Warriors could save $48 million with David Lee-Gerald Wallace trade

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The Warriors agreed to trade David Lee to the Celtics for Gerald Wallace.

The deal is essentially a salary dump for Golden State. Lee lost his starting job and most of his playing time. Wallace, who turns 33 this summer, looks done as a functional NBA player.

Just how much will the Warriors save?

It’s far more than the difference in salaries between Lee ($15,493,680) and Wallace ($10,105,855). That’s because Golden State projects to be far above the progressive luxury tax.

Let’s start with a few reasonable assumptions:

The Warriors could save even more if they stretch Wallace, which would spread his remaining salary evenly over twice the remaining years plus one (three).

On one hand, stretching Wallace makes sense for owners Peter Guber and Joe Lacob financially. Golden State is almost guaranteed to pay the tax next season, but with the salary cap and luxury-tax lines skyrocketing in coming years, it’s unlikely for the following seasons.

On the other hand, stretching Wallace wouldn’t give the Warriors any more immediate roster-building flexibility. Plus, that would close the opportunity to use his salary in a trade. If they stretch him, he’d also eat into their potential cap room in 2016 – when they reportedly plan to pursue Kevin Durant – and 2017.

Here’s Golden State’s outlook before the trade, after the trade and if they use the stretch provision on Wallace:

Pre-trade

  • Salary: $104,896,878
  • Luxury tax: $52,113,291
  • Total: $157,010,169

Post-trade

  • Salary: $99,509,053
  • Luxury tax: $33,654,421
  • Total: $133,163,474

With stretch

  • Salary: $92,771,816
  • Luxury tax: $15,850,678
  • Total: $108,622,494

That’s a saving of about $24 million with the trade. By stretching Wallace, Golden State could increase those savings to about $48 million this season. (Wallace would still make $3,368,618 each of the next two seasons).

The luxury tax is determined on the last day of the regular season, so the Warriors still have a chance to adjust their payroll. But they positioned themselves today to save a lot of money.

Report: Gerald Green to sign with Milwaukee for training camp (at least)

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How good is the hot chocolate at the BMO Harris Bradley Center?

I ask because it appears Gerald Green is going to be playing in Milwaukee, at least for training camp, according to Shams Charania of The Vertical at Yahoo Sports.

Free-agent swingman Gerald Green has agreed on a contract with the Milwaukee Bucks, league sources told The Vertical.

Green will sign a non-guaranteed deal for training camp and is expected to compete for a regular-season roster spot. Milwaukee has looked to add depth at the wing positions, bringing Green and veteran guard Brandon Rush to camp.

The Bucks have 14 guaranteed contracts, so it is Rush vs. Green for that final roster spot. Green played solidly last season in Boston despite inconsistent minutes, but was not brought back as the Celtics revamped their roster. Green shot 35.1 percent from three last season, can play decent defense, and is a good veteran presence on a team with young players.

As for why I asked about the hot chocolate…

Draymond Green: I laughed in Kevin Durant’s face over Twitter fiasco

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Kevin Durant said he hasn’t slept in two days and isn’t eating due to his Twitter fiasco.

Draymond Green – who was mocked by his Team USA teammates, including Durant, over his own Snapchat snafu – said he got revenge.

Anthony Slater of The Athletic:

Green:

It’s a little payback. I stood right there, over there, laughing in his face. And it felt pretty damn good, too.

The Warriors’ chemistry is either in a touchy spot or light years ahead.

Report: Former No. 1 pick Anthony Bennett signing with Suns

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Getting cut by the NBA-worst Nets was a low point for former No. 1 pick Anthony Bennett, but at least he had a guaranteed salary and got paid out through the end of the year.

That won’t be the case with the Suns.

Shams Charania of Yahoo Sports:

This is a no-risk flier for Phoenix. If Bennett plays well enough in the preseason, the 24-year-old will make the regular season roster. If not, the Suns won’t owe him anything.

Bennett has a chance to stick. Phoenix has just 13 players with guaranteed salaries, leaving two standard-contract spots open on the regular-season roster. Bennett will compete with Derrick Jones Jr., Elijah Millsap, Peter Jok and anyone else the Suns sign.

I don’t love Bennett’s odds. He hasn’t looked like an NBA player, and he’s reaching the age where current production matters more than potential. But by virtue of being the top pick a few years ago, he carries more intrigue than the typical player of his caliber.

Rockets GM Daryl Morey: Lottery-reform proposal ‘not doing a whole lot’

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Rockets general manager Daryl Morey supports the NBA’s lottery-reform proposal:

But that doesn’t mean Morey believes the proposal is a silver bullet.

Morey, via Bleacher Report:

Let’s be clear. This reform is not doing a whole lot, right?

And I keep saying: If it was already in place, no one would talk about it. If it wasn’t in place – all these people are talking about it because it’s coming up for probably a vote here in a minutes. Otherwise, no one would be talking about it. Everyone would be like, “Oh, yeah. Of course the bottom three lottery odds are flat. That’s how it’s always been.” It’s a very minor change, and it fixes some pretty important problems in terms of how the incentives work at the bottom of the draft, and I don’t think it changes much in any other way.

And then the best argument is the people who are frustrated the league is unbalanced between destination and non-destination cities, they say, “Because that whole system might be broken, I’m going to be against this minor, logical, simple reform.” I don’t really buy that. Let’s fix the other issues in another way, but you can still be for this reform and say we need larger reform that attacks those issues in a more fundamental way. But it doesn’t change that this is a good, logical step we’re taking.

Morey is aggressively logical, and you can see that at work here. If the new rule is better than the old rule, owners should vote for it. It shouldn’t matter which was already in place. For similar reasons, I argued against shelving lottery reform just because new national TV contracts would increase the salary cap.

Morey is also right that this is a minor reform. There’s still value in tanking, even if not quite as much. Finishing with the league’s worst record still guarantees a top-five pick with team control for five years and the inside track on keeping the player for far longer.

There’s even still value in jockeying among the league’s three worst teams, which will have identical lottery odds if this proposal passes. If a team isn’t drawn for the top four, it will be slotted in reverse order of record. The No. 1 seed in the lottery has a 20% greater chance than the No. 2 seed of picking higher between the two, and the No. 2 seed has a 20% greater chance than the No. 3  seed of picking higher between the two, according to fantastic Ryan Bernardoni of Celtics Hub.

So, this lottery reform might only minimally change behavior.

Another thing to consider: NBA owners are far more risk-averse than Morey. If this reform passes, owners will take years to evaluate it before making more meaningful changes to address the problem (if you believe there’s a problem at all). So, a step in the right direction (again, if you believe this is the right direction) is effectively a small step and a pause that could delay bigger steps.