Penn State Right-To-Know Report: Paterno, Spanier Earned More than $1 Million Last Year
The late football coach Joe Paterno and former Penn State President Graham Spanier each earned more than $1 million last year, according to the university’s annual Right-to-Know report, released Friday.
The report is from the 2010-11 fiscal year, and includes budgetary figures as well as salaries for the 25 highest paid employees.
Paterno, the top dog on the compensation list, earned $1,002,464 and $35,543 in benefits, while Spanier earned $937,955 and $168,630 in benefits. Both men lost their jobs Nov. 9 in wake of the Jerry Sandusky child sex abuse scandal.
It was announced last week Paterno, who passed away Jan. 22 because of complications from lung cancer treatments, received a state pension of $13.4 million for his 61-year coaching career.
His wife, Sue, will receive $10.1 million by the end of May, with the rest to be paid out over the next two years. In addition to the pension payout is a final contractual $5.5 million payout from Penn State that included a $3 million career bonus.
The retirement package, announced in April, included a final paycheck of $34,000, a death benefit of $51,000 and $350,000 under a 1986 consulting agreement.
According to the Right-to-Know report, in 1983 and 1986, the university provided Paterno with cash advances totaling $350,000. These cash advances were treated as deferred compensation to Paterno in prior Right-to-Know reports.
As part of the retirement package, Penn State also agreed to forgive $350,000 in outstanding loans and debt, but no explanation was provided at the time regarding Paterno’s debts to the school. Noted in the Right-to-Know report is a reference to a written agreement for Penn State to issue a $350,000 loan to Paterno.
Penn State spokesman Dave La Torre said Tuesday morning the demand notes do not specify the use of the funds.