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Clarifying Miguel Montano's Contract Situation

Miguel Montano has flashed lots of potential during his time with the Seattle Sounders, but not enough to justify what was apparently a significant transfer fee. (Photo by Otto Greule Jr/Getty Images)

Today we learned that the Seattle Sounders have chosen not to purchase Miguel Montano's contract from Argentinian side Quilmes. Although it has been pointed out that he is still essentially on trial with the Sounders and could still make the roster, I thought it would be worthwhile to get some some more clarification.

In talking to Sounders GM Adrian Hanauer, I'd say there's still a pretty good chance that Montano is brought back for at least this season on another free loan. I was also left with the clear impression that purchasing Montano's contract was always a bit of a longshot, at least based on what Sounders officials have seen of him so far.

As we learned when the Sounders brought in Alvaro Fernandez last year, transfer fees count toward a player's salary cap figure. Last year Montano was here on a free loan and made about $40,000. This year, he might make as little as $32,600 and none of that would count against the team's salary budget. If the Sounders had purchased Montano's contract, whatever they spent would have been prorated over the life of his contract along with his annual salary. Spending as little as $60,000 to buy his contract would have likely meant that Montano had to occupy one of the 20 senior roster spots. It should come as little surprise to anyone paying attention to the Sounders this preseason that there's a bit of a roster crunch and that flexibility is one of the major considerations.

More importantly, none of this means that Montano is unlikely to remain with the Sounders. Hanauer said they still like Montano's potential and he seems to have a good chance of making the team. It's also worth noting that since the Sounders have not owned Montano's rights at any point, Quilmes could have moved him all along. On some level, all parties involved seem reasonably satisfied to allow this situation to continue.

That the Sounders chose not purchase Montano's contract really doesn't appear to be an indication of anything other than the facing of the reality of MLS roster rules. In any case, this will most likely be resolved very soon considering the season starts in less than a week.

Comment 19 comments  |  1 recs  | 

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useful piece of journalism

(at least if you’re a Seattle soccer geek). thanks man.

by PeterJH on Mar 9, 2011 8:13 AM PST reply actions  

I wasn't

worried regarding the Montano situation. Although there was some panic and angry people thinking montano won’t be coming back and demanding Seattle sign him.

by gstommylee on Mar 9, 2011 8:16 AM PST reply actions  

Wasting his time

Montano is wasting his time and ruining his career here. He’s got a ton of talent but there’s no way he’s going to develop it sitting on the bench with no games to hone his skills and a coaching staff that thinks he’s arrogant (what 19 year old professional athlete isn’t arrogant?).

by Fishmush on Mar 9, 2011 8:45 AM PST reply actions  

He will

get playing time in the Reserve League games.

by gstommylee on Mar 9, 2011 8:47 AM PST up reply actions  

No playing?

he is training every day with the starting sounders, playing in CCL and open cup games and now as Fishmush pointed out playing in reserve league games. You can question whether those games are as valueable as games he could be playing as a starting 11 player somewhere (where?) but he is not being wasted sitting on the bench.

Scoreboards, not billboards.
Regular season, not pre-season.

by lysander on Mar 9, 2011 8:49 AM PST up reply actions  

Wasted or not

He is free to leave and Quilmes is free to move him. Yet here he is. Don’t fool yourself into believing he’s got lots of better options. He’s getting much better exposure here playing in occassional games, training in top-notch facilities and practicing against world-class players than he’d be getting almost anywhere else.

Editor/writer at Sounder at Heart, North American soccer editor SB Nation and of course follow me on Twitter

by Jeremiah Oshan on Mar 9, 2011 9:26 AM PST up reply actions   1 recs

So transfer fees apply to the salary cap?

Does that mean that Flacco is no longer on a DP contract?

by Tohoya on Mar 9, 2011 9:59 AM PST reply actions  

Flaco IS still a DP

Transfer fee’s are averaged over the entire length of a players contract and THEN apply to the salary cap. For example, if Flaco’s tranfer was $1,000,000 and his contract was 4 years at $100,000 per year, his Cap hit would be $350,000 per year ((1,000,000 / 4) + 100,000 = 350,000)

by DarthGreedo on Mar 9, 2011 10:15 AM PST up reply actions  

that's correct

Editor/writer at Sounder at Heart, North American soccer editor SB Nation and of course follow me on Twitter

by Jeremiah Oshan on Mar 9, 2011 10:38 AM PST up reply actions  

It sounds like another way to put a drag on signing DP's.

If you could count the entire transfer fee in the first year, it would be less of a cap hit in subsequent years.

by Coug1990 on Mar 9, 2011 11:28 AM PST up reply actions  

i hope his loan gets extended

Also rosales has been added to the team roster on the official sounders website

by Sandra_R on Mar 9, 2011 10:53 AM PST via mobile reply actions  

Don't get excited about what's on or not on the official website

That’s more about interns and random data entry than anything official from the club.

Nos Audietis

by sidereal on Mar 9, 2011 3:52 PM PST up reply actions  

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