5th Year Option for 2011 1st Round Picks

[Ben C.]

FYI. I think we'll need to discuss implementing this over the offseason. Basically, 1st round picks from 2011 are ready for teams to decide whether to exercise the 5th year option. Deadline in NFL is May 3 of this season.

http://profootballtalk.nbcsports.com/20 ... ore-may-3/

[Goodell]

FYI. I think we'll need to discuss implementing this over the offseason. Basically, 1st round picks from 2011 are ready for teams to decide whether to exercise the 5th year option. Deadline in NFL is May 3 of this season.

http://profootballtalk.nbcsports.com/20 ... ore-may-3/

I'll have to take a close look, but the way we set it up originally I believe was configuring their deals where their SB guaranteed money would expire in the 4th year leaving just the 5th year as an unguaranteed large salary and it would be up to the team whether to keep the player on for that big salary or cut them -- essentially making it an option for them where no salary cap hit with no more guaranteed money in that 5th option year so we we wouldn't have to have any additional programming tools for that but essentially still approximating that same option for teams.

[JonC]

Will that set up have a negative effect on signing those players to an LTC at the end of their rookie deal?

The way the LTC process is currently negotiated, I believe, is the average of the top 10 comparable players at that position OR 120% of the previous year's salary, whichever is higher.

It seems to me that giving those players an inflated salary in their last year could severely hamper a teams ability to sign that player to an extension.

[tino38]

Will that set up have a negative effect on signing those players to an LTC at the end of their rookie deal?

The way the LTC process is currently negotiated, I believe, is the average of the top 10 comparable players at that position OR 120% of the previous year's salary, whichever is higher.

It seems to me that giving those players an inflated salary in their last year could severely hamper a teams ability to sign that player to an extension.

The LTC is figured by your players overall grade +2 and it then takes the 10 highest contracts from that highest possible grade all the way down to 0 overall and takes the average and then the % increase. I do not think that if you decide to keep the player under the option and then LTC him that it would make much of a difference with the averaging of the contracts. But can also LTC that player before his option year salary comes due since we are allowed to LTC a player 1 year before he hits free agency.

[JonC]

Thanks for the clarification.

I understand the purpose of 1 LTC per year is to promote roster turnover, but is there no concern that artificially inflated LTCs (final year of a rookie deal as a non-guaranteed large cap number could absolutely do this) will drive up salaries over time more-so than normal inflation?

[Goodell]

Thanks for the clarification.

I understand the purpose of 1 LTC per year is to promote roster turnover, but is there no concern that artificially inflated LTCs (final year of a rookie deal as a non-guaranteed large cap number could absolutely do this) will drive up salaries over time more-so than normal inflation?

If a player is WORTH that large salary, you'd think he'd be kept on a team at that large salary but (in theory) if he's NOT worth that kind of salary he'll likely be cut -- which is similar to a team not picking up an option for the player at a high unguaranteed salary.

Some teams may make bad decisions there in the view of other GMs, just like some GMs may over-pay other players. There are always going to be cases of over-pays, but in reality agents are always going to take advantage of markets where similar players are getting more money for whatever reason when pushing their player's interests.

Many of these players who have that big last year salary should be cut if they aren't worth that salary. When they are cut, they wouldn't factor into the other player LTC calculations as they wouldn't be on our rosters at that salary once they're cut.

[Ulrich82]

I have two questions about this.

1.) In the NFL, teams have decide this off season about those fifth year options for 2015. This would seem to imply to me that if the club executes the option, that fifth year must be guaranteed. Don't we need a similar mechanism?

2.) What happens to a players FA rights if a team declines the fifth year. Under the cut system mentioned above, the player would be a UFA with no extra bidding rights for the original team. Maybe some feel that is the right way to go. Personally, I think a team should keep their unlimited bidding rights if they don't execute the fifth year option. My reasoning is that I think the fifth year salaey is in the franchise tag ballpark. There are probably several valuable first round picks who still don't merit that kind of salary. In the NFL, a club may choose not to extend the fifth year but they would likely retain the home team benefits if they tried to extend the contract on more favorable terms.

[Jared A]

I just want to say that artificially high salaries should not be figured into LTC's.


Example: The Falcons and Packers have former 1st round DE's that are rated 85. They aren't going to pick up that last year on the contract, but they're going to hold onto them as long as possible to try and trade him. With no cap penalty, they can technically wait until week 1.

The Cardinals have an 85 DE that is a vet, and they would like to LTC. If they LTC him, the fake averages will screw this team. Even though those contracts will never actually occur.

[Onyxgem]

How were these numbers figured? Cause I have a player taken later in the first then top 6 guys and his last year salary is higher???

[Strategist]

I just want to say that artificially high salaries should not be figured into LTC's.


Example: The Falcons and Packers have former 1st round DE's that are rated 85. They aren't going to pick up that last year on the contract, but they're going to hold onto them as long as possible to try and trade him. With no cap penalty, they can technically wait until week 1.

The Cardinals have an 85 DE that is a vet, and they would like to LTC. If they LTC him, the fake averages will screw this team. Even though those contracts will never actually occur.

Well their salary doesn't go high until the 5th year but you have to decided by may of their 3rd year if you are going to exercise that option or not. So I don't think your scenario would affect ltc prices in the way that you think.