Turns out he was right.
Scout's Adam Caplan reports the Chiefs tendered Croyle at the second round level.
That gives him a $1.759 million salary in 2010. If another team wishes to sign him, they can make him an offer. If the Chiefs choose to decline that (which they likely would), the team would have to give up a second round pick.
Why didn't the Chiefs tender him at the original pick level?
The difference in price between the original pick level (3rd round) and second round level is only $3,000 so it makes sense for the Chiefs.
As they do with just about every player, the Chiefs will listen to any offers for Croyle. If they were actively trying to move him, I would suspect they would have made that clear with an original pick tender.