The rookie draft is a linear selection draft (not auction and not snake). The draft order is determined by the previous years final standings, with last place picking first. Salaries are assigned to players based on their draft spot using a Rookie Pay Scale.
Rookie drafts begin in year 2 of your league. The first season all players, including rookies, are auctioned off in the Free Agent Auction Draft. A rookie draft in your first season would make your league lopsided by immediately giving certain teams an advantage.
The rookie draft takes place before your annual Free Agent Auction Draft. You can do the rookie draft back to back on the same date as the Free Agent Auction Draft or have the rookie draft by itself at an earlier date.