Report: Jim Harbaugh seeking delay in start date of new Michigan contract, immunity from termination caused by NCAA sanctions

Michigan Wolverines football head coach Jim Harbaugh interviewed Monday with the Los Angeles Chargers for their head-coaching vacancy, yet he and his representation, headlined by high-powered agent Don Yee, are still working with U-M on a contract extension. Yahoo Sports’ Dan Wetzel released a thorough report Tuesday morning with more details.

Wetzel noted that financial terms between the 10th-year head coach and Michigan are “fully or mostly ironed out,” though there is a “sticking point” on termination language. As The Wolverine has reported, a new deal with Michigan would make Harbaugh the highest-paid coach in the Big Ten and one of the most well-compensated nationally. Wetzel noted that it would be a six-year deal worth a $11.5 million annual salary.

With an NCAA Level I allegation against Harbaugh on the books for apparently misleading investigators who were looking into minor recruiting violations and another NCAA investigation into the program for alleged illegal off-campus scouting ongoing, Harbaugh and his representation are seeking “protection from the NCAA included in the contract,” as The Wolverine’s Chris Balas reported Monday.

“Specifically, sources said Harbaugh is seeking language that would grant him immunity from termination from any finding or sanction that could arise from multiple current NCAA investigations into the football program,” Wetzel added in his reporting.

“Harbaugh is seeking a matrix of fines be spelled out if there are any future NCAA violations as well as prohibiting the school’s athletic director from firing him ‘for cause; and instead having that decision, should it ever arise, rest in a three-member arbitration panel, sources said.

“He is also seeking to have any decision involving ‘for cause’ termination — whether for NCAA violations or anything else — to be determined by a three-member arbitration panel rather than the school’s athletic director, a role currently held by Warde Manuel. Traditionally, for-cause termination of a coach would be determined by his direct supervisor. The athletic director would still be able to fire him for performance-related issues.

“The arbitration panel is a system used by the university’s president. It is common in university executive contracts, but not with coaches, according to numerous college administrators.”

Additionally, with Harbaugh’s current buyout having lowered to $1.5 million (from $2.25 million) Jan. 11, Harbaugh’s camp is asking for a delay in the start date of the new Michigan contract to keep the buyout at its current figure.

“Harbaugh has sought to have the new deal not start until Feb. 15, thus maintaining the lower, and more favorable, buyout number until after the NFL hiring cycle has concluded,” Wetzel wrote.

Harbaugh is 89-25 in nine seasons with Michigan. The Wolverines are 40-3 over the last three years, with a trio of wins over rival Ohio State, three-straight Big Ten championships and the 2023 national title after completing a perfect, 15-0 season.

Harbaugh’s base salary was slashed in half in unprecedented fashion ahead of the 2021 season, but he earned a new deal with Michigan the following offseason that brought his compensation over $7 million.