Tim - Assuming we're talking about your Augusta team (41 wins with 4 to play), you have nearly a "perfect storm" for rebuilding. You have only 4 guaranteed contracts for a total of only $12.8mil next year. You're likely to have the #1 draft pick. One of next yr's FAs could be Type A and good enough for someone to take him, enhancing your draft.
Unfortunately, your current Intl Scouting budget is only $2mil, meaning you can't raise it any higher than 6 next yr. You need to do that next year, so you can raise it to 10 in Rebuilding Season 2. At 6, you're not going to be seeing many International prospects and the projections will be somewhat suspect. For this reason, I wouldn't bid $10mil for anybody, but you can pursue Internationals with good current ratings and reasonably high demands. It's still a crap-shoot, but you will have the bonus cash to spend and might be OK with 2 of 3 kids signed for $5mil each.
You have a big chance to strike it rich in the amateur draft, so I'd raise your HS and College Scouts from 10 to 14. Your #1 pick should be either a likely Cy Young SP or a stud MIF prospect (inc. defense).
For next year's ML roster, don't plan on bidding on anybody for the first two days of FA signing. Populate your target list with the best players who aren't Type-A and be ready to sign those who become bonafide bargains on or after Rule 5 Day.
With regard to the Rule 5 draft, it's possible to get a good ML quality player with the #1 pick. After the first round, you may find a decent RP or backup/platoon hitter or two.
Next season should be fun. The challenge is to put together a low-budget ML team which can win 50-60 games next year (a significant improvement) while you bring a couple of potential stars and a half dozen other future MLers into the organization.