I would be looking to do the following:
Replace hitting coach Jim Presley
Let all our impending FAs walk.
Look to jettison the following:
Nick Markakis (trade - eat all but $4 million) ($4 million)
Matt Wieters (trade) ($7 million)
Jim Johnson (trade/DFA) ($7 million)
Tommy Hunter (trade/DFA) ($2 million)
Troy Patton (trade/DFA) ($1 million)
Brian Matusz (trade/DFA) ($2 million)
Nolan Reimold (DFA) ($1 million)
That saves $24 million right there and all of those guys aren't worth that money for the production they give and can be replaced internally.
Urrutia replaces Markakis
Clevenger is part of a platoon that replaces Wieters
O'Day replaces Johnson as closer
Steve Johnson replaces Patton
Britton/McFarland replaces Matusz
Miguel Gonzalez replaces Hunter
Next you go out and go after Choo, making him a 5 year $80 million offer with an expiration date of the end of the Winter Meetings. He's the big splash if you can land him. A backup plan for LF would be a trade for Norichika Aoki from the Brewers.
You lure Burnett back to Baltimore with a 2 year 26 million dollar contract. He is your ace. If I can't get Burnett, Arroyo would be a second choice for around the same $. The Orioles need to find a guy that will definitely give them close 200 innings and 15-20 quality starts.
I also sign Colby Lewis to a 1 year deal for $4 million with incentives for IP to take it to $10 because if healthy he could be one of those guys.
There are plenty of SPs out there as well that will be available so I look to sign 1 or 2 of them to a minor league deal like we've done with Garcia and Jurrjens.
For the bullpen, I'd do some minor league signings - Erik Bedard being a prime candidate if he doesn't want to retire.
For DH, I'm looking to trade for Billy Butler first, as with the money owed on his contract KC may be looking to dump him and the Orioles can afford him. Second choice would be a trade for Josh Willingham from the Twins.
I'd sign one of the many catchers out there to platoon with Clevenger. Suzuki/Soto - somebody like that.
I'd bring back Dickerson on a minor league deal and I'd look to bring in another Conor Jackson type - Grady Sizemore would be worth taking a flyer on. But I would also look for a strong UTI type like maybe a Michael Young.
Now I'd also approach Davis with an extension, after I've made all these moves. ST or just before is probably when that happens. I'm looking at a 5/80-85 type of deal.
Schoop becomes my 2B man by default. Time to see what he's got.
I think I can get some bullpen arms back in some of those trades so I'll put one of those in the bullpen. Josh Stinson seems to be a decent MR guy so I'll keep him in there for now.
RP via trade
The names in the bench are interchangeable as are the bullpen, but the overall main theme of the offseason is to find guys that can give you innings and QS to shore up the rotation and find guys that have the OBP that can be driven in by the guys that have your power namely - Jones and Davis. Spend your money there, and let your internal guys take care of the rest.