Depends on what the school's priorities are in this matter. Are they strong on their policy or are they more concerned with PR? It sounded like the school isn't going to fire him. If they did, you're looking at a lawsuit that the school would ultimately win, but would have to waste time with it. more national media coverage painting you as a villain, and tons of complaints. If you don't fire him, you're seen as soft and weak for succumbing to the media and outside influence, but the news goes away and there wouldn't be any lawsuits. If anything, a few people complaining about it.
if I were with the school, I'd let him finish the season, but keep reminding him that if he keeps this up that he'll probably lose his position at the end of the season.