By PFW staff
Jan. 21, 2008

For the third consecutive season, Colts coach Tony Dungy pondered retirement following the season. And for the third consecutive season, he announced he would be back on the sideline. At a press conference Monday in Indianapolis, Ind., Dungy, 52, confirmed that he will be back for a seventh season in Indy. The decision came as a surprise to many, who figured his family’s recent move to Tampa Bay, Fla., signaled his decision to break away from the NFL.

Dungy, a devout Christian, has never considered himself an “NFL lifer,” and has spoken about furthering his work with a prison ministry he helped establish in Tampa. But his return to the Colts centered around his conclusion that he could continue in Indy without having to sacrifice his duties as a family man and as coach. His wife and children expressed their desire to see him return to the sideline, and coupled with his still resolute passion for coaching, provided him enough reason to stay. Colts owner Jim Irsay has already granted him the use of a chartered plane to fly between the two cities.

Dungy reportedly earns $5 million annually.

The PFW spin

While the status quo is mostly remaining in Indianapolis, there is one new development: Assistant head coach/quarterbacks Jim Caldwell is now contractually cemented as the Colts’ next head coach. Caldwell received interest from both the Ravens and Falcons for their head-coaching vacancies, and Irsay apparently knew that he needed to provide Caldwell with a big incentive to remain in Indy.

In addition to his contractual guarantee, Caldwell's salary will reportedly rise to $2.4 million in 2008. The Cowboys made a similar move a couple weeks ago, raising offensive coordinator Jason Garrett’s salary to $3 million after his name was batted around the front office of teams looking for a new head coach. Unlike Caldwell, however, Garrett has not been promised to be Wade Phillips’ successor — at least not publicly.

The question now becomes, “Does this mean Dungy is leaving after next season?”

According to Irsay, Dungy and team president Bill Polian, it does not. They maintain that they will have similar talks a year from now, just as they have had the past three years. We don’t doubt the veracity of that claim, but it’s not difficult to read between the lines. Irsay specifically mentioned that Caldwell, who now holds the title of associate head coach, will be privy to more of the inner workings of the team. Dungy remains the chief voice in football-related matters, but Caldwell will be more intimately involved in the decision-making process when it comes to matters such as free agency and the draft.

Irsay clearly knows that he’s operating on borrowed time with Dungy, and the foresight to groom Caldwell as Dungy’s eventual successor ensures that the transition will be as smooth as possible.