Football NFL wants to divert $300 million from first-round contracts

Mr. Laz · 04-13-2011, 02:23 PM

NFL wants to divert $300 million from first-round contracts
Associated Press

Published: April 13, 2011 at 03:24 p.m.
Updated: April 13, 2011 at 03:37 p.m.

NEW YORK -- The NFL's proposal to the players for a rookie compensation system would divert about $300 million a year from first-round draft picks' contracts to veterans and player benefits.

More than $525 million went to first-rounders in guaranteed payments in 2010. So nearly half of that total would wind up as veterans' salary or benefits under the proposal, according to documents obtained by The Associated Press.

The league's offer would free more than $1.2 billion by 2016 and slow the growth rate of guaranteed payments to first-rounders, which the documents show increased by 233 percent since 2000. All contracts for first-round picks would become fixed at five years.

Such quarterback busts as JaMarcus Russell ($32 million), Matt Leinart ($12.9 million), David Carr ($15 million) and Joey Harrington ($13.9 million) received huge guaranteed payments that totaled $367 million in the past 10 drafts.

Draft Do-Overs: 2006

The Cardinals' selection of QB Matt Leinart
at No. 10 is one of many do-overs that NFL
teams would like to have in the 2006 draft,
NFL.com senior analyst Pat Kirwan writes.
More ...

Of course, Eli Manning ($24 million), Philip Rivers ($17.9 million) and Matt Ryan ($34.7 million) have not done too badly for their teams.

Guaranteed money paid to top 10 selections since 2000 reached nearly $2 billion. Guaranteed payments for all first-rounders were at $3.5 billion.

During talks for a new collective bargaining agreement, the league also proposed eliminating holdouts by reducing the maximum allowable salary if a rookie isn't signed when training camp begins. The NFL also suggested eliminating holdouts for all veterans by prohibiting renegotiations of contracts if a player holds out in the preseason.

The compensation system would not include a rookie wage scale and would allow for individual contract negotiations. Contracts would have a fixed length of four years for players chosen in the second through seventh rounds and would not affect salaries for those rounds, the league said.

The league and the NFLPA were not immediately available for comment.
Several agents said the proposals place unfair limitations on players entering the league.

"Five years and reduced pay is basically restricting players," said Ben Dogra, whose clients include Patrick Willis and Sam Bradford. "Roughly 68 percent of the NFL is comprised of players with five years or less of NFL experience.

"Even players from essentially picks 11 to 32 in the first round are good financial deals for the teams. If a player becomes a starter or an integral part of the team under the current system, the NFL teams have the player under a rookie deal that is favorable to the team."

Peter Schaffer, who represents Joshua Cribbs and Hakeem Nicks, called such a system "scouting insurance" for teams making bad selections high in the draft.

"It also makes the rookies more valuable when you reduce the amount you are paying to the young guy," Schaffer said. "This will eliminate the veteran middle class because teams can have younger players who are making less and are under fixed contracts."

A modified salary system for rookies was a negotiating point for a new CBA until talks broke off March 11 and the NFLPA dissolved as a union. The owners locked out the players hours later.

The two sides are scheduled for court-mandated mediation in Minneapolis beginning Thursday.

Copyright 2011 by The Associated Press

The_Doctor10 · 04-13-2011, 02:27 PM

So the average-below average players are out of the league in 2-4 years. This is different how?

If you're an elite player, by the time that contract is up, you'll still be in your prime. You'll get paid for your prime years, as opposed to all these runningbacks who get 20+ million guaranteed for past performance rather than what they're actually capable of at this point.

Mr. Laz · 04-13-2011, 02:47 PM

Quote:

Originally Posted by Unleash_the_Phury

So the average-below average players are out of the league in 2-4 years. This is different how?

If you're an elite player, by the time that contract is up, you'll still be in your prime. You'll get paid for your prime years, as opposed to all these runningbacks who get 20+ million guaranteed for past performance rather than what they're actually capable of at this point.

The key imo is that the money doesn't leave the players ... it is just moved to the veteran players.

notice how the only people this article had to speak against it were agents.

**J Diddy** · 04-13-2011, 06:47 PM

Quote:

Originally Posted by Laz

The key imo is that the money doesn't leave the players ... it is just moved to the veteran players.

notice how the only people this article had to speak against it were agents.

My thoughts exactly. They're pissing their pants. The first round cash cow's going away.

**notorious** · 04-13-2011, 08:43 PM

Quote:

Originally Posted by MotherLover

My thoughts exactly. They're pissing their pants. The first round cash cow's going away.

Easy money. The bar is already set, so negotiating isn't very tough.

keg in kc · 04-13-2011, 02:47 PM

Sounds good to me.

Hog's Gone Fishin · 04-13-2011, 02:57 PM

Some poor guys may only make 5 million

**Bowser** · 04-13-2011, 02:59 PM

Bowser wants the NFL to divert from the bullshit and get business running again.

**notorious** · 04-13-2011, 03:00 PM

I cannot come up with one reason that this is a bad idea.

More money to the proven and less to the unproven.

Just Passin' By · 04-13-2011, 03:02 PM

The players were smart to turn that down. It was bad for both rookies and veterans.

**SAUTO** · 04-13-2011, 03:16 PM

Quote:

Originally Posted by Just Passin' By

The players were smart to turn that down. It was bad for both rookies and veterans.

why do you say that?

Hog's Gone Fishin · 04-13-2011, 03:27 PM

Quote:

Originally Posted by JASONSAUTO

why do you say that?

Because Jamaarcus Russel would have had to put out some effort and may have become a HOF QB but by getting has 32 million he was able to get fat and **** around dragging down another franchise for 5 years.

Mr. Laz · 04-13-2011, 03:29 PM

Quote:

Originally Posted by JASONSAUTO

why do you say that?

do you really need to ask?

countdown until Brock shows up with the "it's all a trick of the evil owners ... go Unions!!" 10 ... 9 ... 8 ...

Brock · 04-13-2011, 03:35 PM

Quote:

Originally Posted by Laz

do you really need to ask?

countdown until Brock shows up with the "it's all a trick of the evil owners ... go Unions!!" 10 ... 9 ... 8 ...

Another expert strawman build. Congrats on that, I guess.

Just Passin' By · 04-13-2011, 04:01 PM

Quote:

Originally Posted by JASONSAUTO

why do you say that?

Two quick examples for each

For Rookies:

Careers average less than one contract in length. Lowering that money lessens their earnings. While not as drastic for the top players because of guarantees and the like, the same concept will apply, and it's just a matter of which year it happens.

Preventing holdouts means the team has more power in the case of a contractual stalemate, and nothing is being gained in return.

For veterans:

Lower rookie deals impact veteran deals, since veterans often peg their deals to what the rookies just got in their contracts

Preventing holdouts (again) means the team has more power in the case of a contractual stalemate, and nothing is being gained in return.

04-13-2011, 02:23 PM	Topic Starter
Mr. Laz Don't Tease Me Join Date: Dec 2000 Location: KS Casino cash: $11047037	NFL wants to divert $300 million from first-round contracts NFL wants to divert $300 million from first-round contracts Associated Press Published: April 13, 2011 at 03:24 p.m. Updated: April 13, 2011 at 03:37 p.m. NEW YORK -- The NFL's proposal to the players for a rookie compensation system would divert about $300 million a year from first-round draft picks' contracts to veterans and player benefits. More than $525 million went to first-rounders in guaranteed payments in 2010. So nearly half of that total would wind up as veterans' salary or benefits under the proposal, according to documents obtained by The Associated Press. The league's offer would free more than $1.2 billion by 2016 and slow the growth rate of guaranteed payments to first-rounders, which the documents show increased by 233 percent since 2000. All contracts for first-round picks would become fixed at five years. Such quarterback busts as JaMarcus Russell ($32 million), Matt Leinart ($12.9 million), David Carr ($15 million) and Joey Harrington ($13.9 million) received huge guaranteed payments that totaled $367 million in the past 10 drafts. Draft Do-Overs: 2006 The Cardinals' selection of QB Matt Leinart at No. 10 is one of many do-overs that NFL teams would like to have in the 2006 draft, NFL.com senior analyst Pat Kirwan writes. More ... Of course, Eli Manning ($24 million), Philip Rivers ($17.9 million) and Matt Ryan ($34.7 million) have not done too badly for their teams. Guaranteed money paid to top 10 selections since 2000 reached nearly $2 billion. Guaranteed payments for all first-rounders were at $3.5 billion. During talks for a new collective bargaining agreement, the league also proposed eliminating holdouts by reducing the maximum allowable salary if a rookie isn't signed when training camp begins. The NFL also suggested eliminating holdouts for all veterans by prohibiting renegotiations of contracts if a player holds out in the preseason. The compensation system would not include a rookie wage scale and would allow for individual contract negotiations. Contracts would have a fixed length of four years for players chosen in the second through seventh rounds and would not affect salaries for those rounds, the league said. The league and the NFLPA were not immediately available for comment. Several agents said the proposals place unfair limitations on players entering the league. "Five years and reduced pay is basically restricting players," said Ben Dogra, whose clients include Patrick Willis and Sam Bradford. "Roughly 68 percent of the NFL is comprised of players with five years or less of NFL experience. "Even players from essentially picks 11 to 32 in the first round are good financial deals for the teams. If a player becomes a starter or an integral part of the team under the current system, the NFL teams have the player under a rookie deal that is favorable to the team." Peter Schaffer, who represents Joshua Cribbs and Hakeem Nicks, called such a system "scouting insurance" for teams making bad selections high in the draft. "It also makes the rookies more valuable when you reduce the amount you are paying to the young guy," Schaffer said. "This will eliminate the veteran middle class because teams can have younger players who are making less and are under fixed contracts." A modified salary system for rookies was a negotiating point for a new CBA until talks broke off March 11 and the NFLPA dissolved as a union. The owners locked out the players hours later. The two sides are scheduled for court-mandated mediation in Minneapolis beginning Thursday. Copyright 2011 by The Associated Press
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04-13-2011, 02:47 PM	#6
keg in kc oxymoron Join Date: Feb 2001 Location: OP/KC/Whatever Casino cash: $9556299	Sounds good to me.
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04-13-2011, 02:57 PM	#7
Hog's Gone Fishin Fish are scared of me Join Date: Nov 2001 Casino cash: $1440477	Some poor guys may only make 5 million
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04-13-2011, 02:59 PM	#8
Bowser sorta mod-ish Join Date: Jan 2004 Location: KC North Casino cash: $3191616	Bowser wants the NFL to divert from the bullshit and get business running again.
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04-13-2011, 03:00 PM	#9
notorious Supporter Join Date: May 2005 Location: Who knows? Casino cash: $2645884	I cannot come up with one reason that this is a bad idea. More money to the proven and less to the unproven.
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04-13-2011, 03:02 PM	#10
Just Passin' By In Search of a Life Join Date: Feb 2009 Casino cash: $5460524	The players were smart to turn that down. It was bad for both rookies and veterans.
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