This is an interesting situation for the Kids. They let Jed go after him. If he produces and they don't/can't re-sign him, they look horrible and will take a hit in the media and with fans. A big hit.
If I were a betting man, I'd bet that they make a good, not great, offer at an extension, and he goes to free agency. Then they try to get him in free agency, going "beyond their comfort level" (TM), and he signs elsewhere.
That way, they look like they tried at every step to get it done, and they have plausible deniability for not trying to win stories that will come out.