First-Year Player Draft (MLB Rule 4 Draft) Signing Bonus Pool

There is a maximum limit on the aggregate amount of money that each club can pay as signing bonuses to players selected in a First-Year Player Draft (MLB Rule 4 Draft) before penalties begin to accrue.

Prior to the Rule 4 Draft, each MLB club is assigned a “Signing Bonus Pool” (SBP) equal to the aggregate pre-assigned bonus value of all of the club’s draft slots in the first ten rounds (including supplemental & compensatory draft picks). The higher the slot, the higher the bonus value. (The collective MLB SBP is determined in advance by calculating industry revenues).

The Cubs 2015 Rule 4 Draft SBP is $7,236,100.

If a club fails to sign a player selected in the first ten rounds (including supplemental draft picks), the value of that slot is deducted from the club’s SBP. There is no bonus value assigned to draft slots after the 10th round, but if a club pays a signing bonus in excess of $100,000 to a player selected in the 11th round or later or to a player eligible for selection who was not drafted, the amount of that bonus in excess of $100,000 is deducted from the club’s SBP.

If a club exceeds its SBP in a given Rule 4 Draft, a tax will be assessed and future Rule 4 Draft picks could be forfeited, depending on how much the club exceeded its SBP. (The club’s 1st Round draft pick in the next Rule 4 Draft is forfeited if the club exceeds its SBP by 5-10%, its 1st & 2nd round draft picks in the next Rule 4 Draft are forfeited if the club exceeds its SBP by 10-15%, and the club’s 1st Round picks in the next two Rule 4 Drafts are forfeited if the club exceeds its SBP by more than 15%).

Money collected from the tax on clubs that exceed their SBP will be distributed to qualifying clubs as Revenue Sharing funds, and forfeited draft picks will be reassigned by lottery. (Any club that exceeds its SBP is excluded from the lottery).

Recent comments

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  • Rick Renteria was a great idea! Seriously! I feel bad for the guy, although it happened the way it had to.

  • Hey, whatta bout me?

    -Ian Stewart

  • ....and Theo thought EJax, Sveum and Ricky were good ideas. Win some, lose some.

  • I thought he was better than Archer?

    /f u Hendry

  • The Padres signed RHP Trey McNutt to a minor league contract...

  • Yeah, she's a good egg. The whole superdelegate thing is shady as fuck though.

  • the perks of being a big fundraiser model representative citizen.

    honestly, though...the dnc could do worse and she's involved in all kinds of dem party stuff.

  • I didn't realize Laura Ricketts is a superdelegate.

  • pretty much...also agree that it wouldn't surprise me to see him land with the cubs, too.

    the trade to free up room for him would be interesting.

    it would help if he didn't play such a mixed-bag CF. he's anything but sure out there with his wacky routes.

    the O's are favored because of links for weeks and they're about to land y.gallardo (giving up that draft pick).

  • holy crap...j.mejia got busted AGAIN for PEDs.

    3rd time...lifetime ban.

    at one point he was the "closer of the future" (and the actual closer) for the mets. 26 years old. unreal.

  • I agree with what you said, but isn't it so weird that the White Sox are not linked to Fowler? They seem like an ideal fit.

  • oddly...or not...fowler's been strongly linked to the O's lately.

  • Olmos takes another 40 man roster Roulette bullet. The new lefty will be gone when Fowler comes back.

  • seen him in the minors...rather boring lefty. really slow secondary stuff (very slow slider) and a fastball that barely hits 90 on a good day.

  • The Cubs have claimed C.J. Riefenhauser LHP on waivers from the Orioles. Edgar Olmos was again DFA.

  • They should have someone standing behind him to take the ball out of his glove when he's looking for a sign from the catcher, and throw to first. I vote for Baez. That way he can cover the rest of the infield, too.