Michigan athletic director Warde Manuel will step down at the end of the year and is set to receive a $7.14 million buyout within 21 days of his resignation, according to settlement details reported July 25. The move follows Michigan’s internal review of the athletic department’s culture and leadership.

Manuel’s 2024 extension ran through June 2030 and paid him about $2.4 million a year, which is why the buyout reaches $7.14 million. FOS’s Amanda Christovich reported that Michigan also will cover his attorney fees, listed at about $82,000.

Manuel is also set to receive a $108,000 retirement contribution and retiree benefits, including health coverage, along with the usual perks such as tickets and golf access. After 11 years in Ann Arbor, that part of the deal matters almost as much as the buyout itself.

Manuel’s tenure brought trophies, but it also carried constant turbulence. He helped oversee championship success, yet the department kept running into scandals that made the final chapter feel less like a celebration and more like a reset.

“The culture review found that Warde Manuel demonstrated important leadership strengths, particularly his commitment to student-athletes. At the same time, it identified failures to quickly and effectively act on allegations of wrongdoing by Athletic Department employees,” according to Michigan’s statement, reported by CBS.

The Chicago-based law firm Jenner & Block investigated Michigan’s athletic department culture. Following the $12M investigation findings, the school fired Sherrone Moore “for cause” after an internal investigation found credible evidence of an inappropriate relationship with a staff member, Paige Shiver. But Manuel has witnessed more misconduct in his tenure.

Former analyst Connor Stalions’ sign-stealing scandal cost Michigan approx. $30M. And then, former head coach Jim Harbaugh’s recruiting rule violation resulted in a four-year postseason ban and restrictions in recruitment. Most recently, ex-Michigan OC Matt Weiss was indicted on 24 felony counts for alleged unauthorized access to computer data over several years.

It’s not only football, though! Other departments have also witnessed instances of wrongdoing under Warde Manuel’s leadership. When Jim Harbaugh left Michigan, the program fired Mel Pearson, men’s hockey coach, due to a violation of university code as per an investigation. That same year, the then-Wolverines’ men’s basketball head coach was suspended for five games because of behavioral misconduct.

Issues in Michigan’s athletic department were growing, resulting in the university president, Domenico Grasso, announcing Manuel’s decision to step down from his position.

A new chapter awaits Warde Manuel

Since taking office as the AD in 2016, Warde Manuel made several changes at Michigan, whether for student-athletes’ well-being or organizational structure. Besides the controversies he dealt with, there were also mixed reactions to his approach towards appointing and managing Michigan’s coaching staff.

He brought in Dusty May for Michigan men’s basketball, and the coach led his team to a national title in his second season with the Wolverines. Then, he recently hired Kyle Whittingham to bring stability to Ann Arbor, and a cultural shift has already been seen.

Cultural issues cost Michigan title-winning coaches, yet Manuel’s leadership remains valued. Even after resigning from his position, the ex-Michigan AD will remain connected as an advisor, and his familiarity may help the program’s athletic department in its restructuring efforts.

In fact, if any other B1G team wants to hire him, that’s not a reality following the non-compete clause in his separation agreement. As per it, no team from the conference will be able to hire him for the following two seasons.