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Broncos coach John Fox, above, is expected to meet with general manager John Elway on Monday, a usual routine for the two following the end of a season.
Broncos coach John Fox, above, is expected to meet with general manager John Elway on Monday, a usual routine for the two following the end of a season.
Mike Klis of The Denver Post
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Broncos coach John Fox arrived at the team’s headquarters Monday morning knowing it was time to move on.

Broncos general manager John Elway walked into his office Monday morning convinced he needed to make a change with his head coach.

At 2 p.m. Monday, Elway and Fox met, and after talking for an hour, each agreed that after four years together, the Broncos needed a new coach and Fox needed a new team.

“It’s a tough business,” said Broncos running back C.J. Anderson. “Part of this is on us players. We didn’t perform for him the way we should have. We had high expections and we didn’t meet them.”

At the end of the meeting, Elway and Fox embraced. They didn’t always agree. Elway had issues over the past four years with the way the team was prepared and its mental toughness.

It was particularly disturbing the way the team performed coming off a playoff bye, with two stunning home playoff losses as heavy favorites in the past three years.

PHOTOS: John Fox’s career with Denver Broncos

“While we have made significant progress under Coach Fox, there is still work to be done,” Elway said in a statement. He will meet the press at noon Tuesday. “I believe this change at the head coaching position will be in the best interest of our long-term goal, which from day one has been to win World Championships.”

Fox, meanwhile, would have preferred a little more authority with the draft and roster. The midseason offensive transformation from heavy Petyon Manning passing to Fox’s insistence on instituting a more balanced mix featuring Anderson rushing had taken some toll.

“We were both very honest about our time together and how to best move forward,” Fox said in his statement about the meeting with Elway. “After this discussion, John and I mutually agreed that the timing was right for this decision.”

At 3:10 p.m., Elway and his personnel staff, and Fox and his coaching staff, gathered in a large upstairs conference room. Elway thanked everyone for all that was accomplished. And it was much.

In Fox’s four seasons, the Broncos won four AFC West Division titles. They reached the Elite Eight of the playoffs all four seasons, including 2011 when their quarterback was the inspiring, if passing challenged Tim Tebow.

Fox got up and thanked everyone. Elway told Fox’s assistant coaches that they remain under contract with the Broncos, but are free to seek employment elsewhere. This is how it’s usually done when head coaches are fired.

Many of those assistants might be moving to the Bay Area. Offensive coordinator Adam Gase is in play for the San Francisco 49ers head coaching job. Defensive coordinator Jack Del Rio will interview Tuesday with the Oakland Raiders.

“I’ve been in this business long enough that whenever the head coach goes, everyone is tenuous at this point,” running backs coach Eric Studesville said.

Elway had a busy day Monday. The Broncos’ general manager met with Manning, the Broncos quarterback who is two months away from his 39th birthday. Manning said Sunday after the playoff loss to Indianapolis he was unsure about whether he would return to the Broncos next season.

But it’s not unusual for any player to feel like walking away the moment the physically taxing and mentally draining season ends. It still would be a surprise if Manning did not come back with the Broncos in 2015. He has two years, at $19 million each, left on his contract.

Elway and Manning decided it was best to wait before making such a decision.

Elway then met with Fox. Their meeting reached a more definitive conclusion. Elway now goes about trying to find a new head coach. Fox moves on and could wind up coaching for another NFL team next season. Fox had two years and roughly $11 million remaining on his contract, but the two sides are expected to negotiate a buyout settlement.

Fox had been the Broncos’ head coach the past four years, posting a 46-18 record. However, Fox had not led the Broncos to a Super Bowl victory, as was the team’s expectation since it signed Manning three years ago. Fox, 59, led the Broncos to records of 13-3, 13-3 and 12-4 and first-round playoff byes each of the past three seasons with Manning.

In 2012, the Broncos were shocked in the second round by Baltimore, 38-35 in double overtime. The Broncos were leading in that game, 35-28, when Baltimore quarterback Joe Flacco threw a game-tying, 70-yard touchdown pass to Jacoby Jones.

The Broncos advanced to the Super Bowl in 2013, but were shellacked by Seattle, 43-8. This season ended when the Broncos lost to the underdog Indianapolis Colts, 24-13, on Sunday at Sports Authority Field at Mile High.

The Broncos had not considered dismissing Fox, but became concerned by a Fox Sports report Sunday morning, a few hours before Denver’s game against Indianapolis.

The report by Jay Glazer, a close friend of Fox, said that should the Broncos lose to the Colts, “could John Fox become available? If he is, he’ll shoot to the top of many of these (head coaching candidates) list.”

The Broncos suddenly became aware Fox was unhappy and wanted to coach elsewhere. According to a team source, the report “opened the door” to the meeting Monday between Elway and Fox.

It’s possible that Fox, who coached nine seasons with the Carolina Panthers before becoming the Broncos’ coach, could become a candidate for the Chicago Bears.

Already there is connection between Fox and the Chicago job as the Bears’ new general manager, Ryan Pace, formerly worked with the New Orleans Saints and coach Sean Payton, who is a close ally of Fox.

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In the 2000-2001 seasons, Payton was the New York Giants’ offensive coordinator when Fox was the team’s defensive coordinator.

So who will be the Broncos’ next head coach? It’s a job that might bring as many questions to prospective candidates as perks. The uncertainty of Manning’s future has to be a concern, even if the Broncos have former second-round draft pick Brock Osweiler on standby.

Another issue is Broncos’ ownership is in a trust after the team announced in July that Pat Bowlen is battling Alzheimer’s disease. At that time, team president Joe Ellis was promoted to chief executive officer and placed in charge of the franchise.

However, the team has money to spend and acquired several talented players through free agency in recent years.

The Broncos’ head coach interview process will be thorough, with Elway interested in external candidates. Baltimore Ravens’ offensive coordinator Gary Kubiak and quarterbacks coach Rick Dennison have connections to the Broncos as a franchise and Elway as a former teammate and friend.

WATCH: Mike Klis talks about Mike Shanahan as head coach for Broncos

One of the hottest head coaching candidates is Seattle defensive coordinator Dan Quinn. He is on every team’s list, but the Broncos would hav e to wait until after the NFC championship game Sunday to interview him. Arizona defensive coordinator Todd Bowles, Detroit defensive coordinator Teryl Austin and Gase, if he doesn’t get the 49ers’ job, are also possibilities.

Mike Klis: mklis@denverpost.com or twitter.com/mikeklis


Replacing Fox

Here are five candidates for the Broncos’ now vacant head coaching position:

1. Dan Quinn, Seattle defensive coordinator

Everybody else wants him. Why not the Broncos?

2. Todd Bowles Arizona defensive coordinator

He interviewed in 2009 for Broncos’ job that went to Josh McDaniels

3. Gary Kubiak, Baltimore offensive coordinator

He and John Elway broke into the NFL together in 1983.

4. Adam Gase, Broncos offensive coordinator

Still in play for the 49ers job. Coaching kinship with Peyton Manning, who could well return.

5. Jason Garrett, Cowboys head coach

His contract is up and he may seek more money than Jerry Jones wants to play.