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Author Topic: Some thoughts for the RC - and rest of the league  (Read 6151 times)

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Offline rcankosy

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Re: Some thoughts for the RC - and rest of the league
« Reply #50 on: September 12, 2012, 04:45:15 PM »
Colby,

Could you please provide a re-fresher course on how team salary caps are computed?  I too am curious when my own team's cap will be re-calculated and how it will be done.   
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Offline Colby

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Re: Some thoughts for the RC - and rest of the league
« Reply #51 on: September 12, 2012, 04:54:00 PM »
Quote from: rcankosy on September 12, 2012, 04:45:15 PM
Colby,

Could you please provide a re-fresher course on how team salary caps are computed?  I too am curious when my own team's cap will be re-calculated and how it will be done.   

You can just send me the spreadsheet (or Howe or whoever has it) and I will update the info.  Essentially, if the A's win the World Series then the highest payroll in real-life 2012 MLB will be applied to their future caps (two years out, and used for three years).  There is a stipulation that prevents volatile cap swings of more than 20%, so that is regressed against the current caps.
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Offline rcankosy

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Re: Some thoughts for the RC - and rest of the league
« Reply #52 on: September 12, 2012, 05:33:46 PM »
Quote from: ProFSL on September 12, 2012, 04:54:00 PM
You can just send me the spreadsheet (or Howe or whoever has it) and I will update the info.  Essentially, if the A's win the World Series then the highest payroll in real-life 2012 MLB will be applied to their future caps (two years out, and used for three years).  There is a stipulation that prevents volatile cap swings of more than 20%, so that is regressed against the current caps.

What do you mean by the "highest payroll in real-life 2012 MLB"?  I did not think there was a correlation between our teams and MLB teams.  Perhaps, that is what confused Dan Wood as well.
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Re: Some thoughts for the RC - and rest of the league
« Reply #53 on: September 12, 2012, 06:09:34 PM »
Quote from: rcankosy on September 12, 2012, 05:33:46 PM
What do you mean by the "highest payroll in real-life 2012 MLB"?  I did not think there was a correlation between our teams and MLB teams.  Perhaps, that is what confused Dan Wood as well.

From the chat
rcankosy: we need the layman's explanation for all this
Delete Today at 04:51:05 PM
rcankosy: I'm afraid no more than 5 people may understand all this
Delete Today at 04:51:27 PM
shooter47: Haven't the orioles come pretty close to bottoming out their cap...if you finish 30th every year the only fluctuation in the cap would be what the lowest team in the majors has spent?
Delete Today at 04:51:59 PM
shooter47: I understand the cap system...its not that bad
Delete Today at 04:52:10 PM
ProFSL: there is no layman's explanation other than this... you win, and your caps two years out will increase a bit
Delete Today at 04:52:25 PM
ProFSL: sound logic was developed to put it together, it doesn't replicate revenue sharing or ownership, but it is a great cap adjustment formula
Delete Today at 04:53:02 PM
rcankosy: the logic is sound
Delete Today at 04:53:46 PM
rcankosy: the effect are not predicatble (at least not to me)
Delete Today at 04:54:01 PM
rcankosy: asked another way
Delete Today at 04:56:38 PM
rcankosy: how many years of winning the WS would it take for the As to "inherit" the Yanks' real life MLB payroll?
Delete Today at 04:57:12 PM
rcankosy: 5, 10, 25 years?
Delete Today at 04:57:23 PM
rcankosy: ever?
Delete Today at 04:57:26 PM
shooter47: a long time...
Delete Today at 04:57:45 PM
rcankosy: understood
Delete Today at 04:58:22 PM
rcankosy: define long time
Delete Today at 04:58:26 PM
ProFSL: a long time
Delete Today at 04:58:40 PM
rcankosy: if it's more than 5 years, something is wrong
Delete Today at 04:58:45 PM
ProFSL: I can break out a spreadsheet for this one
Delete Today at 04:58:55 PM
rcankosy: we should not be wed to our real life counter-parts for that long
Delete Today at 04:59:02 PM
ProFSL: cap is at $81m, and say the highest payroll + $20m is $230m
Delete Today at 04:59:06 PM
rcankosy: that defeats the premise of winning
Delete Today at 04:59:14 PM
shooter47: It's designed to make the changes to the salary cap smoother and not raise or fall by huge amounts
Delete Today at 05:00:23 PM
rcankosy: I know we capped it at 20M per season
Delete Today at 05:01:00 PM
rcankosy: I mean 20%
Delete Today at 05:01:10 PM
ProFSL: got the answer...
Delete Today at 05:01:38 PM
ProFSL: if they win world series every year
Delete Today at 05:02:31 PM
ProFSL: their caps for 2012/13 are set
Delete Today at 05:02:38 PM
ProFSL: 2014 is at $90.5m right now
Delete Today at 05:02:46 PM
ProFSL: but looks like it will go to $102m
Delete Today at 05:02:52 PM
ProFSL: In 2017, it will be $148.6m
Delete Today at 05:03:07 PM
ProFSL: In 2019, it is no longer affected by the 20/20 smoothing adjustment and the cap is $184.0m
Delete Today at 05:03:42 PM
rcankosy: wow
Delete Today at 05:04:33 PM
ProFSL: 2020-2024, $195.5m, $204.1m, $210.6m, $215.4m, $219.1m
Delete Today at 05:04:37 PM
ProFSL: the increases slow down since they are so close to the top
Delete Today at 05:04:46 PM
rcankosy: effectively, they would become the Yankees if they continue to win
Delete Today at 05:05:09 PM
ProFSL: note that if all of a sudden they start losing big time, worst in the league, that there will still be two years in which their caps would increase based on the past
Delete Today at 05:05:19 PM
ProFSL: Of course... but it doesn't happen overnight, it takes up to a decade of dominance for a small market team to turn into the Yankees
Delete Today at 05:05:52 PM
shooter47: eventually yeah...this is assuming that the spending in MLB baseball stays similar to what it currently is.
Delete Today at 05:05:58 PM
ProFSL: also, those #'s aren't set
Delete Today at 05:06:03 PM
ProFSL: they are assumptions based on the $230m figure
Delete Today at 05:06:12 PM
ProFSL: MLB inflation will drive these numbers higher
Delete Today at 05:06:19 PM
ProFSL: and affect our market prices for players
Delete Today at 05:06:24 PM
ProFSL: We thought about all of this when the rules were developed
Delete Today at 05:06:32 PM
rcankosy: gotcha
Delete Today at 05:06:32 PM
ProFSL: As opposed to a simple layman's way which will turn the A's into the Yankees within a few years
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