A Key KC Chiefs Decision Is Set Aside by Patrick Mahomes’ Contract Restructure

Do you recall the day when the Kansas City Chiefs were struggling with a salary cap? Now that Patrick Mahomes has a deal, that issue is resolved.

As numerous reports revealed on Tuesday, the reigning champions have once again renegotiated the contract of their star quarterback. The move provides Kansas City somewhat more than $20 million in salary cap room for the upcoming season, without delving into the specifics of how the process operates. At this point, the Chiefs are around $15 million short of the cap.

That satisfies the club’s urgent need for cap compliance. On Wednesday, March 13, at 4 p.m. ET, the NFL season officially begins; teams must be under the salary cap by then. Thanks to Mahomes’ restructuring, Kansas City won’t need to make any impromptu decisions in order to balance the books.

However, taking a broader view, the Chiefs are now faced with a decision: What should they do with that additional cap space? There’s more room for further changes even if the entire $15 million isn’t available (the draft class still needs to sign new contracts).

Let’s examine a few of the possibilities.

Keep L’Jarius Sneed and Run Things Back

This is largely the “status quo” option, but it’s now on the table.

Earlier this offseason, the Chiefs applied their franchise tag to cornerback L’Jarius Sneed, keeping him on the books through the 2024 campaign. While that one-year tender’s $19 million cap hit previously looked like a problem, it now fits under the ceiling without too much issue.

And with that reality, there’s a temptation to largely run things back.

Sneed was a key part of Kansas City’s 2023 success, as he traveled with the opposition’s top receiver. He and the rest of the secondary’s strength also set up the rest of the defense; it’s a lot easier to bring pressure, for example, when you trust your defensive backs to hold up in one-on-one coverage. Add the returning Chris Jones into the mix, and the recipe for success is there.

Sneed, on the other hand, seems eager to return in 2024.

So what happens with the Chiefs’ leftover cash?

Once more, a portion will go to the incoming draft class, while the remainder might go to players who tried their luck on the open market during the window for legal tampering and failed to find a new team. Perhaps Donovan Smith returns for another season, which would allow general manager Brett Veach to choose a replacement without putting him in danger. Maybe Clyde Edwards-Helaire will make a comeback as a cheap backup running back. Additionally, if the price is right, some defensive players like Mike Danna and Derrick Nnadi might decide to stay in Kansas City.

Are those the most exciting moves? Probably not. But, by that same token, it’s tough to take issue with keeping most of the band together when you’re coming off back-to-back Super Bowl titles.

Trade Sneed and Go Big Game Hunting

While the extra cap space from Mahomes’ restructure does make keeping Sneed possible, it’s not the only outcome.

Despite the available cap space and comments about chasing a third championship, the defensive back could still be traded. Sneed’s name is still appearing in various rumors, so it’s unclear what’s on the cards.

From the Chiefs’ perspective, what’s the case for making a potential deal? One factor is draft picks. When you’re a top team trying to chase championships, it’s essential to strike the right balance between big-name stars and affordable players. Someone like Rashee Rice or Creed Humphrey, who’s playing on their rookie contract, makes it easier to afford a Patrick Mahomes. Adding an extra second-round draft pick this year, for example, would keep that pipeline rolling.

But once more, what happens to the cap space in that case? If Kansas City’s space is already worth about $15 million, and dealing Sneed would free up another $19 million or so, that’s a significant sum that might be spent.

The reigning champions might pursue a player like Calvin Ridley even though several of the top receivers have already signed new contracts. According to Spotrac, his market value is estimated to be roughly $17.5 million per season; in a bidding war, that figure would rise even further. Marquis “Hollywood” Brown is another receiver option, though it’s reasonable to question how well he fits into the Chiefs’ current offensive scheme.

However, if one has additional funds to spend, there are alternatives available. Tyron Smith might be a significant improvement for the offensive line, even if it is just temporary. A defensive addition might be in the works, given that Charles Omenihu recently recovered from an ACL injury.

Is this a slightly riskier tactic? Yes, you are (presumably) trading Sneed for free agents and draft picks, which may or may not work out. But maybe it’s time to throw in the towel when you’re aiming for a three-peat.

Keep Sneed and Chase a Smaller Deal

Although trying to “have your cake and eat it, too” can have negative connotations, it’s possible that’s what the Chiefs will aim to accomplish this offseason.

As mentioned above, Sneed is under contract for at least this season, and the club’s current wage bill reflects that. But with around $15 million, there could be room to sign an external player without making any further changes.

Take someone like Curtis Samuel, for example, who seems like a logical fit for the Chiefs’ offense. Given that he’s coming off a three-year, $34.5 million contract, is there a possibility he’ll fit under the salary cap? Maybe, but things might get tight. Elsewhere around the league, Josh Reynolds (most recently of the Lions) could also be a bargain signing; his most recent contract paid $6 million across two years, so there’s room for a raise while keeping KC under the ceiling.

To be clear, using this tactic involves risk as well. You’re not just taking a chance on a contract that fits under the cap, but you’re also looking for a deal. Happily, the 2023 season came to a close, but the early going made it clear that the team needed talent and depth all across the field.

However, it’s always preferable to bet from a strong position. You can afford to take some chances when you have an amazing individual skill at the core of your team and are coming off back-to-back championships.

Which risk Veach and the Chiefs decide on is still to be seen.