Offensive tackle Russell Okung signed a five-year contract with the Broncos on Thursday. (Kevin C. Cox, Getty Images)
When talks to revise Ryan Clady’s contract reached an impasse, the Broncos turned their attention to Russell Okung, a former first-round draft pick who played the last six seasons with the Seahawks.
A lengthy visit resulted in that, when further examined, is essentially two contracts in one, both working in the Broncos’ favor. Okung, who represented himself in negotiations and avoided paying a 3 percent commission fee to an agent, is guaranteed nothing, .
The first part of the deal is for one year and $5 million, not a penny of which is guaranteed before the start of the season. His base salary for 2016 will be $2 million, and he will get a $2 million roster bonus if he makes the 53-man roster. Another $1 million will come his way if he participates in the Broncos’ offseason workouts or at least reports for rehab; Okung had shoulder surgery in January and has said he expects to return in full by June.
If the Broncos exercise their $1 million option on Okung after his first season, he’ll get another two years worth up to $23.5 million. But that’s contingent upon him first making the team in 2016 and the Broncos deeming him valuable enough to keep for additional years.
The contract Okung described Thursday as “a bit intricate” has around the league because of the zero guaranteed money up front, which has the potential to affect future deals for other players. Guaranteed money is everything in a league where one hit can end a season and even a career.
In 2011, Peyton Manning signed the (still) largest contract in NFL history over the first 3 years: $70M. Colts terminated it after one year.
— Andrew Brandt (@AndrewBrandt)
The NFLPA said it has yet to fully review the terms of Okung’s deal, but added that it wouldn’t comment regardless.
“We don’t frown upon it,” Carl Francis, the NFLPA’s director of communications, said of Okung and other players representing themselves. “It’s their right and their decision, and we support them in their decision.”
A full breakdown of Okung’s contract:
2016
Salary: $2 million (non-guaranteed)
Roster bonus: $2 million (non-guaranteed)
Workout bonus: $1 million (non-guaranteed)
2017 — Team option ($1 million) must be exercised by Day 1 of league year.
Salary: $2 million (guaranteed if option exercised)
Roster bonus: $9.5 million
2018
Salary: $9.5 million
Roster bonus: $1.5 million
2019
Salary: $8.5 million
Roster bonus: $3.5 million
2020
Salary: $9 million
Roster bonus: $3.5 million
Potential total salary: $31 million
Potential total roster bonuses: $20 million
Potential total workout bonus: $1 million
Potential club option in 2017: $1 million
= Five years, $53 million
