The deal means the Rangers continue their streak of staying out of hearings in arbitration cases. They haven't had one since 2000.
Moreland, 28, hit .232 in 2013 with a career-high 23 homers and 60 RBIs as the club's first baseman. But with Prince Fielder now on the squad, the left-handed hitting Moreland is expected to slide over into a DH role while also playing some first base and corner outfield when needed.
When figures were exchanged last month, Moreland was asking for $3.25 million and the Rangers offered $2.025 million, so the sides found the middle ground suitable.
The last time the Rangers needed a hearing to settle an arbitration case was 14 years ago with Lee Stevens.