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9:21 a.m. • 2-12-12

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WRAL.com Sports blogger David Glenn

David Glenn's ACC Journal

David Glenn, editor of the ACC Sports Journal and ACCSports.com, dishes out the latest news on top recruiting prospects and shares his insights on ACC basketball and football for WRAL.com.

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Roy Williams Jan. 19 News Conference

Money Matters: What About Roy?

When word began to trickle out in November that North Carolina was going to hire a big-name coach to lead its football program, and former Miami/NFL coach Butch Davis then signed on with the Tar Heels, eyebrows were raised nationally at the revelation that Davis would be making "Roy-type money" in Chapel Hill.

The idea that UNC, home to one of the most famous basketball programs in the nation, would pay its football leader a similar amount as it would to hoops guru Roy Williams was hard for many to believe. Media reports typically listed Williams' compensation at about $1.6 million per year, then reported Davis' deal as an average of more than $1.8 million, but nobody made a direct, year-by-year comparison.

UNC athletic director Dick Baddour recently declined to comment on the status of (or even the existence of) any on-going contract discussions with Williams, who's working under the original, eight-year deal the university announced in October 2003. That contract extends through the 2010-11 season.

At the time of Davis' hiring, Williams said he wasn't at all concerned about his compensation package.

"I’m comfortable with it," Williams said. "I worked under the same contract since 1990 until I left Kansas in (2003). I’ve got no problem with it the way it is. I’m happy as long as I’ve got enough money to buy golf balls."

"I'm willing to guarantee that we'll take care of that (golf balls request)," Baddour said, laughing. "In our eyes, Roy Williams is the best coach in the country. I also believe we have to meet the market standard for him. That's a fair thing to do."

So, does Davis really make more money than Roy? Not yet. The new guy did come close, however.

For example, Davis will make more in base compensation in 2007 (about $1.7 million) than Williams made in base compensation in 2004-05 (about $1.6 million). Incentives and retention bonuses complicate the picture, but the gap — even this year — isn't an enormous one. Before incentives, Williams is scheduled to make about $2 million in 2006-07.

Interestingly, because of the current structure of both coaches' contracts, Davis actually is scheduled to make more money than Williams beginning in 2008-09. Under the terms of his existing deal, Williams' base compensation is scheduled to fall from about $2.5 million in 2007-08 to about $1.1 million in 2008-09, although nobody expects that dramatic drop to actually occur. Sources said additional money from Nike, beyond the $500,000 per year he brought with him from Kansas, will be one important factor in that regard.

"From a philosophical standpoint," Baddour said, "it has never been our intention that the overall value of the contract would go backward as we move forward."

When UNC hired Williams in 2003, school officials spoke of their desire to match the basic terms of his Kansas contract. Because the coach's deal with the Jayhawks had five years remaining on it at the time, the first five years — and only the first five years — of his contract with the Tar Heels were designed to reflect the Kansas deal. That included UNC assuming responsibility for a deferred income plan totaling $3,867,078, an amount that's being paid over a five-year period via private money from 40-50 boosters.

Williams will receive the final payment from the annuity in 2008. What happens after that remains up for discussion.

Roy Williams Scheduled Compensation (Before Incentives):

2003-04 — about $1.45 million (including $357,000 from annuity)
2004-05 — about $1.6 million (including $481,000 from annuity)
2005-06 — about $1.9 million (including $780,000 from annuity)
2006-07 — about $2 million (including $879,000 from annuity)
2007-08 — about $2.5 million (including $1.4 million from annuity)
2008-09* — about $1.1 million, plus any additional Nike money (beyond original $500,000/year)
2009-10* — about $1.1 million, plus any additional Nike money (beyond original $500,000/year)
2010-11* — about $1.1 million, plus any additional Nike money (beyond original $500,000/year)
    * — expected to be renegotiated
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In response to e-mails: The details of Williams' personal contract with Nike have not been made public beyond the fact that his Kansas deal ($500,000/year) followed him to UNC. Any unreported increases in that amount will supplement his total compensation. Williams' deal is separate from the university's contract (eight years, $28.34 million, through 2010) with Nike. In the past, UNC has released details about the value of its coaches' contracts with Nike.

Sports are a waste and do nothing for the good of the people. All that money paid to someone to tell a bunch of boys to run around and put a ball in a basket. What about the poor and the sick?? The people that can't pay for their medicine and the children that go to bed hungry in this state!! Think about this next time you go root for your favorite team, or get into some idiotic arguement about "last nights game".

Go Heels!

DG, just trying to stoke the fire a little, which has become his MO... Sad to see really. DG has good contacts and could probably write about actual news instead of trying to stoke people, but that would require some extra work...

NOTE FROM DG:

(1) If you think reporting the unusual contract details of a prominent head coach at a major public university is "creating news" rather than reporting it, you're far more unfair than any of the sportswriters you're incessantly criticizing. What could possibly be more newsworthy than unreported details about a multi-million contract for a prominent coach?

(2) How interesting that you would take a shot at my work ethic. It takes a LOT of time to pore over the details of a long, complicated public document. Wouldn't the "lazy" thing to do be to NOT bother with the details, the way everyone has for the three and a half years since the contract was signed? Perhaps you were too quick to take another ridiculous shot at the media, and too "lazy" to think about the absurdity of your argument. Hmmm.

(3) Frankly, I have no idea what's negative about the article at all. A major university, best-known for basketball, signs its football coach to a lucrative deal. Roy is quoted that he's not worried about it. The reason for the odd structure of the contract, a very logical one, is explained clearly in the article. Where's the negativity?

Sounds like a personal problem to me. Good luck with it.

If these coaches are anywhere close to the quality of people that we believe that they are, they will never get into a p***ing contest over each other's compensation. Don't lose sight of the fact that this discussion is in the press and among the bloggers, not among the Coaches.

This issue has come up before at UNC. Part of Mack Brown's decision to leave was said to be related to the wide discrepancy between his compensation and Bill Guthridge's, which was probably a legitimate gripe.

When my father returned to UNC from Maryland in 1956, there was a lot of talk about the rivalry between him and Frank McGuire, which really did not exist. They became friends and strong supporters of each other's programs. My father took a pretty big cut in pay and gave up his title as Athletic Director to return to UNC because he loved the place and wanted to raise his children in Chapel Hill. When he died in 1959, Coach McGuire was one of many folks at UNC who offered comfort & friendship.

That darn Dave Glenn trying to stir up trouble again. You beat all you know that DG! .... :-)

BobLee

UNC was compelled to pay a "high" price for a proven football coach. There is potential for the football program at UNC to be very profitable for UNC athletics. If this occurs, the salary will not be a problem to anyone at UNC.

I wonder if it were the same situation 8 miles down the road, would some one else who coaches big time bball, react the same way as ol Roy. I seriously doubt it.

You know what this is....Mine is bigger than yours!

You have to pay Ol' Roy more than you pay Butch, don't you? And how about Sylvia? Mike Fox? Anson? The trickle-down effect of getting a top-dollar football coach will probably keep going for a while. (Hell, Kitty Harrison may even get some type of retroactive payment!)

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