Yankees To Pay $30 Million Luuxury Tax

[Yavin4]

This is the reason why the Yankees didn't sign Beltran in the off-season. So, the luxury tax scheme is working somewhat. Also, the Yankees paid $25 million last year. That means for the past two seasons, the Yankess have given back to baseball $55 million.

For fans of small market teams, you should be asking your owners what are you doing with the luxury tax income that you're getting from the Yankees? Why aren't you using that money to build a farm system or at least try to keep some of your stars or go after a low level free agent. Also, keep in mind that each team in MLB gets money from ESPN's and Fox Sports TV contracts as well. Moreover, there's increased revenue sharing from local receipts as well.



More info on the luxury tax and revenue sharing: http://www.businessofbaseball.com/summary2002cba.htm

[rkc3]

1. I know for a fact the Pirates have plowed their share into getting

a good power hitter and strong-armed outfielders.

Sweet Jeebus it sucks being a baseball fan in Pittsburgh.

[AllegroRondo]

2. The Brewers blew their money

on getting the Diamondbacks infielders. Actually worked out OK for them last year.

[HuckleB]

3. Well, the Brewers haven't won since the day before April 15.

"Tax day." So I'm starting to wonder just what's going on?

[StopTheMorans]

4. "For fans of small market teams, you should be asking your owners what are

you doing with the luxury tax income that you're getting from the Yankees?" 55 million split over 2 years for all of the small-market teams in baseball is a drop in the bucket. like George said last week, he pays for the greatest team in baseball. I think it's hilarious that a team that spends nearly twice as much as the team with the next closest payroll hasn't won since 2000 :rofl:

[Yavin4]

5. How Many "Small-Market" Teams Are There?

1 - Pittsburgh
2 - Milwaukee
3 - Oakland
4 - Tampa Bay
5 - Arizona?

That's really only five teams. That leaves $11 million per team. Take that $11 million. Add revenue from ticket sales, TV (cable, national, and local), radio, licensing, and increased revenue sharing, and what you get is quite a significant amount of revenue. Enough revenue so that these teams can field competitive teams.

"I think it's hilarious that a team that spends nearly twice as much as the team with the next closest payroll hasn't won since 2000

Um, no. The team with the next highest payroll is the Boston Red Sox at $160 million. Twice that amount would be $320 million. The Yankees' payroll is $200 million.

[KitchenWitch]

6. Depends upon what you consider small market

You could add:

Kansas City
Minnesota
Cincinnati
Cleveland
Colorado
San Diego
St. Louis

All of these, and the ones you listed have markets of under 3 million people.

Edited to delete awkward wording


BTW Arizona has the largest of the above markets with over 3 million people.

[KitchenWitch]

7. dupe

GRRR