Ever since the Big Ten Network became profitable I believe the university has been taking millions each year. I think it was Cordova who set it up to fund pet projects that probably otherwise would never have been funded. Here's an article about the CSEL that describes one of the commitments covered.
http://www.purdue.edu/newsroom/general/2012/120427CordovaCSEL.html
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The gift, from an anonymous donor, will be used as a one-to-one match to generate a total of $20 million to construct and support the $30 million Center for Student Excellence and Leadership. This match also will provide an incentive to invest an additional $8 million in deferred gifts toward an endowment to support the facility's long-term maintenance and operating costs.
Purdue Intercollegiate Athletics also is a key partner in this project, contributing $12 million over six years through Big Ten Network revenue toward the facility's total cost. Athletics director Morgan Burke said the new center would be an asset in recruiting students and student-athletes to Purdue because it will be a key element in the campus area dedicated to student life."
I believe I have read quotes since Mitch Daniels became president that once these commitments are fulfilled,the athletic department will get to keep all of this but that was before these new TV contracts were finalized. Since that I remember reading rumblings about wanting to make some sort of agreement with other Big Ten schools that some of these revenues would start being used on the academic side. We'll see.
Incidentally, this is why I have always had an issue with the Nancy Cross email during the Painter/Missouri fiasco that essentially called out JPC members for being cheap and not donating enough for them to afford all the things fans wanted them to do. Meanwhile, they were shipping out millions of revenue to fund these sorts of projects (probably through no fault of Burke's to be honest) while the schools they were competing with were bringing in student fees to support athletics in many instances. They were fine to ask more and more of fans to try to make up that revenue gap with competing schools but until Painter took them to task, they never had to go back to the university and negotiate with them to start being able to keep more of the money that the athletic department earned to begin with.