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Teams should be able to extend all of their free agents. The installment of a Rule 5 Draft would help maintain parity and still keep the strategic element while balancing the amount of trades lost by the prevention of draft pick trading. A players new salary should be able to be lower than the previous year. Owners should be allowed to extend all players despite their percentile rank to allow for multiple injuries and the projection of up and coming players.
We could update extensions and have an "extension floor". We could use the average MLB salary for the prior year (2018 was $4,095,686). We can tie player percentile to pay within Armchair for extensions. I think the Type A and B free agents allow teams to recoup a little for top players leaving. A compensatory round would be added just like MLB.To Shane's point, we should have a scale to where the $$$ amount gives you options on years; for example, a minimum contract of $500K should only be allowed for 1 yr while say $10M+ is 3-5yrs or $17M is no less than 5yrs on renewal.Brent's idea of resigning a declining player for less is good but I'd up the percentage some to say 75 or 80%.I think we should also look at buyouts. I still think full contract should be paid, but it should be able to be rolled into one year contract that hits the cap the same year. For instance, Pujols has 3y $30M remaining and retires. The team can buy him out 1y 30M instead of hurting future caps. In the event the team can't, the following season it could pay 1y $20M (because they already paid $10m in 2018). It allows the player to still get paid, the team to still get hit, and the benefits of freeing future cap.