I see where you're coming from, but I disagree.
I am bloodlusting. With every terrible thing I hear as part of USC's punishment, comes an evil cackle from me. I want MORE! After all the anguish they put me through from about 2002-2006, where ESPN couldn't get the Trojan's cock out of their mouths. From beating us twice when they shouldn't have (no one to blame there but our selves), to stealing the 04 championship from us, and the 04 Heisman from Cadillac (possibly), to all the fucking talk about how they could beat any NFL team and how they were the greatest college football team of all time, when I believe with all my heart that we were better than them in their "greatest of great years".
Punishing Carrol and Bush on top of everything else? I can deal with that. All though, Reggie's a Saint now, so I've learned to forgive him.
The main reason I'm ok with them raking the University over the coals, is that it actually serves as a deterrent from letting this happen again. If Carrol and Bush aren't going to feel even a million dollars stripped out of their account. It's not going to change recruiting practices in the future. This will make schools (I'm looking at Tuscaloosa), try to play by the rules, or fear getting royally fucked.
But you're letting your emotions dictate your judgment. My point is that if the NCAA truly wants to punish a school for infractions, punish those involved. It's impossible to do anything substantial to Carroll and Bush. Therefore, you hit the school where it really hurts - the long term employees of that school.
If Mike Garrett couldn't keep track of agents, coaches, and players breaking the rules, then he should be banned for life. If his secretary processed any paperwork or sent any emails or whatever, she should be banned for life.
If it's a booster problem or other recruiting problem, you make all recruiting go through the NCAA. It's not like they don't have the money to send a small task force to live in L.A. for a few years.
If they cheated in order to ensure success on the field and in their pocket books, take the money back. All of it. Bankrupt their athletic department or make the boosters feel the pain of the punishment where it really hurts.
And I don't think this deters anyone from cheating. Alabama was hammered for cheating and just a few years later, USC gets hammered. They obviously didn't care about the NCAA flexing nuts in 2002.