The new tentative agreement between the players and owners still has to be voted on. Â The league needs 15 out of 29 owners to vote yes and the players need majority of the 400+ to agree as well. Â I know CBA’s are long and somewhat difficult to understand so check out some of the major points.
_ On the financial split, the players will receive between 49 and 51 percent of revenues, depending on annual growth. The players had complained prior to Saturday that the owners’ previous offer effectively limited them to 50.2 percent of revenues, but the source said 51 percent was now reasonably achievable with robust growth.
_Owners dropped their insistence on what would have been known as the Carmelo Anthony rule, preventing teams from executing extend-and-trade deals similar to the one that sent Anthony from the Denver Nuggets to the New York Knicks last season. This means that if Dwight Howard, Deron Williams and Chris Paul want to leverage their way out of Orlando, New Jersey and New Orleans, they will still be eligible to sign four-year extensions with their current teams before being immediately traded elsewhere.
_ Teams above the salary cap will be able to offer four-year mid-level exception contracts to free agents each season. Previously, owners were asking that teams be limited to offering a four-year deal one year, a three-year deal the next, then four, then three, etc.
_ The rookie salary scale and veteran minimum salaries will stay the same as they were last season. Owners had been seeking 12 percent cuts.
_ Qualifying offers to restricted free agents will become “significantly†improved. The sides had already agreed to reduce the time for a team to match an offer to a restricted free agent from 7 days to 3.
_ A new $2.5 million exception will be available to teams that go below the salary cap, then use all of their cap room to sign free agents. Once they are back above the cap, they will be able to use the new exception instead of being limited to filling out their rosters with players on minimum contracts.
_ The prohibition on luxury tax-paying teams from executing sign-and-trade deals was loosened, although the freedom to execute those types of deals will still be limited.
_Contract lengths: 5 years (Bird rights), 4 years (non-Bird); Escrow: 10% annual; Rookie scale: No reduction. Minimum salary: no reduction.
_Max salaries: only 1 level equal to 30% of cap. Extend and trades: Still allowed. (Good news for Dwight Howard-Chris Paul)
_Mid-level exception: non-taxpaying teams can use a $5M MLE for up to 4 years. Taxpaying teams have a $3M mid-level for up to 4 years.
_Teams now have three days to match offer sheets given to their own restricted free agents.
_Minimum team salary increases to 85% in first two years of deal and 90% in years thereafter.
_The deal also includes an amnesty provision, which will allow teams to cut one player from their roster whose salary will not fully count against the salary cap or luxury tax.
Both sides will have the option to opt out of the 10-year deal after six years.
Information provided by Chris Sheridan & Adrian Wojnarowski
