(WKYT) -The University of Kentucky’s new Athletic Director, J. Batt, is set to earn at least $2.6 million in his first year under a binding term sheet that outlines a deal running through June 30, 2032.
The term sheet, dated June 12 and signed June 15, says Batt will serve as Chief Executive Officer of Champions Blue LLC and UK Athletic Director. His start date is to be determined, but no earlier than July 2026.
Batt’s total annual compensation is listed as $2.6 million in the first contract year, including a $400,000 base salary and $2.2 million in supplemental pay. The term sheet lists total pay of $2.75 million in Year 2, $2.9 million in Year 3 and $3.2 million in Year 5.
Batt’s pay would exceed that of outgoing Athletic Director Mitch Barnhart, whose amended contract for fiscal year 2026 lists a base salary of $1.55 million, according to documents posted by the university. Barnhart’s last day as Athletic Director is June 30.
If Kentucky terminates Batt without cause, the agreement calls for him to receive 75% of the remaining compensation through the end of the term, paid in monthly installments. The document says Batt would be required to mitigate that amount by offsetting income from other employment.
Barnhart’s contract language differed, providing liquidated damages tied to his then-current base salary and retention payments, depending on timing, according to the amended employment contract.
If Batt resigns without cause for reasons other than retirement, the term sheet says he would owe the University 25% of the remaining compensation otherwise due through the end of the deal.
The term sheet includes standard University benefits, including retirement matching calculated on the $400,000 base salary, health coverage, six months of temporary housing and moving expenses. It also provides country club memberships at the University Club and one additional club to be mutually agreed upon, including initiation fees and monthly dues, according to the document.
Kentucky would also pay Batt’s contractual buyout to his prior employer, with terms to be mutually agreed upon in a way that is “tax neutral” to him, the term sheet says.
The document lists potential bonuses tied to academics, competitive results and financial benchmarks, including $100,000 for achieving a 3.0 GPA with all teams per semester; $100,000 for participating in a College Football Playoff game; $100,000 for participating in the Men’s or Women’s Final Four; and $150,000 for increasing athletics philanthropy by 33% year over year. It also lists one-time incentives of $200,000 for reaching $250 million in annual athletics revenue and $300,000 for reaching $300 million, along with a $250,000 annual incentive for “collaboration with the President’s Cabinet.”
Kentucky announced Batt’s hiring Monday. He is replacing Barnhart, who announced in March he would step down.
Batt most recently served as Vice President and Director of Athletics at Michigan State.