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Reallocation a good solution
I'd be really discouraged if K-17 were my only team. I've already learned from some early mistakes, but the team I have is probably 2 years at best from competing. As a Royals Fan, I'm used to it, though.
In my two other leagues they staged a reallocation draft and I instantly have very competitive teams.
It's more realistic in a lot of ways to have a weak team and have to build over time.