stretch wrote:
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To be honest, I don't really understand it totally either (in other words I have not read anything by a source I would consider an authority explaining it) but here is my understanding:
The league has kept the salary cap and luxury tax the same for the next 2 seasons,
the exemptions are still there for teams to use (MLE, new $2.5M exemption),
minimum payroll will be raised to 85% for 2 years and 90% thereafter,
the escrow tax is going to be raised to 10% and they are going to keep a little extra this year only to account for possible negative effects of lockout,
and there are no roll back to contracts currently signed.
To account for all the above with the lower BRI, I can only imagine the league is banking on never giving back the 10% escrow as the numbers will not allow it.
I guess the thinking is either:
1) with a freeze for 2 years on salary cap and luxury tax amounts, this is the 'gimme' to the players - new changes are to be eased in in 2 seasons time,
2) the league is raising the escrow rate from 8% to 10% saving them money,
3) in 2 seasons time, the new cap and luxury tax rate will reflect new BRI numbers and with (hopefully) increased revenues, the change will not be very dramatic.
Anyone who knows different (and ideally can provide a source), please do!
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