The NBA and NBPA have agreed to a new collective bargaining agreement, the league and union announced this morning. Official details have not been released, but a couple have been leaked to ESPN.
Here’s how they affect the Boston Celtics.
- Mid-level exception going away for the highest spenders
The mid-level exception was created to give teams over the cap a chance to still add some supporting talent to their rosters. As of right now, there are two mid-level exceptions: The full mid-level, which was $10,490,000 this season, and the taxpayer mid-level, which was $6,479,000.
The Celtics used the taxpayer MLE to sign Danilo Gallinari.
However, a new line is being created $17.5 million above the tax line that will eliminate the taxpayer mid-level exception for the higher-spending teams.
According to ESPN, that provision is going to be phased in, so it doesn’t seem like it will eliminate the exception for the Celtics next season, but as long as they are going to be over the tax line, that looms as a tool that will go away.
That's going to put pressure on front offices to get help in other ways. I think the net effect will be more trades from teams above the tax line to give up whatever younger talent or draft picks to add the win-now talent they need. So Boston, instead of signing a Gallinari-type for the taxpayer MLE would have to trade for a supporting piece instead, perhaps by giving up a pick or other talent.
I think another thing we might see is teams like Boston structuring their trade deadline deals as traded player exceptions as often as possible just so they can have an exception over the summer to bring in that mid-level talent somehow. According to ESPN, “the new CBA is expected to create more spending and trade opportunities for teams at the middle and lower spectrum of spending. There will be an opening of more opportunities in the free agent market, including larger trade exceptions.”
Boston already creates TPEs whenever they can, just in case, most of the time, but we might see it put to use more often. It would certainly be more limited, but TPEs would become more valuable in a world where the MLE wouldn’t exist.
…. And you thought the traded player exception talk was going to go away.
- Extensions can go up to 140% of previous year salary, up from 120%
This obviously impacts Jaylen Brown if he doesn’t make an All-NBA team.
If he makes All-NBA, then Boston will give him the supermax extension, which is 35% of the cap starting in the 2024-25 season. That will be a LOT of money.
If he doesn’t make All-NBA for some reason, then a 140% raise off his final season will start him at $39.9 million. If he becomes an unrestricted free agent Boston can offer him 30% of the cap in ‘24-’25, which is estimated to be about $42.9 million. We’ll see how the new deal is drawn up, but the Celtics can probably add some incentives to make up that difference.
This makes a deal this summer much more likely regardless of Brown’s awards status. I still feel like he’s a lock for All-NBA, but this probably gave the Celtics a bit of relief.
- A third two-way spot is being added
The Celtics haven't really made great use of their two-way slots yet, but other teams have found some really good players. A third slot just increases the chance that a team like Boston, who might be lacking in avenues to add talent after losing the MLE, can find a diamond in the rough somewhere.
JD Davison might be a success story. He’s on a good trajectory so far. But even if he’s not, the chance to find guys who just haven't fit elsewhere and give them a chance without immediately impacting the cap could be helpful.
There's a downside to that, though. If the taxpayer MLE goes away, then it’ll be tough for the Celtics to keep a Lu Dort type they cultivate through the two-way system. Still, help is help, and another chance at getting it isn't a bad thing.
Other reported elements of the deal:
- A 65 games played minimum for awards
ESPN reports it will come with some conditions, which I assume will be for certain types of injuries or leaves of absence.
People are not only fed up with load management, there has been in recent years, including this one, some question about how to handle some of the stars who have been out for extended periods of time. Maybe this will clear up some of the confusion for voters.
I wonder if that will impact this year’s voting. Will voters start applying that standard now, or will they see it as one last chance to vote for aging superstars.
For example, LeBron James has played 50 games this year. He presumably wouldn’t be eligible if that remained the case next season (depending on the conditions), so would voters feel like this is their last chance to put LeBron on a ballot? Would that cost Jaylen Brown his chance at an All-NBA spot?
- A mid-season tournament as early as next season.
I’ll have to see how this goes. The league is trying to generate interest in January basketball. I have no clue what to expect.
Personally, I’m all for trying new things. If it sucks, scrap it. If it works, then congratulations on a great idea. You don’t know until you try it.
More CBA details will be released at some point by the league and union. If anything changes from what’s been reported, or if something new and impactful gets released, I’ll let you know.