Multi Year Contracts

theblackgecko · Post by **theblackgecko** » Wed Oct 25, 2006 6:48 pm

Helcat72 wrote:
bcats wrote:I think MSU can wait before singing anyone to 3 year contracts. Kramer is the only one with any tenure and if after the season the Cats are 8-3 heading to the playoffs then he would be deserving. If they falter his job has maybe lost its security. I called for his job earlier this year and said if things get turned around I would eat crow. It looks like I can get the salt ready but lets wait and see. Cats are playing well and will win out. Kramer isn't going anywhere so offer the contract after the season.
I just found out today that the State of Montana pulled a real doozy with these long term contracts. I new they were too good to be true. It seems that the new contracts have a clause in them that says if a coach opts out of his contract early, he has to repay the amount of money he has earned since he signed the contract. In other words, if a coach signs a three year contract for $120,000/yr, and then decides to move on to another job after year two, he would have to repay $240,000. The contracts are heavily slanted toward the State of Montana. Most multiple year contracts have a buy out clause that allows the tenure of the contract to be bought out for a relatively small percentage of the yearly total. This is why only Selvig and Tinkle have signed them. Tinkle just got there, and Selvig wants to stay until he retires.

Since the main reason that a coach would leave is to "move up," the new school would be paying to buy out the contract.
For example, Wyoming wouldn't have hesitated to give Montana $200,000 to buy out two years of a Glenn contract, when they were paying Glenn $500,000 a year. Likewise, Milwaukee would have paid Montana $200,000 to get coach K out of his contract.

The Butcher · Post by **The Butcher** » Thu Oct 26, 2006 9:23 am

I could see the buy-out clause scaring away some of the smaller D-1A football schools (Middle Tennessee or Utah State), but if a big school came calling they would not have a problem shelling out an addition $200,000 or $300,000 to get their coach.

Platinumcat · Post by **Platinumcat** » Thu Oct 26, 2006 9:31 am

The Butcher wrote:I could see the buy-out clause scaring away some of the smaller D-1A football schools (Middle Tennessee or Utah State), but if a big school came calling they would not have a problem shelling out an addition $200,000 or $300,000 to get their coach.

Agreed. This is chump change for the medium to larger schools.

Helcat72 · Post by **Helcat72** » Thu Oct 26, 2006 8:36 pm

barechestcat wrote:
The Butcher wrote:I could see the buy-out clause scaring away some of the smaller D-1A football schools (Middle Tennessee or Utah State), but if a big school came calling they would not have a problem shelling out an addition $200,000 or $300,000 to get their coach.
Agreed. This is chump change for the medium to larger schools.

That may be why these contracts are written that way. Kramer told us that Duba's buyout of his 1.25 million contract is $30,000.