University of Minnesota athletics probe largely clears school

Updated 3 p.m. | Posted 10:35 a.m.

An external review of the University of Minnesota's athletics department released on Tuesday confirmed some cases of sexual harassment within the department, but said they were of limited number and appropriately addressed by university officials.

Athletic director Norwood Teague resigned in August after reports surfaced that he sexually harassed at least two female colleagues during a senior leadership retreat in July.

More women later came forward with stories of harassment, including a Star Tribune sports reporter who said Teague had grabbed her and sent suggestive text messages.

Following Teague's resignation, university officials ordered the independent review of the additional allegations and the university's handling of them.

The report by lawyers from the firm of Fredrikson & Byron "did not find evidence to substantiate the allegations regarding sexual harassment by Teague or other senior leaders within the Athletics Department or a general climate of sexual harassment or inappropriate sexual conduct."

The investigation included interviews with more than 100 witnesses and reviewed more than 250,000 pages of documents, texts and emails.

The report also reviewed anonymous claims of sexual harassment in the athletics department and the university's reaction to harassment allegations.

Some inappropriate comments by senior leaders were reported to investigators by witnesses, although the report concluded that those sort of comments were out of the ordinary.

"[A] few individuals reported that Teague and other senior leaders engaged in limited sexual banter and other communications that they found offensive," according to the report. "One senior leader acknowledged engaging in what he called 'locker room' communications with a small number of Athletics Department personnel."

In response to anonymous complaints against him, associate athletic director Mike Ellis was asked to take a leave after Teague's resignation. Ellis also resigned from his job last month.

The university was also criticized for the vetting process during Teague's hiring. Neither Teague nor Atlanta-based Parker Executive Search disclosed to university officials that he had been the subject of a gender discrimination lawsuit while working at Virginia Commonwealth University.

The report found that "even if the university had known of the VCU complaint when Teague was hired, this knowledge would not have provided notice that Teague would later engage in sexual harassment."

Attorney Bill O'Brien, who represents Teague, said in a statement that "[t]oday marks the end of what has been an extended feeding frenzy involving Norwood Teague."

O'Brien declined to comment further until he had time to review the report in more detail.

The report includes several recommendations for policy changes for sexual harassment prevention, including adopting a policy requiring department personnel report to the office of Equal Opportunity and Affirmative Action (EOAA) when they believe the sexual harassment policy has been violated.

Besides the external probe of the department's culture, hiring practices and handling of allegations of sexual misconduct, the school also released a university-conducted financial audit of the department.

The financial audit examined Teague's administration of the department as well as travel and expense reports by his leadership team. During his tenure, athletics administrators had $386,000 worth of expenses; some are still under review.

In some instances, auditors found alcohol purchases were disguised under other expense headings or improperly charged to special purchasing cards.

Holiday parties, luxury hotel stays, private car services, private plane charters and first-class airline tickets also came under scrutiny. The department was urged to seek reimbursement of expenses that shouldn't have been allowed.

Auditors also focused on a deal that Teague's athletic department negotiated with Major League Baseball during the 2014 All-Star Game.

The audit found that the typical $125,000 fee to rent the university's TCF Bank stadium was waived during an Imagine Dragons concert. Instead, the department received use of 50 tickets to All-Star Game events and use of a luxury box during the game.

The cost of the university's out-of-pocket expenses for police, cleanup and other costs for the event was estimated at $319,855, but the department only eventually billed the league for and received $187,281.

In a report to a Board of Regents committee in September 2014, the department reported the amount to be received for the event as the $319,855 estimate: "It did not disclose the University was to receive only reimbursement of our expected out-of pocket costs, or that rent was not being charged for use of the stadium in lieu of the University's receipt of tickets and use of a suite for the All-Star game."

Instead of getting a payment, the university was given tickets to the baseball game at an average cost of $2,565 per ticket.

Auditors also were critical of the use of $147,259 for the basketball coaching Villa Seven program. The athletics department covered the costs of staff travel as well as some speakers fees at the gathering.

A senior U athletics official said the university's reputation was enhanced and that the school received a better contract with Nike due to participation in the program. Auditors found "no formal contracts or other supporting documentation to define the relationships between (athletics), Villa Seven and Nike."

Auditors also recommend that university officials review decisions about costs that have been covered in the past, such as costly transportation options like limos, purchase of clothes for non-coaching staff and relocation expenses that exceed university recommendations.

Among the expenses incurred for private plane flights by the department were $19,500 for officials to fly to a donor meeting in Florida, $7,340 to fly Teague to another donor meeting and $6,808 to fly officials and donors to a men's basketball game in Iowa.

In response to the audit, interim athletic director Beth Goetz said her staff is working on documenting and seeking reimbursement for questionable expenses. She said all current employees have completed repayment.

Teague's lawyer said Teague was proud of his time at the university and said the auditor's report indicated the spending questions were focused on "the culture surrounding big-time athletics, a culture that existed long before Norwood came to the University and that will likely last long after."

The financial audit was in the works before Teague stepped down but was sped up, with a special emphasis placed on activities surrounding Teague.

The Associated Press contributed to this report.