"We are so close to getting the final t's crossed and I's dotted, and we're there, it's just a matter of legal wording that needs to take care," McGarity said. "The big points have all been covered."
Richt's base annual salary of $2.81 million (before endorsements) will not increase, McGarity said. Instead, the new contract will enhance potential incentives.
"One of the main things we did, all the performance bonuses, which mean bowls, which mean BCS Championship appearances, they increased 100 percent," McGarity said. "One of the things is basically rewarding excellence."
Negotiations on the extension began this offseason after Richt's Bulldogs appeared in December's SEC Championship game for the fourth time in his career.
Added to his current deal, the extension gives Richt a total of five years and will take him through the 2016 season.
The initial terms were agreed upon in March, but are still being finalized.
"I've never really changed my stance on how I feel about Georgia from the first day I got the opportunity to be here," Richt said. "…I'm thankful that Mr. McGarity and the University of Georgia is excited about me continuing on as the head coach."
Richt, McGarity and Frank Crumley, an executive associate athletic director, met Tuesday "just to talk about things in general," McGarity said. "We're in a great place. We're all on the same page."