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Compensatory draft pick determinations are based on the salary, playing time and postseason honors of the free agents each team lost during the previous offseason.
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Each team is allowed a maximum of four compensatory picks, and selections will only be awarded to organizations that signed fewer players than they lost to free agency. That does not include players cut, players released after signing the year before or players making the league minimum.
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In addition to the 32 selections in each of the seven rounds, a total of 32 compensatory picks are awarded to teams that have lost more or better compensatory free agents than they signed in the previous year.[58] Teams that gain and lose the same number of players but lose higher-valued players than they gain also can be awarded a pick, but only in the seventh round, after the other compensatory picks. Compensatory picks cannot be traded, and the placement of the picks is determined by a proprietary formula based on the player's salary, playing time, and postseason honors with his new team, with salary being the primary factor. So, for example, a team that lost a linebacker who signed for $2.5 million per year in free agency might get a sixth-round compensatory pick, while a team that lost a wide receiver who signed for $5 million per year might receive a fourth-round pick.
All compensatory picks are awarded at the ends of Rounds 3 through 7.
If fewer than 32 such picks are awarded, the remaining picks are awarded in the order in which teams would pick in a hypothetical eighth round of the draft (These are known as "supplemental compensatory selections").
Compensatory picks are awarded each year at the NFL annual meeting which is held at the end of March; typically, about three or four weeks before the draft.
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Quoted these for the OP so that he doesn't focus too much on how well a guy is playing, or if he's playing, but also because there are determinations for Salary size, and most importantly of all, whether or not the "pick" team was able to land comparable talent in Free Agency.
Those signings were as follows.
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January 11, 2014 Signed RB Joe McKnight, LB Jordan Campbell, CB DeMarcus Van Dyke, DT Dominique Hamilton, OT R.J. Dill, DB Jerron McMillian and DE Brandon Moore.
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February 14, 2014 Signed TE Richard Gordon to a one-year contract.
February 7, 2014 Released CB Dunta Robinson. Signed WR Weston Dressler.
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March 26, 2014 Signed DT Cory Grissom.
March 18, 2014 Signed LB Frank Zombo and DT Vance Walker.
March 12, 2014 Signed DB Husain Abdullah, LB Joe Mays and OL Jeff Linkenbach.
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July 24, 2014 Signed OT Ryan Harris and LB Josh Mauga. Released LB DeRon Furr. Placed FB James Baker on the reserve/did not report list.
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August 27, 2014 Signed G Mike McGlynn. Waived OL Ben Gottschalk.
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September 9, 2014 Signed DT Kevin Vickerson to a one-year contract. Activated WR Dwayne Bowe from reserve/suspension. Signed LB Jerry Franklin from the practice squad. Placed LB Derrick Johnson and DE Mike DeVito on injured reserve. Waived DB Daniel Sorensen. Waived FB Jordan Campbell, C Ben Gottschalk, DT Hebron Fangupo and WR Darryl Surgent from the practice squad. Signed WR Armon Binns, OT Curtis Feigt, TE Adam Schiltz, CB Robert Steeples and DT Jerel Worthy to the practice squad.
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The ones in bold are the only ones I see really stirring up any trouble for us in the compensatory draft picks meeting, and those additions, go up against the following.
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The Chiefs lost five free agents before you could say Marty Schottenheimer, with three-fifths of their offensive line — left tackle Branden Albert, and guards Jon Asamoah and Geoff Schwartz — along with defensive end Tyson Jackson and receiver-returner Dexter McCluster all skipping town almost immediately.
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So, obviously with those names seen, we're getting picks, and one could argue that we lost 4 guys worth a 3rd round compensatory pick based on production, or their original draft pick and games played (tyson jackson as an example).
Obviously that's not going to happen, but you can, and often, will see picks awarded twice in the same round as we saw last year multiple times.
At this point, I think we're guaranteed at least 3 selections of 3rd to 5th round values. Losing Albert should gain a 3rd rounder, especially since he was a starter and was drafted here, and made solid money on the market. The same could be said for Asamoah and Schwartz with 4th and 5th round "floor" marks, as high as two 3rds IMO. Tyson Jackson, a former first rounder and starter "should" yield a 3rd rounder, but he's tyson jackson so we'll probably have to give our 7th just to forget that name here in KC. McCluster was like a 3rd round pick or something and statistically had "significant" production here in KC and signed a fairly decent contract himself, though I consider him the talent "runt" of the bunch, his contract, draft selection, and production should weigh enough in my mind to balance our compensatory selections against this years' additions to give us a 4th selection in the 6th round.
I think we're likely going to see 3 picks in the 3-5th rounds, and an extra pick in the 6th round here "if" we get the 4th selection and don't get shafted by the Mauga/McGlynn pickups.
I'd like to believe that Albert, Asamoah, Schwartz, and Jackson are our basis points here for the compensatory selections as we all but failed to replace all of them (whether they were needed or not) and have talents and contracts high enough to award two 3rds and two 4ths, but here in this day of the NFL, I'll assume something closer to 3rd, two 4ths, and a 6th when they close those talks in marchish.