The New CBA

[younggunsmn]

owner's offer from 11/11, found here:
http://www.nba.com/news/Memo_to_Players_111311_3.pdf

changes specified by Billy Hunter in his letter to the players, found here:
http://espn.go.com/blog/truehoop/post/_ ... to-players

Tentative Agreement:
https://docs.google.com/viewer?a=v&pid= ... 4&hl=en_US

Breakdown:
Term of Agreement
10 years, with mutual NBA and Players Association opt-outs after year 6.

BRI split:
2011 51.15%
Years 2-10 from 49 to 51%

Salary Cap Threshold
2011-12 and 12-13 58,044,000
Years 3-10 of deal pre-determind formula tied to BRI

Minimum Team Salary
2011-12 and 2012-13 85% of cap 49,337,400
Years 3-10 of deal 90% of cap

Luxury Tax
2011-12 and 2012-13 1:1 (1$ for every dollar over)
Years 3-10 0-5 million over $1.50-for-$1
$5M - 10M $1.75-for-$1
$10M - 15M $2.50-for-$1
$15M - 20M $3.25-for-$1
every additional 5 million, rate increase by $.50-for-1$
Teams that are taxpayers 4 of 5 years (starting in 2011-12)
owe an additional $1.00-for-1$

Luxury Tax Threshold
2011-12 and 12-13 70,307,000
Years 3-10 of deal pre-determind formula tied to BRI

Threshold for being considered a taxpayer when using the MLE or trading:
4 million above the luxury tax threshold (post signing or trade)
2011-12 and 12-13: 74,307,000

Maximum Contract Lengths
Bird Rights Players 5 Years
Non-Bird Players 4 Years

Maximum Yearly Raises
Bird Players 7.50%
Non-Bird Players 4.50%

Non-Taxpayer Mid-Level Exception Can be used every year
Max Contract Length 4 years grows 3% yearly
2011 5,000,000

Taxpayer Mid-Level Exception Can be used every year
Max Contract Length 3 years grows 3% yearly
2011 3,000,000

Mid-Level Exception for Room Teams Can be used every year
Max Contract Length 2 years grows 3% yearly
2011 2,500,000

Bi-Annual Exception Can be used every other year
Can only be used by non-taxpayers
Max Contract Length 2 years grows 3% yearly
2011 1,900,000

Disabled Player Exception Set at the lesser of
1) 50% of injured player's salary
2) Non Taxpayer MLE

Traded Player Exception Non Taxpayers
150% + 100k Matching
Maximum of 5,000,000 in salary difference

Traded Player Exception Taxpayers
125% + 100k matching
Team is considered a taxpayer for salary matching if at or above lux tax threshold.

Base Year Compensation
Applies only to sign and trades where salary matching is applied.
BYC players cannot be traded before January 15th unless it is a sign and trade

Minimum Salary Exception
2010-11 Level. Grows by between 3.5%-4.5% yearly
Minimum player salary scale to be set at or about levels shown in 2005 CBA
for 2010-11 season until reduction in scale is proportional to reduction to
overall system (i.e., approx. 12% lower than under the 2005 CBA). Scale
grows by a percentage to be determined (between 3.5% and 4.5%) in future
seasons.

Rookie Scale:
Set at 2010-11 levels.
4.5% increases from years 1 to 2 and 2 to 3 of each player's deal.
Year 4 set by same table as last CBA (based on a % of year 3).
"First-year salary amounts for first round picks to be set at or about levels
shown in 2005 CBA for 2010-11 season until reduction in the rookies scale is
proportional to reduction to overall system (i.e., approx. 12% lower than under
the 2005 CBA). First-year salary amounts in future seasons’ rookie scales to
increase by a percentage to be determined (between 3.5% to 4.5%). Year-to-
year increases within each season’s scale to increase by 4.5% in years 2 and
3 and by the percentages set forth in the 2005 CBA rookie scale for year 4."

Maximum Salary
0-6 years 25% of cap
A player finishing his rookie scale contract will be eligible to receive a maximum salary equal to 30% of the Cap
if he signs with his prior team and is either:
1st, 2nd or 3rd team All-NBA 2 times
All-Star starter 2 times
1-time MVP
7-9 years 30% of cap
10+ years 35% of cap
Maximum salary can never be less than 105% of the player's previous year salary
(for example a guy making 20 milllion is eligible for an extenstion starting at 21 milllion).

Sign and Trades
Prohited for Taxpayer teams in years 3-10 of agreement.
Max Contract Length 4 Years
Max Annual Increase 4.50%

Player Options
Same as in the old CBA (none before year 4)

Qualifying Offers For Restricted Free Agents
Beginning in 2012-13, players defined as "starters" must have averaged over the previous 2 seasons either:
1) 41 games started, or
2) 2000 minutes played
A 1st round pick "starter" will receive the greater of
1) his existing qualifying offer, or
2) the equivalent for a qualifying offer for the 9th pick in the draft
A 2nd round pick "starter" will receive the equivalent of a qualifying offer made to the 21st pick.
A first-round pick drafted 1-14 who is not a "starter" receives the amount offered to the 15th pick.

Waiting Period For Matching RFA's
3 Days


Escrow
10% of player salary. system adjustments as necessary to avoid forecasted overage.
If necessary owners can take the 1% of BRI dedicated to new benefits.
"system adjustments as necessary" is code for lowering the cap and tax thresholds to compensate.

Salary Cap Holds
First Round Picks above avg salary 250% previous salary
below avg salary 200% previous salary
Bird Free Agent above avg salary 190% previous salary
below avg salary 150% previous salary
Early Bird FA 130% previous salary
Non-Bird FA 120% previous salary

Sending Cash In Trades
Cash paid or received by teams in trades is limited to an aggregate of $3M per team annually.

Waiting period for trading team to re-sign traded player who is waived by recipient team
One year from date of the trade, or July 1st after player's contract has expired.

Maximum Extension Lengths
Maximum of 4 new years for rookie extensions
except: Maximum of 5 new years for a maximum-salary Designated Player rookie extension
– team can have only 1 Designated Player on its roster at any time
Maximum of 4 total years for veteran extensions (e.g., 3 new years if extension signed during last year of player’s original contract).


"Stretching" Cap Hit for waived players
For new contracts, salary of waived players to be “stretched” for cash purposes such that
the player’s remaining protected compensation would be paid over twice the number of remaining contract years plus 1 year.
Key phrase is "New Contracts". Can't do this with existing contracts.
Sum of "Dead Money" could not exceed an agreed upon % of the cap.

Amnesty
Each team permitted to waive 1 player prior to any season of the CBA (only for contracts in place at the inception of the CBA)
and have 100% of the player’s salary removed from team salary for Cap and Tax purposes.

Salary of amnestied players included for purposes of calculating players’ agreed-upon share of BRI.

A modified waiver process would be utilized for players waived pursuant to the Amnesty rule
Teams with Room under the Cap could submit competing offers to assume some but not all of the player’s remaining contract.

If a player’s contract is claimed in this manner,
The remaining portion of the player’s salary will continue to be paid by the team that waived him.

Revenue Sharing
Nothing in CBA about it. Up to the owners.

A team in any season that uses the Non-Taxpayer Mid-Level
Exception or the Bi-Annual Exception, or that in year 3 or after
acquires a free agent in a sign-and-trade transaction, cannot at any
time thereafter have a team salary at any point during that season in
excess of $4 million above the Tax level.

Extension And Trades
Players can only receive only 3 total years
(IE only 2 new years if signed during the last year of the players contract)
Maximum Annual Increase 4.50%

Player Benefits
New benefits pool to be funded with 1% of BRI for post-career player
annuity and welfare benefits. This 1% of BRI benefits pool is included in
(and is not in addition to) the players’ 50% share of BRI (and is also
included in the players’ 51.15% share of BRI in year 1).

[younggunsmn]

I've calculated out some salary scales:

Non-Taxpayer Mid-Level Exception Max Contract Length 4YRS
YR1 YR2 YR3 YR4 TOTAL
2011 5,000,000 5,225,000 5,460,125 5,705,831 21,392,967
2012 5,000,000 5,225,000 5,460,125 5,705,831 21,392,968
2013 5,150,000 5,381,750 5,623,929 5,877,006 22,034,697
2014 5,304,500 5,543,203 5,792,647 6,053,316 22,695,679
2015 5,463,635 5,709,499 5,966,426 6,234,915 23,376,490
2016 5,627,544 5,880,784 6,145,419 6,421,963 24,077,725


Taxpayer Mid-Level Exception Max Contract Length 3 YRS
YR1 YR2 YR3 TOTAL
2011 3,000,000 3,135,000 3,276,075 9,411,075
2012 3,090,000 3,229,050 3,374,357 9,693,407
2013 3,182,700 3,325,922 3,475,588 9,984,209
2014 3,278,181 3,425,699 3,579,856 10,283,736
2015 3,376,526 3,528,470 3,687,251 10,592,248
2016 3,477,822 3,634,324 3,797,869 10,910,015

Mid-Level Exception for Room Teams Max Contract Length 2YRS
YR1 YR2 TOTAL
2011 2,500,000 2,612,500 5,112,500
2012 2,575,000 2,690,875 5,265,875
2013 2,652,250 2,771,601 5,423,851
2014 2,731,818 2,854,749 5,586,567
2015 2,813,772 2,940,392 5,754,164
2016 2,898,185 3,028,604 5,926,789

Bi-Annual Exception Max Contract Length 2YRS
Can only be used by non-taxpayers Can be used every other year
YR1 YR2 TOTAL
2011 1,900,000 1,985,500 3,885,500
2012 1,957,000 2,045,065 4,002,065
2013 2,015,710 2,106,417 4,122,127
2014 2,076,181 2,169,609 4,245,791
2015 2,138,467 2,234,698 4,373,164
2016 2,202,621 2,301,739 4,504,359

Bird Rights Re-Signed Max Player: (7.5% raises)
2011-12 and 12-13 YR1 YR2 YR3 YR4 YR5 TOTAL
0-6 YRS 13,603,750 14,624,031 15,720,834 16,899,896 18,167,388 79,015,899
7-9 YRS 16,324,500 17,548,838 18,865,000 20,279,875 21,800,866 94,819,079
10 YRS 19,045,250 20,473,644 22,009,167 23,659,855 25,434,344 110,622,259
A "Star Player" would also be eligible to jump to the yr 7-9 scale (I believe this only applies to Derrick Rose)

Free Agent Signed Max Player: (4.5% raises)
2011-12 and 12-13 YR1 YR2 YR3 YR4 TOTAL
0-6 YRS 13,603,750 14,215,919 14,855,635 15,524,139 58,199,443
7-9 YRS 16,324,500 17,059,103 17,826,762 18,628,966 69,839,331
10 YRS 19,045,250 19,902,286 20,797,889 21,733,794 81,479,220

Rookie Salaries (120% scale)
120% Scl 2010-11 YR2 YR3 YR4 Qual. Offer
1 5,144,280 5,530,080 5,915,880 7,459,925 9,697,902
2 4,602,720 4,947,840 5,293,080 6,679,867 8,717,226
3 4,133,280 4,443,360 4,753,320 6,008,196 7,882,754
4 3,726,600 4,006,080 4,285,560 5,421,233 7,150,607
5 3,374,640 3,627,720 3,880,800 4,916,974 6,519,907
6 3,065,040 3,294,960 3,524,880 4,469,548 5,962,377
7 2,798,040 3,007,920 3,217,680 4,086,454 5,479,934
8 2,563,320 2,755,560 2,947,800 3,749,602 5,054,463
9 2,356,320 2,532,960 2,709,720 3,452,183 4,677,708
10 2,238,360 2,406,240 2,574,120 3,282,003 4,470,088
11 2,126,520 2,286,000 2,445,480 3,245,152 4,442,613
12 2,020,200 2,171,640 2,323,200 3,201,370 4,405,085
13 1,919,160 2,063,040 2,207,040 3,153,860 4,361,789
14 1,823,280 1,959,960 2,096,760 3,105,302 4,319,474
15 1,731,960 1,861,920 1,991,760 3,053,368 4,268,609
16 1,645,440 1,768,800 1,892,280 2,902,758 4,078,374
17 1,563,120 1,680,360 1,797,600 2,761,114 3,898,692
18 1,485,000 1,596,360 1,707,720 2,626,473 3,726,966
19 1,418,160 1,524,480 1,630,800 2,511,432 3,581,302
20 1,361,400 1,463,520 1,565,640 2,414,217 3,459,573
21 1,306,920 1,404,960 1,503,000 2,394,279 3,450,156
22 1,254,720 1,348,800 1,442,880 2,373,538 3,436,882
23 1,204,560 1,294,920 1,385,280 2,350,820 3,420,443
24 1,156,320 1,243,080 1,329,720 2,325,680 3,400,145
25 1,110,120 1,193,280 1,276,560 2,299,085 3,377,355
26 1,073,280 1,153,800 1,234,320 2,225,479 3,284,807
27 1,042,320 1,120,440 1,198,680 2,162,419 3,206,867
28 1,035,960 1,113,600 1,191,240 2,150,188 3,203,780
29 1,028,400 1,105,560 1,182,600 2,134,593 3,201,890
30 1,020,960 1,097,520 1,174,080 2,119,214 3,178,822

Minimum Salary
Yrs In League
0 473,604 (Cap Hold # for Empty Roster Spot)
1 762,195
2 854,389 (Cap Number for Veteran Minimum Signing)
3 885,120
4 915,852
5 992,680
6 1,069,509
7 1,146,337
8 1,223,166
9 1,229,255
10+ 1,352,181

[younggunsmn]

Also, we can offer Kevin Love an extension of up to
5 years and 79.015 million.

Another team can only offer him
4 years and 58.199 million.

That is a difference of almost 21 million guaranteed.
And he can no longer get the extra $ and year in a S/T I believe.

Conversely, the most we can offer Marc Gasol or Greg Oden (If we had the cap room)
is 4 years and 58.199 million.

[younggunsmn]

By the way, I think I've figured out which rookie scale they are using.
The only specific number is the 4.67 million Billy Hunter gave for the Qualifying Offer for the 9th pick in the draft. That is the exact 120% scale amount Qualifying offer for the 9th pick in the 2010-11 draft (Gordon Hayward).

It appears that they have frozen the rookie wage scale at 2010-11 levels.
Probably the same with the minimum salary.

Edit: It appears I was correct.

The one thing that is confusing is the part about minimum salaries and rookies .
My reading of it suggests that both scales will remain frozen until BRI increases 12%, then first year salaries start increasing again by either 3.5% or 4.5% per year. This would likely freeze both scales for at least 3 years.

The only other interpretation is that salaries are cut in years 2/3/4 to make up the 12%, but that is impossible to do with the minimum salary.

[younggunsmn]

Ricky Rubio may be an answer to a trivia question as the only player to sign under the 2011-12 rookie salary scale, because it looks like that scale will never be used.

[shangrila]

I didn't read the whole thing, but the difference in bird/non-bird percentage increases should be a hell of an incentive for guys to stay with their current teams.

[Saltine]

Wow, thanks for all the work you put in

[shrink]

Great work younggunsmn. You're the first person I've read.

I have to say that for MIN, I'm disappointed. When the players rejected the last offer, I began dreaming that we were going to get a CBA that really made things fair for small-market teams (and I think there are 25 of us now). Was it possible we'd end up with a hard cap? Franchise players? At least a lux tax so hard that we'd all be under a more level playing field? Or moves that would help small markets keep their best players?

It doesn't look like that at all. Sign-and-Trades still exist, to help stars desert small markets and not feel severe financial consequences from forcing their way out. I expect the exodus of players to superteams in year 6-7 to actually increase. The lux is heavier, but it doesn't seem to me to do more than discourage the teams that would occasionally spend money into the lux when they feel they have a real competitor (like MIN may be). I don't think teams like LA or NYK will hesitate to pay extra to add superstars or increase their chances to win a ring. And the lux doesn't even kick in until the end of Year 3.

I'm happy to have the NBA back - I really am. However, as a MIN fan, if we're looking at 10 more years in a game stacked against us, I'd have rather sat out a full season.

[TrentTuckerForever]

Great work younggunsmn. You're the first person I've read.

I have to say that for MIN, I'm disappointed. When the players rejected the last offer, I began dreaming that we were going to get a CBA that really made things fair for small-market teams (and I think there are 25 of us now). Was it possible we'd end up with a hard cap? Franchise players? At least a lux tax so hard that we'd all be under a more level playing field? Or moves that would help small markets keep their best players?

It doesn't look like that at all. Sign-and-Trades still exist, to help stars desert small markets and not feel severe financial consequences from forcing their way out. I expect the exodus of players to superteams in year 6-7 to actually increase. The lux is heavier, but it doesn't seem to me to do more than discourage the teams that would occasionally spend money into the lux when they feel they have a real competitor (like MIN may be). I don't think teams like LA or NYK will hesitate to pay extra to add superstars or increase their chances to win a ring. And the lux doesn't even kick in until the end of Year 3.

I'm happy to have the NBA back - I really am. However, as a MIN fan, if we're looking at 10 more years in a game stacked against us, I'd have rather sat out a full season.

Check out this column from Steve Aschburner, former Woofies beat guy now writing for NBA.com:

http://www.nba.com/2011/news/features/s ... ef:nbahpt1

While I do think your points on sign-and-trade and the hard cap are valid, shrink, Aschburner points out that the rookie scale "escalators" should help small market teams:

"The game's best young players will have an opportunity to earn fatter contracts sooner. Someone like Chicago's Derrick Rose will be able to sign for 30 percent of his team's cap figure rather than 25 percent if he meets one of three criteria: 1) winning the league's MVP award, 2) making all-NBA teams (first, second or third) at least two times, or 3) being voted as an All-Star starter twice.

Comment: This deal is only available as an extension, to be signed with his current team. It has the possible impact of a "franchise player" designation, within the NBA's rules, encouraging/coercing top young talent to stay where it's been drafted.

This should help the Wolves retain Rubio and Williams, assuming they produce to this level.

I'd also argue that shorter contracts favor small market teams, as a "mistake" contract (like Marko Jaric) comes off the books sooner. That mitigates the big market teams' ability to spend through "mistake" contracts. So it's not all bad news, from a small market perspective.

[Tha Juice]

Thanks for the great work, younggunsmn. Definitely bookmarked for future reference.

[shrink]

Young talent already "stays where it's drafted." I suppose Ben Gordon is one of the few exceptions. That's why I'm saying "year 6 or 7."

Like the last CBA, this one encourages players coming off rookie deals to sign with their current team, since they can sign as an RFA a year earlier, and don't risk an injury that would keep them from getting their first big guaranteed deal. Once that contract is in hand, then they can start leveraging themselves to move to another team, the closer they get to the end of that contract. It also looks like sign-and-trades are going to stick around too.

These are the rules that helped the NBA's big stars move to the superteams they wanted.

[shrink]

This is another win for big markets:

Salary-matching requirements for trades have been loosened. Now non-taxpaying teams can take back salaries worth up to 140 [150% shrink] percent, plus $100,000, of what they're sending out. Taxpaying teams are limited to 125 percent plus $100,000

I'm not sure why, but this has been relaxed to 50%.

1. This makes trading easier - especially big salary, superstar trades.

2. It also hastens the ability of a team with cap payroll at $58 (destinations that ducked under the cap to sign a star free agent) to rush up to lux payroll at $70.

[shrink]

Amnesty
Each team permitted to waive 1 player prior to any season of the CBA (only for contracts in place at the inception of the CBA)
and have 100% of the player’s salary removed from team salary for Cap and Tax purposes.

Anything here that says you can't trade for a bad contract plus incentive, then waive him?

[the_bruce]

A modified waiver process would be utilized for players waived pursuant to the Amnesty rule
Teams with Room under the Cap could submit competing offers to assume some but not all of the player’s remaining contract.

This is very interesting.

Maybe teams can get a deal on someone like Marvin Williams @2m a season is a steal. Just the first name that came to mind for a player thats good but not great on a team with cap problems.

Or someone like Roy, Arenas, Lewis @5m a season.

Maybe Dal Resigns Chandler and amnesties Haywood and you can get a cut rate on him? Great post defender.

[younggunsmn]

Thanks guys.
I think you may have overlooked a few key points shrink.

1. Sign and trade for "taxpayers" is eliminated starting with year 3. Big win for owners, they did not cave at all from their last proposal on this.
2. Luxury tax is EXTREMELY PUNITIVE and owners got 100% of what they asked for in their last proposal.
For Example, if the Lakers Payroll is still 90 million in 3 years their luxury tax bill will jump to 42.5 million.
If they were taxpayers in 4 of 5 years, it will jump to 62.5 million in years 4,5, and possibly beyond. Even the Lakers can't break even with this big of a luxury tax bill.
3. Trading for salary-matching is now 150%, BUT there is a 5 million $ cap on the difference between what you send out and take in. So capped-out teams aren't going to be able to add more than 5 million $ in salary in any trade (this can still be expoited somewhat by "breaking up" the pieces of the trade. And teams over the lux will be held to the old 125% rules.
I like this provision, as smaller trades will be easier.
Going to have to really retrofit trade checker to match these rules.
4. Even though the owners caved on the "Carmelo Rule", "Carmelo" extensions can only be for 2 years at 4.5% raises. Sign-and trade players also no longer can get an extra year or the "hometown" annual increase (7.5%). They are now FORCED to leave money on the table if they leave their old team. Non-rookie extensions are also limited to 3 years, which I don't understand as it is going to make it far more lucrative for veteran players to hit free agency than sign an extension as they can get up to 5 new years if they wait for FA, but only 3 from an extension.
5. If you use the Non-Taxpayer MLE, LLE, or Sign And Trade (in yrs 3-10), your team is EXPRESSLY PROHIBITED from going more than 4 million over the luxury tax for the remainder of the year using anything other than the vet min exception..

My take is that the owners caved in a few non-key areas:

1. Rookie Scale and Vet Min cuts (can't disagree here)
2. Carmelo Rule
3. Future Escrow clawback in scenario where escrow isn't enough.
4. 4 million "Apron" above tax level for being considered a "taxpayer" for MLE purposes.
This is fairly moot, since if you use the non-taxpayer MLE you are prohibited from using anything other than the vet min exception after you hit the 4 million "apron" above the lux, which will be a big disincentive for teams hovering around the lux from using the full MLE.
5. 1% increase in annual increases from their previous offer (3.5-6.5 to 4.5-7.5)
6. Owners wanted player options to apply only to below-avg salary.
They relented on this.
7. Gave union the "derrick rose" rule (30% for rookie max for star player) and qualifying offers which better fit the player's playing time rather than draft slot. (I like both these changes).

none of these givebacks mean a helluva lot for owners when you consider they kept 100% of their luxury tax proposal, mini mid-level, and contract lengths from their last proposal, along with the sign-and-trade taxpayer provision. They also kept their demand that players will now be forced to leave a year and significant money on the table if they leave in free agency.

[younggunsmn]

Amnesty
Each team permitted to waive 1 player prior to any season of the CBA (only for contracts in place at the inception of the CBA)
and have 100% of the player’s salary removed from team salary for Cap and Tax purposes.

Anything here that says you can't trade for a bad contract plus incentive, then waive him?

Nothing expressly prohibiting it in the agreement, as long as contact was signed under old CBA. So as of now I'd say you could do it, but in the eventual CBA they still might tighten the language on this as I believe their intent was to prohibit it.

The "Waiver Auctions" for amnestied players are going to be really, really interesting. We could end up with Haywood or Roy at 4 or 5 million a year. Also, contenders like the Lakers looking to sign an amnestied Baron Davis or Rashard Lewis could see them snapped up by teams under the cap. So eat that big spenders.

[younggunsmn]

A few things I dislike about the deal are:
1) Keeping the Cap at 2010 levels instead of letting it drop
2) Minimum Team Salary jumping to 90% of cap is stupid.
3) Extension lengths are too short. Teams can only offer one player a 5 year rookie extension, and veterans are limited to 3 years. This is going to force more players into free agency, when the whole point of contract extensions are to keep a player from hitting free agency.

I'm all for a hard cap, but I can see how a really puniitive lux is a little better for small markets because:
1) Under a hard cap they'd likely be forced to spend more
2) Under this lux tax system they will likely get a significant lux payout starting in year 3, allowing them to bump up their payroll a bit (they don't get this under a hard cap).

Players are always going to be drawn to certain cities. We can't keep them from leaving short of a Franchise Tag (which will never happen). This CBA does add significant financial incentive for them to stay. And while it doesn't include the Carmelo Rule, it does neuter it a bit by limiting said extension to 2 years. And those Lux Tax provisions are eventually going to act like a pseudo-hard-cap when you start getting 15-20 mil over the lux starting in year 3.

[Busch Legion]

Excellent breakdowns youngguns.

All in all, I like what I read for the most part.

[champalift]

Amnesty
Each team permitted to waive 1 player prior to any season of the CBA (only for contracts in place at the inception of the CBA)
and have 100% of the player’s salary removed from team salary for Cap and Tax purposes.

Anything here that says you can't trade for a bad contract plus incentive, then waive him?

Nothing expressly prohibiting it in the agreement, as long as contact was signed under old CBA. So as of now I'd say you could do it, but in the eventual CBA they still might tighten the language on this as I believe their intent was to prohibit it.

The "Waiver Auctions" for amnestied players are going to be really, really interesting. We could end up with Haywood or Roy at 4 or 5 million a year. Also, contenders like the Lakers looking to sign an amnestied Baron Davis or Rashard Lewis could see them snapped up by teams under the cap. So eat that big spenders.

I have been wondering about the trade and waive idea for some time. Found this.
http://www.nytimes.com/2011/11/28/sport ... .html?_r=1
"And many teams might simply hold onto their amnesty card for a future year. According to a draft of the rule, a team can use the provision in any off-season, subject to two restrictions: the player must have been signed before July 1, 2011, and must be on the team’s current roster."

[younggunsmn]

Thanks for that champalift. Appears trade-and-amnesty is a no-go.

I think the owners are making a big mistake with the "stretch" provision. Having dead money on your cap for a year or two is bad enough, spreading it over twice the years (plus one) is just idiotic.
Imagine if this was available 3 years ago and we'd used it on Jaric instead of trading him to Memphis. We'd have 3 mil plus of his stinky ass dead money counting against our cap through 2014-15.

This is just like telling owners they can put their mistakes on zero-interest credit cards.
Where is the incentive to watch their spending?

Somewhere along the line some team is going to waive and "stretch" half its freaking team to make room to sign a free agent and have their cap f'd to high hell for years. This is almost as dumb as the unlimited contract lengths in the NHL CBA. (take a look at Marian Hossa or Ilya Kovalchuck's deals).

The percentage of cap teams are allowed to "stretch" wavied players with better be pretty low. like 10-15% or less. Or you should only be able to have one "stretched" contract on your cap at any time.