Bortles led the Jaguars to the AFC Championship Game, where they lost to the New England Patriots, even though he has not been highly regarded and was criticized roundly by Jacksonville fans.
Cousins, who was a starter for the Washington Redskins the past three seasons, is about to become a free agent, and there was speculation that he would be given the franchise tag.
The 25-year-old Bortles has the support of his teammates after his performance this season, particularly down the stretch and figures to receive a multi-year contract from the Jaguars, but for only moderate money.
Cousins, 29, figures to get a five-year deal worth approximately $128 million, with about $75 million guaranteed, so by sticking with Bortles the Jaguars would have more money to add help in other areas.
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