The cap

[Robertsson 4-ever]

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?

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[Resolute]

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

Players in the minors dont count.

 

[Wetcoaster]

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?

CLUB PAYROLLS

What will be the range of Club payrolls?

The payroll range in Year One (2005-06) of the CBA will be $21.5 million (U.S.) at the lower limit and $39 million (U.S.) at the upper limit. A Club's payroll will include all salaries, signing bonuses and performance bonuses paid to players. Except in the case of bona fide long-term injury (injuries that sideline a player for a minimum of 24 days and 10 games) to one or more of a club's players, Club payrolls will never be permitted to be below the minimum or in excess of the maximum. Clubs at or near the upper limit that have players who incur a bona fide long-term injury will be entitled to replace up to the full value of the injured player's NHL salary (even if such salary would result in the club's team salary exceeding the upper limit). The "replacement salary" will not count against the club's upper limit but will count against the League-wide players' share. Upon return of the injured player, the team must come into immediate compliance with the requirements of the payroll range.

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

 

[Ryan_Habs_16]

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?

 

[RangerBoy]

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?

Yep,$750,000.The average salary

 

[Ryan_Habs_16]

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?

 

[fr4ed2384]

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

 

[Ryan_Habs_16]

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?

 

[SJeasy]

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?

It remains only at the 24% rollback level.

 

[kdb209]

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

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.