SAN FRANCISCO (CBS SF) — There is a report the Broncos and 49ers have settled on the terms of an agreement to trade quarter Colin Kaepernick, but there is still the issue of a pay cut to iron out.

Adam Schefter of ESPN tweeted “the parameters a Colin Kaepernick-to-Denver trade are agreed upon,” but added the trade hinges on whether the quarterback agrees to a restructured contract and a pay cut.

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Under his current deal, Kaepernick’s base salary is $11.9 million with a $15.9 million salary cap hit for 2016. According to ESPN, the Broncos want a “much friendlier cap number and contract.”

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Meanwhile, an anonymous source told the Associated Press that Broncos General Manager John Elway hosted Kaepernick at his home in Denver last week to talk about restructuring his contract.