University President Richard Lariviere and departing athletic director Mike Bellotti at a Tuesday press conference discussed Bellotti’s controversial $2.3 million paycheck, responding to media questions regarding whether Bellotti was fired and the lack of a written contract between him and the University.
The public found out about the sum last week as the attorney general and the State Board of Higher Education announced that there would be inquiries into the contract — a handshake agreement that awarded Bellotti a $975,000 for his first year as athletic director and $675,000 for two subsequent years — and media coverage exploded.
On Tuesday, Lariviere called the $2.3 million paycheck a “buyout,” which will not draw money from student tuition or state funds, but rather from previous and future donations to the athletic department.
Lariviere stopped short of confirming that Bellotti was fired, saying it was a “mutually agreed-upon resignation.” Bellotti officially left his post as athletic director Monday to become an ESPN college football analyst.
Lariviere essentially stated, as the media and others have speculated, that Bellotti was not the right fit for the job.
“While (Bellotti) had tremendous success coaching he did not find as much satisfaction being athletic director,” Lariviere wrote in a statement. “It was also clear to me, despite sound fiscal management and the highest football season revenue production ever, that the Department of Intercollegiate Athletics would increasingly need an individual with experience handling the financial and business aspects of a complex program in order to fulfill its obligation to be a self-sustaining program.”
Both Bellotti and Lariviere said that when ESPN sought out Bellotti as a analyst, Lariviere encouraged Bellotti to take advantage of the “once-in-a-lifetime opportunity.”
However, both Bellotti and Lariviere expressed that the lack of a written contract hindered the process. Lariviere said he was not aware there wasn’t a contract between the University and Bellotti until Bellotti came to him with the intent of leaving the University’s athletic department. However, Lariviere wouldn’t directly comment on his predecessor, Dave Frohnmayer.
“We found ourselves in an odd situation without a written contract,” Lariviere said, also mentioning this was a document that, if it existed, would have been written before he started his presidency at the University. “There will be acceptable business practices during my administration.”
Bellotti said the lack of a contract was “unusual,” adding that “contracts are complicated documents.”
The $2.3 million is the sum settled upon between Bellotti and the University. The figure represents the two years remaining in the typical three-year contract that athletic directors normally sign and other commitments that Bellotti and Lariviere said were expressed in the original, unwritten agreement.
Public response to the severance pay prompted the State Board of Higher Education and Oregon Attorney General John Kroger to look into the deal because it was agreed upon without a formal contract.
Questions regarding a lack of transparency at the University, particularly regarding contracts and other public records, have dominated coverage of Bellotti’s departure. Lariviere said his administration would emphasize transparency.
“It’s the University’s business to make good business,” he said.
Bellotti reinforced it was his decision to leave the University’s athletic department, and that he will still have a solid relationship with both University athletics and academics through opportunities such as fundraising.
“I’ve considered this move since I left football,” Bellotti said. “Again, I’m not running from something, but rather running to something.”
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