Seven weeks ahead of the start of the 2023 NFL draft, the NFL has stripped the Texans of their fifth-round pick for violating the league’s salary cap. Houston has also been issued a $175,000 fine.
The violation stems from the team not reporting all of its compensation to former quarterback Deshaun Watson during the 2020 season.
“Pursuant to the salary cap requirements in the Collective Bargaining Agreement, clubs must report any player compensation or benefit,” the league wrote in a statement. “Following a review, the NFL determined that the club provided then Texans’ quarterback Deshaun Watson with undisclosed compensation in the form of a membership at an alternative athletic facility in 2020.”
The Texans said in a statement that they had “no intention to circumvent any salary cap rules or gain any sort of competitive advantage” by absorbing $26,777 in costs for “player benefits for the use of alternate athletic facilities,” per NFL Network’s Tom Pelissero. However, the organization said it would accept the league’s punishment and “move forward.”
The Texans hold the No. 2 pick, and will make three selections within the first 33 picks of the draft. Their forfeited pick will be the second pick of the fifth round.
Houston finished the season with a 3-13-1 record, and would have secured the top pick in the draft had the team lost its regular season finale to the Colts. The Texans fired head coach Lovie Smith, and hired former 49ers defensive coordinator DeMeco Ryans as his replacement.
