Sun Sentinel Palm Beach Edition
Revision lowers expected Heat cap space to $35M
MIAMI — In a minor adjustment that could have major implications for the Miami Heat, NBA teams have been informed through a league memo that the 2017-18 salary cap is expected to be adjusted to $99 million from the anticipated $101 million.
For the Heat, one of 10 teams with major salarycap space this summer, the revised projection, lowers their expected cap space from $37 million to about $35 million.
While that number still remains flexible for the Heat, based on the team’s approach with player options and other machinations, it effectively minimizes any remaining cap space should the team pursue a max-scale free agent.
Under such a scenario with a $30 million contract starting point for a free agent such as Gordon Hayward, Blake Griffin or Paul Millsap, it would leave the Heat with little more than the type of mid-level exception space possessed by every team in the league.
Among the complications for the Heat could be an inability to pick up the $6.3 million guarantee on the 2017-18 contract of 3-point specialist Wayne Ellington, a decision that has to be made by July 7, one day after the NBA signing period begins.
Free-agency negotiations begin July 1, with the Heat facing contract decisions with James Johnson, Dion Waiters and Willie Reed, among other free agents on their roster.
By merely re-signing Johnson and Waiters, it could leave the Heat with less than $10 million of remaining cap space.
Because of the lowered cap, it could increase the possibility of the Heat invoking the “stretch provision” with forward Josh McRoberts, who has opted into his $6 million salary for 2017-18 but could be waived at a cap savings of $4 million, with the Heat instead making $2 million payments over each of the next three cap years.
The salary-cap dip is a product of a short NBA postseason with the limited number of games, including the Golden State Warriors’ five-game romp over the Cleveland Cavaliers in the NBA Finals.
The $99 million cap nonetheless represents a $5 million increase over the 2016-17 cap.
In addition to the lower cap, the luxury-tax threshold is now projected at $119 million instead of the anticipated $121 million, an adjustment that does not figure to impact the Heat.
What’s next
The personnel turnaround from Thursday’s NBA draft will be brisk for the Heat, with their summer-league opener July 1 in Orlando, with that also the first day teams can begin negotiating with free agents. The free-agency signing period opens July 6 at noon. The Heat will hold a summer camp in the interim, preparing their roster for July play in Orlando and Las Vegas.
The Heat already have reached out to several journeymen free agents for their summer roster, which is also expected to include 2016-17 rookie forward Okaro White.
The Heat must decide by June 30 whether to guarantee Josh Richardson’s 2017-18 contract, with a July 1 deadline on a partial guarantee on White’s contract.