The University of Wisconsin System Board of Regents approved head football coach Bret Bielema's new $7.5 million, five-year contract Friday after one of the most successful football seasons in UW history.

In 2006, UW paid Bielema a combined $350,000 in base salary and $400,000 in program revenue, and UW will pay $400,000 and $900,000, respectively, in 2007.

According to Vince Sweeney, UW senior associate athletic director, Bielema's pay will start at $1.3 million and increase $100,000 every year through 2012.

"We want to keep him because he has been successful so far," Sweeney said. "We think he is going to bring us great success in the future, and we want to keep him — that's the bottom line."

After leading the Badgers to a 12-1 season, Bielema was named the 2006 Big Ten Coach of the Year. He was also only the third rookie head coach in NCAA Division I history to win 12 games.

Because of the high-profile position at the university, Sweeney said the football program is important for the overall success of the department.

"If you want an excellent athletic department, you want an excellent football program with an excellent coach," Sweeney said. "A good football team is the financial engine of a good athletic department."

The UW Athletic Board and Chancellor John Wiley forwarded Bielema's salary proposal to the regents, who discussed the increase in a closed session of Friday's meeting.

Director of Athletic Communications Justin Doherty said Bielema's 2006 salary was the second lowest in the Big Ten, but will be the fifth highest in the conference in 2007. University officials examined several aspects of Bielema's performance to figure out his pay increase, Doherty added.

"I know that the athletic board and the regents and university administration looked at Bret and the staff and what the team accomplished," Doherty said. "[They also] looked at the market forces at work for college football, and considered what's reasonable from the standpoint that it puts him in the middle of the Big Ten."

Bielema enters the 2007 season with a five-year contract after Barry Alvarez stepped down from his 16-year head coach position in 2005 to become UW Athletic Director.

Sweeney said keeping quality coaches in the program is vital to its success.

"You cannot measure how important it is to keep a stable system without constantly hiring new guys," Sweeney said.

And according to Sweeney, the larger "multimedia program revenue" portion of Bielema's pay is composed of advertising, which is organized through the university.

Previously, coaches were responsible for seeking out their own advertising contracts according to Sweeney.

"Our coach's give up the right to advertise," Sweeney said. "Now they are put [by the multimedia program] into coach shows and radio shows."

Doherty said Bielema's extension and salary augmentation is a reward for his loyalty to the program.

"It certainly says that the university is dedicated to him, and he plans to continue to repay that loyalty by doing the best job he can do — he obviously did a great job last year," Doherty said. "If you feel like you've got a good coach on and off the field, you want to keep that person around and send them the message that they're wanted here."

— Peter Sielski contributed to this report.