished.

"I'm pleased that there won't be another trial," he said. "And I can't be unhappy about $127,000 in restitution. The university needs the money."

Walking out of class Wednesday evening, Tonya Moore, 31, said news of the plea is a relief.

"We need a more positive light to shine on the school," said Moore, a senior.

Freshman Doniqua Prince, 17, said the punishment seems fair and some of the criticism of Slade has been overblown.

"Her good seemed to outweigh her bad," Prince said.

Chronicle reporter Sarah Viren contributed to this story.

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