This is bunk. I hate when people say that.
Below are all games off byes in the Ferentz era...
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Ferentz is 10-12 coming off byes since 1999. 4 of those losses are against Ohio State which are games the Hawks will NEVER be favored in, whatsoever. So as far as that goes, you can throw those out of your argument because they're L's no matter what time of the season they happen. Two of those losses are against ranked Penn State teams, which, bye or not, Iowa would not be favored in. I also have a helluva hard time holding 1999 and 2000 against him because he was a brand new coach in a program that was totally floundering. What did you expect to happen those 2 years? Be honest.
Iowa has also beaten OSU and Penn State once each coming off a bye as well.
So...if you're going to say that Ferentz has definitively sucked historically coming off a bye, you're going to have to provide some evidence among context as to why.