ebott wrote:Roy The Natural wrote:Nah... they'll find some way to get under the tax before then for a season to break up the repeater. I think the idea that we're just going to keep piling on the tax is a little bit overblown. By this time next year, the roster will be at least $15 million lighter in salary, you can book it.
Turns out the repeater tax is a bit of a misnomer. You don't get into the repeater area until you've been in the tax four years. But even at the "regular" tax level you get to that 3 for 1 area after you're 15 million over. They are a bit under that right now. Ed Davis is expiring so we'll be another 7 under. So if they lose Aminu or leonard they'll be 15 to 18 under. So only 7 million of that theoretical 25 will be in the triple penalty area. But you're paying 21 million tax on that 7 million. the 5 million before that will be 10 million in tax and the 5 million before that at 5 mil. For a total tax of 36 million. So they'd effectively have to pay 51 million for Nurk to stick around.
So I feel like we didn't just draft Collins because we thought he was the best player available. We did specifically go after him because he is a center. I think if we were confident that we were resigning Nurkic we might have stayed at 15 and 20 to take the guys that Sacramento ended up with. Not that it's a foregone conclusion that we're not going to resign Nurkic. We just made a move to hedge our bets a little.
looks like you might be mixing up some tax years, or at least you're mixing me up...
for next season, with a 99M cap, the tax threshold will be about 119M. Portland is right around 133M in guaranteed salary right now. But that doesn't count Connaughton/Quarterman, Collins, & Swanigan. Assume they keep Connaughton. So, 134.4M. The rookie scale for Collins and Swanigan under the current CBA is a bit over 2.2M and 1M respectively. But the new CBA will raise rookie scale amounts 45%, phased in over 3 years. And Paul Allen has historically always give 1st round picks the max, with the max being 20% above scale IIRC. So, Collins and Swanigan will likely bump Portland's cap to around 138.5M. That's about 19.5M over the tax threshold
so, without any trades, Portland's tax hit next season would be around:
5 X 1.5 = 7.5M
+ 5 X 1.75 = 8.75M
+ 5 X 2.5 = 12.5M
+ 4.5 X 3.25 = 14.63M43.38M in luxury tax....that's a hefty tax bill
now, as many have said repeatedly, Paul Allen had to have known the risks when he signed off on Olshey's spending spree. That's perfectly logical
but a couple of factors have changed a lot. Last summer, when he agreed to those deals, the NBA was projecting a 108M salary cap for next season. By the beginning of the season, that projection had dropped to 103M. By sometime in February, the projection had dropped to 101M. And now, it's down to 99M. That essentially equals a 10M drop in the tax threshold, so when PA was looking at those contracts, he was looking at a 16-18M tax bill for this season, and
not looking at an extension for Nurkic the following season
and of course, another factor was that those signings took place shortly after a feel good close to the season. I'd bet the Blazer front office was projecting 50 wins for this year's Blazers. Plenty of people here were too. But while 2015-16 may have showed the potential, this season introduced some reality. And some of that reality is that Turner was not near as good a fit as they projected; and that Meyers is the disaster he's always been (I still can't believe Olshey didn't see that)
so Paul Allen is likely looking at things thru a very different lens now then he was.
now, the Blazers had the kind of draft I was hoping for: they didn't use the picks to dump salary. The problem is that I believe the Blazers would have to significantly incentivize any trade that sends out Turner and/or Meyers. And I think they'd have to incentivize a trade for Crabbe if they weren't willing to take back significant salary. But if you think that PA is probably not willing to pay 40M+ in tax for this current team next year, either the Blazers are going to incentivize a trade of a bad contract (and I don't think they have very good incentives) or trade some combination of Harkless/Aminu/Davis. And that would make Portland a worse team making a big tax bill harder to swallow
I'll admit I have no real clue what PA's tolerance for tax will be next season. If Portland looks like a top-4 seed, it may be pretty high. But if they come out and crap the bed over the first half of the season, like they have the last 2 seasons, that tolerance won't be nearly as high
the big issue is what happens the following year if no significant changes are made. The tax threshold is projected to be around 121M. Dame+CJ+Crabbe+Turner+Meyers+Harkless+Aminu+Collins+Swanigan+(Varejao) = 125-126M in guaranteed money. Add Nurkic at 25M and it's up to 150M. But that's only for 10 players with only 3 guards and no backup PG. Filling out the roster would probably bump Portland up over 160M. 40M over the tax threshold =
5 X 1.5 = 7.5M
+ 5 X 1.75 = 8.75M
+ 5 X 2.5 = 12.5M
+ 5 X 3.25 = 16.25M
+ 5 X 3.75M = 18.75M
+ 5 X 4.25 = 21.25M
+ 5 X 4.75 = 23.75M
+ 5 X 5.25 = 26.25M135M in luxury tax...LOL...well, we know that won't happen. But to avoid it, Portland is going to have to trade a decent player or two, dump at least 2 if not all three of the albatross contracts, and probably be willing to take back some salary and use the stretch provision
it's going to be interesting, that's for sure