Prescott’s status, salary cap biggest hurdles in offseason
DALLAS — The offseason questions about whether Dak Prescott has a future with the Cowboys can officially begin Tuesday.
That’s the first day NFL teams can place a franchise tag on a player. Prescott and the Cowboys would like to reach a long-term deal, something that’s eluded them for two seasons.
Whether the Cowboys place a franchise tag on Prescott for the second consecutive year, costing them $37.7 million, or come to terms on a long-term deal, there is one thing slowing things up: salary cap space.
The Cowboys just don’t have it. At least for now.
There is an estimated $19.4 million in salary cap space, not enough to sign Prescott to a franchise tag or a long-term deal, and also sign draft picks and free agents.
It will all change in the coming weeks as the Cowboys begin the process of cutting and restructuring contracts of players.
Last year, the Cowboys restructured the contracts of left tackle Tyron Smith, right guard Zack Martin and defensive end Demarcus Lawrence, creating almost $27 million in salary cap space. A majority of that was part of a carryover into 2021 as the Cowboys anticipated a lower salary cap. The floor currently for the 2021 salary cap is $180 million. If that doesn’t change, that’s a reduction from the $198.2 million for the 2020 season.
If not for the coronavirus pandemic, causing reduced league-wide revenue, the salary cap would have increased by $10 million.
A salary cap over $200 million would be a benefit for the Cowboys in their attempts to secure Prescott to a long-term deal.
But that’s not the reality of the NFL world right now.
The Cowboys need to get space, if they want to keep Prescott.
Restructuring the contracts of wide receiver Amari Cooper ($14.2 million in savings), running back Ezekiel Elliott ($6.8 million) and right tackle La’el Collins ($5.6 million) would create more than $26 million in salary cap space. Lawrence and Martin could also become candidates for a restructure once again.
A restructured contract doesn’t mean a player is taking less money, it just turns his expected base salary into signing bonus and adds an additional year to his contract.
In the cases of Elliott and Cooper, the two highly paid veterans could be ex-cowboys sooner if not for restructures. If Elliott is on the roster March 22, his 2022 salary of $12.4 million becomes fully guaranteed. A restructure would make it harder to release him sooner and reduce any cap savings. Cooper’s 2022 salary of $20 million becomes fully guaranteed if he’s on the roster in March 2022. And like Elliott, a restructure reduces future cap savings.
The question you face as a franchise: Is restructuring Elliott and Cooper, knowing at least one of them could be off the books in 2022, worth it to get Prescott signed?
Cutting players is the other way space is created.
Releasing punter Chris Jones would open $2 million in cap space, something that could happen with the resurgence of Hunter Niswander late in the 2020 season.
If linebacker Jaylon Smith were designated as a post-june 1 cut, it would create $7.2 million in savings. It seems doubtful the Cowboys release their leading tackler when they’re in need of a scheme change, which is occurring in 2021 under new defensive coordinator Dan Quinn.
But the Cowboys can restructure Smith’s contract, opening up $4.65 million.
Going younger on defense by not re-signing veteran linebacker Sean Lee and defensive backs Xavier Woods and Chidobe Awuzie also would reduce the amount of money the Cowboys utilize against the cap. The Cowboys can re-sign one of these players on a shorter deal, as well. Giving one of their defensive backs, Woods or Awuzie, a long-term contract doesn’t seem feasible.
In free agency, the Cowboys are normally not big spenders, preferring to sign veterans on short-term contracts. With a smaller salary cap, the free-agent market might be slow for the Cowboys, given what they’re trying to do at quarterback.
These are difficult decisions for a franchise that’s encountered problems in signing the face of the franchise.
The Cowboys have until March 9 to place the franchise tag on Prescott, a move that would prevent him from hitting the free-agent market. Free agency starts March 17, and it wouldn’t make sense to let Prescott see what’s available to him on the open market.
Of course, the Cowboys can end all this potential drama by reaching a long-term deal with their starting quarterback. Even if Prescott signs the franchise tag, the two sides have until July 15 to reach a new deal or he’ll play on a one-year contract, coming off a fractured ankle that’s been surgically repaired twice.
Whatever occurs, finding the cap space to make Prescott QB1 in 2021 is probably the most important thing the Cowboys do.