KC Chiefs can create cap space with these restructure options

Kansas City Chiefs general manager Brett Veach is no stranger to restructuring contracts to make cap space.

The Kansas City Chiefs enter this offseason with more question marks than expected. The reigning Super Bowl Champions stand to let left tackle Orlando Brown Jr. hit the open market if the two do not reach a deal within the next week. Also, the Chiefs officially released defensive end Frank Clark on Tuesday, opening a sizeable hole on the defensive line in 2023.

It doesn’t sound like much on the surface, but so many assumed the Chiefs would franchise tag Brown and renegotiate Clark’s contract. Neither is happening, and general manager Brett Veach has some work to do. The Chiefs can still work to retain their free agents, including Brown, offensive tackle Andrew Wylie, safety Juan Thornhill, and many more. However, those players only return if the Chiefs first clear some cap space.

According to Over the Cap, the Chiefs have $16.9 million in cap space as of March 7. It sounds reasonable, but more is needed to replenish the roster with contributors in all three facets of the game. One tool Veach can use to create cap space is restructuring some current Chiefs’ contracts. Restructuring can provide some immediate relief but is not the ultimate fix. Teams who restructure contracts are not escaping the cap hit but kicking it down the road. However, the Chiefs might have only one choice this offseason to retain their Super Bowl roster.

If the Chiefs have to restructure contracts this offseason, who are the best options, and how much space would they free up?

Patrick Mahomes—Potential 2023 cap savings: $33.5 million

Mahomes’ contract is set up to be restructured multiple times. That is the plan. Follow the plan.

The Chiefs needed flexibility when signing him to a 10-year, $450 million deal. The bulk of Mahomes’ contract comes in roster bonuses that keep Mahomes a wealthy man while giving Kansas City that flexibility. The agreement is the quintessential win-win and benefits the team and the player.

Sure, more restructuring could cause more problems for the Chiefs. But, the savings are undeniable. Kansas City could sign multiple players with those savings alone. That money could sign Clark’s replacement, lock down a left tackle to protect Mahomes, or retain the Chiefs’ pending free agents.

Veach restructuring Mahomes’ deal this offseason is the quickest way for Kansas City to get more cap space.

Justin Reid—Potential 2023 cap savings: $4.1 million

Reid is entering the second year of his contract, and this one-time restructuring option is one the Chiefs should take.

Reid lived up to expectations in the first year of his three-year, $31 million contract and was Kansas City’s top safety en route to another Super Bowl. He certainly has room to grow, but there is no reason Kansas City should explore moving on from Reid anytime soon.

The Chiefs can create a solid amount of cap space by restructuring Reid’s contract, but would virtually ensure Reid remains with the Chiefs for the life of his contract. It ends after the 2024 season, so it is not a staggering commitment, but still one nonetheless. If the Chiefs have Reid in their plan beyond 2023, restructuring his contract is a no-brainer.

Marquez Valdes-Scantling—Potential 2023 cap savings: $3.8 million

Valdes-Scantling is worthy of release talk this offseason, but all signs point to Kansas City staying committed to the receiver.

The Chiefs could save $9 million if they cut Valdes-Scantling this offseason. But, in a booming wide receiver market, the Chiefs would struggle to find his replacement on the open market. The receiver corps is already thin, and Valdes-Scantling already has a season’s worth of building a relationship with Mahomes. He is more valuable on the team than off it to Kansas City.

Reports say the Chiefs want to retain as much pass-catching corps as possible in 2023. Kansas City can keep MVS in Arrowhead while opening up more cap space this offseason if they want.