Florida State football seeks new coach amid $306M question: Can FSU afford it?

• The university's CFO states FSU has $306 million in debt, primarily from stadium renovations, not the higher figures circulating online.
• FSU's athletic budget has grown from $76 million in 2014 to a projected $265 million for fiscal year 2027.
• University officials express confidence that finances will not be an issue in hiring a top-tier football coach and providing necessary resources.

The narrative of the past couple of years goes something like this: Florida State, long a college football blueblood, is in debt and cash poor and teetering on NIL era irrelevancy.

And like most narratives, the truth is somewhere in the middle. 

FSU gave USA TODAY Sports a breakdown of budget and revenues to counter those narratives, a fiscal explanation of the road ahead. College sports is big business, and hiring a new football coach is a critical aspect of that business. 

“I’ve been here 12 years, and I’ve never seen boosters, the athletic department and the entire athletic enterprise more aligned than they are today,” says Florida State Chief Financial Officer Kyle Clark.

That’s the CFO of the university, not the athletic department. The CFO of a university with an operating budget of $3.2 billion annually, or more than 96 foreign counties.

A university that Clark says has the highest credit rating of any football-playing university in the state of Florida, and an athletic department whose budget has grown 200% since 2014 — outpacing the overall growth of the university.

A university that, despite having to eat more than $50 million in buyouts for fired coach Mike Norvell and two of his assistant coaches — and likely having to outlay nearly twice that to hire a new coach and his staff — is financially stronger than it has ever been. 

When asked if the athletic department could financially compete with the heavyweights of college football currently pushing team salaries into the $45-50 million range annually, interim FSU athletic director Bruce Warwick made it clear money wouldn’t be an issue for the next coach — and the next roster. 

“Not one apprehension. None,” Warwick said. “Not one apprehension that we can go out and attract the finest coach, and give him the resources he needs to put together a championship team on the field.”

Clark says FSU has $306 million in debt associated with the renovation of Doak Campbell Stadium, and the new standalone football facility ― or a long way from the $437-475 million floated by various news outlets. But that $306 million does place FSU at No. 2 in the nation behind Penn State’s $534 million of debt — a majority also coming from facility builds and upgrades. 

This, Clark says, isn't a financial problem for FSU's future. Yes, there is debt ― but not unlike many FBS schools who build and/or renovate facilities.

“Everyone has a mortgage on your house,” Clark said. “Doak Campbell Stadium is our house.”

That “mortgage” debt service is paid through a combination of long-term bonds backed by future athletic department revenues, ticket sales, sponsorships, and stadium income. All suites in the renovated stadium are sold out, including the Founder’s Loge — where eight “founders” pay a one-time $4 million capital gift and $85,000 annually.

In July, FSU and fundraising arm Seminole Boosters announced a record-breaking year for the program, with $106 million in pledges and $86 million in cash contributions. Despite two horrific seasons in the rearview, and Norvell staring at a make-or-break season.

When Clark arrived at FSU in 2014, FSU's athletic budget was $76 million. It's $265 million for fiscal 2027.

“It's pretty simple, you must have more money coming in than going out," Clark said. "The pledges of athletics-generated revenues exceed the highest annual debt payment by more than five times.”

Norvell’s buyout will be paid over six years, and his contract calls for mitigation should he take another job. Any salary earned at a new job would offset what FSU owes Norvell. 

FSU had just two winning seasons under Norvell (2022-23), and it was the 2023 season that marked his ceiling in Tallahassee — and his eventual downfall. After the unbeaten regular season, FSU lost by 60 to Georgia in the Orange Bowl, and has lost 23 of 33 games since winning the ACC championship.

The Noles (3-5) are one loss from another six-loss season, which would be the eighth in 10 years for the program — and by far the worst decade in school history. FSU is without a permanent athletic director, and president Richard McCullough said the process to find one only recently began. 

But these are all procedural moves. There will always be complaints about the process and who is hired and fired at the two most visible positions in any athletic department (the football coach, the athletic director).

There can’t, however, be questions about the financial foundation.

“First and foremost, president McCullough and the board of trustees are absolutely committed that our athletic department has the resources to win a national championship,” Clark said. “We’ve done it before, and we will do it again.”

Matt Hayes is the senior national college football writer for USA TODAY Sports Network. Follow him on X at @MattHayesCFB. Listen to him daily, from 12-2 p.m., on 1010XL-Jacksonville.