The Free Agent Acquisiion Budget (FAAB) system has more nuance and "chess-like" qualities that we love about our auction-style draft than the first come first serve basis. Teams are able to pay the value of a player, so for instance Desmond Jennings could command up to $40 when he comes to the majors, whereas Reed Johnson would only cost $1. This will allow teams to scheme more about their purchases and in general, provide more intrigue to the season.
Teams will still have an opportunity to replace lost players after they have exhausted their FAAB, but at a reduced leverage point (i.e. after the auction closes). Players to be purchased still follow any othe rules in our Baseball Rules document, this only affects the acquisition system. By the way, FAAB is pronounced as in faabulous!
Each week owners may bid in a blind auction on any player not already on another owner's roster (free agents). The auction closes 24 hours before the move deadline and reopens for the following week at the move deadline. Upon closing, each player with a bid will be awarded to the team that bid on him and the team will be debited the bid amount from the team's Free Agent Acquisition Budget (FAAB). Each team has maximum of $80 in their FAAB. The minimum bid for a free agent is $1 with increments of $1. Upon winning the bidding for a player, the team has the option of adding them to their active roster (known as purchasing them, bound by the rules in paragraph C), or dropping them immediately. All players for whom a team has won the bidding for must be paid for and debited from the FAAB, regardless of whether the team decides to purchase them.
If, regardless of whether a team has exhausted their FAAB, an active player goes on the injured reserve, to the minors, retires, or is otherwise removed from the major league roster, that team may make a post-auction purchase in any subsequent week to replace that player. The cost is $10 (debited from FAAB if available) and the player must not have been won in the auction during that week. There is no obligation under those circumstances to activate an available reserve player; however, a disabled or non-roster player may not be activated in order to obtain the additional purchase authorized by this paragraph.
All purchases and switches of player position must be directly communicated to the Commissioner's delegate in some form of communication. No player in the league will have access to the bids until the closing time of the auction. Upon that time, the Commissioner will notify all league members of the winning bids. The auction closes 24 hours before the purchase/move deadline. Purchases must be made by 4:00 PM, Monday or one half hour before the scheduled starting time of the earliest game to be played that day, whichever comes first, to be effective for the week commencing that Monday.