Constitution

       1.  Foundation
       2.  The Auction (off-season player acquisition)
       3.  Contracts
       4.  Free agent pick ups (in-season player acquisition)
       5.  Releasing Players
       6.  Trading
       7.  Roster Positions
       8.  Payouts
1.  Foundation
Managers will operate under a $300 salary cap for all of their roster management procedures throughout the calendar year.  The cap ceiling for the current year can never be exceeded (managers are allowed to project to exceed the cap ceiling for future years.)
2.  The Auction (off-season player acquisition)
Each off-season there will be an auction where unrestricted free agents will be sold to the highest bidder.  Each team will start with $260 in their auction budget minus the salaries of any players under contract for that season (as this is our first year and no players are under contract, we will all start with a $260 budget going into the draft).
3.  Contracts
All players fall into one of three categories:
    - under contract
    - restricted free agent
    - unrestricted free agent
Once the auction finishes and your roster is full, each player on your team wil be under contract. Before each season begins there will be a deadline when you need to decide whether or not you will give an extension to your players who are entering the final year of their contract.  Typically this would be done before the auction but our first season is unique in that we had no one from last year to offer extensions to.  In this case, all of your players will be entering their final seasons under contract.
In this league you may keep as many players as you want!  If you want to keep a player, he's always going to cost you either $5 more or $15 more the following season.  What determines whether it's a $5 increase or a $15 increase is their contract status.  
If you choose to offer an extension before the pre-season deadline (this year it's Saturday, April 4th), they'll cost you $5 more next year than their current salary this year (and $5 more for every year that you extended them).  Players cannot get more than two consecutive extensions from the same manager.  
Once the deadline passes, every player that did not get an extension will enter the final year of their contract.  You will still have that player for the upcoming season; remember, they're only entering their final year under contract, you aren't losing them yet.  But at the end of the season, they will become a restricted free agent.
Everyone gets first dibs at their restricted free agents before they enter the draft pool but if you want to keep them for another year(s) and offer them an extension, they will cost you $15 more than their most recent salary.  There are no limits to the length of the extension.  
Finally, if you choose not to extend the player at this point and no longer wish to keep him, he will become an unrestricted free agent and will be in the draft pool for the next year's auction.
Example of a typical contract scenario:  A player is won at auction with a $10 bid.  In the left hand column, the player is offered a 4-year contract after the auction, ensuring his cap hit goes up only $5 for each year he's under contract.  In the right hand column, the manager has given the player a 2 year deal after the auction.  The player plays out his first year at $10, and he enters year 2 - his final year under contract - at $15.  The manager decides not to offer an extention during the offseason, which means the player will become a restricted free agent at the end of year 2 and will cost $15 more to keep.  The player has a breakout season, and the manager decides to give him two more years.
Year
Cap hit if player is extended while under contract
Cap hit if player is extended as a restricted free agent
1
$10
$10
2
$15
$15
3
$20
$30
4
$25
$35
Free agent pick ups (in-season player acquisition)
Auctions will also determine in-season free agent acquisitions in the form of blind bids.  Managers will start each season with a minimum $100 FAAB.  If a managers doesn't spend their entire auction budget during the off-season auction, the extra money is applied to the FAAB.  
Each Monday, free agents who’ve had bids placed on them will be awarded to the highest bidder.  The winning bid will become the player’s one-year contract; all free agent acquisitions will become restricted free agents at the end of the season.  
Releasing players
Managers can release any player under contract at any time, but they may leave a penalty mark on your salary cap.
If the player's salary in the year of his release is $15 or less, there is no penalty to the team's cap and the contract is nullified.
If the player's salary in the year of his release is more than $15, the team that cut the player will incur a penalty equal to half of the player's salary in the year he was released for the life of the contract (salaries will not follow the standard $5 extension increase, they will stay frozen at the price when they were dropped).  In cases where the salary is an odd number, the number will be rounded up to the nearest whole dollar.
Additionally, for players whose salaries are more than $15 in the year of their release, the entirety of the contract will follow the player to free agency, meaning any team that wants to add that player will have to agree to the contract's length and salary.  
Example:  If a player is offered a four-year deal starting at $18 and is cut in the middle of the first year, the cap hit decreases to $9 for the remainder of year one and the $9 penalty remains on your books for years two through four (the life of the deal).  If that player were to be picked up in year three of the deal, the $9 penalty would come off your books and the $18 salary would be applied to the team who picked him up.  If the team elected to keep him, he would be $23 in year four.
Trading
Trades are allowed at any time with the stipulation that neither team exceeds the cap ceiling.  The teams will assume 100% of the contracts in the trade.  No trading fantasy money (aka cash considerations) is allowed.  
Roster
The roster will be comprised of: C, 1B, 2B, 3B, SS, OF(3), UTIL, SP(5), RP(3), P(1), BN(5), DL(4), NA (3)
The rosters have flexibility with big benches and big DL's because free agency only triggers on Mondays.  You can place bids at any point during the week for free agents, but they will only be assigned to their new teams on Mondays.  
The NA spots are for minor leaguers/prospects only.  Once that player is called up, he must occupy a non-NA spot on your roster.  If any player is sent back down to the minors they can slide back into the NA spot. All prospects will follow the same contract rules as previously laid out.
Payouts
12th place - pays $50
11th place -  pays $45
10th place - pays $40
9th place - pays $35
8th place - pays $30
7th place - pays $25
6th place - pays $20
5th place - pays $15
4th place - no action
3rd place - wins $30
2nd place - wins $80
1st place - wins $150

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