The Saints will receive multiple draft picks as compensation for Payton, who still had two years remaining on his contract with the franchise prior to his decision to "step away" in January 2022, according to Rapoport.
"The #Saints and #Broncos just finalized the deal on compensation and sources say New Orleans gets a first-rounder and an early pick — likely a 2nd rounder — but also give a pick back. Complex deal but now done," Rapoport tweeted. "Sean Payton will be the #Broncos coach."
The move comes hours after Rapoport claimed Payton and University of Michigan head coach Jim Harbaugh were "still options" for the Broncos' head coaching vacancy during said an appearance on the Pat McAfee Show on Tuesday (January 31).
"Until Sean says, 'I'm definitely going back to TV,' or until Harbaugh says, 'we're good and I'm definitely going back to Michigan,' those are still options," Rapoport told McAfee.
Payton had reportedly interviewed with the Broncos, as well as the Texans, Arizona Cardinals and Carolina Panthers. The 58-year-old is the winningest head coach in Saints franchise history with a 152-89 (.631 winning percentage) regular season and 9-8 (.529) playoff record since being hired in 2006, having led New Orleans to its only Super Bowl victory in franchise history during the 2009-10 season, defeating the Indianapolis Colts, 31-17, in Super Bowl XLIV.
Payton had contributed as an analyst for FOX Sports' NFL coverage during the 2022 season.