RULE CHANGES FOR THE 2011 SEASON
Last year it was brought to our attention how the luxury tax penalties were not working to perfection. The overhaul now puts a price on each round. For
each dollar a team is over the cap, they will be taxed a corresponding round
beginning with the highest round possible.
Round 1 - $15
Round 2 - $14
Round 3 - $13
Round 4 - $12
Round 5 - $11
Round 6 - $10
Round 7 - $9
Round 8 - $8
Round 9 - $7
Round 10 - $6
Round 11 - $5
Round 12 - $4
Round 13 - $3
Round 14 - $2
Round 15 - $1
Round16 and on also $1
- Arbitration - regarding off season auctions
When a player is won at auction his salary will be
determined in 1 of 2 ways.
1.
He will be paid the amount he would have made in
the following year, had his contract continued
2.
If the
player’s CBS value drops below the amount he would be making, he will go to
arbitration and the team will split the difference, rounding up to the nearest
dollar.
This is only if the player’s value is lower. This helps an
owner who if they purchase at auction a higher end player that may have had a
poor performing season. For example: Jose Reyes is due to make $45, coming off
a long term contract. However, his performance dropped and the CBS value was
set at $26. The team could offer the player arbitration and pay the difference
between $45 and $26, which would be $35.
- Second Chance Contract Deadline
On the final Day of April, teams will have a final chance to sign 1 contract on their team that did not sign at the contract's deadline in March. It allows teams to get a feel for their roster and sign a breakout player if they choose.
This rule will be determined when CBS updates the site. The rule will help regulate the minor league slots a little easier. Basically, if CBS implements an option for on/off controls of minor league slot usage, there will be a billing method based on the usage of promotions and demotions in and out of the minor league slots. When a team reaches the maximum amount the option of promotions/demotions will be shut off. This prevents the minor league slots from simply being an extension of the reserve part of your roster. It also forces teams to use their minor league slots a little more carefully and realistically.
- Contracts rate of increase
Though this change will not take place until after the end of the 2011 season, it is important for all teams to understand a change is coming and prepare for it accordingly.
The current rate of increase for each contract is 3%. This means for players whose value is less than $34, their salaries go up by $1 each season they remain under contract.
In 2012, the 3% rate will be wiped out and a flat rate increase of $2 per contract will take place.
This does not affect the following contracts:
- Any contract signed during the 2011 season -those are all grandfathered
- Any player whose value is over $34--as his increase was $2/year anyway
The rule WILL affect the following contracts:
- All players signed to contracts after the end of the 2011 season including the offseason auctions this year, whose player value is over $34
