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10-13-2012, 01:34 AM
Riptide's Avatar
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Okay, this is long winded. The idea behind it is to actually present something that fixes the NHL long term, and allows the PA to not take a hit short term. That said, I do not think the NHL would accept it as there's no short term relief, and teams will hate the RS idea. In addition all projections are based on the idea that revenues will continue to rise - at least short term. However unless the PA will take a hit, there's no real way around this. But long term, this does solve the NHLs issues as the cap is now based off of the middle of the league, and it doesn't matter how much the top teams drive up revenues.

Okay, here's my idea. Well actually mostly KevFu's idea's, and combined them with the PA's idea that they do not get less than 1.87B. Owners will hate the RS portion, and the fact that there's no short term reductions. PA will like the fact that they do not take a short term hit (in any way shape or form - unless there's no growth then some other provision to go to a straight % kicks in). However the PA will hate the fact that they've lowered the HRR that they're getting a portion of (median*30 vs actual HRR). However this fixes everything long term. They could make provisions that should revenue not rise by x% the first 2 years, that the players revert to x split (and thus take a hit).

Use the median to determine the cap. Keep the split at 57% (although you could lower this to 55%), however if the % comes in at lower than 1.87B, then the players get 1.87B until the % rises. Sad reality is that this method doesn't raise the cap much less than keeping it fixed at 47% (4m difference in mid point after 9 years) - link to excel sheet. However I would bet that this is due to me keeping the median number growing at the same rate as league growth. If someone has a better idea how to calculate the median yearly and accounting for growth, then I'm all ears.

In addition to using the median for the cap, owners have to pool all of their local TV deals to put into RS. Put part of that (say 5%) goes into an industry growth fund for Bettman to hand out as he see's fit, and the rest goes out 30 ways. 5% of 550m (figure total TV deals are 500-600m) is ~27.5m. Not a lot, but with the lowered HRR to determine the cap it should be enough to aid the last 1-2 teams that might need assistance. If this isn't enough RS, then something else can be figured out.

In addition to this, ELC is changed to 4 years, and the only other changes is to how the +35 rule works... if a player retires, is sent to the minors, Europe, etc after they're 35 (regardless of when the contract was signed), the contract still counts towards the cap. If the player is hurt before 35 and retires due to that injury, then the cap hit is waived.

Basically removing loopholes for the GMs to sign long term deals before the player is 35 to lower the cap hit (Luongo, Richards, Kovy, Parise, Suter, etc). We all know the last couple years mean nothing... well now they do. That might not discourage those contracts, but it makes those last few years meaningful as they now still count when the player retires. Sadly you would have to grandfather in this clause. Neither side will like this. PA knows this will lower odds of GMs giving these deals, and GMs will hate the fact that if they do give these deals that there's absolutely no out clause in it (such as the player retiring in their mid/late 30s but 2-3 years before the contract is completed).

Actual Revenue is the current HRR with growth factored in. Median Revenue is the revenue between the 15th and 16th teams (revenue wise). Players split is what they get in cash. Growth is growth. Planned % is what the NHL would like the split to be at (as per the CBA). Median % is how the players share (cash wise) compares to the median number (median*30), %HRR is how the players share matches up to actual revenues. Cap floor and ceiling are +/- 8m.

 Actual RevenueMedian Revenue (97m x 30)Players SplitGrowthPlanned %Median %% HRRMid PointCap FloorCap Ceiling
2013/143,531,000,000 3,081,600,000 1,870,000,000 1.07 0.57 0.607 0.53 62,333,333 54,333,333 70,333,333
2014/15 3,778,170,000 3,297,312,000 1,879,467,840 1.07 0.57 0.570 0.50 62,648,928 54,648,928 70,648,928
2015/16 4,042,641,900 3,528,123,840 2,011,030,589 1.07 0.57 0.570 0.50 67,034,353 59,034,353 75,034,353
2016/17 4,325,626,833 3,775,092,509 2,151,802,730 1.07 0.57 0.570 0.50 71,726,758 63,726,758 79,726,758
2017/18 4,628,420,711 4,039,348,984 2,302,428,921 1.07 0.57 0.570 0.50 76,747,631 68,747,631 84,747,631
2018/19 4,952,410,161 4,322,103,413 2,463,598,946 1.07 0.57 0.570 0.50 82,119,965 74,119,965 90,119,965
2019/20 5,299,078,872 4,624,650,652 2,636,050,872 1.07 0.57 0.570 0.50 87,868,362 79,868,362 95,868,362
2020/21 5,670,014,393 4,948,376,198 2,820,574,433 1.07 0.57 0.570 0.50 94,019,148 86,019,148 102,019,148

Last edited by Riptide: 10-13-2012 at 01:39 AM.
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