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The Honolulu Advertiser
Posted on: Saturday, August 8, 2009

Olympics: USOC paying new CEO far more than deposed predecessor


By Philip Hersh
Chicago Tribune

Hawaii news photo - The Honolulu Advertiser

Stephanie Streeter poses at the Olympic training center in Colorado Springs, Colo.

ED ANDRIESKI | Associated Press

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CHICAGO — Despite the recent loss of three major sponsors and uncertainty over its revenue streams beyond the 2012 Olympics, the United States Olympic Committee is paying acting chief executive Stephanie Streeter a base salary 30 percent higher than that of the CEO she replaced, Jim Scherr.

The Chicago Tribune also has confirmed Streeter's total compensation package could exceed $1 million, perhaps double the $619,507 Scherr received in salary, bonuses, benefits and other compensation in 2008, according to the USOC tax filing.

"She would have to hit it out of the park in every way for (a total more than $1 million) to happen," Bob Bowlsby, head of the USOC compensation committee, said Friday.

The USOC board of directors already has approved Streeter's base annual salary of $560,000, Bowlsby said.

Bowlsby, also Stanford's athletic director, said the compensation committee still is discussing the incentive package for Streeter, who took over as CEO when the USOC board forced Scherr to resign in March. Neither Streeter's salary nor her potential compensation previously has been revealed.

Scherr made a base of $428,243 in 2008, with $178,500 in additional compensation, excluding non-taxable benefits. That additional compensation could have been just above $200,000 if Scherr had met all incentive markers, according to Tribune sources.

What had been just rumors about the board's remuneration for Streeter already had led to discontent among leaders of the national governing bodies of individual Olympic sports.

"I can see how reasonable people can disagree on this," Bowlsby said. "The board will have discussions going forward as to the appropriate level of compensation.

"The base salary is not out of line for a position like this. If you are going to have people who are highly respected running the organization, you have to pay salaries at a marketplace level."

Steve Penny, president of USA Gymnastics, agreed with Bowlsby about the size of the base salary but had questions about the total compensation, which Penny said was "a little bit extreme."

"That kind of salary does not seem unreasonable for the chief executive of an operation like the USOC, not for the right person," Penny said. "Whether she is the most qualified person for the job is the question that has to be asked."

Under pressure from Bowlsby and another board member, Mike Plant, USOC Chairman Larry Probst agreed to conduct a national search for a permanent CEO after Probst intimated there might not be one, allowing Streeter simply to segue into the position.

There is no timeline for the search, which apparently will begin this fall. Streeter has indicated she wants to be considered.

Penny, like many other governing body leaders, remains disturbed by transparency issues in the way the USOC board is managing the organization's affairs, particularly the change of CEO and the announcement of the new U.S. Olympic Network.

"I have a lot of questions about whether this all has been handled the right way," Penny said.