The Padres’ rebuilding philosophy in becoming a contending team is to draft well and develop players through a productive farm system. Few, if any, will be free agents. General manager Kevin Towers, speaking at a Feb. 12 Hall of Champions Sports lunch event, said it is the desire of the new management team to go in that direction. Manager Bud Black, also appearing, assured the audience that this year’s team will be a vast improvement over last year’s 63-99 disappointment. “We spent more money than we ever had in the amateur draft,” Towers said. “Last year we had as strong a signing class than anyone in baseball. We spent $5 to $6 million in international signings. “The free agency market is hurting because of the economy. The players who are in arbitration right now are in better shape.” Towers agreed that it was the desire of the new ownership team to stress building a strong farm system to reach its goal. John Moorad, who heads the syndicate buying the team, will move in as the CEO, replacing Sandy Alderson. It’s a position he previously held with the Arizona Diamondbacks. The Padres will audition 21 of their leading minor leaguers when they join the 40-man Spring Camp roster. Among those being showcased will be hard-throwing pitchers Wade LeBlanc, Josh Geer and Cesar Ramos. Towers and Black pinned last year’s problem on a bullpen that could not deliver between starter and closer. “Our middle relievers let us down,” Towers said. With eight to 10 fighting for five spots, he feels that problem will be shored up. However, the Trevor Hoffman “closer” gong will have to be replaced this year by a Bell — Heath Bell. Towers said that trimming the budget closer to $40 million was the primary reason for letting Hoffman and Khalil Greene go. A big chunk remains since the deal with the Chicago Cubs for pitching ace Jake Peavy fell through. The current payroll is believed to be $44 million, with eight players guaranteed $32 million. Some of the other 17 may be bordering on the major league minimum of $400,000. Instead, Peavy will resume his No. 1 starting assignment, followed by Chris Young. “Third, fourth and fifth spots will be determined by the end of spring,” Black said. “There are expectations every year,” Towers added. “But look what happened at Tampa Bay. It’s hard to pick a favorite in the Western Division since everyone is loading up on pitching. “Overall, we have to stay healthy, have less strikeouts, more contact players, steal some bases and do some drag bunting.” Black regards the acquisition of utility man Curt Floyd from Tampa Bay as a big plus. “He has post-season experience (with the Mets and Rays) and could be the team leader we didn’t have last year,” he said. The third through fifth starters will be determined following spring drills. Towers said it’s going to be different without Trevor out there. “Bell is a little more of a crazy animal … and doesn’t lack confidence,” he said. “He feels he can take off as Trevor did.” It would appear the opening lineup is locked in place, with Adrian Gonzalez at first, newcomer David Ecksten at second, Luis Rodriguez at short, Kevin Kouzmanoff at third and Chase Headley, Jody Gerut and Brian Giles in the outfield with Nick Hundley behind the plate. Looking at the position players, Black said, “We’re going to be OK. On the bench we still have some spots open.” There could be speed on the base paths on the horizon, assuming Will Venable nails down a utility role and Everth Cabrera can snag a spot. The 23-year-old shortstop stole 73 bases in the minors last year. Black was encouraged about ex-All Star pitcher Mark Prior’s progress after a second shoulder surgery. “He’s throwing free and easy and his location is good. A couple rehab starts in Elsinore and he can be back by the middle of May,” Black said. “Get 70 games out of Jake and CY (Chris Young) and bring in Prior,” he added with spring optimism.