Salary cap for next season much higher than expected
Like the rest of the nation, it’s hard to say the recession is over for the NBA, but things are looking better.
David Stern has reported that next year’s salary cap will be $56.1 million, which is about $3 million higher than what was the highest estimate last year, and maybe $6 million better than feared. That may not seem like a lot, but for teams like the Knicks, Heat, Bulls and six others looking to add a top-flight free agent it is, because you can put a little more talent around that star.
That is one of the things Stern has reported out of the Board of Governor’s meeting that took place today.
According to Ken Berg at CBS, that means NBA league-wide revenue was off 0.5 percent, which is much better than the expected losses off at least 3 percent that had been estimated.
That would put the luxury tax threshold at $68 million for next year, not far off the $69.9 million it is this year.
It all comes as a bit of a surprise after Stern on All-Star weekend bemoaned the state of the NBA economy and said that owners would lose $400 million this season.
In other issues, the Board of Governors also had a “spirited discussion” of resting players at the end of the season, but that it remains a team’s decision.
There also was some discussion of bigger issues, like the owners doing some serious revenue sharing -- this would be a huge change for the league and give them a more united front in the negotiations with the players union on a new CBA. Other topics included reseeding the playoffs, or having some sort of play-in for the eighth seed in each division.