Money Bag

Must-click link: how team owners are allowed to lie about their financial losses

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This is a basketball item in its genesis, dealing with the New Jersey Nets’ financial documents and inspired by the NBA lockout, but it is relevant for baseball and all other sports as well.

Over at Deadspin, Tommy Craggs, using some older Nets docs, explains how team owners are allowed to list player salaries on their balance sheets twice, thereby dramatically inflating their on-paper financial losses. The little trick — thanks to a specious tax loophole argued for and obtained by Bill Veeck back in the day — allows them to cry poor when it’s time to do battle with the players’ unions at collective bargaining agreement time.

Well, the players unions know about this little tax loophole too, so it’s more about crying poor to the gullible media and gullible fans, but you get the idea.

The specifics here are quite instructive, but even if you don’t care about Craggs’ use of the specifics Nets’ documents, you should at least read the piece to understand that this sort of manipulation of the facts on the ground is a trick that sports owners have been using for years, be it in labor talks, threats to move or contract teams or in their efforts to obtain new stadiums and/or other incentives from local governments and tax payers.

You shouldn’t take anyone’s word about anything when money is involved, but boy howdy, be extra, extra dubious of anything the owner of a sports team tells you when he has his hand out.

Must-Click Link: The Turbulent Final Year of Yordano Ventura’s Life

KANSAS CITY, MO - OCTOBER 23:  Yordano Ventura #30 of the Kansas City Royals reacts in the sixth inning while taking on the Toronto Blue Jays in game six of the 2015 MLB American League Championship Series at Kauffman Stadium on October 23, 2015 in Kansas City, Missouri.  (Photo by Jamie Squire/Getty Images)
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The Kansas City Star has covered the death of Yordano Ventura and its aftermath in a thorough, thoughtful, respectful and admirable fashion and it has all been compelling to read, even if it’s often been difficult to read. Their latest story may be the most difficult, though it is nonetheless essential.

It covers the final year of Ventura’s life which, sadly, was tumultuous. He had become estranged from his family. He was married to a woman who, at the time of the ceremony, was still married to her first husband and whose family, allegedly, later made threats against Ventura that we’re only now learning about. This includes allegations of armed men accosting Ventura at his home near the Royals spring training facility a year ago. An incident which led to him missing time due to “flulike symptoms,” but which, in reality, caused him considerable mental distress. He was again threatened, it is claimed, in Kansas City during the season. There is also an allegation that Ventura attempted suicide via an overdose of Benadryl, though that is disputed.

Beyond that, there is an arc to the end of Ventura’s life which sounds unfortunately familiar. It’s a story of a young man whose life changed dramatically in a very, very short period of time and who struggled at times to process the changes. Were it not for a fateful drive on a dark and winding road one night in late January, they all could’ve been things that, as his career matured, he could look back on as learning experiences. Now that he’s gone, however, they form the final, tragic chapter.

Report: Royals and Eric Hosmer have discussed a long-term contract extension

SAN DIEGO, CA - JULY 12:  Eric Hosmer #35 of the Kansas City Royals and the American League rounds the bases after hitting a home run against the National League in the 2nd inning of the 87th Annual MLB All-Star Game at PETCO Park on July 12, 2016 in San Diego, California.  (Photo by Denis Poroy/Getty Images)
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Ken Rosenthal of FOX Sports reports that the Royals and first baseman Eric Hosmer have discussed a long-term contract extension. However, Hosmer also indicated that he will head into free agency if a deal is not consummated by Opening Day.

Hosmer, 27, avoided arbitration with the Royals last month, agreeing to a $12.25 million salary for the 2017 season. He is one of four key Royals players who can become a free agent after the season along with Mike Moustakas, Alcides Escobar, and Lorenzo Cain. If Hosmer does reach free agency, he would arguably be the top free agent first baseman.

Hosmer finished the past season hitting .266/.328/.433 with 25 home runs and 104 RBI while making his first All-Star team.