New York Mets: Jonathon Niese's Pending Contract Shows Sandy Alderson's Plan

Shortly after the New York Mets ownership settled its lawsuit with trustees representing victims of Bernie Madoff's Ponzi scheme, general manager Sandy Alderson shot down the idea that this would allow the team to boost its payroll.

So it's going to be a while before the Mets compete for the likes of Cole Hamels or Zack Greinke in free agency with contract offers that exceed $120 million.  

But what the Mets can do, as Alderson tries to overhaul the team's entire operation, is make sure they hang on to the young talent already on hand. Follow the template of teams such as the Tampa Bay Rays and maintain cost control before a player is eligible for arbitration. 

Reports that the Mets are on the verge of agreeing to a contract extension with pitcher Jonathon Niese fits right in with that philosophy. Jon Heyman of CBSSports.com tweeted that the two sides were discussing a five-year deal, modeled after the extension that the Texas Rangers gave to Derek Holland last week. The contract would also include two option years. 

The difference is that Niese's deal will likely be worth less than the $28.5 million Holland received. But it could be argued that Holland is more accomplished at this point, posting a 16-5 record last season that included four shutouts. Holland was also impressive in the World Series, allowing one run and four hits in 10 1/3 innings.

(Holland's impersonations of Harry Caray and Arnold Schwarzenegger may also have been a factor in his richer contract, though absolutely no news outlet on the planet is reporting that.) 

UPDATE, 6 p.m. ET: The Associated Press is reporting that Niese and the Mets have agreed to a five-year, $25.5 million contract. The deal includes a $10 million option for 2017 and a $10.5 million option for 2018. 

However, Niese and Holland might not be as far apart as it seems at first glance. Niese compiled a Fielding Independent Pitching number of 3.36 in 2011, compared to Holland's FIP of 3.94. It must be noted, however, that Niese works in a far more pitcher-friendly ballpark at Citi Field, while Holland made six more starts last season. 

Working out a progressive contract with Niese to keep a good young player and control team costs looks like a smart move for Alderson. But it's one that makes the contract given to reliever Frank Francisco in the offseason all the more baffling.

Francisco signed a two-year, $12 million deal with the Mets this past winter. Yes, the Mets needed a closer, and Francisco can blow hitters away, striking out an average of 9.9 batters per nine innings over his career. But giving that kind of money to a reliever who's missed significant time over the past three seasons with arm, shoulder and pectoral injuries was risky. 

The Mets also had a potential in-house closer candidate in Bobby Parnell, who struck out 64 batters in 59 1/3 innings last season. 

Francisco has shown what kind of risk he was to sign to a rich contract this spring, allowing nine runs and 18 hits in 13 innings. He also struck out only seven batters, all while battling a knee injury that compelled the team to send him in for an MRI exam earlier this week.

The exam showed no structural damage, however, and Francisco is expected to be ready when the Mets open the regular season. But this isn't a pitcher who's shown he can shake off injury that well over the past three years. 

Parnell, meanwhile, was one of the Mets' best pitchers this spring, allowing no runs over 12 1/3 innings with 10 strikeouts and two walks. But according to ESPN New York's Adam Rubin, the Mets are eyeing him more as a middle reliever who can pitch multiple innings. As he gets stretched out, it's also possible that Parnell is a potential starter. 

In the long term, maybe that's the best use of Parnell for a team that wants to keep costs down and build a young pitching staff. But Alderson could have kept costs down even sooner by passing on the likes of Francisco and using Parnell (or a lower-cost alternative like Jon Rauch) as a closer.

Where was Alderson with his plan when that decision was made?