Report: Miami to offer Goran Dragic five-year deal, but not at max salary

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The Miami Heat want to give Goran Dragic the ball and tell him to run their offense — they traded for the point guard in the middle of last season and Pat Riley has been clear he has every intention to re-sign him (Dragic can and will opt out this summer).

That includes offering a fifth year on his contract — something only Miami can do, and a stability Dragic has said he wants. However, the Heat plan to make their first offer considerably less than a max contract, which would be worth in excess of $100 million, reports Marc Stein of ESPN.

Sources told ESPN.com that the Heat are planning to offer Dragic a five-year deal in excess of $80 million to keep him in Miami after acquiring the 2014 All-NBA third-team selection from Phoenix on trade deadline day in February….

A five-year maximum deal for Dragic would exceed $100 million but Miami also might find itself dealing with Dwyane Wade’s free agency one summer earlier than expected if Wade decides to bypass his $16.1 million player option for next season. The Heat also await a decision from Luol Deng about his plans to either invoke next season’s $10.2 million player option or opt for free agency.

If the offer is five-years, $80 million (give or take), expect Dragic to step back and assess his options. That’s $16 million a year (and Florida has no state income tax). However, a four-year max offer from another team will be in the $85 million range with an annual salary of more than $21 million (exact figures are not available as next year’s salary cap is not yet locked in place). A team like the Lakers or Knicks may well put a max of offer on the table. Which might force Miami to go a little higher.

But Dragic would be faced with a question: Does he want that fifth guaranteed year when he will be 33, or is he willing to be a free agent again a year earlier to get the higher salary now? Then come the factors of where he wants to live and the style of play of those teams (Miami seems a good fit there).

If I were to bet I would say Miami keeps Dragic this summer, but it is no slam dunk.