Rice, Incentives and Salary Cap

**NC Raven** · 12-30-2013, 10:37 AM

Ran across this article from National Football Post about Rice's escalator clause.

Here is the breakdown from that article:

Rice has a $4 million escalator that’s triggered by him having 1,200 rushing yards and 550 receiving yards in a season when the Ravens rank in the top 10 in total offense during the same season. Rice also has a $1 million incentive with the same requirements. The incentive can be earned one time during the deal. It is available each year until it is earned.......

If Rice had achieved the escalator [in 2012], his 2013 through 2016 base salaries would have each increased by $1 million. He would have also earned the $1 million incentive.

Rice’s 2014 and 2015 base salaries escalate by $1,333,333 and his 2016 base salary escalates $1,333,334 by hitting the marks in 2013. His final chance to earn the escalator is in 2014. If the thresholds are met next season, then $2 million is added to his 2015 and 2016 base salaries, which increases the value from $3 million to $5 million.

So my question is how much cap space do we free up (if any) by his not hitting these marks? Ravor I'm sure would know. It looks to me that now this stuff all goes in as Not Likely to Be Earned (NLTBE), but maybe it was always NLTBE since he didn't hit those marks in 2012? So it wasn't on our cap for this year, or for next year, in the first place?

Also, could this have contributed to Ray's unhappiness with his usage down the stretch? I would hope/think not, as even he would have to realize his injury and the poor O line play were never going to allow him to come near these benchmarks for this season.

**srobert96** · 12-30-2013, 10:49 AM

I think that the deal was a 5 year 35m dollar deal and that the incentives would have pushed it to 40m. He carries 8.7m, 7.7 and 7.7m cap numbers for the remaining three years. Can't cut him until before the final year of the contract and at that it would still be a costly move from a cap perspective. I love Ozzie but this was a huge mistake. You would think he would have learned with the McGahee contract. My only complaint with Ozzie is he places two much value on RBs. They have really become interchangeable parts in today's NFL.

**NC Raven** · 12-30-2013, 11:05 AM

Thanks -- I am not into the idea of cutting him. More thinking about whether we somehow got an extra million to play with under the 2014 cap by Rice not hitting the incentive. I think the answer is we don't -- because the incentive already was not factored into our 2014 cap figure in the first place. But I am not sure about that.

**wickedsolo** · 12-30-2013, 11:07 AM

Originally Posted by srobert96

I think that the deal was a 5 year 35m dollar deal and that the incentives would have pushed it to 40m. He carries 8.7m, 7.7 and 7.7m cap numbers for the remaining three years. Can't cut him until before the final year of the contract and at that it would still be a costly move from a cap perspective. I love Ozzie but this was a huge mistake. You would think he would have learned with the McGahee contract. My only complaint with Ozzie is he places two much value on RBs. They have really become interchangeable parts in today's NFL.

Pat Moriarty is as much to blame as Ozzie. Moriarty writes the contracts, which stipulate the monetary structure.

**B-more Ravor** · 12-30-2013, 11:23 AM

Originally Posted by wickedsolo

Pat Moriarty is as much to blame as Ozzie. Moriarty writes the contracts, which stipulate the monetary structure.

I can't blame Moriarty at all for this deal. If Rice is Rice and healthy, it's a good deal for the Ravens and more than favorable when compared to some of the other RB deals signed around that time.

The structure of the contract is solid. It's the giving of the contract itself that's the problem and that's not on Moriarty. That said, I don't recall a lot of fans complaining when the contract was signed.

**B-more Ravor** · 12-30-2013, 11:24 AM

Originally Posted by NC Raven

So my question is how much cap space do we free up (if any) by his not hitting these marks? Ravor I'm sure would know.

He only gets the incentive if he earns it and it only counts against the Cap if he earns it.

So, there's no savings by him not attaining it this year.

**srobert96** · 12-30-2013, 11:25 AM

Originally Posted by wickedsolo

Pat Moriarty is as much to blame as Ozzie. Moriarty writes the contracts, which stipulate the monetary structure.

I am more concerned with the decisions about RBs before they get to the contract stage. Ozzie loves him some stud RBs and seems unwilling to accept that they hit a wall about 5 years into their career. The contract they signed Rice to would have been great had he maintained his high level of play. They got him for roughly 7m a year which was less than what Foster got from Houston. The decision to sign him to a long term contract versus letting him play under the franchise and walk is the issue. Like many of us said at the time the contract was being done, no one is happy with their RBs after a second contract.

**NOLARavenFAN** · 12-30-2013, 11:43 AM

He earned the money in his rookie contract.....thats part of the deal, pay for performance, even if you pay to much in the backend. It works.....

**wickedsolo** · 12-30-2013, 11:44 AM

Originally Posted by B-more Ravor

I can't blame Moriarty at all for this deal. If Rice is Rice and healthy, it's a good deal for the Ravens and more than favorable when compared to some of the other RB deals signed around that time.

The structure of the contract is solid. It's the giving of the contract itself that's the problem and that's not on Moriarty. That said, I don't recall a lot of fans complaining when the contract was signed.

Isn't Moriarty in charge of structuring the actual deal?

And I was one fan that wasn't super excited about signing Rice to the deal. I think he is (was?) an awesome player. I just don't think the RB position is a position you give a ton of money to unless your name is Adrian Peterson.

**B-more Ravor** · 12-30-2013, 03:23 PM

Originally Posted by wickedsolo

Isn't Moriarty in charge of structuring the actual deal?

Yes. And, IMO, the structure of the deal - given the agreed upon totals, which isn't Moriarty's decision - isn't a bad structure. And, was a pretty reasonable deal at that time, given the terms of other RB deals.

If you want to talk about giving that kind of deal, that kind of total money, bonus money, etc, to a RB, that's up to Ozzie, not Moriarty.

**wickedsolo** · 12-30-2013, 03:46 PM

Originally Posted by B-more Ravor

Yes. And, IMO, the structure of the deal - given the agreed upon totals, which isn't Moriarty's decision - isn't a bad structure. And, was a pretty reasonable deal at that time, given the terms of other RB deals.

If you want to talk about giving that kind of deal, that kind of total money, bonus money, etc, to a RB, that's up to Ozzie, not Moriarty.

Right on. I thought moriarty had more of a hand in it.

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**GOTA** · 12-30-2013, 04:04 PM

The Ravens only had 2 playmakers on offense at the time. Would anyone have really been willing to get rid of 1 of them? Does anyone think that Harbaugh would have been okay with that just because he's a running back? There's no way. They were going to resign Rice. Now they have to figure out how to salvage this situation. Rice being on the team in 2014 saves more cap space than getting rid of him. He's going to be here so now they have to figure out how to make it work.