Zero2Cool
15 years ago
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Today marks an important day in the business of the NFL, made even more important by the events surrounding it. Let me explain.

Monday after Week 10

The Monday following the 10th week of the NFL season is the deadline for extensions with players that charge money to a teams 2009 cap without proration into future years. Teams can still extend player contracts through the final Saturday of the regular season, however, those extensions will treat any additional 2009 signing bonus monies as prorated through the length of the contract.

For example, in the event a team wants to give a player $10 million in bonus money to extend his expiring contract four more years, it can if it wishes have that entire $10M contained in 2009 rather than prorated out and added to future year cap charges. It can do that only if a contract is completed and submitted by 4 p.m. EST today. A team, however, can continue to add Paragraph 5 amounts (salary) through the rest of the season and have it count only in 2009.

Were that same deal submitted after today, the $10M would be prorated over the five years of the deal, with only $2M of the bonus counting in 2009 and an additional $2M counting in each of the next four years. In any other year besides this one, were that same deal submitted after today, the $10 million would be prorated over the five years of the deal, with only $2 million of the bonus counting in each of the next four years. However, with the uncapped year looming next year, all extensions adding salary to this year will be treated as 2009 Cap charges, rather than being prorated.

[img_r]http://cdn.cloudfiles.mosso.com/c117812/media_center/images/rendered/blog/wysiwyg/1dd.jpg[/img_r]Thus, a team with $15M of cap room remaining for 2009 can soak up most of that available room which is use it or lose it by consummating a deal such as the one above. In my time with the Packers, we completed these Week 10 deals with players such as Donald Driver, Nick Barnett, Mark Tauscher, Scott Wells and Donald Lee over the years. This is especially valuable for teams that are sitting on large amounts of cap room Green Bay, Cleveland, Tampa Bay, etc.

Use it or lose it

The use of cap room by NFL teams is more important than ever, both for today and the next seven weeks. With each passing day toward March, the likelihood of a new Collective Bargaining Agreement (CBA) and continued operation of the salary cap lessens. So NFL teams have to prepare as if there will be no cap in 2010.

The prospect of no cap means there are no allowable transfers of 2009 available cap room to 2010. In a typical year, teams with tens of millions of dollars of existing cap room would typically use maneuvers to bring forward cap room into the subsequent year.

For example, entering the 2009 league year, although the designated salary cap for NFL teams was $123 million, there were teams approaching $150M as their adjusted cap figure their cap room after the addition of the rolled-over room from 2009. This is a technique that allowed teams such as Tampa Bay, Philadelphia, Kansas City, Green Bay and others to enter the 2009 league year with close to or over $40M of available cap room (Tampa Bay had close to $50M).

The silly incentive trick

The cap rollover exercise is typically achieved by renegotiating an expiring player contract by adding an LTBE (likely to be earned) incentive that has no way of being earned yet will serve the purpose of eating up cap room in the present that will be credited in the future.

[img_r]http://cdn.cloudfiles.mosso.com/c117812/media_center/images/rendered/blog/wysiwyg/Nall.jpg[/img_r]For example, for several years in Green Bay, I would negotiate with our third-string quarterback the week of the last game that if he completed seven touchdown passes and blocked five punts, he would receive a $5M bonus. The insertion of the incentive would eat up the teams cap room and end up as a credit toward the following years adjusted cap. I negotiated that deal one year with our third-string quarterback, Craig Nall, prior to a game against the Bears which turned out to be meaningless. Nall came in in the second half and threw two touchdown passes. If he threw a third and fourth, I was going to go down to the sideline and pull him out of the game myself!

That tactic is not available this year. Because this is the YBTUY (year before the uncapped year), the rules prevent any phony incentive rollover maneuvers. The rules also prevent any dumping of cap room at all into 2010 since with no cap to account for, there are no defined accounting procedures at all for 2010.

Will anything happen?

So the question becomes: Will there be any or many extensions today? The answer is likely few, if any. With so much uncertainty, not only about whether there will be a cap, the bigger question is who will be a free agent in 2010. Without a cap, six rather than four years of service will be required to reach that status, robbing some 230 players of the free agency they had been looking forward to.

With the increasing likelihood that these 230 players will be restricted, rather than unrestricted free agents in 2010, teams will likely be more cautious in their efforts to extend players today and through the rest of the season.

Lock-In to a CBA?

With these 230 players facing so much uncertainty and the possibility that teams will roll back spending without a cap-spending minimum in 2010, there becomes increasing pressure on new NFL Players Association executive director DeMaurice Smith to work out a deal with the league.

Not that Smith isnt trying. He has suggested a lock-in in January or February if theres no deal, locking his negotiating team in a room with the NFL for as long as it takes to get a deal done. That request has been met with deafening silence from the NFL.

Who wants a salary cap?

The clear, although silent, message from the NFL is that the league and the teams are not only unafraid of an uncapped year in 2010, but may even embrace it as a way to recover from debt and get their expenses under control. This isnt a message the union wants to hear.

Thus, we are in this bizarre labor negotiation in football that has the following backward-looking appearance:

The NFL appears to want to play 2010 without a salary cap; the NFLPA appears to want to play 2010 with a salary cap.

Well be following this closely. In the meantime, well watch to see what if any deals get done today, the last cap deadline day for a year or two, or more.



lol good stuff
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Zero2Cool (1-May) : Packers did not activate the fifth-year options for linebacker Quay Walker, with the goal of signing him to a contract extension.
Zero2Cool (1-May) : Matthew Golden spoke with Randall Cobb before draft. Looked like chance encounter.
packerfanoutwest (1-May) : from a head left turn?
packerfanoutwest (1-May) : someone drunk?
Zero2Cool (1-May) : Unlikely.
dfosterf (30-Apr) : How long until Jeff Sperbeck's family sues John Elway ?
Zero2Cool (30-Apr) : Packers are exercising the fifth-year option on DT Devonte Wyatt, locking in a guaranteed $12.9M for the 2026 season.
beast (30-Apr) : Sounds like P Luke Elzinga has a rookie try out opportunity from the Titans
dfosterf (30-Apr) : Luke Elzinga Punter Oklahoma stil unsigned. Green Bay has been mentioned as good fit
beast (30-Apr) : The Packers re-signed three exclusive rights free agents WR Melton, P Whelan and RB Wilson.
Zero2Cool (29-Apr) : February 5, 2002 (age 23) ok no. packers.com is wrong
Zero2Cool (29-Apr) : Micah Robinson is only 19??
Zero2Cool (29-Apr) : 6 first rounders on Packers defense now
Zero2Cool (29-Apr) : LB Isaiah Simmons. Signed. Called it!!! Oh yeah!
Martha Careful (29-Apr) : ty bboystyle...fat fingers
bboystyle (29-Apr) : Tom*
Martha Careful (28-Apr) : RIP Packer Safety Tim Brown
beast (27-Apr) : Yeah, but also some of the wording suggestions Jax only pranked called the QB, not the others... and if he had an open spreadsheet & 3 calls
beast (27-Apr) : Thank goodness he's not leaving the Turtle in the Red Tide
Mucky Tundra (27-Apr) : Cowboys 1st round pick Tyler Booker will indeed be bringing his pet turtle to Dallas with him
Mucky Tundra (27-Apr) : that contained all prospects info and contact
Mucky Tundra (27-Apr) : beast, according the Falcons statement Jax came across it on an ipad. If I had to guess, probably an open spread sheet or something
Zero2Cool (27-Apr) : Simmons put up an emoji with cheese.
beast (27-Apr) : Not sure anyone is interested in Isaiah Simmons... Collin Oliver might of taken his potential slot
beast (27-Apr) : I'm going with Jax Ulbrich is not telling the whole truth... he accidentally came across it? Why would a defensive coordinator have a QB #?
Zero2Cool (27-Apr) : He's not that great, but final piece of the script.\
Zero2Cool (27-Apr) : If we add Isaiah Simmons, book your Super Bowl tickets
Mucky Tundra (27-Apr) : Colts 1st round TE Tyler Warren also got prank called, was that Jax Ulbrich as well?
Zero2Cool (27-Apr) : Jax Ulbrich, Jeff Ulbrich’s son, released an apology for his role in the Shedeur Sanders prank call.
Martha Careful (27-Apr) : apparently he did not participate in practice or play on the east west shrine game nor the NFL combine. The kid was a mediocre spoiled brat
Mucky Tundra (27-Apr) : Yeah that one that was a super wounded duck that Sanders supporters are highlighting to prove a point
Zero2Cool (27-Apr) : Shough is the guy who missed guys at combine isn't he?
beast (27-Apr) : It's not official until I'm dead! I have a chance still! (Not really)
Mucky Tundra (27-Apr) : I could feel my body decomposing in real time when I read that
Mucky Tundra (27-Apr) : @MIKEYSAINRISTIL Tyler Shough will officially be the last person drafted to the NFL born in the 1900’s
Mucky Tundra (26-Apr) : saw the tweet, he meant the city
Mucky Tundra (26-Apr) : Was that for the team or the city?
Zero2Cool (26-Apr) : Adam Schefter @AdamSchefter · 3m Draft grade is in: Green Bay gets an A. The people, the city, the venue were all superb. NFL Draft’s next
Zero2Cool (26-Apr) : Matt LaFleur says Jaire Alexander is participating in #Packers offseason program, which has been conducted virtually during this first week
Zero2Cool (26-Apr) : ✅ ...
buckeyepackfan (26-Apr) : Check
Zero2Cool (26-Apr) : Matthew Golden cahanged 81 to 22??
TheKanataThrilla (26-Apr) : Sam Howell to Vikings...guess no Aaron
Martha Careful (26-Apr) : 1 round 7 min, with one extra minute if there is a trade. 2nd round 4 minutes, 3rd -3, 2 thereafter IMO
Martha Careful (26-Apr) : Agree
dfosterf (26-Apr) : Great idea imo
dfosterf (26-Apr) : 1st round to 7 minutes with one extension
dfosterf (26-Apr) : NFL comissioner wants to shorten the 2st
Mucky Tundra (26-Apr) : @jalenreagors They’re discussing if Sheduer can go back to college on NFL Network LMFAOOOOO
beast (26-Apr) : Great point Martha
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