After yet another marquee signing, it is time to talk about the what the Dodgers spending spree means going forward
This is a Nationals blog, and almost exclusively dives into Nationals content, but the Dodgers spending spree has become impossible to ignore. The longterm implications of this will be felt for years to come. It effects all teams, not just the Dodgers.
Today, the Dodgers signed Tanner Scott, the best reliever on the market. This comes on the heels of signing the best international free agent Roki Sasaki, signing an ace pitcher in Blake Snell, and bringing back Teoscar Hernandez, one of the best hitters on the market. The Dodgers spending comes following last offseason, where they spent over a billion dollars. Their luxury tax bill is now in excess of $375 million, before getting into all the deferrals.
Compared to teams like the Nationals, the Dodgers are playing a different game. Yes, we all want Mark Lerner to spend more money, and the Dodgers spending should not be an excuse for owners to pinch pennies. However, there are only a couple teams that can operate the way the Dodgers do. The Padres tried to keep up financially for a while, but are now facing financial difficulties.
A key to this is the Dodgers TV revenue. They make $334 million per year in TV money, a number that dwarfs the Nationals $64 million. In leagues such as the NFL and NBA, there are revenue sharing agreements that prevent this kind of thing. Teams such as the Nationals are not even close to being on a level playing field with the Dodgers, who have bought an All-Star team.
This spending spree is going to lead to a big fight down the road. After the CBA expires following the 2026 season, we could be in for a rough ride. Conversations about a salary cap and a salary floor are certainly going to be on the table. The system of deferring money that the Dodgers have exploited so well will also be up for debate.
This is going to be one of the defining issues in baseball over the next decade, and it will effect all baseball fans, not just Dodgers fans. In my opinion, a good compromise would be an NBA style salary cap and floor system, that allows some wiggle room, but does not allow for a Dodgers type situation.
The current system is struggling to hold up due to the sheer amount of wealth some teams have. However, when this CBA expires, there are definitely going to be big changes. It is time to talk about the Dodgers because their activity has now become highly relevant for fans of all 29 other teams.