The cap

Discussion in 'The Business of Hockey' started by Robertsson 4-ever, Aug 21, 2005.

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  1. Robertsson 4-ever

    Robertsson 4-ever Registered User

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    I just have a small question about the cap that I haven't understood.

    Is the 39 million barrier only counted with the players on the active roster, the 23 players that currently are on the team, or all signed players in the organization?
     
  2. Resolute

    Resolute Registered User

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    Seems fairly obvious that the cap is the actual dollars spent on players on the NHL roster only.

    Players in the minors dont count.
     
  3. Wetcoaster

    Wetcoaster Guest

    http://www.nhl.com/nhlhq/cba/index.html
     
  4. Ryan_Habs_16

    Ryan_Habs_16 Registered User

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    Another related question that can't be answered reading the NHL FAQ. What if for example, a player signed a 3 year contract right before the lockout. Year one at
    600, 000, year two at 700, 000, and year three at 800, 000. So year one is wiped out. So does that mean you take the average amount in $$$ in his two final years of his contract? 750, 000? And so on...in his last year of his contract, will it count for 800, 000 against the cap or do you still take the average?
     
  5. RangerBoy

    RangerBoy TRUST THE PROCESS

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    Yep,$750,000.The average salary
     
  6. Ryan_Habs_16

    Ryan_Habs_16 Registered User

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    Another question related to contracts. What about rookies that were already signed or signed pre-lockout? What if a player was making the league max for a rookie at 1, 240, 000 before the lockout and still has years remaining on his contract now? Does the 24%rollback apply to him? Or is he now making a completly different salary?
     
  7. fr4ed2384

    fr4ed2384 Registered User

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    Not exactly correct Yoda

    The "capman" says

    a. Since the 04-45 year is credited as service it is included in the calculation . A 4 yr contract which included 03-4 season, 04-5 season 05 -season , 06-7season would include all 4 yrs so the average of the 3 yr is $700,000 the length of the contract (3 yrs)

    There is a couple of additions to the $39 Mil besides the 23 man roster.
    Quote
    a. Over the summer, clubs can be 10 percent over the cap. From July 1 through Sept. 30, clubs are charged for all players in the organization signed to one-way contracts (average salary and prospective bonuses); the percent of NHL salaries to players on two-way deals based on the amount of time spent in the NHL the previous season, and all qualifiers and actual buyout payments. Beginning Oct. 1, the cap is calculated on the average contract value (including all possible bonuses) of only those players on the NHL roster, plus buyouts.

    b. To prevent sandbagging a high end player in the minors then bringing them up at the end of the year there is a rumor that
    Players on a 2-way contract (a much lower salary if he is sent down) - all ELS contracts are two-way. For AHL players on NHL (2-way) contracts, there was speculation that minor league salaries >$75K would count against the cap - this was to prevent teams from doing things like stashing CuJo and his $8M salary in the AHL. So if a low cost player (<$75K in minors) is sent down on a 2-way, his NHL salary no longer counts against the cap, and his minor league salary may or may not.

    All contracts valid before the CBA was signed were rolled back 24% including --rookies and signees going to rookie camp As example, San Jose's Marcel Goc had his salary reduced from $850K to $646K, and Christian Ehrloff from $800K to $608K.

    Exception was Jagr salary which is all screwed up with Wash and NYR paying but NYR eats the whole salary for cap purposes and he was reduced more than 24% because of the no player more than 20% ($7.8 Mil) max requirement of the team cap
     
  8. Ryan_Habs_16

    Ryan_Habs_16 Registered User

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    Thanks for the info! It is appreciated.
    But, is there a rookie cap? what if a player had his salary reuced by 24% and was still was above the rookie cap?
     
  9. SJeasy

    SJeasy Registered User

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    It remains only at the 24% rollback level.
     
  10. kdb209

    kdb209 Registered User

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    Not exactly, not exactly.

    The lockout year counts as a year of service for UFA and arbitartion eligibility, yes, but it is not counted for averaging the cap hit for existing long term contracts. The cap hit for those is remaining (post lockout) contract dollars averaged out over remaining contract years.

    You are correct, as far as I understand it, concerning the 10% headroom and cap liabilities diring the offseason (quoted from the Brooks CBA 101 piece), but you are contradictory in claiming first that during the season only players on the NHL roster count against the cap and then saying that minor league salaries (for players earning >$75K in the AHL) could count against the cap. From what I've seen in the Brooks piece and others, players in the AHL do not count against the cap during the season, but the $75K limit is a threshold for players to have to clear waivers when being rexcalled as well as sent down.
     
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