As much as many on this board disliked the reign of John Currie, he did make prudent investments in facilities and upgrades, which I think answers at least part of the question of where all that big TV $$$ went. Forecasts are that we'll take a $15 - 20 million haircut with a revised Big 12 conference TV deal, but since we don't have a great need for big capital outlays (stadium reno, new practice facilities, etc.), we may be able to largely retain our expense structure that we have now (not have to do drastic spending cuts). Our big hit will be in recruiting - the Big 12 is likely to become a glorified G5 conference.
Dax would likely be able to speak more authoritatively on this, but I think the money part will take care of itself. I think some of the other orphans have managed their TV windfalls pretty well, some have not.