NFL Penalizing Salary Cap for Cowboys and Commanders

[Cajuncowboy]

From my point of view, it's not really Goodell, its the POS team or teams that complained about it.

Obviously that POS team was only complaining about what they saw as a future slary cap circumvention of it's division rivals.

Then it;s a total lack of spine by Goodell to penalize someone for NOT violating the rules.

 

[AdamJT13]

So are ESPN's numbers wrong, or was there other money that balanced it out from 2010 to 2011?

Yes, that post is wrong. Those numbers are not Peppers' "base salaries," they are the total amount of money he was to get in those seasons. For example, in 2010, he didn't get a $20 million base salary -- he got a a $6.5 million signing bonus, a $12.5 million roster bonus, a $900,000 base salary and a $100,000 workout bonus, for a total of $20 million. In 2011, he didn't get an $11.5 million base salary, he got a $10.5 million roster bonus, a $900,000 base salary and a $100,000 workout bonus.

It looks like Seifert took Schefter's tweet about Peppers' contract and assumed that it was entirely base salary, which was incorrect.

 

[sonnyboy]

Small potatoes. Nothing to worry about. Pretty soon we will be laughing at the teams getting hit with bounty fines.

Seriously? Small potatoes? I agree it's a workable problem that won't kill us. But anyway you cut it, it hurts our ability to compete and as Cowboy fans we shouldn't just take it.

 

[Goku]

so Adam, are you saying no other teams did what we did? the skins and cowboys were the only ones?

 

[gimmesix]

Hmm.

The NFL better be careful here. They may blow their anti-trust exemption.

If there was no CBA and they are imposing a price restraint, then they are arguably engaged in anti-competitive behavior and restraint of trade that would violate the rule of reason and section 1 of the Sherman Antitrust Act. I'll have to look closer at that.

But this smacks of being dangerous for the NFL.

Will not be surprised if Jones ends up suing the league again.

 

[Risen Star]

According to what ESPN just said, it was against the rules.

More outstanding work by the front office.

Like father, like son.

 

[sonnyboy]

Yes, that post is wrong. Those numbers are not Peppers' "base salaries," they are the total amount of money he was to get in those seasons. For example, in 2010, he didn't get a $20 million base salary -- he got a a $6.5 million signing bonus, a $12.5 million roster bonus, a $900,000 base salary and a $100,000 workout bonus, for a total of $20 million. In 2011, he didn't get an $11.5 million base salary, he got a $10.5 million roster bonus, a $900,000 base salary and a $100,000 workout bonus.

It looks like Seifert took Schefter's tweet about Peppers' contract and assumed that it was entirely base salary, which was incorrect.

Any thoughts on the origin of this? Had to be a complaint form one or more teams?????

Anything more to come from this on other teams that did the same thing. If we do take a 10mil cap hit in 2013, I won't be happy.

IF it's only us and the Skins.........:bang2:

 

[gimmesix]

Unless we're stupid, we'll take the entire hit next year, and this won't affect us much this year. Then next year, a couple of quick restructures next year will take care of the penalty, and the following year, the cap is expected to jump.

Frankly, structuring Austin's contract the way we did and then restructuring it allowed us to keep his cap number small last year and this year. Last year, we decided to do nothing with all of that cap room, and we ended up wasting one of Romo's best seasons. It would be asinine to hold back this season and waste yet another year of Romo's prime.

I wish you would teach a seminar on cap space and how it can be used, so all those who think Dallas can't do what it wants this offseason would get a clue.

 

[trickblue]

Jones should strip the visiting owner's box bare and leave them a couple of metal folding chairs, a warm sixpack of Old Milwaukee and a half-eaten bag of pork rinds...

 

[sonnyboy]

More outstanding work by the front office.

Like father, like son.

I stand corrected......the true diehard Jones haters will find a way.

 

[BigWillie]

In 2011, he didn't get an $11.5 million base salary, he got a $10.5 million roster bonus, a $900,000 base salary and a $100,000 workout bonus.

Are you sure this is correct?

I remember reading that Peppers roster bonus was turned into a signing bonus, and prorated over the life of his contract when he restructured last year before the lockout.

http://msn.foxsports.com/nfl/story/chicago-bears-julius-peppers-restructure-contract-030311

Peppers signed a six-year deal worth potentially $91.5 million a year ago, was due a $10.5 million roster bonus for next season. Instead, the team exercised its right to convert that money into a signing bonus and prorate it over the remaining years of his contract, which runs through the 2015 season.

 

[Zaxor]

More outstanding work by the front office.

Like father, like son.

so are you telling me you can have a cap in an uncapped year...that makes no sense at all

it is either capped or it is not...no such thing as a half cap or a uncapped year for every team but these 2 teams

 

[Cajuncowboy]

NFL Statement per Breer....

NFL Management Council statement: "The Management Council Executive Committee determined that the contract practices of a small number of clubs during 2010 league year created an unacceptable risk to future competitive balance, particularly in light of the relatively modest salary cap growth projected for the new agreement’s early years. To remedy these effects and preserve competitive balance thru-out the league, the parties to the CBA agreed to adjustments to team salary for the '12 & '13 seasons

 

[AdamJT13]

Restructuring is short-term vision at its finest

No, restructuring is ALWAYS a better option. There is NO reason not to maximize your cap room each season. The only thing that matters is using it wisely. If you don't need it, then you carry it forward until you do.

Also, remember that the cap goes up each year, but no interest is charged when you carry cap room forward. That means, for example, that $5 million this season is "worth more" than $5 million next season. It's like getting an interest-free loan that you never have to pay off until you decide to pay it off.

 

[noletime95]

I appreciate everyone trying to be a voice of reason in this thread. I really do and agree with some of that sentiment. But anyone that thinks this decision isn't going to impact the Cowboys directly on the field over the next 2-3 years in some capacity is kidding themselves. Cap space matters (unless you are the Bucs).

This ruling hurts the franchise, the fanbase and the city.........more importantly it signifies a direction the NFL is heading........and I don't like it as a fan.

 

[JonJon]

Don't know if this was posted yet, but here it is from the ESPN NFC East Blog:
http://espn.go.com/blog/nfceast/post/_/id/36904/qa-on-the-cowboys-Commanders-cap-mess

Q: What exactly did they do?

A: During the uncapped 2010 season, teams were repeatedly warned by the league not to structure contracts so that big money was assigned to 2010 in order to attain future-years cap relief. They were told there would be penalties if they did this. The Cowboys and the Commanders, to a greater extent than the league's other 30 teams, ignored these warnings and engaged in such behavior anyway. Miles Austin's contract with the Cowboys, which included a $17 million base salary in 2010, is being brought up as the prime example.

Q: How did they get caught?

A: The complaints against the Cowboys and the Commanders for engaging in perfectly legal behavior that violated no actual rules but only the collusive backroom dictates being issued by the league came not from the league office but from the other 30 teams, who were doing what they were told while the Cowboys and the Commanders were not. The other teams demanded action, since they were the good soldiers, and so the league decided it needed to take some.


Other questions answered in the full article:

Q: Why isn't the union challenging this?
Q: Why is this happening now, the day before free agency?

 

[Cajuncowboy]

What a bunch of absolute BS from the NFL regarding their statement on this.

 

[Arch Stanton]

Props to NFL.com for finding this nugget from last week, a shot taken at the Cowboys and Commanders by the new owner of the Jacksonville Jaguars. During an online chat with the Florida Times-Union, Shahid Kahn was stressing the importance of spending wisely in free agency.

"If there was a relationship between money spent and results on the field, probably the Commanders and the Cowboys would have won a bunch of Super Bowls by now," Khan said. "That's what makes football so interesting."

Read more:http://www.dallascowboys.com/news/j...&plckScript=blogScript&plckElementId=blogDest

 

[NeonNinja]

I stand corrected......the true diehard Jones haters will find a way.

He's full of agenda, all good.

 

[gmoney112]

No, restructuring is ALWAYS a better option. There is NO reason not to maximize your cap room each season. The only thing that matters is using it wisely. If you don't need it, then you carry it forward until you do.

Also, remember that the cap goes up each year, but no interest is charged when you carry cap room forward. That means, for example, that $5 million this season is "worth more" than $5 million next season. It's like getting an interest-free loan that you never have to pay off until you decide to pay it off.

The time value of money is essential in understanding the cap. I think that's what most fail to understand. A dollar a year from now will always be valued less than it is today so it makes sense to restructure whenever possible.