According to the MLS Web site, the league has decided to add to its designated player rule.
Effective immediately, teams will now have two designated player slots, and an option to buy a third.
The third slot, it seems, would cost a team $250,000 – money that would be shared as allocation money among the clubs without three DPs.
The release reads, “each DP player signing will now count as $335,000 toward a team’s salary budget and $167,500 if the DP is signed mid-season. According to the league, the $335,000 figure represents approximately 13 percent of a team’s salary budget. Previously, teams were charged $415,000 against the salary budget per DP. A team can also use its allocation money to bring that salary budget hit down to just $185,000.”
So, in the wake of an off-season of labor strife, this has to go down as huge news for the league.