Official RC Vote on Clearing Extension Loopholes

[Colby]

Let me clarify: I'd like this to happen:

- No grace period after season
- Ability to extend contract on the expiring year at MV, even if MV < CV
- Any extended player cannot be traded for at least 60 days (in the offseason, first day becomes June 1st)


These are entirely separate from the Rookie Extension contract issue, which my stance is:
- Grace period after season
- Ability to extend at discounted value

The following is another issue:
No team can have salary in future at more than 30% of its cap.

 :iatp:

[rcankosy]

We also agreed to let extensions take place at any time of the existing contract.  The dollars would take effect AFTER the existing contract.  There is no over-writing of existing contracts, just years added to the original contract as long as it fits within the min/max rules.  2 year limit on extending non-prospects who take a pay cut.  All proposed rule changes take place immediately.

Ben, did I miss or misstate anything?

[h4cheng]

We also agreed to let extensions take place at any time of the existing contract.  The dollars would take effect AFTER the existing contract.  There is no over-writing of existing contracts, just years added to the original contract as long as it fits within the min/max rules.  2 year limit on extending non-prospects who take a pay cut.  All proposed rule changes take place immediately.

Ben, did I miss or misstate anything?

I am only ok with this if the option can be exercised only during the last year of a contract.

[rcankosy]

We agreed that it could happen at any time as long as it fell within the min/max rules.  Why only in the last year?

[h4cheng]

under this proposal, if a player is signed to a fresh 5 year deal, then there is an option to extend it for an additional 5 years during years 1? In effect, this would turn a 5 year deal into a 9 year deal...

[rcankosy]

Not at all.  We agreed only as long as the entire contract length does not exceed our max years rule already in place based on salary levels.

[Colby]

Not at all.  We agreed only as long as the entire contract length does not exceed our max years rule already in place based on salary levels.

Correct.  The max terms are for total contract length, so if you have a P-2012 contract and you want to give them a 3-year extension at $4.5m/year then you can as that would be five total years.

[rcankosy]

I'm thinking we might finally almost be done here.  It seems like everyone is basically in agreement in terms of the new rules and the timing of the implementation.

Perhaps, we should make one last stab at summarizing it so the RC can see the finished product.  I still think 30% is too high for rule # 1, but I can live with it for the first year if we agree to set up a sliding scale whereby it eventually goes down to no more than 10-20%.

[Colby]

Bumped this with updated language...

Rule #1 - Future Cap Management inspired by the 2010 Angels: Management of salary caps for not just current year but future six years.  This is something we are doing in New Era and is much more realistic for a franchises' books.  It also prevents GMs from financially ruining future years with cash exchanges.  Future salary caps will have a buffer of 30% but no more than $20m.  For example, if the Pirates’ cap in 2013 is expected to be $62m then the 30% buffer allows the team to have a projected salary based on current contracts of $80.6m in 2013.

This rule has been APPROVED ... but we need to settle on the buffer ...

10% CAP - Roy
DOESN'T CARE - Dan
30% - Ben, Howe, Colby

TIMING – We have a trade deadline looming in seven weeks.  There are several franchises that would be affected by this rule (Pirates, Athletics, Reds, Rockies all come to mind).  I feel like the timing of the introduction of this rule depends solely on rule #3 since the introduction of rule #3 requires a different setup to Official Rosters.  We should allow teams to be over future caps for this season.

Roy, I would rather settle on a definite number for the buffer rather than opening it up for a change down the road.  I updated the language to have it be equal to the 30% of the cap but no more than $20m.


Rule #2 – Signing window for expired prospect contracts: Prospect extensions on expired prospect contracts will be the only type of extensions allowable for expired contracts in the offseason.  Therefore, a P-2011 contract after the 2011 regular season is over is still eligible for the prospect extension.  This window is open until one week prior to the beginning of offseason free agency.

This rule has been APPROVED


Rule #3 – True Extensions: Extensions are being changed, so that they are true contract extensions that take place after the current contract expires. The extension is added on in future years.  For example, a 2011 contract could get a three year extension starting in 2012 and ending in 2014.   We still have minimum and maximum years protecting this new contract status, so the total number of years may not increase more than six (must be increased from five for prospect extensions).

THIS RULE ELIMINATED OVERRIDING CONTRACTS...

This rule has been APPROVED... but we need to decide on one issue with it...

Allow extensions any time OR only in the last year of the contract?

ANY TIME - Roy
LAST YEAR - Colby, Ben, Howe

Rule #4 - Prince Fielder Rule: Contract extensions on expired veteran contracts not be allowed after the regular season ends.  It really isn't feasible to have this for such a realistic league.  This puts more onus on the trade deadline and free agency.  Players signed to an extension cannot be traded for 60 days.

This rule has been APPROVED

Rule #5 – June 1st window: In addition to our 60-day NTC rule, any players signed to extensions and FA contracts in the offseason cannot be traded until June 1st the following year.

This rule has been APPROVED

Rule #6 – Extending players less than MV: Dan's suggestion of allowing to extend players to salaries less than their current, effective after their current contract. 

YAY - Dan, Colby, Roy, Howe
NAY - Jake (abstained), Ben

We need a couple more votes on this.  If you want a player at less than MV then compete for them in FA.  Most veteran players in MLB will see what there is out there for them in FA.

[h4cheng]

on #3, my vote is for only allowing in the last year of a deal. In real life, no player coming off a down year would ever sign a new deal to replace the current deal which is paying him more.