Chicago Bulls creating offseason trade options with latest signings (updated)

4 Comments

Update: I miscalculated. The Bulls are safe from the luxury tax — at least unless Joakim Noah and Taj Gibson each get $500,00 bonuses.

Because Andrew Bynum signed with the Pacers, Chicago can set off a portion of his salary ($105,564 in this case) — an amount I didn’t account for. That leaves them $791,165 beneath the tax line — more than the $750,000 in leeway discussed below.

Noah ($500,000 for All-NBA first team) and Gibson ($500,00 for All-Defensive first team) could still send the Bulls into the tax. However, even if the Bulls hadn’t signed Ronnie Brewer, Lou Amundson, Mike James and Greg Smith, they still would have had more than $750,00 but less than $1 million in leeway.

So, Chicago can absorb a $500,00 Noah bonus for All-NBA first team and a $250,00 Gibson bonus for All-Defensive second team and avoid the tax. But if Noah and Gibson each get $500,000 bonuses, Chicago will pay the tax.

It’s the same situation regardless of whether the Bulls made their latest run of signings.

In sum, these signings won’t make the Bulls more likely to pay the luxury tax, but they’ll cost Chicago a few extra real dollars. In return, the Bulls get more trade flexibility — a definite win for them.

Original post: The Chicago Bulls, like every team, would like to avoid the luxury tax.

Not only are luxury-tax penalties already costlier than ever, repeater penalties loom. If a team might be willing to pay the tax only while contending, it’s especially prudent not to pay the tax when out of contention.

That’s what makes the Bulls’ situation so fascinating.

With all due respect to the marvelous job Tom Thibodeau, Joakim Noah and crew have done this season, Chicago is an extreme longshot to win the 2014 championship. But once Derrick Rose gets healthy, Nikola Mirotic signs, the Bulls use both their 2014 first-round picks (one from Charlotte) and exhaust their pending cap space… Chicago could get really good – and really expensive – in a hurry.

Yet, the Bulls have flirted with the luxury-tax line this season while still remaining pretty competitive. It’s a tight line to walk – wanting to keep salary low without completely blowing up the team (a dichotomy the Luol Deng trade accomplished).

Chicago caught a big break in that quest when they waived Erik Murphy and the Jazz claimed him, removing his salary from the Bulls’ books. That positioned Chicago to add up to three players and leave $750,000 in leeway under the luxury-tax line for performance incentives potentially due to Joakim Noah ($500,00 for All-NBA first team) and/or Taj Gibson ($500,00 for All-Defensive first team or $250,000 for All-Defensive second team).

The Bulls opted to go another way, though.

Chicago signed Ronnie Brewer, Lou Amundson and Mike James to minimum-salary multi-year contracts, according to Larry Coon. Amundson’s’ agent, Mike Bartelstein, confirmed his client’s contract was for two years. James’ agent, Bernie Lee, did the same for his client.

The multiple years matter, because the NBA pays a portion of the minimum salaries for veterans with at least three years experience and the league’s portion of the payments are not taxed – but only for one-year, 10-day and rest-of-season contracts. By signing those three to multi-year deals, Chicago assumed all payments and the increased tax burden that comes with them.

On the positive side, the Bulls signed Greg Smith – who surprisingly cleared waivers – without having to worry losing their $750,000 leeway, because they’d already lost it.

Smith – like Brewer, Amundson and James – could prove useful in trades after the season. Smith is a talented young big man, and the other three have unguaranteed contracts, according to Coon. That allows their salaries to help a trade match, and then they could be released them without penalty.

All in all, the Bulls are now $685,601 below the luxury-tax line – meaning they can absorb only one of the bonuses potentially due to Noah and/or Gibson without paying the tax.

If the bonuses due to Noah and Gibson fall short of $750,000, the Bulls win. They’ll avoid the luxury tax and will have added potentially useful trade assets.

But if Noah and Gibson both hit their incentives, the Bulls will pay the tax, though they’ll still have tradable assets in Smith, Brewer, Amundson and James.

It’s a calculated risk that I think will work. I project Noah to make the All-NBA first team, but I don’t have Taj Gibson making an All-Defensive team.

However, the downside – paying the tax – is high enough that I don’t believe the multi-year deals were worth it. Had the Bulls waited until Saturday to sign Brewer, Amundson and James, Chicago would have kept its $750,000 luxury-tax leeway and still signed Smith, anyway.

Chicago is choosing to play with tax fire to better position itself for a trade later, perhaps a revealing strategy about the franchise’s long-term plans.

Former Lakers forward Tommy Hawkins dies

AP
1 Comment

LOS ANGELES (AP) — Tommy Hawkins, the first black athlete to earn All-America honors in basketball at Notre Dame and who played for the Los Angeles Lakers during a 10-year NBA career, has died. He was 80.

Hawkins died Wednesday in Malibu, according to the Los Angeles Dodgers, for whom he once worked as director of communications.

He graduated from Notre Dame in 1959. Hawkins was inducted into the school’s Ring of Honor and his 1,318 career rebounds remain the oldest record on the books in Fighting Irish basketball history.

Hawkins was selected by the Minneapolis Lakers in the first round of the 1959 NBA draft. He played for them as well as the Cincinnati Royals, and notched 6,672 career points and 4,607 rebounds.

Nuggets hire assistant coach, assistant general manager

Getty Images
Leave a comment

DENVER (AP) — The Denver Nuggets have hired veteran NBA coach Bob Weiss as an assistant on Michael Malone’s staff and announced the hiring of Calvin Booth as an assistant general manager.

Weiss has coached 31 seasons in the NBA, including the last four as an assistant with the Charlotte Hornets. He’s been a head coach with four teams, compiling a 223-299 career record with the Spurs, Hawks, Clippers and SuperSonics.

Prior to coaching, Weiss played a dozen seasons in the NBA.

Also Wednesday, the Nuggets made official their hiring of Booth, 41, who spent the previous four seasons in the Minnesota Timberwolves front office, serving as director of pro personnel last season.

Booth has quietly emerged as a respected evaluator of talent. He was one of the holdovers in the front office when Tom Thibodeau was hired to take over last summer as president of basketball operations and coach.

After one season working under Thibodeau and GM Scott Layden, Booth left for a promotion with the Nuggets, taking a position that will give him more responsibility and a greater say in the direction of another young team on the rise in the Western Conference.

Booth joins a Nuggets front office that includes Tim Connelly, who was promoted earlier this summer to president of basketball operations, a move that allowed Denver to hold on to promising executive Arturas Karnisovas as the team’s general manager.

Booth spent 10 years as a player in the league. Four of those seasons were with the Washington Wizards while Connelly was working there. The two also worked together in New Orleans in 2012-13, when Connelly was the assistant GM and Booth was a scout.

 

Rasheed Wallace says Zach Randolph isn’t a drug dealer: ‘The bigger the paycheck, the bigger the party’

AP Photo/Don Ryan
3 Comments

Kings big man Zach Randolph is charged with possessing marijuana with intent to sell, a felony – not because law enforcement has evidence Randolph planned to sell the drug, but because of the amount of the drug found.

Randolph’s agent/attorney denied the allegations.

Also sticking up for Randolph? Rasheed Wallace, who played with Randolph on the Trail Blazers.

Wallace, via TMZ:

“It seems to be — no matter who you are — the bigger the paycheck, the bigger the party,” Sheed says.

“I know for a fact he ain’t no dope dealer.”

Charging someone for intending to distributing drugs without any proof he intends to distribute drugs is hazardously lazy. Randolph – who has earned about $175 million in his career and is on a two-year, $24 million contract with Sacramento – can afford more marijuana than most. That doesn’t mean he plans to sell it.

The stakes are high for Randolph. If he’s convicted of “a felony involving the distribution of marijuana,” per the Collective Bargaining Agreement, he’d be banned from the NBA for at least two years.

Report: Enes Kanter not yet permitted to travel to Mexico, where Thunder scheduled to play

Christian Petersen/Getty Images
1 Comment

Remember when Turkey revoked Enes Kanter‘s passport?

That looms over the Thunder’s Dec. 7 game against the Nets in Mexico City.

Fred Katz of The Norman Transcript:

Without a valid passport, he is unable to travel to another country other than Canada, which allows entry from U.S. residents who have a Green Card. There is no such agreement with Mexico.

Kanter could receive a re-entry permit, a special document issued to citizens of other countries whose passports have been canceled for reasons the U.S. government deems unsuitable. The permit would allow Kanter to leave the U.S. for another country, such as Mexico, and still return. And the plan is for Kanter to acquire one before OKC’s game in Mexico City. Still, he is yet to receive a re-entry permit, according to a source with knowledge of the situation. There is, however, still ample time for that process to complete.

Kanter is a high-profile millionaire working for a billion-dollar company that has a vested interest in getting him to Mexico. He likely works this out.