Bless Mark Cuban. Only he can speak of a “respectful hate.”
Patrick McCaw is the NBA’s last unsigned restricted free agent.
Don’t expect a resolution before the Warriors start training camp Tuesday.
arc J. Spears of ESPN:
McCaw has a $1,712,601 qualifying offer outstanding. He could unilaterally accept that, negotiate a larger contract with Golden State or sign an offer sheet with another team.
At this point, it seems unlikely another team will sign him to an offer sheet. Why wouldn’t an interested team have done so sooner? However, the Jimmy Butler trade saga offers the possibility of a team unexpectedly opening a roster spot this late. If that team likes McCaw and has an exception or cap space available, maybe an offer sheet could happen.
Or maybe the Warriors offer more. They might want to lock up the 22-year-old for more than the one year the offer sheet would afford.
However, if McCaw accepts his offer sheet, Golden State could make him a restricted free agent again next offseason. McCaw can’t threaten a pending unrestricted free agency.
Plus, every dollar the Warriors offer McCaw counts toward their luxury-tax bill. He’s a nice player to have and develop, but at some point, the cost becomes too great.
McCaw’s qualifying offer expires Oct. 1. It’d be quite risky for him to let that expire, as he’d remain a restricted free agent – just without the qualifying offer as a fallback. So, we’ll probably see a conclusion soon. Just not before camp opens.
So, how does Fertitta explain his view on the luxury tax now?
Kelly Iko of The Athletic:
It’s a horrible hindrance.
And if any of y’all ever want to really understand it, go do the math on it. I mean, it’s just brutal. You can take 5 million, and all of a sudden you look up, and it costs you 20 million.
And at some point, you have to be smart, and you cannot get into the repeater tax, which happens if you’ve been in the luxury tax three years in a row. And that’s something to really look at. And at some point, you have to do some things so you never go in the repeater tax. You’re just dead in the water, and it can ruin your franchise for years. So, it’s something you have to be cognizant of.
At the same time, a team is built is on superstars. If you have your top four or five players, you can always see other players move in and out.
Because it is a chess game playing with the luxury tax. That’s why there’s only three or teams in it.
This year, to be able to make sure that we hopefully get back to the Western Conference finals, we were going to have to be in it around many millions of dollars. And I am here to win championships, and I’m not going to let 5 or 10 or 15 or 20 million dollars make a difference. Because if you do win the championship, that’s easy money back.
Now, if we’re in the luxury tax every year and we’re barely getting into the playoffs and a first-round game is a struggle, then I’m going to go find me a new general manger.
Let’s be clear: Fertitta will spend a significant amount on the Rockets this season. They’re over the luxury-tax line and will very likely remain there once the tax is assessed on the final day of the regular season. Fertitta greenlit one of the league’s largest payrolls.
But his arguments about the repeater rate are lacking.
Teams pay the repeater rate when paying the tax for at least the fourth time five seasons. It doesn’t matter how far over the tax they were in those prior seasons. So, while Houston – which has a completely clean repeater clock – wants to avoid paying the repeater rate down the road, incremental savings this season won’t matter for that. Unless the Rockets avoid the tax completely, which is highly unlikely, this season will count as a tax-paying season.
Houston’s key losses – Trevor Ariza and Luc Mbah a Moute – left for one-year contracts elsewhere. Keeping them would have been expensive this year, but they would have triggered no additional costs later.
Again, re-signing those forwards would have pushed the Rockets’ payroll extremely high. It might be reasonable for Fertitta to place his spending limits where he did. But it should have nothing to do with the repeater tax.
It’s OK if Fertitta doesn’t know the exact ins and outs of the luxury tax. Rockets general manager Daryl Morey does and handles it. But the degree to which Fertitta is willing to pay the tax is so important to Houston’s title chances, it’s worth assessing everything he says about it.
“Horrible hindrance” and “just brutal” speak loudly.
Kawhi Leonard laughed at his own answer to a reporter questioning how Leonard would describe himself to a Toronto market that doesn’t know him. “It’s just more questions you have to ask me in order for me to tell you about myself. I just can’t give you a whole spiel. I don’t even know where you’re sitting at.” Leonard talked about his excitement for getting traded to the Raptors, a “great organization” in a “great city.” He smiled big while posing for pictures.
Most importantly, he described what it’d take for Toronto to re-sign him next summer.
“By winning games,” Leonard said, “this is how you get star-caliber players to want to come here and play.”
The Raptors can do that.
They’ve won at least 48 games the last five years, peaking with 59 wins last season. Leonard, Kyle Lowry and a deep supporting cast should rank near the top of the Eastern Conference again.
But will Toronto win enough – especially in the playoffs, where disappointing results have become the norm – to get Leonard to sign on the dotted line?
For now, Leonard wants to focus on the present, including his current thoughts on Toronto: “I want to play here.” That means not meaningfully reflecting publicly on his time with the Spurs other than to say he has no regrets. It means not addressing Los Angeles rumors.
“If you’re looking in the future, you’re going to trip over the present,” Leonard said.
At one point during today’s (delayed) introductory press conference, Raptors president Masai Ujiri interjected without being asked a question.
“Guys, the narrative of not wanting to come to this city is gone,” Ujiri said, his voice rising far louder than the low-talking Leonard’s had all morning. “I think that’s old. Believe in this city. Believe in yourselves.”
And, at this point, believe Leonard when he said winning is the key to re-signing him. Maybe he’ll still leave, but winning gives Toronto the best chance to keep him.
“I came here with an open mind,” Leonard said. “I want to do great things.”
NBCSports.com’s Dan Feldman is grading every team’s offseason based on where the team stands now relative to its position entering the offseason. A ‘C’ means a team is in similar standing, with notches up or down from there.
The Raptors are one step closer.
To seriously contending for a championship? To actually rebuilding?
But Toronto is racing toward a resolution, one way or another.
Last offseason, the Raptors positioned themselves for a breaking point in the summer of 2020. They gave Kyle Lowry and Serge Ibaka three-year contracts, matching the timeline of Jonas Valanciunas‘ contract ending. The hitch was DeMar DeRozan‘s huge deal, which ran through 2021. If it reached the point Toronto president Masai Ujiri wanted to retool in 2020, perhaps DeRozan wouldn’t be as appealing on the trade market. Keeping DeRozan – central to the Raptors’ identity – could have been even more limiting.
The move was extremely risky. Leonard missed nearly all of last due to injury. He can become an unrestricted free agent next summer, and he’s reportedly eying Los Angeles.
But Leonard is just 27 and only one season removed from being an MVP candidate. He could lift Toronto to a championship this season. He could re-sign. The upside is so high.
The downside is starting a rebuild that probably would have come anyway.
First, the Raptors will give it their best shot this season.
They re-signed Fred VanVleet – the driving force behind their excellent bench – to a two years, $18 million contract. That likely assures aying the luxury tax for the first time since 2004, though there’s still time to shed salary before the tax is assessed on the final day of the regular season.
Greg Monroe was a very nice addition at the minimum. If all goes well, he might even allow Toronto to dump Valanciunas’ salary.
And don’t forget about Green, who’s a solid contributor on the wing, not just a throw-in with Leonard.
Firing Dwane Casey to hire first-time NBA head coach Nick Nurse was another risk. I wonder whether Ujiri would have done it if he knew he’d acquire Leonard later in the summer.
The Raptors could be excellent this season and beyond. They could be excellent this season then fall off dramatically. They could be far worse this season and stay down a while.
But after years of strong regular seasons and playoff disappointments, it was time to change the status quo.
Fortune favors the bold.
Offseason grade: A