: Value of:
$5,000,000 cap space
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08-26-2012, 04:24 PM
Join Date: Feb 2003
I cannot help but feel this will be a similar thing to RFA Offer Sheets where people think it'll be used more often than it really is but it'll really just be the richer teams taking advantage of the rule.
I am not a big fan of the idea of outright trading cap space for other assets. I think if you do this you have to put some regulations in place to support it.
I do think it would be reasonable to provide cap relief in trades regarding the players being traded. For example if a team wants to trade a guy and pickup $2M of his salary/cap to get the deal done they could make it as part of the package. It would give GM's more flexibility in moving guys and keep the cap economy equal.
Back to the idea of trading cap space alone, the idea came to me that maybe you require the team trading the cap space to be that much over the cap floor. For example, if the Coyotes traded $5M in cap space they would have to be $5M over the cap floor to do so. I think many people would be afraid of the cap floor teams dealing all of their extra cap space away to the highest bidder. This would be a good way to ensure that doesn't happen while keeping the cap economy equal.
If you had teams outright buy cap space with money that could be a modified form of revenue sharing to help equalize the finances across the league. The rich teams could be buying up all of the cap space but it would give the poorer teams more of a chance to break even financially. Even better, create a luxury-tax like system where the value of the cap space purchased has a premium. I.E. it's not dollar for dollar but maybe a 10-25% markup. I'm not sure I support this idea, but it's good to throw all possible solutions out for vetting.
If you start trading cap space then I think you need to shrink the difference between the cap max and the floor. You don't want to increase the disparity between these areas more than they are already so that needs to be properly adjusted if this is allowed.
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