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[ClutchFans] The Chandler Parsons Contract: Salary Cap Implications of Exercising or Declining the T

Discussion in 'Houston Rockets: Game Action & Roster Moves' started by BimaThug, Dec 31, 2013.

  1. hooroo

    hooroo Member

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    As Morey has said SF is second only to C in getting overpaid because there just aren't that many good players available in those positions.
     
  2. cfansnet

    cfansnet Member

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    Third star first. Then we can worry about Parsons. Or else we're going to have yet another mediocre season.
     
  3. torocan

    torocan Member

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    Keep telling yourself that while Parsons walks...
     
  4. Panda23

    Panda23 Member

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    hes not getting $8m.

    he'll get closer to $11-$12m.
     
  5. Artie_Fufkin

    Artie_Fufkin Member

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    I begrudgingly agree. I would hate to see him go, but not as much as I'd hate for his big payday to hamstring us. He deserves big money; I'm just not sure he's getting it from us.
     
  6. fonzie_004

    fonzie_004 Member

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    I'm no bima (who's posts are always incredibly helpful) but I think it's logical to let the market decide. Make him an RFA and let the market dictate. Match whatever is offered. End of story
     
  7. yunac010

    yunac010 Member

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    Slightly OT, but I seem to remember Morey saying before that Parsons approached him asking for a raise or a contract restructure of some sort. Did that really happen or did I just make that up?
     
  8. hlcc

    hlcc Member

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    Really seems like SG is a much weaker position than SF. There seems to be much more talent at the SF position than 2
     
  9. roslolian

    roslolian Member

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    Correct me if I'm wrong but isn't this the gist of the article?

    If I understand your article correct, are we basically talking about a difference of ~1.5M? If this is the case then it is definitely a no-brainer to make Parsons a RFA. There are multiple reasons for this:

    1) We owe Parsons a solid for being the chemistry guy between Lin and Harden last year and campaigning for DH this year, and giving him his money a year earlier would be a nice reward for him. At the very least, it'll show the Rox in a good light with other players, and also with Feigan and DH. Everybody wants job security, and I'm sure Parsons would like his money a year earlier even if it came on a discount.

    2) It's cheaper to keep a guy in RFA than in FA. In Free agency, you can have a real bidding war on your hands because other teams knows they can get your guy if they pony up the most dough. In RFA though, teams are hesistant to tie their funds up to a player who will be matched anyway. It's not as important for max players, but for role players this can make a world of difference, we were able to sign Landry for 3M per, Lowry 6M per and Scola 9M per due to this. Ultimately, I think the cap savings will be higher by making Parsons a RFA rather than FA, and iMHO that will be worth down the road than 1,5M in 2014.

    3) It makes Parsons an asset. As we can see in Asik, people are hesitant to trade for him because he'll become a FA by next year. OTH, Lowry was seen as a great commodity because he was really cap friendly. If we do get that 3rd max guy, chances are we won't be able to afford Parsons anyway, so make him an asset that we can trade for that 3rd star, rather than clearing his cap altogether by letting him walk. OTH, if we don't get that 3rd guy, we can still get immense value off of Parsons via his cheaper contract.

    In short, I agree with Ben Dubose, making parsons RFA is the correct move and it isn't even close, not for paltry savings of 1.5M.
     
  10. BimaThug

    BimaThug Resident Capologist
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    The difference is not just $1.5M. That is just the difference in cap hold between restricted and unrestricted in 2014. Also, if the Rockets exercise the option, his cap figure that summer is $964,750. So you're talking about a difference of over $2.93M . . . just in 2014. Remember, those figures you quoted are just the 2014 CAP HOLDS for Parsons until he signs his contract. Then, his cap figure will equal his new (much, much larger) salary going forward.

    The major downside of declining the option and re-signing Parsons in 2014 (instead of 2015) is that it essentially forecloses the option of using 2015 cap room to add a major free agent.

    Like I said, it's a difficult decision.
     
  11. roslolian

    roslolian Member

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    That's not really true, the SG has very few top tier talent (only Harden, PG, healthy Kobe and Dwade come to mind right now) however at the above-average to decent you actually have a lot of guys all the way from Oj Mayo, Courtney Lee, to Thabo Sefalosha. Plus, you can even add the PG depth to that spot, so guys like Jeremy Lin and Monta Ellis should really be PGs but can play SG as well.

    On the other hand, SFs can only be played by SFs, PFs are too slow and SG/PG are too small so the talent pool for SFs are really shallow, and this is even worse because some SFs are used as PFs (like Matrix) or SGs (like Paul George or Iggy). That's why guys like Parsons or Gallo or Wilson Chandler can command high salaries even if they're not really seen as stars.
     
  12. roslolian

    roslolian Member

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    Yeah, but I was talking about signing a guy in 2014 before Parsons signs his new contract. From what I understand in Ben Dubose's article trying to do a Dwight Howard and signing a guy outright in FA isn't feasible because having just one other guy extended past 2015 already puts us at less than max money. That seems like a pretty risky proposition, teams always end putting fire sales and turning down value trades just to ensure max capspace you might not even use seems to be pretty bad move to me.

    IMHO if we really need a 3rd star we should go towards the Harden route and do a sign and trade. For example, if Love or LMA wants out of their teams, we can trade for the guy using Parsons as one of the pieces, that seems a more reliable way to me instead of heading out in FA. And again, even if you don't get a 3rd star we still have Parsons on a good contract, oth if strike out in FA we'll be stuck with Parsons on a market-value contract, and that's if he didn't get offended and signed with another team out of spite.
     
  13. bilaal14

    bilaal14 Member

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    I think Option A is the best one, and one that Parson would be open to if that means that route pushes the Rockets over the TOP in acquiring a third star. We have already seen Parsons will to make this team better by recruiting Dwight, and i dont think he will have a problem with a better team and a one year delay into the big money. Getter done MOREYY!.
     
  14. BimaThug

    BimaThug Resident Capologist
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    Those are certainly some valid points. Again, my article was not an opinion piece. I was just laying out the salary cap mechanics of each choice.

    But I also am of the opinion that it is not an easy decision either way, especially once other non-cap issues are factored in.

    Perhaps I just don't foresee the Rockets getting so steep a discount in 2014 restricted free agency as to make your scenario the slam dunk that you think it should be.
     
  15. basketballholic

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    Twould be an interesting read to run through the teams that may pursue Parsons in 2014 free agency.
     
  16. Voice of Aus

    Voice of Aus Contributing Member

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    Arnt sign and trades pretty much useless in this cba?
     
  17. splendidchen

    splendidchen Member

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    We are talking about RFA in 2014 versus URFA in 2015. I'm not sure if you get this point.
    The difference is not on the cap hold or the wasted guaranteed amount. It's that we would have to pay him market price (likely $12M+) in 14-15 (one year earlier) versus about $1M he signed for.

    Letting him hit RFA in 2014 is a huge gamble on what kind of offer he's going to get. In all fairness Rockets are not going to match a full MAX with a player option. Teams know there is a certain amount the Rockets are willing to pay and will bid on him. Parsons may not be a top 3 free agent, but he's definitely an attractive target with a nice combination of youth, skill and marketability.

    The contract discount from RFA seems overblown IMO, and on average I would put 10% on it at most. Lowry and Scola contracts surprised a lot of people on this forum and are by no means cheap at the time. Lowry outplayed his contract later on, but he was mostly a bench player at that point (did have a late-season surge in Brook's injury). Scola's contract was fair (clearly not cheap) but went bad pretty quickly. Eric Gordon still got his MAX and Tyreke Evans still got his $11M. On players of Parson's caliper, I don't see RFA doing the team too much good. That's not to mention his super agent.

    The human factor is the reason that makes sense to me. If Les is willing to spend to reward Parsons, I cheer for him. But paying Parsons in 14-15 would push us very close to (if not above) the tax threshold, and we will most likely give up the very valuable MLE next year to improve our team. I doubt Les is ready to pay the tax as soon as 14-15 and likely repeater tax in 15-16.



     
  18. Aydge

    Aydge Member

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    While we're being optimistic...how would the timing of the decision on Terrence Jones' team option (or unguaranteed salary) work with these moves?
     
  19. emcitymisfit

    emcitymisfit Member

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    I vote on letting him go unrestricted and matching the offers. The benefit of a miniscule cap hold AFTER Lin and Asik come off the books is huge.

    Les will spend to get a championship, that much is clear. Maybe not Prokorov money, but he's definitely no Clay Bennett.
     
  20. basketballholic

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    It's really too early to tell which way is most beneficial to this team. Going to have to wait until the trade deadline to have a better lay of the land in regards to Parson's situation.

    If we land another superstar at the deadline or we land enough assets and trade exceptions to have the ability to trade for a superstar in the future at the deadline then running Parsons through restricted free agency makes a lot of sense.

    The decision on which way to go with Parsons' contract is probably going to depend on what moves we make with Asik and Lin at the deadline.
     

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