Nationals Arm Race

Heeeee's back! Photo: AP via lehighvalleylive.com

Talk about a shock.  Everyone in the baseball world had Cliff Lee going to the Yankees (with a small minority believing that the lack of income taxes in Texas would keep him with the Rangers).  Now, news has broken that Lee is returning to the Phillies in a relatively affordable deal (all things considered).  5years, $120 (average annual value of $24M) with a 6th year easily attained.  He turned down longer deals from New York (reportedly 6years $132M with a 7th year player option at $16M) and Texas (a similar 6year deal with player option for 7th) to return to Philly, where he really enjoyed the clubhouse culture and the city.

Immediate thoughts (echoed in texts to Philadelphia friends earlier today):

1. The Phillies are *really* stacked.  A rotation where Roy Oswalt is your 4th starter??  That’s sick.  Though they’ll probably line up the rotation to go R-L (Halladay, Lee, Oswalt, Hamels).  Their 5th starter is now either Blanton or Kendrick, meaning they have spare parts to trade to teams needing pitching.
2. Lee joins a team that won 97 games last year and significantly improves the rotation.  Does this mean the Phillies are on their way to 105-106 wins?  Perhaps; Lee is such an upgrade over the starter he’s basically replacing in the rotation (Jamie Moyer), but the Phillies have lost Jayson Werth in the middle of their order.  Ibanez isn’t getting any younger and its no guarantee super-stud prospect Dominic Brown can provide the offensive replacement they need.  But, baseball is becoming a pitcher’s game and the Phillies just bought the biggest arm out there.
3. Phillies GM Ruben Amaro re-acquires the same guy he mortgaged his upper farm system for two years ago.  Only this time for no prospects lost (just his 1st round draft pick).  I know that nobody will be saying this, but clearly the return of Lee means that the Phillies screwed up royally by letting him go in the first place.  Luckily nobody will care as long as they’re still winning, still making the playoffs and still competing for the world series.  And, in the end it may not matter because reports from scouts say that the Phillies lower farm teams (rookie and low-A) are stacked with talent and the team will naturally replace some of these aging free agents (guys like Polanco, Ibanez, perhaps even Victorino) with cheaper alternatives and keep payroll in check.
4. The Yankees are in seriously big trouble.  Their entire off-season depended on upgrading a very vulnerable rotation with Lee.  Right now their rotation has one sure thing (Sabathia), one retirement question mark (Pettitte), one promising rookie with little track record (Hughes), one possible massive FA bust (Burnett) and … who knows?  I don’t think a trade for Greinke or Garza is possible for the Yankees; Greinke may not be the best fit in NY and Tampa may not be wise to trade Garza intra-division.  Plus, do the Yankees even have prospects worthy of tempting these two teams?  Joe Lemire posted very similar thoughts to mine vis-a-vis the yankees today as well.
5. Lee’s contract, tacked onto the massive contracts for Howard and Halladay may very well serve as a boat anchor for this team in a few years.  I’ve posted in the past about free agent pitcher contract values and clearly a $24M/year AAV is going to be incredibly difficult to earn.  Even if Lee wins 20 games in every season of the contract the Philles are still not getting good value on their money.  Cot’s site isn’t fully updated for even Howard’s extension but the Phillies right now have about $80M committed in 2013 to FOUR players (Howard at $20M, Halladay $20M, Lee $24M and Utley $15M).  That’s not exactly a lot of flexibility of one of those guys gets badly injured.

Since this is a Nats blog, how does this affect us?  Besides the obvious (the Phillies clearly will be that much more tough to beat for a divisional title for the next few years), this move means the Nats may have a much tougher time acquiring Greinke or Garza.  Both Texas and New York now will bet the farm on those two starters, and the Nats will not be willing to match the prospect drain that Kansas City and Tampa Bay (respectively) will be demanding in return.

And lastly the really obvious; competing in the NL East just got that much harder for this team.  If the Phillies are going to act like the Yankees in acquiring high-end FA an Payroll … the Lerners better start acting more like Boston and less like Baltimore.  $60M in payroll isn’t going to cut it anymore; try $120M.  The Werth signing in many ways seemed like a desperation signing, a quick attempt to regain some fan interest in this town and offset the loss of Adam Dunn.  But Werth alone isn’t going to help this team.  We need more hitting, better pitching, better players.  Honestly we really just need time to get our high-end prospects though the system … but can we wait until 2013 to compete?

The team is entering its 7th year in Washington, a team notorious for NOT supporting its professional teams unless they’re successful.  Baseball isn’t like football, where national TV contracts and salary caps essentially mean a team can compete equally whether they’re in New York or Kalamazoo.  In baseball you have to generate your own revenue and make your own luck.  You have to spend money or spend time (and risk alienating the entire fan base) while getting better.  For the Nats, who wasted 3 years of good will and a brand new stadium being stingy and thinking that the product on the field didn’t matter … they have no choice.  They need to be successful NOW to stem the flow of season ticket cancellations and attempt to be relevant in this town.