OXNARD, California — The Dallas Cowboys’ contract position with three of their stars continues to put them in a very difficult predicament.
Though their talks with the organization are at very different stages, linebacker Micah Parsons, wide receiver CeeDee Lamb, and quarterback Dak Prescott are all open to new contracts. The Cowboys will have three players on their roster who are among, if not the highest paid, in their position at the same time if all three are extended.
The three talks are linked together, and the Cowboys need to be aware of the cap maneuvers that will eventually be required in order to retain all three players in Dallas for the long run. Following our visit to the Cowboys’ training camp this week, the following is the information we were able to obtain from league sources:
To start, Prescott had a wonderful camp and looked great in the practice on Monday. When it comes to his own performance, the quarterback’s ability to ignore the business aspect has impressed the Cowboys.
Now, though, let us talk business. With his four-year, $160 million contract coming to an end, Prescott faces a special obstacle in his negotiations for an extension. Prescott will take a $55 million cap hit this season in addition to earning $29 million in cash due to empty years and a previous restructure.
An extension would extend that dead money into subsequent years, so from a cap standpoint, it is a far bigger hurdle to overcome. It is also distinct. Prescott is one of 19 quarterbacks who earn more than $30 million a year; none of them have committed to a second big-money contract with their current team. This is significant to mention because of the dead money issue.
And Prescott, 31, is one of just four quarterbacks over 30 who make an average of at least $40 million a year among the 16 players in that category. Over the previous year, the average salary for a franchise quarterback has increased to $50 million, if not more. However, none of the eight quarterbacks at that salary have turned thirty.
That is not to imply that the rule will not be quickly broken. It is just a standard bargaining stance on the team’s end.
Prescott has witnessed quarterbacks with worse statistical records rise above his contractual value; the current benchmark is $55 million per year. Prescott has been requesting more than that amount, which is his well-earned negotiation right, because his timing is so favorable.
Given the limit, it would actually be more financially prudent for the Cowboys to let Prescott’s contract expire at the end of the season in order to avoid carrying $26 million in dead money into the future. Logically speaking, though, this tactic might backfire as desperate teams looking to acquire a quarterback and the lure of the open market would force them to make bids that would surpass previous records.
Prescott is aware of that. He understands that the bank account will be alright with a little wait, even though he would definitely enjoy something more in line with market worth in cash this season. Recall that he has experienced all of this previously.
The Cowboys would give anything to hang onto Prescott for the remainder of another long-term deal. That is the reason they have been attempting to carry out an extension before the temptation of free agency increases.
Furthermore, a team that has won 36 regular-season games in the last three seasons—second only to the Kansas City Chiefs (37—is not like of the thought of starting over at the position. Although it has not translated into postseason success, the Cowboys’ general talent makes them contenders. Prescott assists that position solely.
The cap dynamics and leverage factors explain why it does not seem like the Cowboys and Prescott are close to reaching a contract at this time.
This one seems more intimate. Although there has been some improvement, Lamb and the Cowboys are still not expecting a certain outcome.
Lamb is refusing to go to camp unless he gets a better offer, and he has told the Cowboys as much. He is presently playing under the terms of the $17.991 million fifth-year option on his rookie deal.
The Cowboys are required under the collective bargaining agreement to pay Lamb $40,000 every day that he is at camp; however, those fines will probably be waived when a new contract is signed. The only reason these sanctions can be eliminated is because Lamb is still under contract as a rookie.
Lamb was second in the league last season with 1,749 yards, tied for third with 12 touchdown catches, and led the league with 135 receptions. Throughout his career, the 25-year-old, who was selected with the 17th overall choice in the 2020 NBA Draft, has increased his performance profile each season.
Lamb would undoubtedly make more than $30 million a year, making him the fifth member of a select group that also included Justin Jefferson ($35 million yearly) and A.J. Brown ($32 million).
Where Lamb should lie between Jefferson’s agreement and Brown’s contract is the difference. Jefferson signed a contract with a team that boasts a rookie quarterback and is largely considered as the top receiver in the league. Brown, an additional physically powerful wide receiver, signed his lucrative contract subsequent to quarterback Jalen Hurts’ signing. Tyreek Hill and Amon-Ra St. Brown, the other pair of $30 million wide receivers, are also paired with $50 million quarterbacks.
The guaranteed money could be the concession, as the Cowboys appear hesitant to hit Jefferson’s APY with Lamb. Brown’s three-year, $96 million extension includes $51 million fully guaranteed (about 53 percent), while Jefferson’s four-year, $140 million contract includes around $88.7 million fully guaranteed (about 63 percent).
If one were to pursue the two contracts, would a four-year agreement worth $30 million to $32 million a year, with 63 percent guaranteed, be acceptable?
Perhaps those are the most logical numbers. It would be beneficial to strike a compromise by tearing down the APY and raising the guarantees; this would aid in the Prescott negotiations. For this reason, it is possible that Lamb’s contract will be the first to be decided upon.
The Cowboys have been considering signing the defensive chess piece for a year, but for the time being it is on hold. The Cowboys have exercised his fifth-year option for 2025, although he is still eligible for an extension as he is in the fourth season of his rookie deal.
Naturally, before going all the way into the Parsons pool, the Cowboys have more important matters to attend to with Prescott and Lamb. However, waiting can come at a heavy price, as Parsons’ market value may increase, particularly if he has another strong, productive season.
With 40.5 sacks over three seasons, Parsons, 25, has been very steady, but what sets him apart as a second-level linebacker is his athleticism. Parsons’ value would decrease if the Cowboys played the semantic game and treated him like a space linebacker, but that will not happen.
Edge rusher Nick Bosa of the San Francisco 49ers set the standard last season when he signed a five-year, $170 million contract with $88 million fully guaranteed. The $34 million yearly standard will be the end goal, even if the league still appears to believe that Bosa is the better player.
However, Parsons should have every right to request Bosa money if he stays healthy. This is especially true given the recent cap inflation and the fact that he will likely be among the front-runners for Defensive Player of the Year.
The Cowboys will simply have to put up with that in the future. With Lamb out of camp and Prescott a more urgent issue, the organization needs to set priorities appropriately.
It is not hard to see a situation in which the Cowboys hire the highest-paid quarterback in the league, the top-two receiver, and the highest-paid defensive player in the end. The difficulty in maintaining this all-star team comes from the fact that, despite the players’ sacrifices, they are still looking at highly compensated individuals at every position.
(Photo of CeeDee Lamb and Micah Parsons: Richard Rodriguez / Getty Images
