The new collective bargaining agreement has created millions of dollars in incentives for teams to be below the luxury tax when it reaches $189MM in 2014, according to ESPN.com’s Jayson Stark. The upcoming changes have contributed to the relatively restrained spending on the part of the Yankees and Red Sox this offseason, Stark writes. Here are the rest of his rumors…
- The Yankees won’t be under the luxury tax threshold in 2012 or 2013, but they hope to spend less than $189MM in 2014, Stark writes. However, the CBA isn’t the only reason the Yankees are spending more cautiously. "I think this is what the Yankees were going to do, regardless," one of Stark’s sources said.
- Hiroki Kuroda is sending signals to the Yankees and Red Sox that he’d like to sign with one of those teams, Stark reports. The Red Sox are “nowhere near close” on Kuroda while the Yankees are mostly “kicking tires,” Stark hears. Stark's colleague Buster Olney reported today that Kuroda's asking price has dropped to the $10-11MM range.
- Though rival teams were surprised to see the Reds agree to terms with Ryan Madson, the move will help the team stockpile draft picks. They’ll obtain a compensatory pick when Francisco Cordero signs elsewhere and could obtain two more picks if they tender Madson a contract next offseason and he leaves as a free agent.
- The Reds are going to attempt to turn Aroldis Chapman into a starter this Spring Training, though there’s some skepticism he’ll thrive in the rotation.
- Chad Qualls’ name is on the Phillies’ shopping list, Stark reports.
- Rival teams predict the Cubs won’t trade Matt Garza until July, when there are fewer alternatives available in free agency.
- Stark hears that the Astros would pay half of the $18.5MM remaining on Carlos Lee’s contract and at least $7MM of the $11MM that Brett Myers will earn in 2012. Wandy Rodriguez is also available, though the Astros don’t appear to be nearing a deal involving the left-hander.
Yankees spend less than $189M? Yeah right
I don’t see why they would have any incentive to spend less. It just doesn’t make sense to me.
When you are over the luxury tax threshold you get taxed on how much money you spend over the limit right? So that would be why
The post says the luxury tax wouldn’t be the main reason, though.
Here is an incentive from the article.
“Finally, also for the first time, if a team can avoid going over the tax threshold, it becomes eligible to get money refunded from its revenue-sharing tab.”
So basically they get paid to follow the rules. Wonderful idea isn’t it?
So basically they get paid to follow the rules.’ what rules were they breaking again?
Ineresting move if the Cubs choose not to trade Garza during this offseason. You would think he would be worth slightly better/more prospects if a team traded for him now, since time is dwindling on his current contract.
You think they’re presuming he’ll do even better the first half of the season in 2012? I know my Braves are hesitant to trade Jurrjens for anything less than a king’s ransom before the trade deadline, knowing how good he was this time last season, among other reasons.
It seems to me he’s already proven that he’s at least a average to above average #2. I feel like he doesn’t have much more to prove in the 1st half of 2012 that would net the Cubs a better prospect package by waiting to trade him.
Agreed, but I guess they would be counting on a team like the Tigers/Yankees/Blue Jays to feel like they NEED Garza and “overpay” at the deadline. In the middle of the season, teams feel like they know where they are at, and what they may need to reach that next level.
I don’t know though. I’d think now would be the better time to trade him as well.
I think the key word in the article is competition, Garza might be worth more to a contender in July. The top teams do panic when their under the gun. Fister was a great pick up for the Tigers last year.
They are taking a huge risk that last year was more of a fluke than an adjustment, and if he reverts back to the old Garza he isn’t worth nearly as much.
Old Garza? You mean the guy that threw a no-hitter…pretty sure his reputation is intact. The idea is the Cubs are unwilling to simply give Garza away because of “rebuilding” rumors. There could be more teams looking to add a SP at the deadline and willing to justify the pricetag the Cubs are asking for him. Too many teams are happy with what they have now heading into the season, but things change during the season that can make you open to mortgaging the future to win now, especially if you are only a SP away
There is absolutely no way you can argue with the fact that Garza isn’t as valuable if people believe (and he shows that) he is still the pitcher he was in Tampa instead of the pitcher he was last year in Chicago. Right now they can at least rely on the idea that he could be a lot better than a #3, if he pitches like he did in Tampa to start next year that is gone and they wont be able to bring as much back for him.
The Garza that held a sub 4 ERA in the AL East? Who was the ALCS MVP? I would hate to have that guy on my team for sure…
I wouldn’t mind having him on my team either, but he’s nowhere near as valuable as what the Cubs think they can get for him right now. ‘Old’ Garza is a good #3, the Cubs are at least acting like ‘new’ Garza is an Ace (and he pitched like one last year).
Love the move by CIN to pick-up Madson and let Cordero walk, thereby getting as much as 3 possible compensatory picks if Madson walks. Now that’s how you restock your system after trading away some key pieces for Latos.
They also have 3 of the top 50 picks this year. They’ll be restocked in the lower levels pretty quickly.
More competitive balance? Hallelujah!
Yeah I’m not sold that the Yankees are really trying to limit their spending. Like others, I’m pretty sure they are holding off until the next offseason.
Watch as they bust open the checking book and sign both Matt Cain and Cole Hamels.
Yeah im not surprised they are very hesitant to give out a multi year deal to a pitcher this offseason with the potential crop of FA pitchers available next year. I doubt every single one of the big names will be available but if Cain and Hamels hit the market the Yankees should be right there
It says 2014 though… that’s not next off season. In 2014, AJs and Jeters contracts expire, so it’s very likely they can stay below 189m in 2014, even if they do add a starter next off season.
kuroda appears to have created the first ever BOS/NYY reverse bidding war
That must hurt the ego a bit. I hear there might be a third “mystery” team involved, too.
The article is wrong. Reds would only get ONE pick for Madson per the new collective bargaining agreement, not TWO. They have to tender him a contract equal to the average of the top 125 paid players to get the pick at the end of the first round.
Cashman opened many eyes when he pieced together a rotation with Colon and Garcia last year. I think alot of GMs think they can do the same thing, but good pitching performances can be very random, even with sabermetrics.
I hope ESPN didn’t pay Jayson Stark a lot to come to the conclusion “The Yankees won’t be under the luxury tax threshold in 2012 or 2013, but they hope to spend less than $189MM in 2014, Stark writes.
dont know tper however Rrds were good now they are better, almost like they resigned Orbein or Krivsky
I think Chad Qualls would be a very good addition to the bullpen to come in and get some outs in the 7th inning in front of Bastardo.
sure stark…the yanks are jus kicking the tires.