Nationals Arm Race

Photo by Doug Benc/Getty Images North America

As posted by other bloggers today, October 28th 2010, (especially in this post here on the Nationals Enquirer which rather eloquently titles their posting with the obvious consequence of Dunn’s Elias rating), the Nats dodged a huge bullet and will be fully compensated if Adam Dunn decides to leave via free agency (that is well, unless they do the unthinkable and fail to offer him Arbitration).  The official Elias Rankings came out and previous estimates on Dunn were slightly low (resulting in panicked posts by yours truly and others about his being a type B free agent and thus making our entire mis-handling of the contract extension even more egregiously bad).

Now, based on the rules of compensation (as explained in the Kilgore’s Nats Journal blog posting today), the first 18 picks of the 2011 draft are protected (usually first 15 but there’s a few compensation picks in there from failed draft picks in 2010).  So, IF Dunn is leaving (and the prevaling opinion seems to lean that way despite all realistic arguments against it…), what the Nats now root for is a team in the “bottom” half of the first round to be the signing team.  If this happens, we’ll get their 1st rounder AND a supplemental pick.  Otherwise we’re looking at the supplemental pick plus the signing team’s 2nd rounder.  That’s not nearly as nice of a haul frankly.

The first round draft order for 2011 goes like this, thanks to mlbtraderumors.com

Here’s the thing though; if Dunn is going to leave, then he needs to go to a team that:

a) Needs a first baseman and

b) Is REALISTICALLY in the market for Free Agents in general, and

c) Makes more sense for him to leave the Nationals for.  As in, why would he go from one last place team to another, unless the Nats insultingly refuse to offer him anything more than a 2yr deal.

Here’s a quick rundown on NL teams and their 1st basemen situation.  We focus first on the NL because of Dunn’s repeated statements that he’s not interested in becoming a full time DH.

• Nym: Ike Davis: an up and coming prospect, had a nice 2010.
• Phi: Ryan Howard: long term contract, anchor of the franchise.
• Fla: Gaby Sanchez: could be upgraded but it doesn’t matter, they’re not FA buyers.  Never are.
• Atl: Derrick Lee, who is a FA.  Troy Glaus also a FA but was awful this year. Could be a buyer, looking for a slugger to help them make the leap from WC to divisional champ.  Or they could depend on up and coming prospect Freddie Freeman.  Not listed as players in any of the early Free Agency predictions though.

• Stl: Albert Pujols; franchise player, obviously.
• Mil: Prince Fielder.  Milwaukee’s franchise player until his eventual trade/FA saga next season.
• Cin: Joey Votto; MVP candidate and not yet even to arbitration.  Best bargain in baseball right now.
• Chi: it was Derrick Lee til they traded him to Atlanta.  Possible FA buyers.  See below.
• Hou: it was Lance Berkman til they traded him.  But are they FA buyers?  I don’t think so.
• Pit: Garrett Jones: doesn’t matter, they’re not FA buyers; they’re the reason baseball has revenue sharing.

• Lad: James Loney: cost contained and home grown.  plus no FA $$ spent until ownership divorce settled.  Some reports seen saying they’ll trade Loney and go after Dunn, but sounds doubtful.
• Sdp: Adrian Gonzalez; San Diego’s marquee player.
• Sfg: Aubrey Huff: a FA and SF desperately needs hitters.  BUT Huff may have earned an extension based on his post season exploits both at bat and in the field where he’s a plus defender.  And the Giants (by virtue of a number of awful contracts) are payroll bound for the next few years.  Not major shoppers.
• Col: Todd Helton; signed through 2011, which will be the last of his 9 year contract.  His production is declining but they’ll want to stay flexible enough to go after the bumper 2011 1st basemen FA crop of Fielder, Gonzalez, and Pujols.  Won’t go after Dunn but will seek a 1-year FA.
• Ari: Adam LaRoche, who is a FA, but Arizona’s new GM values defense and doesn’t like Dunn.  Plus, they do have a decent 1B prospect in Brandon Allen.  Not buyers.

So, if he goes anywhere in the NL I think it could be either Atlanta, Chicago or (maybe) San Francisco.  Chicago already has some serious payroll issues and an underperforming team but has a ton of cash.  SF may not have the payroll flexibility to buy Dunn despite really needing him.  Atlanta only has $60M committed next year and has a bunch of arbitration cases … but they’ve spent over $100m on payroll as recently as 2 years ago and may expand it out again.

Adding in AL teams, looking at 1B solutions (I can’t see him signing up for a team that will ONLY DH him, so we have to look at teams where he splits time between 1B and DH).

• Bos: Kevin Youklis/Victor Martinez; but have a serious need for a DH if they don’t resign David Ortiz.  Interesting off season for Boston.  If they cut loose the legendary Ortiz, I can see them letting Beltre go, putting Youklis at 3rd, and then going after Dunn and selling him on splitting time between 1st and DHing when Victor Martinez needs a blow.  That’s an awful lot of “ifs” to work out though.  Update: The RedSox exercised the 2011 option on Ortiz, presumably removing them from the equation.
• Nyy: Mark Teixeira.  Plus, don’t the 2011 yankees have like 8 guys who might need to DH periodically?  My favorite subplot of the next few years is how the Yankees handle their aging core of players.  Jeter, A-Rod, Rivera, Posada, Pettitte and Rivera are all on the wrong side of 34, all make a ton of money and all need a position to play.  Where exactly does Jeter go when he cannot play SS anymore?
• Tam: Carlos Pena, a FA who will be allowed to walk.  However, Tampa won’t buy Dunn b/c they’re in massive payroll reduction mode.  I’m sure they’ve got some uber hitting prospect who will contribute an OPS+ of 140 next year.  They do have their 2010 minor league player of the year Dan Johnson, who hit THIRTY homers in AAA in just 98 games but he hasn’t exactly torn it up in his MLB experiences.
• Tor: Lyle Overbay, a FA who is 34.  Can’t see Toronto buying an aging FA w/ new GM in town who is focused on building the team the right way.
• Bal: Ty Wiggington: another aging mediocre FA.  Dunn would be *perfect* in Baltimore and at Camden, but are Orioles buyers?

• Det: Miguel Cabrera; locked in and coming off a great year.  However, they have nearly $60M coming off the books and may be looking for someone to bash and protect Cabrera.  Would mean that Dunn becomes a full time DH.
• Cws: Paul Konerko, a FA coming off a career year.  But, the consensus seems to be that the CWS won’t pursue Konerko (he’s 34 and clearly should start declining).  A dark horse candidate for Dunn.
• Min: Justin Morneau; franchise player, long term contract.
• Kc: Billy Butler; player of the future.
• Cle: Matt LaPorta, the future of this team right now and bounty from the CC Sabathia trade.

• Laa: Kendrys Morales; a key hitter whose injury helped derail their 2010 season.
• Oak: Daric Barton: up and coming hitter, only 24 but they’d never buy Dunn unless it was to flip him later.
• Sea: Russell Branyon/Casey Kotchman but they have Justin Smoak coming up (bounty for Cliff Lee).
• Tex: Had a rotating door post Smoak trade between castoff Cantu and rookie Chris Davis, but their 2009 minor league player of the year Mitch Moreland seems to have taken hold of the position.  9 homers in 47 games down the stretch plus he has come up huge in the post season.  Not buyers.  No wonder they were OK with letting Smoak go.

There’s many more AL options.  In various scenarios he could make sense for 5 or 6 AL teams.  At least Chicago, Baltimore, Boston, or Toronto.  Tampa if they weren’t going cheap.

My personal odds/guesses in order on where Dunn may go:

1. Chicago Cubs: makes the most sense and are already politicking for him.  However, rumors on the street at the start of free agency seem to indicate that the Cubs are standing pat.  They have new ownership in 2010 and a bunch of bad contracts.  After such an awful season how can the owners be compelled to throw good money after bad?
2. Chicago White Sox: instead of the North Side, he moves to the south side.  Some of the Foxsports.com team belives he’s heading here.  The White Sox won 88 games last year and may be looking to upgrade (and get younger) from Konerko.  Yes its AL, but he’d clearly be the first baseman.
3. Re-signs w/ the Nats; less likely since Rizzo can’t see the forest (40 home runs) for the trees (Dunn’s defensive liabilities).  And, he has to be insulted by the hemming and hawing that went on all season (not to mention the constant trade rumors, which clearly irritated him as the summer progressed).  There has been a 3-year deal on the table since at least August but Dunn has resisted.

Lesser possibilities but which could arise.

4. Atlanta: if the braves don’t trust prospect Freeman, they make perfect sense and Dunn would be walking into a playoff team ready to take the next step.
5. Houston; a return home  … but I don’t think they’re really shopping.
6. Detroit: A couple of Fox sportswriters seem to think he’s heading to Detroit.  If he does, its clearly a signal of defeat on his part because he’d immediately be a full time DH.
7. New York Yankees.  The Yankees do have a slight need for a DH, but it would take convincing Dunn to completely give up playing in the field as the Yankees are already stacked with future DHs.
8. Baltimore; Dunn may reach 700 career homers if playing in Camden Yards for the next 5 years with its short porch.  But, as mentioned before, if he decides to leave Washington (an up and coming franchise that could actually contend by the time his contract ends), why would he go to a place like Baltimore?  Baltimore is the 5th best team in a division that shows no signs of ever having an off year.  In fact, why would ANY marquee free agent ever go to Baltimore?
9. Oakland: listed by Ben Reiter as a dark horse for Dunn’s services.  Don’t see it.

Now, IF Dunn is absolutely leaving … who are the teams we’d be “rooting” to sign him?  Boston is best, but Atlanta or SF would be great too.  If he goes to these locations we’d own a mid-20s first rounder plus a supplemental.  If he goes to Chicago or Houston, we’re looking at a supplemental and an early 2nd rounder (or worse if these teams decide to sign TWO type-A free agents and the other is higher ranked than Dunn.  Under this scenario we’d get a supp-1st and the signing team’s 2nd rounder.  Not good).

So, the entire principle behind NOT signing Adam Dunn during the summer was the 2 draft picks we would acquire (the signing team’s 1st pick and a supplimental) after he declines our arbitration offer.

Check out this link at mlbtraderumors.com.  If this site is correct, and the analysis is accurate, then Dunn has fallen just below the threshold and is now a Type B Free Agent.

From a Nats standpoint, this is an unmitigated Disaster.  Now not only is there more incentive for other teams to sign him,there’s even LESS incentive for him to take a deal from us.  And, we’ll get merely a supplimental 1st pick.

Unless the entire 2010 season was just a charade and we plan on signing him anyway.  Per Boswell there’s a 3-year deal on the table now.  But if you’re Dunn, you HAVE  to see what is out there right now, right?

Assuming that he does not consider AL teams, as he has stated he wants to continue to play the field, here’s a quick rundown on NL teams and their 1st basemen situation:

NY: Ike Davis; up and coming prospect
PHI: Ryan Howard: long term contract
Fla: Gaby Sanchez (doesn’t matter, they’re not FA buyers)
Atl: Derrick Lee, who is a FA.  Troy Glaus also a FA but was awful this year. Could be a buyer.

Stl: Pujols
mil: Prince Fielder
Cincy: Joey Votto
Chi; it was Derrick Lee til they traded him.  Possible FA buyers.
Hou; it was Lance Berkman til they traded him.  But are they FA buyers?  I don’t think so.
Pitt: Garrett Jones (doesn’t matter, they’re not FA buyers)

LA: James Loney: cost contained and home grown.  plus no FA $$ spent until ownership divorce settled.
SD: Adrian Gonzalez
SF; Aubrey Huff: a FA and SF desperately needs hitters.
Col: Todd Helton; not the greatest hitter anymore but signed through 2013.
Ariz: Adam LaRoche who is a FA but I sense Ariz is rebuilding and not FA buyers

So, if he goes anywhere I think it could be either Atlanta, Chicago or San Francisco.  Chicago already has some serious payroll issues and an underperforming team.  SF may not have the payroll flexibility to buy Dunn despite really needing him.  Atlanta only has $60M committed next year and has a bunch of arbitration cases … but they’ve spent over $100m on payroll as recently as 2 years ago and may expand it out again.

Adding in AL teams, looking at 1B solutions (I can’t see him signing up for a team that will ONLY DH him, so we have to look at teams where he splits time between 1B and DH).

Bos: Youklis/Victor Martinez
NYY: Teixeira
Tampa: Carlos Pena, a FA who will be allowed to walk.  However, Tampa won’t buy Dunn
Tor: Lyle Overbay, a FA who is 34.  Can’t see Toronto buying an aging FA w/ new GM in town.
Balt: Ty Wiggington: another aging mediocre FA.  But are Orioles buyers?

Det: Cabrera
CWS: Paul Konerko, a FA coming off a fantastic season; i see him resigning here.
Minn: Justin Morneau
KC: Billy Butler
Cle: Matt LaPorta, the future of this team right now and bounty from the CC Sabathia trade.

LAA: Kendrys Morales;
Oak; Daric Barton: up and coming hitter, only 24.
Sea: Russell Branyon/Casey Kotchman but they have Justin Smoak coming up (bounty for Cliff Lee).
Texas: Jorge Cantu/Chris Davis; rotating door post Smoak trade, but Mitch Moreland is prospect of the future.

So, from what I can tell there’s only really 4 AL teams that even have FA spots at 1B.  Chicago (resigning Konerko), Tampa (not FA players), Toronto (are they FA buyers?) and Baltimore (why would Dunn go to a WORSE team than Washington?)

I still see him focusing on the NL.  Based on this … Dunn seems like he may have options in the NL, which means our chances of having him accept a 3 year deal with us less likely.  Not good news for us in 2011.

Sports writers and baseball analysts have been beating the drum for years for some sort of payroll system modifications in baseball.   Especially in recent years with the dominance of the Yankees and Red Sox, who have been 1-2 in total salary for a while and have both made the playoffs more often than not in the past decade.  Last year was especially bad, when most of the playoff spots went to big market, big teams.  Great for playoff rankings, bad for most of the teams in the league.   The Yankees spent nearly SEVEN times as much in payroll entering 2010 than Pittsburgh; how can that be equitable?

Well, don’t look now but if the season ended today, as pointed out in this USAToday Article, only two of baseball’s top 10 salaried teams would qualify.  Most of baseball’s current 8 playoff teams are from middle-of-the-road payrolls.  There are two notable outliers: Texas comfortably currently sits atop the AL West with the 27th largest payroll and San Diego, with the 2nd LOWEST payroll in the majors, leads the NL west.  (See this google xls I put together briefly to show teams by record rank, playoff position and salary at the beginning of the season).

Each time a team like Tampa, San Diego or Texas competes well with the big boys, it makes it harder to implement some sort of reform.  Especially since you can look at each of the top tier payroll teams that are NOT in playoff contention right now and excuse their season.

• #2. Boston: still have the 5thbest record and would be leading most any other division.  Lots of injuries, transition year away from expensive older vets like Ortiz and Lowell, $10M in dead money.  Theo keeps talking about a transition year; he’s biding his time before he can re-do the team in the image of the 04 and 07 teams.
• #3: Cubs: over paid for Soriano, Zambrano underperforming, Fukodome bad signing.  Just not well constructed team.  Hendry on the GM hot seat.
• #4: Philadelphia: great team, killed by injuries and inconsistent pitching.  You wonder how badly the Lee trade bungling will hurt them in years to come.  I still think they’ll overtake Atlanta, especially now that Chipper is done for the season.
• #5: Mets: how does Minaya still have a job?  They seem to spend money because they have it, not because they acquire good players.  Oliver Perez, Jason Bay god awful signings, and just Santana and Beltran cost more than the San Diego Payroll annually.
• #6: Tigers: you have to hand it to the Tigers owner, who purposely over spent b/c his town was so badly hurt in the economic crash.  But he has some very expensive players tied up (Cabrera, Verlander, Guillen) for a number of years and their role players aren’t good enough.  Dark Days ahead for Detroit.

So, the #1 payroll team has the best record and the #30 payroll team has the worst record.   But the teams in between aren’t acting like we expect.  Is this Moneyball re-incarnated?  Well no.  Billy Beane’s teams success in Oakland was less about his OBP-centric stats drafting and more about the three starting pitchers (Zito,  Hudson, Mulder) his teams were graced with (as pointed out in this excellent Buzz Bissinger article).  What it does point out is that good GMs (even the wealthy ones in NY and Boston) are starting to value the draft pick and the young player and are becoming better and better at drafting them.  San Diego and Texas both kept payroll low, traded away vets, accumulated draft picks.  Texas easily has the best farm system in the majors and now has a powerhouse team for very little money.  This is exactly the same blueprint practiced for years by Florida and Tampa, though Texas has shown they are not afraid to buy talent at the deadline (something the panhandle state teams never do and thus one of the reasons why neither team really has any appreciable fan following).

So, what should base ball do?

1. Should there be a salary cap?  Well, yes I think so.  I think the Yankees have a totally unfair player advantage over the rest of the league and it shouldn’t be possible to have 4 times the payroll of a team within  your own division.  But i have no idea how to implement it.

2. Should there be a salary floor?  Well, no.  Because teams like Texas, Florida, San Diego, Tampa and (in years past) Oakland have consistently shown that you can build great cheap teams by depending on player development, drafting and having an entire team of pre-arbitration or arbitration-eligible guys.  You can’t force a team to spend money just to achieve an arbitrary salary floor.  Plus you have to allow teams to blow things up and start over (essentially what Toronto is doing now) and try to build for the long run.