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  1. #1
    Welker83's Avatar
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    FA reality check: 2006 rules...

    A lot of thought has been going around recently concerning the signing of Free agents. As this is the dead part of the season its normal, but what will not be normal is when march 3rd comes around very few players will be signed.

    Everyone has heard about the CBA, and some are split on whether we should have a cap or not...I'm not trying to get into that. What i will try to tell you is the reality of how hard it will be to sign anybody....

    If the CBA is not extended then all NFL clubs must abide by these rules until an agreement is met...
    1. Signing bonuses can only be spread over 4 years . Now this may seem minor, but think about it for a second. Before if a player signed a 6 year deal with 15 mil guaranteed then the Signing bonus would count 2.5 mil a year. 2.5 plus his salary would make the cap number. But if you tried to do the same contract now the SB will be spread over the first 4 years. Meaning 3.75 mil a year. Then 3.75 plus the salry is the cap number. The end result is that the same contract eats up an extra 1.25 million dollars a year...That means your team cant use that money to get another player....
    2. Incentives are guaranteed Before there were 2 types of incentives. Likely to be earned, and unlikely to be earned. LTBE incentives count against the cap for the current year, at the end of the year if they are not met the club receives extra cap room in the amount of the incentive. NLTBE incentives do not count against the cap unless they are triggered.... At least thats how it used to be... Now all incentives are guaranteed and are part of the players cap number. So that 6 year 15 mill contract had a million dollar superbowl incentive. It is considered nltbe casue the rams were not in the SB. So now that 1 mil will count on that cap number bringing it up to 4.75 million, plus the players salary....


    Wow...this sucks...well it gets worse.

    3. 30% rule Contracts must abide by the 30% increase rule. Formerly it just applied to salaries..but now all guaranteed money is included...like incentives, and bonuses...Thus you cant put big bonuses in contracts cause they will increase the value more than 30% from one year to the next...Will ths ever end....Nope!

    4. No June 1st rule Previously if you cut a vet their contract "accelerates" and you are charged what is left from their signing bonus. Previously you could help yourself by cutting them after june 1st. Then you had the option of spreading the bonus over 2 years instead of 1. This gave teams that extra room they needed to finish off all their contracts....Well that rule no longer applies....All signing bonuses will now be accelerated to the current year with no exceptions...

    So its hard enough to sign somebody, but now you cant cut people to afford them....WHEN WILL IT END!!!!

    5. 2 FA seasons? Players and clubs will become hesitant because of all these new rules. If a player signs early its possible that if the CBA gets extended they will lose a lot of money cause all these restrictions will no longer apply. Players who wait could gamble and really cash in later. Especially cause a New cba will raise the caps for all teams an additional 5-8 million above the projection of 92 mil...meaning a 15 mil cap increase from last year!!! $$$$$$$$$$$$$$$$$$$$$$$$$$$$
    Thus: Very few big names will sign until the new CBA is put into effect, or signs show that it will not be extended...

    Wow..Ok you can breathe now...Just try to forget that signing a player will incur almost double the cap charge and you will be fine.... Oh no!!! i still remember

    TAGS!!! GENE!!! HURRY UP ALREADY!!!!!

    And it looked like such a good day...

  2. #2
    OldRamsfan's Avatar
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    Re: FA reality check: 2006 rules...

    These are the type of things that will hurt the NFL as we know it ... I have seen it change over the years and it seems to just get worse as time goes on... I do how ever understand what the NFL is trying to do a long with the players , But In my opinion this is a "game" with that said I realize how important this game is to a lot of people around the world as it is to me ( I love it and our RAMS) But the $$$$$$$$$$$$$$$$$$$$$$$$$$ is out of control and as $$$ does change people and other things as well my feeling is let play football...

  3. #3
    Welker83's Avatar
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    Re: FA reality check: 2006 rules...

    The NFL is the Premeir sport in the US!

    The MLB strike opened the door for the NFL to become #1...Any NFL folley will reopen the door for baseball to retake their former position.
    And it looked like such a good day...

  4. #4
    general counsel's Avatar
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    Re: FA reality check: 2006 rules...

    Welker this is a fanastic post and should be required reading for anyone that really wants to consider themselves an expert on the nfl. Like it or dont like it, these rules have a material impact on what is prudent for the teams to do, which players to sign, for how much and for how long. The rules may change, but as long as they exist, they are critical to any understanding of the relative value of talent and the allocation of cap dollars.

    ramming speed to all

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  5. #5
    bruce_wannabe Guest

    Re: FA reality check: 2006 rules...

    these new rules on the salary cap will kill this offseason or at least prolong it... iwas looking forward for march 3rd so i can see who the rams are looking at but i guess not now

  6. #6
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    Re: FA reality check: 2006 rules...

    All this CAP and CBA stuff is dizzying!

    That's why I believe the RAMS need to resign Arch and Pickett. If they are going to shy away from signing big FA contracts then they will need to focus on drafting for need instead of the best player available if the situation hasn't changed by then.
    JUST WIN ONE FOR THE FANS


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  7. #7
    Welker83's Avatar
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    Re: FA reality check: 2006 rules...

    Quote Originally Posted by RAMMAN68
    All this CAP and CBA stuff is dizzying!

    That's why I believe the RAMS need to resign Arch and Pickett. If they are going to shy away from signing big FA contracts then they will need to focus on drafting for need instead of the best player available if the situation hasn't changed by then.

    It could work out better to sign them later. If the CBA is extended then many of these rules will not apply, or will become much less strict. The increased flexibility will allow the rams to give your players the most money possible with the smallest cap hit possible. Most clubs and players are taking a wait and see aproach for right now.


    It's important not to sign all these FA's for these SB pushes. In the end you end up just like the JETS, *****, and the Titans. You limit your competativness to a single year, and no matter if you win or lose you have to slash the roster the next year cause you cant get under the cap. Thats just bad football to be good one year and downright horrible the next. Teams like the Pats draft well and build the core of their team with guys they draft. Then they add in those well-priced FA moves to compliment their team, not redo it.

    Take it a step further to the sneakiest team in the league..The Eagles... By using LTBE incentives they will never reach they constantly stockpile cash and push it into the next year. While most teams in the league had a cap limit of 86 mil the eagles cap limit is 92 mil...

    Believe it! Joe banner has been doing this for years. It is very in depth to explain so i'll leave it for a different day...
    And it looked like such a good day...

  8. #8
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    Re: FA reality check: 2006 rules...

    Articles on NFL.com are indicating that Upshaw is telling the agents to prepare for free agency under the assumption that there will be no new agreement. Adam Shefter reports, "The union has a soft deadline of Friday for a new deal, a hard deadline of next Thursday, before Upshaw insists there will be uncapped year in 2007. And then, potentially, a strike in 2008 -- a scenario nobody wants."

    It'll also really pay off to be under the cap right now if that's the case. In the extreme example, I've seen claims that the Redskins would be $4 million over the cap even if they reduced their entire roster's current salaries to the veteran minimum. While we may not be able to make any big signings, some other teams may have to go Texas Chainsaw Massacre on their depth charts just to be able to field a team next year.

    See http://www.nfl.com/nflnetwork/story/9261946, http://www.nfl.com/news/story/9263825 for details.

  9. #9
    RAMMAN68's Avatar
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    Re: FA reality check: 2006 rules...

    It'll also really pay off to be under the cap right now if that's the case. In the extreme example, I've seen claims that the Redskins would be $4 million over the cap even if they reduced their entire roster's current salaries to the veteran minimum. While we may not be able to make any big signings, some other teams may have to go Texas Chainsaw Massacre on their depth charts just to be able to field a team next year.
    Teams like the Jets are already cutting high dollar players and moire teams will be doing the same.

    I really hope they can resign Pickett to a reasonable contract.
    JUST WIN ONE FOR THE FANS


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  10. #10
    general counsel's Avatar
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    Re: FA reality check: 2006 rules...

    To further welkers point, one of the biggest problems in the nfl with spending all that front end money to mortgage the future for any given year is that injuries are both so common and so difficult to predict. The cap prevents teams from stockpiling talent in the backup roles. If you get unlucky injury wise, its almost impossible to win it all. Everyone has injuries, but certain guys are not replaceable.

    ramming speed to all

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  11. #11
    sbramfan is offline Registered User
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    Re: FA reality check: 2006 rules...

    OK, you are all wrong.

    This is the best thing that could happen to the NFL...Here's why:

    The thing that is killing the NFL for fans right now is this 7 year back-loaded contract thing. Everyone knows that none of these players will actually get the salary's they are slated for in the last few years of their deal. This is why Kurt Warner had to go, why Isaac Bruce now will have to restructure or we can't afford him, etc...

    The only thing that will happen is they will scale down these contracts to the 4 year level and will be slightly less back-loaded. (Obviously the 30% increase scale every year, something like 1 million, 2 million, 3 million, 5 million would be more common.)

    Why is this such a problem? If evey team is held to this, then it will balance out. Currently we are giving teams the option to sell away the future, make a run for it, and then cut everyone a few years later. This is terrible. Look at the Titans recently, they were 30 mil over the cap, or whatever, and started selling off all their players.

    The 4 year, 30% rule will create more stability and will keep salaries honest, since the 70 million dollar deals really are going to get restructured anyway. In fact, I just heard that Vick restructured. So why even give him the deal they gave him. If he doesn't restructure, they can't keep him.

  12. #12
    Nick's Avatar
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    Re: FA reality check: 2006 rules...

    Great thread, Welker.
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  13. #13
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    Re: FA reality check: 2006 rules...

    Quote Originally Posted by sbramfan
    OK, you are all wrong.

    This is the best thing that could happen to the NFL...
    I don't have a problem with any one of the rules per se. The problem to me is the overall effect of these changes and the uncertainty about how long they'll be in effect. Perhaps its the fault of the NFL teams, but I suspect that the contracts that are currently on the books were written under the assumption that the same rules would apply this year as have in years past. Even if the overall effect of these changes makes contracts more representative of the money a player can actually expect to get and could therefore be said to be a preferable system, the problem remains that teams will have to make a fairly abrupt transition.

    Even now, their cap guys are uncertain as to what it is going to happen. How can you draw up a contract not knowing what rules it is going to be held to or when those rules might change?

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