The World Champion Philadelphia Phillies have agreed to terms with first baseman Ryan Howard on a three-year, $54 million contract.

From Rotoworld.com:

Howard was a super-two player last year, so this merely buys out his remaining three years of arbitration. Still, it seems like a fine deal for the Phillies, considering that they’ll no longer have to fear what an arbitration panel might choose to award him. Howard made $10 million last year and asked for $18 million for this season. Had he won in arbitration again, he could have asked for something like $22 million in 2010 and $25 million in 2011. Instead, he’s opted to take just $18 million per year until he becomes eligible for free agency after 2011. He’s no bargain at that price, but the Phillies get him for a reasonable figure without having to lock him up beyond what figure to be his prime seasons.

If Howard continued to perform at a high level, his arbitration numbers would go through the roof over the next couple years. It’s nice to see a star work out a deal to stay with the same team.

Even though salary arbitration hearings are set to begin Monday in Phoenix, the Phillies are still hoping that they can avoid the process and sign Ryan Howard to a new contract.

Howard, who led the majors in homers (153) and RBIs (431) over the last three seasons, is seeking a 2009 salary of $18 million. The Phillies have offered $14 million, a raise of $4 million over the $10 million Howard won in salary arbitration last year.

If an agreement is not reached, an arbitration panel will listen to arguments from both sides and pick either the team’s or the player’s figure. There is no middle ground.

“We’re still hopeful of avoiding [a hearing],” Phils general manager Ruben Amaro Jr. said. “Our goal remains the same – get an equitable deal done.”

Amaro said the team and Howard’s representative, Casey Close, have been involved in contract discussions. Amaro would not say whether the two sides were discussing a multiyear contract or a one-year deal. The Phillies unsuccessfully tried to sign Howard to a multiyear deal each of the last two off-seasons. Howard, 29, can not be a free agent until after the 2011 season.

There were indications last winter that the Phils were willing to give Howard a contract in line with the seven-year, $85 million deal that Chase Utley got in January 2007. Howard’s side has likely set $200 million as its target.

So, despite efforts to get a deal done in the days that remain before a hearing, this one seems headed back to the table.

Howard asked for $18 million in arbitration, which is the second highest ever for an arbitration-eligible player behind Derek Jet’s $18.5 million request in 2001. If the Phillies can’t work out a long-term deal, then Howard will likely eclipse that mark next year.