0 Members and 1 Guest are viewing this topic.
CI Pujols, Albert, $27.5m (2015)(2013 - 75%): 20.625 ~ $20.5M(2014 - 50%): 13.75 ~ $14.0M(2015 - 25%): 6.875 ~ $7.0MTotal to buy him out entirely in 2013 is $41.5M, minus the $27.5M he's already being paid. That leaves another $14.0M to cover everything. Brewers currently have $9.5M available, requiring another $4.5M.SP Blanton, Joe, $3.5m (2015)(2013 - 75%): 2.625 ~ $2.5M(2014 - 50%): 1.75 ~ $2.0M(2015 - 25%): 0.875 ~ $1.0MSavings in 2013: $1.0MSP Happ, J.A, $2.5m (2015)(2013 - 75%): 1.875 ~ $2.0M(2014 - 50%): 1.25 ~ $1.5M(2015 - 25%): 0.625 ~ $0.5MSavings in 2013: $0.5MMI Tejeda, Ruben, $0.5m (P-2013)P Ortiz, Joe, $0.5m (P-n/a)If I've done this correctly, that leaves $1.0M as a cap hit for each of 2014 and 2015 ($2.0M still unpaid on Pujols' contract) and zero cap space.To make room for EDR draftees, we promote to 40-man roster:OF Choice, Michael, $0.5m (P-n/a)SP Zimmer, Kyle, $0.5m (P-n/a)And additionally cut from 40-man roster to make the cap room:OF Martinez, Fernando, $0.5m (P-2015)OF Taylor, Michael, $0.5m (P-2015)Cut from EDR:SP Lovegrove, Kieran, $0.5m (P-n/a)
Unfortunately, I don't think this correct:CI Pujols, Albert, $27.5m (2015)(2013 - 75%): 20.625 ~ $20.5M(2014 - 50%): 13.75 ~ $14.0M(2015 - 25%): 6.875 ~ $7.0MTotal to buy him out entirely in 2013 is $41.5M, minus the $27.5M he's already being paid. That leaves another $14.0M to cover everything. Brewers currently have $9.5M available, requiring another $4.5M.*******************************************************************I have bought out some contracts during my time in FGM and, according to the rules, a GM must must add the total of the remaining years on the contract and multiply that total by 1.1%. For Albert Pujols that means $27.5 x 3 = $82.5 x 1.1 = $91.0m ($90.75). We do not get the benefit of dropping a player (90%, 60%, 30% or 75%, 50%, 25%) and then paying off that amount. We must pay the full amount of the contract.I asked for an interpretation in August of 2012 when Roy was the FGM Commish. He sent me a PM with the ruling I just described. I cannot access this link, but someone with moderator rights maybe able to do so:"My decision can be found in the following post":http://www.profsl.com/smf/index.php?action=post;msg=370169;topic=67744.0Roy sent this to Colby, PaulS and me.
Can we finally update the language in the rules to indicate this more clearly.
I feel like a politico who is quoting a portion of a candidates speech from the past, but when I attempted to buy out Ronnie Paulino's contract in the same manner the Brewers are buying out the Albert Pujols contract I was rebuffed by our current Commish. If you read through the thread I referred to, you will see that I did not get to release Paulino and then buyout the cap hits.In that thread, our current Commish said I could not do so in the following post:"Re: Giants Contract Buyout« Reply #3 on: August 07, 2012, 02:48:42 PM »QuoteQuote from: ProFSL on August 07, 2012, 02:37:41 PM$1.5m (2013) is cut first at 75/50% which is $1.125m and $750k, which totals $1.875m, multiply that by 1.1 and you have $2.063m which rounds up to $2.5mYou can't cut the player and take the 75% and 50% cap hits and then buyout the contract. You either release the player or buyout the contract. (My highlights)Contract BuyoutMoney owed to a player released under contract may be financed through a contract buyout. This can be done by adding up the total remaining contract amount, multiplying it by 1.1 rounded up to the nearest $500k. This amount may be divided up any way you choose as long as the number of years is not more than what it was before AND that no salary owed in any year is more than an amount in a prior year. I will use some current examples to highlight the effects of the buyout and its 10% tax.****************************************************************** So, instead of this:C Paulino, Ronny, $1.5m (2013)Salary obligation for 2012 & 2013 = $1.0mContract buyout: $2.0m x 1.1 = $2.2m, rounded up to $2.5mI had to do this:Buyout:C Ronny Paulino, $3.5m (2012)Current 2012 contract $1.5m + 2013 contract $1.5m + 1.1% fee $0.5m = $3.5m******************************************************************I was given two options:1. Release the player 2. Release the player + buyout the contractI chose Option 2 and had to buy out the two remaining years on Paulino's contract + the 1.1% tax with no release discount. Granted, there was only a $1.0m difference, but the rule application was clear. The Pujols interpretation was exactly what Colby said should happen, but that option was overruled and the Commish, rcankosy, and fully supported by our current Commish. What happened to consistency? How is it now that the rule is changed, particularly after our current Commish said I could not do the very same thing he is allowing the Brewers to do? Contrary to a previous post, we have not been over and over this. I made reference to this ruling earlier in the season when a GM bought the contract of a player who signed with a team overseas. He bought out the remaining years of the contract and multiplied by 1.1%. I did not see anyone questioning it then. Now we have a significantly larger contract and now we see the rules changed. I'll have to go by what the Commish rules, but it certainly seems contrary to the rules as previously enforced.
The spirit of the rule was to condense all of a released player's liability into the current year. When has it been said that a player could only be bought out if they were released in a prior cap year? The language of the rules likely needs to be updated, but I see no problem with allowing a current drop to be turned into a buy-out. The GM has to pay much more just to buy-out the player and reduce future liability which is the pro and con to the clause.
The rules do not specifically state that you can not release a player and then subsequently buyout his contract. Therefore, I will allow it. You have 2 options at this point.1. Release the player 2. Release the player + buyout the contractLet us know which option you are choosing, so we can treat the transaction accordingly.
$1.5m (2013) is cut first at 75/50% which is $1.125m and $750k, which totals $1.875m, multiply that by 1.1 and you have $2.063m which rounds up to $2.5m
a release would give you cap hits in 2013 and 2014. The buyout is used to consolidate future cap hits to one lump sum that would be paid this year. To do this you have to pay a premium (10% buyout fee) to consolidate the cap to the present year and relieve yourself of future cap hits. In your example instead of taking the 2.5M 2013 and 2.0M 2014 cap hits you could use the buyout (and 10% fee) and pay 5.0M this year to free yourself off the 2.0M 2014 cap hit.2.5M 2013 and 2.0M 2014 cap hits or5.0M 2013 cap hit
Contrary to a previous post, we have not been over and over this. I made reference to this ruling earlier in the season when a GM bought the contract of a player who signed with a team overseas. He bought out the remaining years of the contract and multiplied by 1.1%. I did not see anyone questioning it then. Now we have a significantly larger contract and now we see the rules changed.