PSU's O'Brien gets big raise, revised deal
June, 20, 2013
By Adam Rittenberg | ESPN.com
Bill O'Brien arrived at Penn State as a somewhat anonymous NFL assistant with no previous head-coaching experience. His initial contract at Penn State reflected these credentials.
Sixteen months later, O'Brien is the reigning Big Ten Coach of the Year and the recipient of several national coaching honors after guiding Penn State to an 8-4 mark in his first season at the helm. A raise was in order -- his initial contract stipulated so -- and it has arrived.
It's a big one.
Penn State on Thursday announced an amended contract for O'Brien that boosts his base salary by nearly $1 million, from $950,000 to $1,932,779. His total compensation increases to $3,282,779 for next year, which makes him the Big Ten's third highest-paid coach behind Ohio State's Urban Meyer and Iowa's Kirk Ferentz. Not bad for one year on the job.
You can read the revised agreement here.
The contract states that O'Brien's base salary actually drops next July to $1,137,096. It goes up to $1,650,994 the following year, and O'Brien will receive a five percent increase in every contract year that follows.The total value of O'Brien's base salaries spanning the 2013-2016 seasons is $12,789,413, or an average of $3.2 million per year.
Keep in mind Penn State could announce additional amendments and likely will if O'Brien continues his success. O'Brien's new deal states that Penn State will discuss a possible extension in 2016 if he's still coach.
The contract includes an amended buyout if O'Brien leaves for an NFL head-coaching position. He'll now owe Penn State only his remaining base salary for that year multiplied by the number of years remaining on his contract.
Another interesting element is O'Brien's performance incentives: He receives five percent of his base salary for a division title, eight percent for a Big Ten title, 11 percent for making a bowl game and nine percent for winning the national championship game. For the next three seasons, Penn State agrees to pay O'Brien up to $200,000 based on estimates of what O'Brien would have earned if NCAA sanctions hadn't been imposed on the program.
Credit Penn State for being proactive with O'Brien, who talked with three NFL teams after the season. The NFL rumors aren't going away, but Penn State is doing all it can to keep BO'B the builder in Happy Valley.
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BIG TEN SCOREBOARD
Final Washington State 45 Colorado State 48 Final 20 Fresno State 20 25 USC 45 Final Buffalo 24 San Diego State 49 Final Tulane 21 Louisiana-Lafayette 24
Final Pittsburgh 30 Bowling Green 27 Final Utah State 21 23 Northern Illinois 14
Final Marshall 31 Maryland 20 Final Syracuse 21 Minnesota 17 Final Brigham Young 16 Washington 31
Final Rutgers 16 Notre Dame 29 Final Cincinnati 17 North Carolina 39 Final Miami (FL) 9 18 Louisville 36 Final Michigan 14 Kansas State 31
Final Middle Tennessee 6 Navy 24 Final Ole Miss 25 Georgia Tech 17 Final 10 Oregon 30 Texas 7 Final 14 Arizona State 23 Texas Tech 37
Final Arizona 42 Boston College 19 Final Virginia Tech 12 17 UCLA 42 Final Rice 7 Mississippi State 44 Final 24 Duke 48 21 Texas A&M 52
Final Nebraska 24 22 Georgia 19 Final UNLV 14 North Texas 36 Final Iowa 14 16 LSU 21 Final 19 Wisconsin 24 9 South Carolina 34 Final 5 Stanford 20 4 Michigan State 24 Final 15 UCF 52 6 Baylor 42
Final 13 Oklahoma State 31 8 Missouri 41 Final 12 Clemson 40 7 Ohio State 35