A Cap Hit Compromise

Discussion in 'Fugu's Business of Hockey Forum' started by Top 6 Spaling, Jul 13, 2011.

  1. Top 6 Spaling

    Top 6 Spaling Registered User

    Joined:
    Jun 23, 2010
    Messages:
    12,155
    Likes Received:
    1
    Trophy Points:
    86
    Location:
    Smashville
    An idea for the new CBA. I hope, as a compromise, the cap hit becomes the average of 3 years of the contract (past year, current year, next year).

    NOTE- first year is average of the first 3 and last year is average of last 3

    Let's look at the Richards deal:

    Current Cap Hit/Salary/3 Year Cap Hit
    6.6 /12/ 11
    6.6 /12/ 11
    6.6 /9/ 9.66
    6.6 /8.5/ 8.6
    6.6 /8.5/ 8
    6.6 /7/ ~5.3
    6.6 /1/ 3
    6.6 /1/ 1
    6.6 /1/ 1

    Seems like a fair compromise to me
     
  2. cheswick

    cheswick Non-registered User

    Joined:
    Mar 17, 2010
    Messages:
    6,214
    Likes Received:
    366
    Trophy Points:
    94
    Location:
    South Kildonan
    Or they can just make the cap hit what the player is making. I know it's a bizarre idea
     
  3. Top 6 Spaling

    Top 6 Spaling Registered User

    Joined:
    Jun 23, 2010
    Messages:
    12,155
    Likes Received:
    1
    Trophy Points:
    86
    Location:
    Smashville
    That's what I would prefer too, but the owners will never go for it. If it avoids a lockout, i think this is a fair solution
     
  4. DrVanntastic

    DrVanntastic Registered User

    Joined:
    Jun 15, 2006
    Messages:
    1,912
    Likes Received:
    3
    Trophy Points:
    86
    Location:
    Wentzville, MO
    While I don't have a problem with this idea, I think I'd prefer if they just eliminated salary variations. If a player signs a 5 year $25 mil contract he gets $5 mil each year.
     
  5. Jeffrey Lebowski

    Jeffrey Lebowski The Chicago Little Lebowski Urban Achievers

    Joined:
    Jul 31, 2009
    Messages:
    5,688
    Likes Received:
    440
    Trophy Points:
    84
    Location:
    North Side
    I know it's a bit unlikely but the issue I see with counting just salary is that a team could structure a player's contract to have very obvious 'compete' years where everyone on the team is given less than their worth to have one very competitive year.

    I know it's not a perfect example... but say your entire roster needs new contracts. You give all of your star players fair value for the first 2 years, and the 3rd year they all take 1 mil dollar cuts in salary. Your depth players take a 200-500K cut. That opens a huge amount of cap space to sign other star players at even fair value.

    Say this situation were to apply to the Hawks:

    Toews- 5 mil
    Kane-5 mil
    Hossa-4 mil
    Sharp- 4 mil
    Keith- 4 mil
    Seabrook- 4 mil

    Based on their current cap hit, that saves 6 mil right there... just on the stars of the Hawks.

    I know it's a bit of a stretch to say that a bunch of players on any given team will take a pay cut in any given year... but for a good chance to win the cup, I'd say there is a possibility of it happening. And obviously, not all of your players will be up for new contracts the same year... but I don't think it would be too complicated to structure a year or two where many players take cuts and said team loads up for a cup run. A calculated average (cap-hit) sort of prevents that... and honestly would be 'circumventing the cap' more than these long term deals IMO. At least some risk comes in when you structure a contract that way... I don't see too many drawbacks in my salary scenario.

    Didn't really think this scenario out entirely, just something that I had thought about previously.
     
  6. Top 6 Spaling

    Top 6 Spaling Registered User

    Joined:
    Jun 23, 2010
    Messages:
    12,155
    Likes Received:
    1
    Trophy Points:
    86
    Location:
    Smashville
    Which is why I think 3 would be a fair compromise. It would block those "compete" years while still not allowing for ridiculous backloading.
     

Share This Page

  1. This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
    By continuing to use this site, you are consenting to our use of cookies.
    Dismiss Notice
monitoring_string = "358c248ada348a047a4b9bb27a146148"