[ClutchFans] By Declining Garcia, Rockets Keeping All Options Open

In the NBA, in past seasons they have often referred to it as a "soft cap" where there is an ocean between the cap, and the luxury tax level(which is really the true "cap").

The importance for the Rockets of staying under the "soft cap" is because you must be under it to make certain moves, like make trades to take on more salary or sign free agents that dont fit your "acceptions."

I dont think Les and Morey have any problems going over the cap, and potentially over the lux tax slightly once they have a roster they feel they can contend with. Right now, they have maintained that flexibility in order to acquire another star player... thats really the only explanation for it.

In the future, what you are probably going to see is less separation between the salary cap, and the luxury tax line making it much more close to a true "hard cap."

 

Larry Coon's blog is very good at explaining the cap.

One consideration that we should have about the cap is that you cannot sign a new player if it puts you over the cap (on the first year of his contract). For example, if we had $41 million in payroll and the cap was $60 million, we couldn't sign Dwight Howard outright for $20.5m. We have to trade T-Rob's 3.5m for a draft pick or something to clear the cap space to sign Dwight.

Read about it at Coon's FAQ:
http://www.cbafaq.com/salarycap.htm#Q35

This severely affects the Lakers ability to sign new players.

 

We would need to send out $15,513,178 in outgoing salary to be precise.

The reason I think a S&T is a distinct possibility with Dwight is because I can see the real possibility of the Lakers amnestying Kobe this summer if Dwight decides to move on. The Lakers are talking it down, saying it's not going to happen but it makes too much sense for them to get a rebuild going effectively. I happen to believe that if Dwight commits here or elsewhere that they will amnesty Kobe and trade Pau for as much young talent as they possibly can or they will get Pau to agree to a 3-yr extension for around $10 million per season. They then stink it up for one season and go to the lottery and take a shot at getting Wiggins/Parker or one of the other top 5 talents in a loaded draft, then come back in 2014 with a re-signed Kobe (cap space) and possibly another premier free agent to play alongside Kobe, Pau, Nash ($30 million total salaries if Kobe and Pau re-up on reasonable salaries) and whatever other free agent they signed plus the other young talent they accumulate in 2013/14.

In this scenario a S&T is very possible and actually becomes much easier. With Kobe amnestied the Lakers can take back signed and traded players since they would drop below the cutoff line. In this scenario, a re-signed Garcia and re-signed Brooks could be delivered to the Lakers (or elsewhere) as part of a trade package for Dwight.

 

I don't think they'll amnesty Kobe,msome things are more important than money.

If they amnesty Kobe, let's put a bid in and at least jack up the price for Cuban!

 

Yes, some things are more important than money. That's EXACTLY why I think they will amnesty Kobe. WINNING. Winning is more important than money. If Dwight walks, they're not winning anything next season. They're getting another year older. If Kobe makes it back with 20 games left, he won't be able to help them go anywhere. It makes no sense from a winning perspective to keep carrying him and not putting the rebuild on Mach 1. I'm not saying they're going to part company with him. It will be an agreed to thing. There'll be a big press conference with Mitch and Kobe there, both of them saying they agreed to do it for the betterment of the Lakers, etc.

Nobody is going to bid on Kobe. What are they going to get? Just dead weight salary. He ain't gonna go there and play. He's gonna sit in LA and rehab. He'll never wear another team's uniform. The whole league knows it. So, nobody is going to bid. Lakers take his $30 million salary off the books, they give him the dough, and he rehabs like a crazy man for a season while the Lakers tank and get their lottery pick.

The whole thing makes too much sense if Dwight walks away from them.

 

To get the salary to S&T for Dwight without trading Asik or Lin (which I don't think Morey would do) here's one example:


1. Trade Ohlbrecht for Steimsma this week.


TRob - $3, 526,440
Royce - $1, 719,480
Brooks - $2,500,000
Steimsma - $2,690,875
Garcia - $5,100,000 ****

TOTAL: $15,536,775

Lakers waive Steimsma, retain the other players, and possibly move both a couple or all of them to contenders at the deadline for future second rounders or possibly a first rounder.





**** Garcia's contract with 15% signing bonus paid by the Rox (2nd season non-guaranteed, probably appropriate market value for Garcia, Rox pay $1.35 million signing bonus before trading him, receiving team essentially pays around $3.7 million for Garcia next season with a second non-guaranteed $3.9 million salary on the books for 2014/15.

 

great article bimathug!

 

Wouldn't mind having Garcia back at a Delfino-ish number, if he doesn't get bigger bites elsewhere. He stepped up very well in the playoffs. And Harden can't play 38 mpg at breakneck---make that, break-ankle---pace.

 

FYP..

 

Garcia leavign doesn't bother me.

We will also have to decline some other contracts and maybe trade Asik and some PF's.

 

Good points.

Immediately after the injury I thought... "Amnesty Kobe" problem solved.
But then I saw the Mitch Kupchak interview and he was so adamant that it was not going to happen "No Way!" he said.

Now, revisiting the option, you have made really good points... It's his final year, and nobody will dare sign him because he wont play, they'll just be throwing money away...

These are valid arguments and now I'm thinking you're right, they will amnesty Kobe.

I looked into Coon's FAQ and I'm still unsure of the details and execution. Most concerning is the following:

http://www.cbafaq.com/salarycap.htm#Q67

"The waiving team may not re-sign or re-acquire the player for the length of his contract (which includes seasons following an ETO, but does not include seasons following an option), and the claiming team is prohibited from trading the player until the following July 1."

The Lakers cannot resign Kobe including the seasons following an ETO. What is ETO? Is that the end of his contract? And does the mean the Lakers cannot sign Kobe the season after his contract is terminated? Means if they Amnesty Kobe this season (2013/14) they cannot sign him the following season (2014/15), the earliest they can resign Kobe is for the 2015/16 season? Is this right? It would mean Kobe's career is over if the Lakers amnesty him!

I think his injury is only estimated to be 6 - 9 months!

 

I wonder what Morey gets on his tax returns. The IRS probably hates him lol

 

For some reason I keep coming back to this thread after a couple of beers and my comprehension is ebbing. What's the bottom line for the Rockets choosing to exceed the cap? Is it that we get to sign a bunch of players we want and can use the MLE and BAE to sign additional players that we wouldn't be able to sign if we didn't exceed the cap?

 

No idea where to put this..


Do you think we will be interested in Milsap?

 

People are talking about front court pairings in this thread...

http://bbs.clutchfans.net/showthread.php?t=238672

You could try there.