The MLS roster rule change is expected to loosen restrictions on U-22 players this summer

A key change to the roster rules MLS is in the works and expected to take effect this summer, with the league planning to cut designated player points (DP) and U-22 initiative spots, sources briefed on the talks say. Athletics.

Currently for an MLS club to use all three U-22 initiative slots, they cannot have three senior DPs with budgets above the maximum. In this case, clubs can only use one place of the U-22 initiative. Under the expected change, clubs will have access to all three U-22 initiative spots, regardless of how they strategize their DP spots.

The change is significant because these two mechanisms are currently the two largest avenues for discretionary investment by MLS teams.

Sources say this change (and other discussed changes that could come this summer as well) are not replacing larger and larger discussions to continue reviewing roster rules this winter. It has not yet been officially approved by MLS owners, but is expected.

GO DEEPER

Jovan Kirovski in talks to join AC Milan

Senior DPs currently hit a team’s salary budget with a flat fee of $683,750 (high budget cap), regardless of their current salary or transfer fee. Young DPs (23 or younger) capped at no more than $200,000.

For example, former MLS MVP Hany Mukhtar hits the cap at $683,750 this year, despite a $3.2 million guaranteed compensation last year (per MLSPA, pending a new contract this season as well) and an initial transfer fee of around $3 million for his signing.

The U-22 initiative allows MLS clubs to sign players aged 22 and over who have reached the cap at a fixed cost, also low and, most importantly, without having to factor the transfer fee into the budget fee .

Inter Miamias an example, has invested heavily in their U-22 initiative countries, with agreements to sign Tomas Aviles ($7 million fee plus surcharges), Facundo Farias ($5.5 million) and Diego Gomez ($3 million) last summer. Farias was injured this winter and was replaced on this year’s roster by Federico Redondo ($8 million).

That’s more than $23 million in transfer fee investment for a club, none of which counts against MLS’ soft cap thanks to the U-22 initiative.

GO DEEPER

MLS deals: Which teams should panic (or not) after three games

The change could have massive implications for ambitious spending clubs. While only four of the 29 teams are using all three DP places in a way that only allows one U-22 player – Nashville SC, The New England Revolution, Orlando City AND FC Cincinnati — basically opens up another spot for big investments for other teams as well.

Miami, for example, knew it couldn’t add another senior DP this winter because it had to keep all three U-22 spots. Now, the club’s third PD (back Lionel Messi AND Sergio Busquets) is not a concern. of Chicago Firewhich spent $12 million to sign Hugo Cuypers this winter he opened another DP spot. If this rule change goes into effect, they have no restrictions on how they use that open DP spot. If they were to sign another DP this winter, it would have to be a new DP, limiting their pool.

Austin FC needed their third DP to be Alex Ring because his contract is under the max-TAM threshold. Under the proposed change, they could sign another senior DP if they wanted to.

This potential rule change was discussed in league and ownership circles this winter, but was ultimately not voted on by the MLS Board of Governors at their December meeting. Some owners on the re-appointed sporting and competition committee continued to push for this change mid-season rather than waiting for the 2025 campaign.

(Photo: Doug Murray/Icon Sportswire via Getty Images)