Bronco Mendenhall set to become Mountain West's highest paid coach at Utah State

In taking the Utah State job, Bronco Mendenhall got more than just a homecoming.

New Mexico’s former head coach is set to become the highest paid coach in the Mountain West with an initial $800,000 raise from his annual base compensation at UNM.

Mendenhall, 58, was formally announced as the Aggies’ head coach on Thursday morning. The Utah native leaves UNM after just one season, a 5-7 campaign that saw the Lobos fall just short of bowl eligibility.

Mendenhall is set to make $2 million in his first year with the program, with annual salary escalations around $60,000 and up to $755,000 worth of incentives per season. The former BYU and Virginia coach's staff salary pool in his first year amounts to $3.5 million, nearly double what his 10 on-field assistants were making at UNM.

Mendenhall signed a five-year, $6 million contract ($1.2 million per year) with UNM in May that made him the highest paid football coach in school history. For comparison, former head coach Danny Gonzales earned about $700,000 per year.

Here are some other notable sections from Mendenhall's term sheet with Utah State and how they compare to his UNM contract:

Escalating compensation

Mendenhall’s annual compensation is set to increase by sums ranging from $60,000 to $67,530 on a year-to-year basis:

Year 1: $2,000,000

Year 2: $2,060,000 (+$60,000)

Year 3: $2,121,800 (+$61,800)

Year 4: $2,185,454 (+$63,654)

Year 5: $2,251,018 (+$65,564)

Year 6: $2,318,018 (+$67,530)

$500,000 of each year's compensation is designated as “media compensation” and funding for Mendenhall’s salary “may come from a combination of athletic department funds, private funds donated to USU and the USU-affiliated parties, and funds generated by contracts with vendors for athletic apparel and shoes and multimedia rights agreements.”

With Utah State scheduled to leave the Mountain West for the rebuilding Pac-12 at the start of the 2026-27 academic year, Mendenhall’s compensation clause ends with a telling line: “On or around USU’s entry into the Pac-12 Conference, the (Athletic Director Diana Sabau) will engage with you in a good faith review and market assessment of your compensation.”

Mendenhall's staff pool, starting at $3.5 million, will increase by $500,000 each year.

Incentives

At UNM, Mendenhall could have received up to $470,000 per year in incentives based on on-field performance, academics and ticket sales. Per his Utah State term sheet, $755,000 worth of incentives are in play each year, with figures related to a potential College Football Playoff run inflating the figure.

His Utah State term sheet does not include any incentives related to ticket sales while bonuses related to academic progress rates, appearances in the Mountain West championship and coaching accolades remain unchanged from his UNM contract.

But if the Aggies were to make the 12-team CFP, Mendenhall would be compensated handsomely. In his UNM contract, he would have received a $50,000 bonus if the Lobos made it into the postseason tournament; at Utah State, he's eligible to receive $200,000.

How the rest of his regular season, postseason and conference achievement incentives would pay out at Utah State:

- Outright or co-regular season conference championship: $25,000

- Conference championship game appearance: $25,000

- Conference championship game win: $50,000

- Non-College Football Playoff (CFP) bowl appearance: $75,000

- CFP first round appearance: $125,000

- CFP quarterfinal appearance: $200,000

- CFP semifinal appearance: $300,000

- CFP national championship appearance: $400,000

- CFP national championship win: $500,000

Mendenhall would also receive $5,000 for every win over in-state rivals BYU or Utah. The sum of $755,000 reflects a potential season in which Utah State beats both schools.

Buyout

Utah State will be responsible for Mendenhall’s $2 million buyout to UNM, per the term sheet. The sum will be paid out in 36 “substantially equal” monthly installments over the next three years starting in January.

In the event Mendenhall is on the hook for any “additional costs or expenses” — such as an income tax liability — in relation to the buyout, Utah State will provide him with a “gross-up payment" to offset those expenses. This clause (and the payments outlined within) would outlast the termination of the Utah State contract.

If Mendenhall leaves Utah State for another job, the athletic department would be entitled to receive the following “liquidated damages” from Mendenhall, or the school he left for, depending on the contract year:

Year 1: $3,000,000

Year 2: $2,500,000

Year 3: $2,000,000

Year 4: $1,500,000

Year 5: $1,000,000

Year 6: $500,000

Miscellaneous

Per the Utah State term sheet, Mendenhall will receive the following benefits:

- a membership at the Logan Golf and Country Club;

- “premium level” tickets to home and away football games;

- free travel for his spouse to road games on team-chartered transportation; other immediate family members are eligible, “subject to Athletic Director approval and availability”;

- a courtesy car provided by “supporters of the USU athletics program”;

- $25,000 to help cover moving expenses and $2,500/month for temporary housing.

The fine print

As this is just the term sheet, a formal contract still needs to be signed: “In coming days, USU will provide you with a long-form employment agreement that is consistent with the terms of this offer letter … Once executed, the long-form employment agreement will supersede this offer letter.”