Michigan State's Tom Izzo gets new deal after Board of Trustees vote
EAST LANSING — The Michigan State University Board of Trustees formally approved a $6-million-per-year contract that will keep its legendary basketball coach, Tom Izzo, at MSU past his retirement from coaching.
Trustees approved a swath of personnel actions at their meeting Friday, including the new contract for Izzo, 67. The deal makes Izzo one of the highest-paid Division I college basketball coaches, behind only Kentucky's John Calipari, who has an $8.6-million contract. Bill Self at Kansas made $10.18 million last year, but that includede a $4.5-million retention bonus added to his annual compensation of about $5.6 million.
“Michigan State has been a home to me and my family for 40 years, and I’m ecstatic to sign this contract,” Izzo previously said in a statement when the deal was announced. “...We have worked hard to maintain championship standards, and I’m as energized to coach now as I was when I started as the head coach in 1995.”
According to Izzo's contract, Izzo will have the opportunity to become a "special university adviser to the athletic director" should he decide to retire. The position would include a six-year contract unless the deal is terminated early.
In that position, Izzo would receive $6.2 million for the first year and $750,000 for each year afterward. The contract requiresIzzo to attend public appearances for MSU and fundraising activities for either the athletic department or university president, among other duties delegated by the athletic director.
"Wherever you go across the United States, and even international in some circumstances, if people know you're from Michigan State, they're going to ask you about Tom Izzo. That's pretty darn exciting," said Dianne Byrum, chairperson for the Board of Trustees. "He represents the university extremely well and he is an asset to this university and I'm very excited and thankful, frankly, that Tom Izzo has chosen Michigan State University as his home and he is a Spartan for life."
President Samuel Stanley Jr. said Izzo will continue to be a great ambassador for MSU after his retirement from coaching.
Izzo also for the first year after retirement would retain his ability to continue receiving apparel payments from Nike and receive 25 hours of personal use on a private jet paid for by MSU.
According to the contract, Izzo’s special adviser role would be automatic upon his retirement unless one of three things happens: “(1) entering into negotiations regarding coaching basketball for an intercollegiate men's basketball program other than (MSU); (2) engaging in criminal conduct involving moral turpitude, or (3) personally committing a major violation of NCAA rules.” Otherwise, it would be Izzo’s decision to accept the position.
Izzo’s base coaching salary on the new five-year rolling contract will increase to $2.43 million, up from the $430,000 base salary on his 2018 contract. He also will receive about $3.09 million in supplemental compensation and $400,000 from Nike.
When combining all compensation and benefits, Izzo’s contract will carry an annual value of about $6.2 million. If he is fired, the deal carries a $7 million payout to Izzo.
His performance bonuses will also be increased under the contract, including $100,000 for a Big Ten conference regular-season title, $100,000 for winning the Big Ten tournament, $25,000 for NCAA tournament berths, $75,000 if the team makes the Sweet 16 and $150,000 if it reaches the Final Four.
Izzo will earn a $300,000 bonus if his team wins a national championship.
Contact Mark Johnson at 517-377-1026 or majohnson2@lsj.com. Follow him on Twitter at @ByMarkJohnson.
This article originally appeared on Lansing State Journal: MSU approves new contract for basketball coach Tom Izzo
