Without seeing the contract, it is impossible to know for certain. I imagine the conference as well as the schools have responsibilities under the agreement, which could potentially come into play. For instance, if cancelling a season provides a termination option for any of the parties, that could be relevant. Also, if there are requirements/procedures for cancelling a season that were not followed to the letter of the contract, that may itself qualify as a breach of contract, thus allowing the schools to walk without penalty.
Also, drafting a liquidated damages provision isn't overly challenging, but actually enforcing one can be. There needs to be a logically defensible basis between the liquidated damages sought and the damages flowing from the contract. Otherwise, it won't be enforced. Which, again, will depend on that actual contract language.