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PLAYING MINOR LEAGUE BASEBALL

A GUIDE FOR AMATEUR PLAYERS

By Stephen J. McLoughlin

Q: Where does the minor league teams get their players?

A: Most of the players at the Rookie Level and Short Season A are signed after being drafted in
the June Free Agent Draft. Players are also signed as non-drafted free agents and also through
the international scouting as free agents.

Q: How do baseball teams draft amateur players?

A: Teams draft amateur baseball players in the Amateur Baseball Draft. The amateur baseball
draft is held via conference call with all 30 clubs, which is emanated out of the Commissioner's
Office here in New York. The draft will end after 50 rounds, which should take about two days.

The first day, June 7, begins at 1 p.m. and will conclude at 6 p.m. ET. Following the completion
of that day's selections, the round-by-round results will be found on the Major League Baseball
Web Site.

The second day, we will begin at noon ET, and it is scheduled to end at 6 p.m. ET. Someone
with the Commissioner's Office announces which team's turn it is to pick. The team has two
minutes to select a player. The team continues to remain in the draft, until they pass, until they
have finished making their picks, or until the draft is over.

Q: Who is eligibile for the June Free Agent Draft?

A: Graduating high school seniors, all junior college players, players that have completed their
third year of college, and players that have turned 21 years of age within 45 days of the draft.
College players that have dropped out of school can apply for the draft by writing the Baseball
Commissioner's Office no later than March 20.

Q: How long does the draft last?

A: The draft is limited to 50 rounds plus "Compensation Picks" after the first round for off-
season signing of Major League free agents. Usually the draft will last about 20 rounds are
completed on the first day, and another 20 rounds on the second day. There are sandwich picks
between the first and second rounds based on players who have signed a contract with a new
club as a Major League free agent.

In addition to teams who are compensated for losing that free-agent player with this sandwich
pick, a pick is also provided for that club which failed to sign their first-round pick from the prior
year.


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Q: How important is a pre-draft work out to where I go in the draft?

A: This is often the last chance you have to impress the teams scouts and the workout will be in
front of the Scouting Director and the team's General Manager. So an impressive showing can
help your draft status.

Q: How will I know if I am drafted?

A: The scout responsible for your selection will contact you by a phone call immediately after
you have been selected.

Q: What rights does the selecting team have?

A: The team that selected you has the sole negotiating rights to you and must submit a written
minor league contract to you within 15 days of your selection. Failure to do so, terminates their
negotiating rights and the player will be a free agent and on the open market for contract
negotiations. The drafting team has to August 15 to sign the player.

Q: Which is better to sign out of high school or after college?

A: That should be decided on a case by case basis. Questions that you should consider are how
high did you go in the draft, how much of a signing bonus has the team offered you, how good
of student are you, what college are you planning to attend, do you have a baseball scholarship
from that college and what is it worth, and how good of a baseball program does the school have.

Q: I have been drafted after my junior year in college what should I do if I don't like the team's
signing bonus offer?

A: First make certain you are playing that summer in a summer collegiate league? If you do
come to terms and sign a minor league contract your playing ability will suffer the first couple
weeks because you have not been playing in a while. Also the drafted team frequently increases
is signing bonus offer if you are playing extremely well in a summer collegiate league. Eric
Milton went to the Cape League and threw two one hitters and one no hitter and convinced the
New York Yankees he was well worth what he was asking for. J.D. Drew convinced St Louis he
was well worth the Major League Contract he was asking for by tearing up the Independent
Northern League in 1997 and 1998.

Q: When should I return to college after being drafted after my junior year?

A: Only if the drafted team is not willing to pay for your senior year in college. College senior
tend to get half the signing bonus what a college junior would get drafted in the same round.
Teams know you are a year older and can't really bargain and give you a take it a leave it offer.

Q: When can fifth-year senior sign contracts?


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A: As soon as you finish your last class in college, you are eligible to sign a minor league
contract.

Q: Can I price myself out of the draft?

A: Yes. Teams not only draft on talent but signability. Many teams will not draft a player they
classify as unsignable by asking way more than market value.

Q: Does attending a top 25 school baseball college increase my chances of being scouted?

A: Yes, You have a better chance of being scouted at a Top 25 Division 1 because the scouts
will be there to see other previously drafted players on your team. Keep in mind scouts will go to
any place if they feel there are players that are potential Major League Ballplayers whether it at a
large Divison 1 or a tiny Division 3 college. It is just much easier to evaluate players playing
against strong competition. Attending a national ranked college doesn't make you a prospect,
showing Major League tools does.

Q: Should I hire an advisor or agent?

A: You should seek the assistance of an advisor or agent if you are drafted high in the draft,
usually the first 5 rounds.

Q: How much do advisors or agents charge?

A: The standard rate for advisors is 4%-5% of your signing bonus. Some may charge less or no
fee until you reach the Major Leagues.

Q. What do advisors or agents do for me after I sign a minor league contact?

A. Generally, advisors arrange to have your annual tax returns done for you and provide you
with equipment such as gloves, shoes, and bats at their expense. Advisors or agents also keep in
contact with the teams minor league director about your status with the organization, what the
teams plans are for you, and what your role in the organization is, and will be. Advisors or
agents do not have much power to negotiate your minor league salary since the team basically
pays you what they want to pay you and your only recourse is to either ask the team for a release
or retire. The team has the right to renew your minor league contract, which is a 1-year contract,
for 6 years after you sign. After that time, you become a minor league free agent and your agent
or advisor can market you to other teams and negotiate a contract on your behalf.

Q. How about the NCAA rules regarding agents and advisors?

A.


Q: What is the chances of a player signing a minor league contract reaching the Major Leagues?


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A: About 10% of players that sign a minor league contract will play one game at the Major
League level.

Your Chances Of Reaching The Major Leagues By Round:

1. Round 1: 66%
2. Round 2: 49%
3. Round 3-5: 32%
4. Round 6-10: 20%
5. Round 11-20: 11%
6. Round 21 +: 7%
7. Non Drafted: 4%
8. Foreign Players: 7%

Your chances of reaching the Maor Leagues by Playing Level:

1. Triple A: 73%
2. Double A: 33%
3. Class A: 15%
4. Short-Season A: 9%

Q: What are minor league salaries like?

A: First year players get paid $1,100.00 per month, regardless of where they are drafted or what
level they are playing at. Many teams have a graduating minor league salary scale based on
service and playing level that pre-determines their salary after the first year. In addition, players
get an extra $14- $18 per day meal money when they are on the road, depending on what level
they are playing at. The current salaries per level are as follows:

1. First Year: $1100 per month
2. Class A: $$1250 per month
3. Class AA: $1350-$1450 per month
4. Class AAA: $1500-$2000 per month

Q: Do players get health insurance?

A: Minor league players are fully enrolled, at no cost to themselves unless they have dependents,
in the minor league insurance program from the time they report after signing. Players are also
covered under the laws of the Worker's Compensation Act for injuries while playing.

Q: Where do players live?

A: Most players because of the size of their salary, players typically live 2-4 to an apartment. At
the rookie level many of the players live with host families.


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Q: What costs do the teams pay for?

A: The Major League teams pay all the player's transportation costs between their home of
record and their minor league city at the beginning of the season and the end of the season. They
also pay for the transportation costs if a player changes teams during the season. The club
provides full uniforms along with bats, balls, catching gear, ect. A player will only have to
provide his shoes and glove.

Q: What is minor league travel like?

A: Travel conditions vary from league to league based on the distances between cities.Teams
will communte any trip within two hours of their home city. Longer trips will involve staying
overnight in hotels. In some leagues, spending 6-8 hours or more on a bus is a regular event as
teams moves from series and city to city. Many trips at the Double A and particularly the Triple
A levels are by plane.

Q: What is the turnover rate in the minor leagues?

A: Each year teams draft and sign about 45-50 players and release the same number or 25-30%
turnover rate. Fifty percent of the players drafted in any given year are out of the system after 2
years.

Q. What are Minor League Baseball Contracts like?

A. When an amateur baseball player is drafted, he signs a standard Minor League Uniform
Player Contract when entering into the minor leagues. The contract has to be approved by Major
League Baseball and has specific language for the Signing Bonus amount, Incentive Bonus Plan,
and College Scholarship Plan, that cannot be changed or it will not be approved by Major
League Baseball.
The drafting team under Rule 4 (E) of the Professional Baseball Agreement must make a formal
standard minor league contract offer to every draft pick within 15 days of selection in the
amateur baseball draft.
The standard Minor League contracts last only for 1 GUARANTEED YEAR but can be
exercised or renewed at the original signing teams discretion for a period of SIX YEARS. This
means that the team that signs the player controls the rights of the drafted player for 6 years after
signing. SO AFTER YOU SIGN YOUR MINOR LEAGUE CONTRACT, THE TEAM THAT
SIGNS YOU HAS EXCLUSIVE RIGHTS TO YOU, AS A PLAYER, FOR SIX (6) YEARS,
unless you get released or you retire. And once you sign a professional baseball contract, you
are no longer eligible to play college baseball as an amateur player.

Minor League Free Agent: Players who have not been placed on the teams 40-man roster
after 6 years can file for free agency and can then sign with any teams they chose. Players can
ask a team for a release at any time, but the team doesn't not have to grant the release.


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Undisclosed Injury: Paragraph 17 section B of the Minor League Contract gives the team the
right to void the contract and cancel all financial arrangements within the first 30 days of the
contract should the player have had a previously undisclosed injury when signing the contract.
Negotiate to have the team waive this clause by a pre-signing physical by the teams
physician.

Signing Bonus: When a player signs the contract, he receives an agreed upon signing bonus.
The signing bonus must be paid in full by December 31 of the calendar year following the
signing of the minor league contract. The contract must be submitted to Major league Baseball
Office of Commissioner for approval. Payment of signing bonus cannot be made until it gets
MLB Office of Commissioner's approval. Most teams start making signing bonus payments after
September 1.

Players who has a written college scholarship offer in another sport like football or basketball
can have his payments of his signing bonus spread out over a five-year period as part of a
contractual guarantee than he limit or exclude his participation in that other sport.

Incentive Bonus Plan: The Incentive Bonus Plan was created back during the first days of the
amateur baseball draft. The Incentive Bonus Plan states that the player will receive a bonus of
$1,000 after completing 30 consecutive days at the Double-A level, $1,500 after the same
amount of time at Triple-A and $5,000 after 30 consecutive days in the Major Leagues.

College Scholarship Plan: Teams can agree to participate in the Professional Baseball College
Scholarship Plan with the player in connection with the players attendance at an accredited
college of his choice for a maximum amount of semesters, not to exceed a certain amount per
semester.

In the early 1960s, the Major League Baseball Clubs established the Professional Baseball
Scholarship Plan (the Plan) to help baseball players further their college educations. Many
players enter the Major or Minor Leagues before starting or completing their college educations.
The Plan has been successful in assisting and motivating players to further their scholastic
careers. To ensure the Plans continued success, Baseball needs the cooperation of the
participating players. This guide is designed to give those players who are Plan participants
detailed information on how the program works.

How does a Plan participant qualify for benefits?

The Plan provides benefits to those players who had negotiated for participation in the Plan as
part of their first professional Minor League Uniform Player Contracts.
To be eligible for benefits, a participant must be enrolled and attend classes at an accredited
college/university or junior college in pursuit of an undergraduate degree. The maximum number
of semesters allowed is eight; the maximum number of quarters/trimesters is twelve.

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The Plan does not cover trade, vocational or graduate schools. A participant pursuing any of
these courses of study will not qualify for benefits under the terms of the Plan.
What is the maximum amount that will be reimbursed per semester or quarter?

The maximum reimbursable amount is determined by the amount specified in the participants
first Minor League Uniform Player Contract.

EXAMPLE: If the participants contract provides that the participant is allowed a maximum of
$3,000.00 per semester, and the participant attends a school on a semester system, the maximum
amount of actual expenses that will be covered for that semester is $3,000.00. If the participant
attends a school on a quarter/trimester system, the maximum amount of actual expenses that will
be covered is 2/3 of $3,000.00 per quarter/trimester. Two semesters at $3,000.00 per semester is
equivalent to three quarters or trimesters at $2,000.00 per quarter or trimester.
If the participants actual expenses are less than what the participant is allowed per semester, the
participant will only be reimbursed up to the total of the participants actual expenses. Any
difference between what is paid for actual expenses and what is allowed under the participants
contract will not be carried over to future school terms.
What expenses are covered under the Plan?

The Club is liable up to the maximum semester allowance for the participants cost of tuition,
fees, room and board (both housing and meals) and textbooks (not included are computers,
calculators or materials other than textbooks) required for the course of study.

Who is responsible for payment of a participants Plan expenses?

Generally, the original Club that signed the player will be responsible for the payments under the
Plan, even if the player plays for different organizations throughout his career.
How are participants reimbursed under the Plan?

Te teams prefer to be billed by the college directly. All bills and statements covering
reimbursable expenses for a semester should be submitted at one time, if possible.

If the participant is required to make payment, the participant must submit the receipts
verifying that the bills have been paid. Reimbursement checks will be made out to the
participant, not to parents or other third parties.

To facilitate payment upon enrolling in school, participants should submit a statement stating the
name of the school, the number of credit hours being taken and whether the school operates on a
semester or quarter/trimester basis. The statement should include a listing of all actual allowable

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expenses and an indication as to whether or not such actual expenses have been paid. The
statements should be sent to the Clubs College Scholarship Plan administrator.
What is a full-time student?

A full-time student is defined as one who is enrolled and attending a college/university or junior
college, taking a minimum of 12 credit hours for a semester term or 10 credit hours for a quarter
or trimester term, while in pursuit of an undergraduate degree.

What is a part-time student?

A part-time student is defined as one who is not taking the required minimum number of credit
hours for full-time status. To be eligible to receive benefit from the Plan, a participant enrolled
part-time must take a minimum of six credit hours for a semester term or five credit hours for a
quarter/trimester term, while in pursuit of an undergraduate degree.

What effect does part-time status have on a participants Plan benefit?

Any part-time student shall receive a pro-rata reimbursement of allowable expenses based on the
following example:

EXAMPLE: A participant who enrolls for seven credit hours for a particular term will only be
allowed a maximum of 7/12 of his semester allowance that term or 7/10 of his quarter/trimester
allowance. If 7 credits are taken, only 7/12 of a semester or 7/10 of a quarter/trimester will be
deducted from the number of semesters/quarters specified in the participants contract.

How is a participant residing off-campus reimbursed for living expenses?

If a participant resides off-campus, the participant shall be reimbursed through the college, if
possible, limited to the extent the participant would have been charged for on-campus residence.
If the school does not have room and board facilities, the participant will be reimbursed at the
rate of $15 per day.

To qualify for reimbursement of room and board expenses, the charges must be verified in a
statement by the college/university. The meal charges will be based on a semester/quarter meal
plan.

A participant who lives off-campus may qualify for the $15 per day allowance by presenting the
following documents to the Club (1) a copy of the participants signed lease or a letter from the
landlord verifying that the participant is a tenant, (2) a receipt from the landlord showing that the
participant has paid the first months rent and (3) written verification by the college/university of
the first day of class and the last day of class. The participants allowance will then be based on
the number of days the participant is in attendance at school for the term. Total room and board
allowance, however, when added to the other covered expenses, may not exceed the designated
amount per semester or quarter stated in the participants contract.


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There is no reimbursement for room and board if the participant lives at home while attending
school.

When does a participants eligibility for the Plan expire?

There are four reasons a participants college scholarship plan may expire:

1. If a participant fails to commence studies within two years of the participants last day of
active playing service (independent leagues that are not affiliated with Major League
Clubs do not count as active service);

2. If a participant commences studies under the Plan after the participants last day of
playing service and then fails to attend college within two consecutive years of the last
college attendance;

3. If a participant is placed on the Ineligible List; or

4. If a participant completes study for a bachelors degree prior to using all of the benefits
available under the Plan.

If a participant is released or retires, is the participant still eligible to participate in the Plan?


Yes. A participants unconditional release, retirement or placement on the Military List shall not
relieve the Club of its obligations to pay for the scholarship under the terms of the Plan.

How does the coordination between the Incentive Bonus Plan and the College Scholarship Plan
work?

If a participant earns benefits under the Incentive Bonus Plan, and has previously been paid
benefits under the College Scholarship Plan, such benefits shall be deducted from the amount
due under the Incentive Bonus Plan. Any remaining Incentive Bonus Plan balance will be paid
directly to the participant.

If a participant becomes eligible to receive benefits under the College Scholarship Plan and has
previously been paid benefits under the Incentive Bonus Plan, such Incentive Bonus Plan
payments shall be deducted from any amounts due under the College Scholarship Plan. Any
remaining balance, up to the cost of the players actual expenses for that term, will be paid
directly to the player or university.

What if a participant decides to attend a college/university and play in another varsity sport?

It is possible for a participant to sign a contract with a Major League Baseball Club and retain
eligibility for participation in intercollegiate sports other than baseball (e.g., football, basketball,
track, etc.).

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Under NCAA rules, a player who wishes to participate at the college level in a sport other than
baseball and who is eligible for the Plan under the terms of the players contract, would lose
college eligibility for such second sport if the Plan payments are made directly to the players
college. In order for a student athlete to avoid the loss of eligibility, and still be able to collect
amounts due under the Plan, the student must pay the educational costs to the school and then
seek reimbursement from the Plan, rather than having the Plan directly pay the college.

What if a released player decides to attend a Junior College and wishes to play baseball?

Under NJCAA rules, an individual who was released from a Minor League baseball contract
after participating in Minor League baseball for no more than 90 days and at a level no higher
than Class A, may be granted eligibility to compete in baseball at any NJCAA member college.
Any participation past the first 90 days shall make the student ineligible at NJCAA schools.

A player should check with the NCAA or NAIA about what eligibility rules those governing
bodies have for released baseball players.

Miscellaneous Provisions:

Airfaire: The minor league contract provides roundtrip coach airfare at the beginning and end of
the season for every minor league player.

Meal Money: Every player at every level is also given $20 per day on the road for meal money.

Raises: If a player remains in the same league for a second season, he is awarded a small $100-
300 per month raise.

Equipment: Some MLB teams will provide minor league players with a pair of shoes and a
glove upon signing. Rawlings also signs many minor league players to glove contracts once they
begin playing.

Instructional League and Major League Spring Training Invites:

Side Letters can be negotiated to include automatic call up dates to the major leagues, waivers to
the 30 day medical clause, transportation for the player's parents, and invites to instructional
league and major league spring training.






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Exhibit A
Questionaire Concerning Signability

1. I would seriously consider signing if drafted in the following Rounds.

- 3 Yes___ No___ Comments__________
- 7 Yes___ No___ Comments__________
8 - 12 Yes___ No___ Comments__________
- 18 Yes___ No___ Comments__________
- 50 Yes___ No___ Comments__________

2. In which round group do you honestly believe you should be drafted in?__________

3. Bottom line round (for fair round money) in which you would consider signing?

4. Bottom line financial needs (if round does not matter) expected for you to sign?

5. What expectations do you have of the draft?

6. What questions do you have of the draft?

7. If drafted in the proper rounds, your decision not to sign would be based on what?

8. If drafted, will you have a representative advising you?










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Exhibit B
College Scholarship Plan
Date: ___________________________________________
________________________________________________
(Club)
________________________________________________
(Player)
Agree that club will pay on behalf of the Player certain expenses under the Professional Baseball
College Scholarship Plan, as specified herein, in connection with Player's attendance at an
accredited college of his choice for a maximum of ___________ semesters, not to exceed
$_____________________ in any one semester. This College Scholarship Plan is hereby made
part of the parties' Uniform Player Contract, which may not be altered in any manner.
SEMESTERS If Player is enrolled as a full-time student in a college on the quarter system, he
shall be allowed two-thirds of the semester allowance in each quarter for covered expenses. If
Player is enrolled as a full-time student in a bi-semester or tri-semester system, he shall be
allowed the full amount of the semester allowance in each semester for covered expenses.
COVERED PAYMENTS: (reimbursable amount based on actual expenses)
Payments of up to the maximum amount per semester shall be made if Player is:
1. Enrolled in a full-time course (minimum of ten credit hours if on a quarter system; or
twelve credit hours if on a bi-semester or tri-semester system) at an accredited college or
university.
OR
2. Enrolled part-time (minimum of five credit hours if on a quarter system; or six credit
hours if on a bi-semester or tri-semester system) at an accredited college or university in
pursuit of an undergraduate degree. Any such part-time enrollment shall be approved by
the Commissioner in advance of registration. The Commissioner shall reduce the
maximum allowable reimbursement for the semester on a pro-rata basis for each credit
hour taken in a part-time enrollment, based on a twelve hour semester system.

COVERED EXPENSES: (reimbursable amount based on actual expenses)
The expenses for which College Scholarship Plan payments may be applied shall be limited to
the cost of tuition, textbooks, fees, except scholarship payments may also be used for room and
board if the Player does not live at home. If Player resides off campus, he shall be reimbursed,

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through his college, if possible, to the extent he would have been charged for on campus
residence. Player shall receive a living allowance not to exceed $15.00 per day.
NON-COVERED EXPENSES: In no case shall Player be reimbursed for: transportation to and
from college, automobile parking charges, medical insurance or infirmary charges, laundry or
garment cleaning, clothing, umbrellas, furniture, lamps, calculators, book bags, computer
hardware or software, typewriters, etc.
WHEN CLUB RELIEVED of PAYMENTS: Unconditional release of Player or his placement
on the Military List shall not relieve Club of the obligation to make College Scholarship Plan
payments. The Club shall, however, be relieved of such obligation should Player:
1. Fail to commence his studies within two years of his last day of active professional
playing service.
2. Commence his studies during his professional playing career and fail to attend college
within two consecutive years after Player's last day of professional playing service.
Participation by Player in Instructional League or Winter League play shall constitute the
only reason for tolling the time limitation.
3. Commence his studies under the College Scholarship Plan within two years of his last
day of professional playing service, and fail to attend college within two consecutive
years of his most recent college enrollment.
4. Be placed on the ineligible list.
LIABILITIES FOR PAYMENT: The original signatory Club shall continue to make the Plan
payments even if the Player's contract is selected by, or assigned to, another Club; provided,
however, that, in case of assignment otherwise than by selection or on waiver claim, the assignee
Club may agree, through a statement set forth in the assignment agreement, to undertake to make
any payments which accrue subsequent to the date of such assignment.
ADMINISTRATION: The College Scholarship Plan shall be supervised by the Commissioner,
or by an administrator appointed by him, and all payments made under the Plan shall be made by
the Commissioner or by such administrator, but the Club liable for payments in accordance with
the above paragraph shall reimburse the Commissioner's Office promptly upon receipt of billing
to cover such payments. All payments under the Plan shall, where possible, be made to the
college attended by the Player.
COORDINATION OF BENEFITS BETWEEN THE INCENTIVE BONUS PLAN AND THE
COLLEGE SCHOLARSHIP PLAN: In the event the Player has never before signed an approved
contract and his Uniform Player Contract contains both an Incentive Bonus Plan and a College
Scholarship Plan, the following coordination of benefits shall apply:

1. The extent that Player earns benefits under the Incentive Bonus Plan, and has previously
been paid benefits under the College Scholarship Plan shall be deducted from any amount
due under the Incentive Bonus Plan. Any remaining balance earned by a Player, in excess

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of benefits received under the College Scholarship Plan, shall be paid directly to the
Player.
2. To the extent that Player becomes eligible to receive benefits under the College
Scholarship Plan, and has previously been paid benefits under the Incentive Bonus Plan,
such benefits received under the Incentive Bonus Plan shall be deducted from any
amount due under the College Scholarship Plan. Any remaining balance due to the
Player, in excess of the benefits received under the Incentive Bonus Plan shall be paid
directly to the Player or the college.
It is intent of this coordination of benefits that, to the extent earned, the cumulative benefits
received under either the College Scholarship Plan or the Incentive Bonus Plan will offset any
cumulative amounts due under the other Plan.

(signed)_____________________________________________________
(Authorized Club Official)

(signed)______________________________________________________
(Player)