Penn State’s Plans for James Franklin

Penn State aims to support James Franklin in smoothly transitioning to another role.

His contract, valued at $49 million, includes a stipulation requiring him to actively seek new job opportunities, according to reports.

This sum ranks as the second-highest buyout in college football history, following Texas A&M’s $76 million payment to Jimbo Fisher.

The contract, signed in November 2021, specifies, “Upon termination, a coach is obligated to diligently search and make a good faith effort to find another position suitable for his or her skill set (i.e., coaching, scouting, broadcasting only) and to provide the University with evidence of his/her desire for such employment upon request.”

Furthermore, Franklin must “make a good faith effort to obtain the maximum reasonable salary” at his new position.

This requirement ties into a standard pay offset clause in his contract, which reduces what he would receive if he accepts another employment offer.

In college football, there’s a clear divide between wealthy programs and those with fewer resources. While there’s no sign that Penn State is facing financial difficulties, any institution would prefer to avoid such hefty payouts.

The estimated $49 million owed to Franklin includes $8 million for each season until 2031, plus the remainder of the current season’s salary.

Penn State athletic director Patrick Kraft noted that the athletics department will cover Franklin’s outstanding salary, rather than the university itself.

The contract also states, “If the coach obtains applicable employment prior to the expiration date of this agreement, the college’s payment obligation to the coach will be offset by the total compensation earned by the coach from the applicable new position through the end of the unexpired term of this agreement.”

With a proven track record at Vanderbilt and Penn State—a team he transformed into a consistent top-10 contender—Franklin is likely to find a new coaching position if he chooses.

Several esteemed schools, such as the University of Arkansas, Oklahoma State, UCLA, Virginia Tech, and Stanford, are in the mix for recruiting offers, and Franklin has coaching experience in both the SEC and Big Ten.

Still, the emergence of new NIL rules is contributing to a shift in college coaching, nudging some coaches toward media roles that offer less stress yet comfortable pay.

Nick Saban, the former coach of Alabama, mentioned the NIL landscape as a factor in his decision to step back.