The University of Tennessee football team will spend New Year's Day in Florida, just a little closer to the beach than many projected.

The 17th-ranked Vols accepted a bid Sunday afternoon to the Outback Bowl in Tampa, where they'll face unranked Penn State on New Year's Day at 11 a.m. (TV: ESPN) in Raymond James Stadium.

The Capital One Bowl was thought to be Tennessee's likely destination if Florida defeated Arkansas in Saturday's Southeastern Conference championship game. Florida beat Arkansas, 38-28, and the Razorbacks accepted a bid Sunday to the Capital One, which is held in Orlando.

"Honestly, the fact that that was even a strong possibility early in the week was somewhat of a surprise," said Mike Hamilton, UT athletic director, on Sunday. "I thought all along we'd more than likely be going to Tampa or Dallas (for the Cotton Bowl)."

Under the Southeastern Conference's bowl contracts, the Capital One, Outback and Cotton bowls must all select the SEC championship game loser once during the next four years.

Hamilton said he supported Capital One's decision to take Arkansas.

"I respect fully their decision to do that," he said. "Arkansas was ranked five or six spots ahead of us in the final polls and beat us pretty handily a few weeks ago. I think it's important that the conference (championship loser) is protected in some way shape or form."

Either way, Tennessee is not only back in a bowl game after missing out on the postseason entirely after last season's 5-6 campaign, it's playing on New Year's Day.

"I don't have any disappointment, whatsoever, about playing against a great Penn State (team) in a New Year's Day bowl in a great city like Tampa," UT coach Phillip Fulmer said. "We're thrilled for the chance to do that. We're excited because we haven't been to the Outback Bowl in some time."

"It means a lot from a recruiting standpoint and a pride standpoint and something that means a great deal to our fans as well," Hamilton said of playing in a New Year's Day bowl.

The Vols will receive a $1.04 million payout from the Outback, in addition to a travel allowance based on one-way mileage.

Tennessee is responsible for all of its travel expenses, and Hamilton said UT's goal is to make the trip a break-even venture.

"It's hard to believe, but you don't make more going to a bowl game, necessarily, unless you go to a BCS bowl," he said. "We'll budget within that scope, and our plan will be to break even or do better. It's really a reward for our fans and our team."

UT will receive 13,000 tickets as well. As of Friday, Tennessee had received commitments for about 7,000 of those tickets, the bulk of which have been online orders.

Penn State (8-4) finished tied for fourth in the Big Ten, having lost to Notre Dame, Ohio State, Michigan and Wisconsin. All four of those teams are ranked in the top 11 of the latest Associated Press poll.

UT's three losses -- to Florida, Louisiana State University and Arkansas -- came to teams in the top 12.

Notes: Starting right guard Anthony Parker underwent knee surgery and will not play against Penn State. True freshman Jacques McClendon or Ramon Foster would take his place. UT will resume practice Saturday afternoon after taking last week off.

Drew Edwards covers University of Tennessee football. He may be reached at 865-342-6274.