New MLB contract will derail offshore signees’ gravy train – SFGate

Photo: Charles Rex Arbogast, Associated Press

The days when Cuban outfielder Luis Robert (left), shown with White Sox general manager Rick Hahn last month, gets a $26 million signing bonus may have passed.

The days when Cuban outfielder Luis Robert (left), shown with White Sox general manager Rick Hahn last month, gets a $26 million signing bonus may have passed.

New MLB contract will derail offshore signees gravy train

NEW YORK A record $203 million was spent on international amateur free agents in the just-ended signing period, nearly $50 million more than the previous high and a figure that will plummet when a hard cap on spending starts July 2.

Four Cubans were given contracts that included signing bonuses above $5 million. White Sox outfielder Luis Robert led the way at $26 million, followed by Padres left-hander Adrian Morejon ($11 million) and Reds shortstop Alfredo Rodriguez and Padres outfielder Jorge Ona ($7 million each).

Baseballs new labor contract imposes a cap on bonuses for international amateurs, with 16 teams limited in 2017-18 to $4.75 million, six to $5.25 million and eight to $5.75 million all not counting bonuses of up to $10,000.

The partys over for all big signing bonuses for international amateurs. Its no doubt, agent Andy Mota said Monday. Its a reality thats setting in, especially with Cuban players.

And under the new rules, international amateurs were redefined as under 25 years old and with less than six years of professional experience, up from 23 years old and less than five years of experience. That means less money will be chasing more players.

Thats going to really drive a lot of these players to Japanese and Korean baseball, agent Scott Boras predicted.

Restraints were introduced in the 2012-16 labor contract on spending on draft picks, players who reside in the U.S., Canada and Puerto Rico. Bonuses for those players totaled $234 million in 2011, dropped to $223 million in the first year of the new rules and didnt reach their prior level until 2015s $249 million, according to Major League Baseball. Draft spending rose to $269 million for 2016 selections.

At the same time, spending on international amateurs increased from $74 million in 2012-13 to $156 million in 2015-16 before the latest hike. And that was despite a tax on teams who exceeded their assigned bonus pools.

The Padres spent $40.8 million on international amateurs in the period that ended June 15, incurring a $37.4 million tax. Other high rollers included the White Sox ($29 million in bonuses, $25.2 million in tax), Reds ($17.7 million/$12.4 million), Braves ($17.3 million/$12.8 million), Astros ($10.8 million/$8.6 million), Cardinals ($11 million/$9 million), the As ($10 million/$6.2 million), and Nationals ($8.3 million/$6 million).

Robert agreed to the second-highest bonus for an international amateur, behind only the $31.5 million deal in 2015 between Cuban infielder Yoan Moncada and Boston, which sent him to the White Sox in December as part of the trade that sent pitcher Chris Sale to the Red Sox.

Some American players were angry that international bonuses soared as their own were limited. Many Venezuelan and Cuban prospects sign around the time they turn 16. Cubans generally sign at an older age.

I think the goal was to treat international players more comparable to domestic players with respect to the signing bonuses they receive upon signing their first contract, said Dan Halem, MLBs chief legal officer.

Each team receives a $4.75 million spending pool in the 2017-18 international signing period that starts July 2, and the 14 teams with competitive-balance round draft picks also get extra international cap room.

For 2017-18, the As, Reds, Marlins, Brewers, Twins and Rays get an additional $500,000 each, and the Diamondbacks, Orioles, Indians, Rockies, Astros, Royals, Pirates and Padres $1 million apiece.

Clubs also can trade their cap allocation in increments of $250,000 (and the portion of $250,000 left at the end) starting July 2, but a team can acquire no more than 75 percent of what it was originally assigned.

Some teams have incentive to trade their cap space because of penalties lingering from the old rules. The Braves, Reds, Astros, the As, Cardinals, Padres and Nationals are prohibited from signing international amateurs for bonuses of more than $300,000 in the next two signing periods, and the Cubs, Royals, Dodgers and Giants are not allowed to in 2017-18.

Ronald Blum is an Associated Press writer

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New MLB contract will derail offshore signees' gravy train - SFGate

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