Colorado State University Cuts Staff Pay to Cover Mike Bobo Buyout
Colorado State University's athletic department is cutting staff pay in order to cover the $1.825 million buyout it owes to former football coach Mike Bobo.
According to The Coloradoan, the pay cuts will affect up to 20 staffers, including 10 on-field assistant coaches and members of the strength-and-conditioning staff.
In total, an annual salary of $2.8 million is now designated to the 20 staff members, as revealed by an informal term sheet signed by incoming football coach Steve Addazio last year.
This salary pool is $200,000 less than it was during Bobo's time.
Addazio's salary will begin at $1.5 million per year, with an annual increase of $50,000 until 2024. This is $500,000 less than Bobo would have received if he was still at CSU.
Overall, CSU is saving just over $2 million in salary for its football staff, which is more than enough to cover Bobo's buyout.
The staff is also changing. Dave Johnson, offensive coordinator and offensive line coach, and Ronnie Letson, quarterbacks coach and assistant head coach, are taking other jobs.
CSU will pay them until the end of the fiscal year.
If either CSU or Addazio terminates their agreement without just cause in 2020 or 2021, the new coach will receive a $5 million buyout.
The buyout will decrease by different amounts in the following years, depending on who terminates the agreement.
There are no financial penalties if the agreement is terminated for just cause, which includes NCAA violations, criminal actions, unethical conduct, and more.
Addazio has yet to sign an official contract, but the term sheet states that it "will be in similar form" to Bobo's contract.