Athletic Director Bob Stull said Floyd is returning to lead the program he was once an integral part of as an assistant coach to Don Haskins from 1978 to 1986.
"We are very pleased that Tim is coming back to UTEP," Stull said. "He is an outstanding coach and recruiter, and is well-connected in the El Paso community from his days as an assistant to the legendary coach Don Haskins."
"I was not misquoted when (I) said I did not want to replace Coach Haskins," Floyd said. "I think there's been enough time that has passed (since Haskins was head coach), and I'm at a different point in my life. I wish he was still around, but it feels absolutely perfect right now."
Floyd has been working with the NBA's New Orleans Hornets after spending the previous four seasons as head coach at Southern California.
He abruptly quit USC in June after allegations of recruiting violations surfaced.