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Solid stuff by Matt. I'd agree for the most part, though I wouldn't overstate the offensive decline as Hudson is probably still a full-time 2-3 WAR 2B (although defensively hes almost certainly declined).
A one year deal for Polanco seems much more sensible if the Ms are dealing Lopez. Sure hes old, but there aren't any signs of decline yet and hes a more undervalued asset. Hes been a 3+ WAR 2B the past two years and probably won't make more than $4-5mil on a one year deal.
Really though I wonder if the Ms should shop/trade for a 3B and give the 2B position to Tui.