This week started with some hullabaloo when a Forbes contributor published a column claiming that the Houston Astros were the most profitable team in MLB history. Contributor Dan Alexander did some pretty simple math in concluding that the Astros would clear $99 million in “operating revenue.” “They have become so profitable thanks to slashed payroll expenses and soaring television revenues,” Alexander wrote.

But another Forbes contributor —  Maury Brown, of the Biz of Baseball — refuted Alexander’s column. Brown explained the Astros “soaring television revenues” aren’t so soaring because CSN Houston — the new regional sports network the Astros and the NBA’s Houston Rockets own — isn’t carried on any cable or satellite service in the Houston area other than Comcast. Indeed, we reported last month that cable and satellite companies are using new technology to determine how many customers tune into local sporting events and for how long. AT&T U-verse used that information in deciding to forgo carrying CSN Houston. That’s left CSN Houston well short of projected viewership and revenue from carriage fees.

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Another day, another wrinkle in the Alex Rodriguez-Biogenesis-MLB-Yankees-Hip-Injury Saga. Some days, there are multiple wrinkles. It’s not easy to keep it all straight.

The main event, of course, is Rodriguez’s appeal of his 211-game suspension. MLB handed down that suspension on August 5. Rodriguez appealed the suspension two days later, and the matter is now pending before baseball’s arbitrator, Fredric Horowitz. Rodriguez may continue to play while the appeal is pending. No hearing date has been set. MLB is pressing for a hearing by the end of August; Rodriguez and the Major League Baseball Players’ Association — which is supporting A-Rod’s appeal — seem less interested in a quick resolution.

Five days after MLB suspended Rodriguez, the Yankees notified their $275 million third baseman that he would be disciplined for seeking a second medical opinion on an injury without permission. The nature of the discipline hasn’t been disclosed. You can be sure A-Rod will file a grievance.

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Major League Baseball suspended 13 players today for violations of the Joint Drug Agreement based on evidence collected in its investigation of Biogenesis, the now-shuttered “anti-aging” clinic run by Anthony Bosch.

Jhonny Peralta (Tigers), Nelson Cruz (Rangers), Everth Cabrera (Padres), Francisco Cervilli (Yankees), Jesus Montero (Mariners), Antonio Bastardo (Phillies), Jordany Valdespin (Mets) and Sergio Escalona (Astros) were suspended for 50 games and agreed to forgo the appeal process, and will begin serving their suspensions immediately. Minor-league players Fernando Martinez (Astros), Jordan Norberto (free agent, formerly with the A’s), Fautino de los Santos (Padres) and Cesar Puello (Mets) also agreed to 50 game suspensions. All but Norberto will begin their suspensions immediately. Norberto’s suspension will become effective when and if he signs a contract with another team. This is a first JDA violation for each of these players.

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It seems everyone is writing about the sports programming bubble, wondering whether it’s here and when it will burst. Just Google “sports TV bubble” and you’ll find this story from the New York Times in January, and these from FOX and ESPN in March. But it’s not just this year. Forbes warned of a sports TV bubble in late 2011 and followed up in early 2013 declaring that the bubble existed and was about to pop.

What is the sports TV bubble anyway? It’s the hyper-inflated prices sports networks, cable and satellite companies, and consumers pay to produce, show, and watch live sporting events. Live sports means no fast-forwarding through commercials on the DVR. Advertisers pump gobs of money into the system to place their products in front of an engaged 18- to-35-year-old male audience.  Target consumers are valuable. They make sports programming valuable. Networks pay billions to broadcast sports to those consumers but everyone — not just sports fans — foot the bill.

How did we get here? I touched on these issues in this post in May, when Senator John McCain introduced a bill that would eliminate regulatory barriers to a la carte programming by cable and satellite companies:

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Major League Baseball suspended Ryan Braun for the remainder of the season on Monday for “violations of the Basic Agreement and its Joint Drug Prevention and Treatment Program,” according to a press release the league issued. The release also included a statement from Braun in which he admitted that he had “made some mistakes” and was “willing to accept the consequences of those actions.” The suspension for the remainder of the season amounts to a 65-game punishment.

A press release with statements from both MLB executives and Braun strongly suggests  the suspension was the result of negotiations between the two sides. We also have this from Bill Shakin of the Los Angeles Times:

Hearing Braun approached MLB proactively, rather than being presented with a proposed suspension and starting to deal from there.

— Bill Shaikin (@BillShaikin) July 22, 2013

But before any such discussions took place, MLB and Braun likely had tentative game plans. MLB may have been planning to suspend Braun for much longer than 65 games. Braun undoubtedly was planning to appeal any such suspension. Braun gave up his appeal and agreed to serve the suspension immediately, likely in return for shorter suspension period.

That’s what we know or can reasonably infer from the information the league provided. But there are many questions  we don’t have answers to; questions that will shape the remainder of the league’s Biogenesis investigation.

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Major League Baseball Players’ Association chief Michael Weiner held his annual All-Star Game press conference this morning. That is news in and of itself, in light of Weiner’s battle with brain cancer that has now sidelined him to a wheelchair. But even in his weakening condition, Weiner made news on the Biogenesis front.

Weiner: Biogenesis penalties aren’t mandated by MLB drug policy, the 50-100-life scale in agreement.

— Bill Shaikin (@BillShaikin) July 16, 2013

I followed up and Bill Shakin replied.

@hangingsliders Commissioner’s “just cause” discretion. — Bill Shaikin (@BillShaikin) July 16, 2013

Why is this big news? Because the plain language of the Joint Drug Policy says that a player who violates the policy by use or possession of a performance enhancing substance is subject to the same discipline as a player who tests positive. As I explained in the post MLB and Biogenesis: A Primer, Section 7.A of the Joint Drug Policy states:

A player who tests positive for a Performance Enhancing Substance, or otherwise violates the Program through the possession or use of a Performance Enhancing Substance, will be subject to the discipline set forth below. (emphasis mine) 1. First violation: 50-game suspension; 2. Second violation: 100-game suspension; 3. Third violation: Permanent suspension from Major League and Minor League Baseball.

Weiner, with Bill Shakin’s clarification, appeared to say that if the Biogenesis investigation turns up evidence of a player’s use or possession, the league would proceed under the “just cause” provisions of the Joint Drug Policy and the Collective Bargaining Agreement. I explained those provisions, as well, in the Primer post and further in last week’s post entitled “Is Selig Preparing To Use The Nuclear Option?” Essentially, the just cause provisions give the commissioner the power to discipline a player if he acts against the best interests of baseball.

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Reports surfaced Tuesday on ESPN.com that Ryan Braun refused to answer questions posed by Major League Baseball’s lawyers when they interviewed him as part of the Biogenesis investigation. Alex Rodriguez is scheduled to be interviewed this Friday and, according to ESPN, also will refuse to answer MLB’s questions. Despite silence from Braun and Rodriguez, MLB apparently plans to suspend the two players — and perhaps 20 others — sometime after the All-Star break. But Braun and Rodriguez have been called out for special punishment: Not only does MLB plan to suspend the pair 50 games for possessing or using a banned substance, the league will reportedly add on another 50 games for lying about their use of banned substances.

ESPN’s report generated lots of questions and commentary. Who leaked this information to ESPN and why? Did MLB leak it to put pressure on Braun and Rodriguez to cooperate? Did Braun or the players’ union leak it to show the league’s heavy handedness? How can the league already have decided to suspend Rodriguez for 100 games before he’s even met with investigators?

But perhaps the most pressing question is: How can a player be suspended for lying when he remained silent in response to questions from MLB’s investigators? And the corollary: If the “lying” didn’t take place during the investigation, does MLB plan to rely on years-old public statements? Wouldn’t that open a huge can of worms? Craig Calcaterra, over at Hardball Talk, had some interesting things to say on these issues:

Last year Melky Cabrera famously — and quite ridiculously — attempted to pass off a phony website as an excuse for his positive PED test. It caused MLB to actually have to conduct an investigation into the phony company, purchase phony products and, at least according to some reports, travel to the Dominican Republic. This, apart from its hilarity, was blatant lying, deception and fraud. And yet, at the end of it, Melky Cabrera was given only a 50-game suspension.

If what Melky Cabrera did wasn’t worthy of double discipline, how on earth could Braun offering denials or, more likely, not saying anything, justify it?

Craig’s comments sent me scurrying back to the Collective Bargaining Agreement and the Joint Drug Policy to see if I could figure out MLB’s 100-game suspension plan. I’ve actually written on this point before, back in June, in my primer on all things Biogenesis. In that post, I pointed to two different “just cause” provisions — one in the CBA and one in the Joint Drug Policy — that MLB would likely rely on.

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New York City  hosts this year’s All-Star festivities, just five years after hosting the 2008 summer classic. The Mets are in charge this year, with the All-Star Game, Home Run Derby, Futures Game and All-Star Legends & Celebrity Softball Game all taking place at CitiField. Five years ago, Yankee Stadium was the site for these activities in its last year of existence. In 2009, the Yankees moved across the street to the new Yankee Stadium.

Everything, it seems, is more expensive in New York City — and tickets for the All-Star Game and Home Run Derby are no exception. Tickets for this year’s game range from $195 to $715, according to Major League Baseball. In 2008, the range was $150 to $725. That’s a nearly 33% increase for the least expensive ticket, with a slight decrease at the upper end. By comparison, ticket prices for last year’s All-Star Game in Kansas City ranged from $125 to $400.

The economy’s certainly picked up since 2008, which may have contributed to the ticket price increase. There’s also the issue of supply and demand. Yankee Stadium could fit more than 56,000 fans. CitiField’s capacity, including standing room only, is only 45,000. Not every seat in the ballpark is for sale, either. MLB uses quite a few seats for TV and corporate sponsors and players get seats for their friends and family. Read the rest of this entry »

This story has been updated to reflect some information provided by a source about the Norberto case after publication. We apologize for any mistakes in the original post.

We’ve focused a great deal of attention lately on MLB’s power to suspend players involved with Biogenesis and the grievance procedure available to those players who are suspended for violation of the Joint Drug Program. But the collective bargaining agreement provides for a separate and distinct grievance process for all sorts of non-disciplinary matters — namely, disputes between between a player and his club. That grievance procedure isn’t often in the news, but it is this week, and therefore, worth discussing.

Relief pitcher Jordan Norberto filed a grievance late last week against the Oakland A’s. Norberto told Susan Slusser of the San Francisco Chronicle that the A’s shouldn’t have released because he was injured at the time.

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