JACKSONVILLE, Fla. — Standout pass rusher Josh Allen and the Jacksonville Jaguars reached agreement Wednesday on a five-year, $150 million contract that includes $88 million guaranteed, a person familiar with the negotiations said.

The person spoke to The Associated Press on condition of anonymity because the deal had not officially been signed or announced.

The deal makes Allen the third-highest-paid defensive player in the league in average salary behind the San Francisco 49ers' Nick Bosa and the Kansas City Chiefs' Chris Jones.

The Jaguars used their franchise tag on Allen in early March while working on a long-term deal that would keep him in Jacksonville through his prime.

Allen, the seventh overall pick in the 2019 draft, set a single-season franchise record with 17-1/2 sacks in the final year of his rookie contract and is 10 shy of the team’s career mark (55) held by Tony Brackens (1996-2003).

The Jaguars released three defensive starters — cornerback Darious Williams, safety Rayshawn Jenkins and defensive tackle Foley Fatukasi — to create $20 million in salary-cap space to sign Allen.

Allen has 45 sacks in 74 games spanning five seasons. The Virginia native and former Kentucky star was at his best in 2023, finishing with career highs in sacks, quarterback hits (33) and tackles (66). He started all 17 games for the second consecutive season and was voted to his second Pro Bowl.

The Jaguars have made it clear they want him to maybe finish his NFL career where it started.

“I know Josh wants to be here. I know we want him here,” Jaguars General Manager Trent Baalke said. “Can we come to a number that works for everybody? That’s the key. I respect that. … You got to respect these guys that put themselves in this position. They work hard. They deserve to make good money.

“What good means to them could be different than what it means to us. We just got to come together, sit down at the table and work things out.”

Even with Allen paired with 2022 No. 1 overall pick Travon Walker for years to come, Jacksonville still needs depth at the position and will look to upgrade from backups rushers K’Lavon Chaisson and Dawuane Smoot in the upcoming draft.