How would you setup a fair and balanced financial plan for MLB?

[CMRivdogs]

A few thoughts and proposals. I like a salary floor and an escalating luxury tax. Realizing that owning a Major League team is mostly now no longer an owner's major business.

1) A genuine salary floor. Make it 50% of average revenue. Not a flat $$ figure.If the average club generates $500 million, the floor should be $250-$275 million. Set a Luxury Tax at about $350 million.   That should be actual payroll, not upgrades to stadiums, front office salaries, etc. 

The Luxury Tax should be progressive, not a hard cap.

Tax above payroll...say 20% for everything between 0 and $20 million...escalating to 100% for anything over $100 million. Repeat offenders get an additional surcharge. 

Luxury tax money goes directly into competitive development.  Say 50% into a revenue sharing pool. 25% Player Development/ Competitive Development pool/ 25% MLB player wide benefits

Revenue sharing money goes to lower revenue teams that must be used on baseball related operations, not the owners pocket. The receiving clubs would have to demonstrate that a specified percent of the allocation would go toward things like minor league payroll, player development, scouting, analytics, International baseball, facilities/training ,etc

Give players a piece of MLB revenue growth. Set a rate, say 50% The fans go to games to see the players, not the owners. The owners will still see a profit, but the platers receive a piece of the pie.

For the younger players, raise the minimum salary, shorten the time they are arbitration eligible. Minimum salary $1.5 million, year two $2 million, $3 million year three, then arbitration hits. I'd change arbitration from either or to something that allows the board to choose a compromise

Reward teams for spending intelligently. Teams that spend above the league floor on baseball operations should be rewarded. Say credits against revenue sharing obligations or Luxury Taxes. Call it a Competitive Investment Incentive. 

Possibly institute a homegrown player credit, say the first $25 million of a qualifying players play roll devoted to players developed ny the organization recieves a 25% luxury tax credit

Hopefully this would help small and mid market teams kerp their best homegrown players, sign a couple of free agents, retain veterans, maintain a strong farm system, possibly absorb a bad contract or two.

On the owners side, they will be rewarded for wise spending and development. Players get a piece of the pie, they'll also see a bit more money earlier.

 

 

 

 

 

[chasfh]

I would be cool with a situation as in the NBA, which has something like a payroll floor that is 90% of the payroll cap. I don't think Baseball would go for this, though, because obviously Players would be pushing for it, which is reason enough for them to oppose it; but also, since the Big Six teams have such an outsized influence on national and worldwide fan bases, especially the Yankees, Red Sox, and Dodgers, I would think Baseball would have no interest in suppressing their competitive dominance and thus their revenue-producing potential.

[papalawrence]

Somehow still only 1 game out. Last time they lost 4 of 5 they went on a nice run. Hopefully the streaky season continues at least one more positive round