See I think we are nuts to just let Baby go. If he signs for more than what we want elsewhere I think Danny needs to play a game of Chicken with that team and try to force a sign and trade. It's a great way to fill a hole elsewhere. Of course, the caveat there is that he has to be willing to match that offer.
Base Year Compensation rules make it pretty tough to pull off a sign and trade for BBD. For instance, if BBD signs for $4.0 million in his first year, there is *no* 1-for-1 trade that could be made for him under BYC rules. There may be some wiggle room by including a minimum salary player, but there's not much.
By example:
Let's say BBD signs for $4 million in the first year, and we want to trade him to Chicago (just chosen randomly).
For BYC purposes, BBD's salary counts as a $2 million salary going to Chicago. To fit within trade rules, the most salary Chicago can send us is 125% of that amount, plus $100k. That amounts to $2.6 million.
Does that mean we can acquire a player making $2.6 million, then? No. The trade has to work from our end, too, and from our end, we have to count BBD's entire $4 million salary. The absolute least amount we could trade a $4 million salary for is $3.12 million. As you see, that's still more than the $2.6 million Chicago can send out.
Now, one way around this would be to include a minimum salary player, because minimum salary players don't have to be counted as incoming salary in a trade. However, as you can see, it's fairly complicated (and I probably made it even more so with a confusing explanation).