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Rodriguez, who was acquired on July 12 of last season in a trade from the New York Mets, had a mutual option worth $17.5 million dollars for next season declined by the Brewers shortly after the end of the season.
Milwaukee still has three players in arbitration: RHP Shaun Marcum and relievers Kameron Loe and Jose Veras.
Villanueva spent his first five seasons with Milwaukee and owns a career mark of 26-28 in 263 appearances, 40 of which have been starts. His career ERA sits at 4.28 and he has added six saves in 17 opportunities out of the bullpen.
The 29-year-old Michigan native appeared in just 44 games last season and batted only .232 with seven runs batted in. He is a career .253 hitter with eight homers and 86 runs batted in over 327 games in parts of five major league seasons.
Philadelphia, PA (Sportsbook Betting Lines) - The Philadelphia Phillies have avoided arbitration with left-hander Cole Hamels, signing him to a one-year deal worth $15 million plus incentives. Hamels was 14-9 last season and pitched to a career-best 2.79 earned run average. He also finished fifth in National League Cy Young Award voting, with teammates Roy Halladay and Cliff Lee placing second and third, respectively.
An NLCS and World Series MVP for the Phillies in 2008, Hamels has spent his entire six-year career in Philadelphia and has posted a 74-54 mark to go along with a 3.39 ERA. He's also the Phils' all-time leader in postseason wins with seven.
Valdez will earn $930,000, plus incentives, after batting .249 in 99 games last season. He also hit .370 with runners in scoring position.
Originally drafted by the New York Yankees in 2003, Karstens has a 21-36 career record in 119 games (76 starts) for the Yankees and Pirates. He holds an ERA of 4.52 with 264 strikeouts in 501 2/3 innings.
Milwaukee, WI (Sportsbook Betting Lines) - The Milwaukee Brewers have named former infielder Craig Counsell as a special assistant to the general manager. Counsell wrapped up a 16-year big league career in 2011 with the Brewers, for whom he played his final five seasons. He batted .178 in 107 games last year.
"We are pleased to have Craig join our organization in a very significant role," said Brewers general manager Doug Melvin. "His knowledge of how to play the game, along with his work ethic and passion to see the Brewers succeed, will now be utilized and welcomed by our front office."
Flushing, NY (Sportsbook Betting Lines) - The New York Mets signed pitcher Mike Pelfrey to a one-year contract Tuesday, avoiding arbitration with the 28-year-old hurler. Although financial terms were not released, the deal is believed to be worth $5.675 million.
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