Joined: May 2022
Posts: 768
Likes: 502
No, this is terrible actually. That's too much cap to hide. Makes it pointless. A potentially fifteen-million cap exemption on a cap of 83.5M is ridiculous.
BUT there ought to be a soft cap and luxury tax to a slightly raised hard cap. Say 100-105% beyond the soft cap gets taxed at 2-to-1. So if the soft cap is 83.5M, then big market teams can spend up to 87.675M to the hard cap if they are willing to pay a tax of (up to) $8.35M in real dollars. Floor goes up by 5% also.
75% of the tax collected goes straight to revenue sharing. 25% goes into community events and marketing aimed primarily, but not only, in smaller markets.
This gives teams like Toronto/NYR/Montreal/Boston who print money a chance to over spend by a small but helpful amount. They can make the team better or bury contracts easier. Low-revenue teams get more revenue-sharing, and the NHL puts effort into marketing beyond press releases and commercials improving existing markets. You can go over the soft cap by $2 million to extend your core player, but it's going to cost you 2 million salary and 4 million in luxury tax to help the poors and grow the game. Whatever the cap calculates out to be add 5% to let the spenders spend.
Big markets get some flexibility. Let them spend their money. Five teams dominate revenue right now. Let them spend some extra if willing to do so. Small market teams get a mechanism for enhanced revenue sharing. The NHLPA gets a greater number of financially-healthy teams willing to spend above the floor (which is also now higher).
If five teams spend up to the new hard cap, that's over 31 million extra cash into the revenue sharing pot and over $10 million into community marketing beyond digital and TV ads. Let people (especially kids) who have never picked up a stick get sticks in their hands and have some fun. Free events like tours with the Cup, small pop-up mini-ball-hockey rinks and skill challenges, school visits with retired-players, grants to youth hockey programs, etc. They had a Cup tour for the Centennial year, and it was great. Kids loved it. People who had never held a stick were playing games and skill challenges and having fun. They should be doing things like that all-year, every-year. You don't need the Cup (though that was a big draw for people who were already hockey fans) to have a community event.