Cowboys Free $13M in Cap Space With Major Restructure Ahead of Free Agency

The Dallas Cowboys have freed up some significant cap space by restructuring starting right tackle Terence Steele's contract ahead of NFL free agency.

Dallas Cowboys offensive tackle Terence Steele before a game against the Philadelphia Eagles at Lincoln Financial Field. | Eric Hartline-Imagn Images

The Dallas Cowboys are wasting no time freeing up salary cap space ahead of the official start of the new NFL calendar year. Dallas is set to restructure deals for star quarterback Dak Prescott and wide receiver CeeDee Lamb, while also freeing up another $13 million before free agency kicks off.

On Monday morning, NFL insider Tom Pelissero announced that the Cowboys are restructuring the contract for starting right tackle Terence Steele.

Entering the offseason, there were some questions about whether he would be a cap casualty, but now he is officially returning to the team after negotiating a deal through agent Erik Burkhardt of Roc Nation Sports.

"Cowboys and OT Terence Steele have restructured a new deal that includes $22 million in fully guaranteed money, a base value of $33M and upside to $36M," Pelissero writes. "The deal also creates about $13M in additional cap space for the Cowboys."

Dallas Cowboys offensive tackle Terence Steele blocks Philadelphia Eagles linebacker Nolan Smith Jr. | Eric Hartline-Imagn Images

With Steele's restructuring in Dallas, all 11 starters from a season ago returning to the field.

Steele was set to make $48.5 million over the next three seasons, but is taking a pay cut to $33 million in return for $22 milion million guaranteed.

Throughout his six years with the Cowboys, Steele has appeared in 96 games with 91 starts. He has started in every game for the past three seasons.

Offensive Cohesiveness

Dallas Cowboys co-owners Jerry Jones and Stephen Jones stand on the field during pregame warmups against the Los Angeles Chargers | Kevin Jairaj-Imagn Images

Earlier this offseason, Cowboys EVP Stephen Jones hinted that Steele's future with the team would be safe.

"I think, you know, the biggest thing is, you know, offensively, we're not going to be doing a lot. We feel really good about the offensive side of the ball now that we've got Javonte [Williams] signed and certainly leaning toward franchising [George Pickens]," Jones said. "So, you know, I wouldn't say much of anything's changed offensively.

"Defensively, we just know we've got a lot of work to do. Let me see how you approach, though. I mean, anytime we have a situation where we feel like we're not very good, then I feel like we've always attacked it. Now, there may have been times where we felt like we were good in a situation, and we weren't the next year. And so we were wrong. But, you know, this particular time, I think everybody's on the page where we need to improve."

The new league year officially kicks off on Wednesday, March 11, at 4:00 p.m. ET, while the legal tampering period gets underway on Monday, March 9, at 12:00 p.m. ET.

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