So punishing the football program is going to far? Even though people in the athletic program knew of the scandal and did nothing? Even though the football program itself was part of the the criminal's tactic to molest children?
No way. Penn state was corrupt to the core and got what they deserve. They made boat loads of profits while championing the morality of their institution. They should be happy they still have a football program.
EDIT: And I do believe covering up this scandal was beneficial to the program as I doubt recruiting or fundraising for the program would have been the same had the truth come out.