Mar 27, 2024 - Sports

OSU and WSU score millions in Pac-12 settlement

A photo of a logo reading "Pac 12" on the floor on an athletic gym.

The remaining two members of the Pac-12, Oregon State and Washington State, reached a financial settlement with the 10 departing members. Photo: Tyler Schank/Getty Images

The departing members of the Pac-12 finalized a multimillion-dollar settlement this week with Oregon State and Washington State — the two universities that will stay in the athletic conference beyond this summer.

Why it matters: The financial settlement marks the first step in rebuilding the conference, which has been marred with uncertainty since 10 teams announced plans to drop out last August.

  • There's plenty still up in the air, though, including the future of each team's media rights, athletic budgets and future matchups.

By the numbers: According to the settlement, each departing school will have $5 million withheld during the 2024 fiscal year (totaling $50 million), and must pay an additional $1.5 million as a "supplemental contribution" to help the Beavers and Cougars navigate the future of the conference.

  • The teams leaving will have no say over how the supplemental funds should be used.

Zoom in: OSU president Jayathi Murthy previously estimated that the school could face a gap of about $40 million in its annual athletics budget due to the Pac-12's collapse. WSU predicted a similar loss.

  • Whether the settlement will be enough to bankroll each school's athletics revenues is still unknown.

Catch up quick: Oregon, Washington, USC and UCLA will leave in August to join the Big Ten.

  • Four more teams — Colorado, Arizona, Arizona State and Utah — are heading to the Big 12, while Stanford and the University of California, Berkeley, will join the ACC.

The intrigue: While WSU and OSU won full control over making decisions for the conference's future in court proceedings back in December, the 10 departing schools will still "have the right to vote on matters that affect all 12 schools this year."

What's next: Temporary agreements mean both teams will have games to play into next year, but could face harsh penalties if they try to recruit Mountain West members to join before 2027.

  • Don't worry: OSU and Oregon will still play their football rivalry game — Sept. 14 at Reser Stadium and at Autzen Stadium in 2025.
avatar

Get more local stories in your inbox with Axios Portland.

🌱

Support local journalism by becoming a member.

Learn more

More Portland stories

No stories could be found

Portlandpostcard

Get a free daily digest of the most important news in your backyard with Axios Portland.

🌱

Support local journalism by becoming a member.

Learn more