Bates was on the verge of becoming a free agent once his rookie deal expired at the end of the league year. The franchise-tag deadline for all teams is Tuesday.
"Over the past year, we've tried to extend his contract here in Cincinnati," Bengals executive vice president Katie Blackburn said in a statement. "While that hasn't come to pass, we want him here for 2022 to be a part of what we think should be an exciting football season and bright future for our organization."
The franchise tag allows the Bengals to be in prime position to retain Bates' services for the 2022 season. The franchise tender amount for safeties is $12.911 million, according to a memo obtained by ESPN on Monday.
At last week's NFL scouting combine in Indianapolis, Bengals executive Duke Tobin reiterated that the franchise's intention was to keep him in Cincinnati.
"He's a guy that developed and that has played well that has a real role on our team in a lot of different areas, particularly in leadership and playmaking skill," Tobin said. "He's a guy we want going forward."
The franchise tag allows Bates and the Bengals to negotiate a long-term deal until July 15 at 4 p.m. ET. If no multiyear contract is reached by then, Bates will not be eligible for a contract extension until after the season, according to the NFL's collective bargaining agreement with the NFLPA.
Bates played a pivotal role in the Bengals reaching their first Super Bowl in 33 years. In four postseason games, he had six pass deflections, 20 tackles and two interceptions, including one in the 23-20 loss to the Los Angeles Rams in Super Bowl LVI.
The safety, who turned 25 in February, sought a contract extension with the Bengals after a breakout 2020 campaign; however, those preseason discussions did not lead to a new contract.
He started 15 games last season, making 88 tackles with an interception, four passes defended and a fumble recovery.
Since joining the Bengals, the 2018 second-round pick has been one of the team's most dependable starters. He has appeared in 63 of a potential 65 games in four NFL seasons, starting all of them.
A neck injury suffered in a Week 3 win over the Pittsburgh Steelers snapped Bates' streak of 51 consecutive starts, the fifth-longest streak in franchise history.