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How Non-Bird Rights Impact Promotions For Two-Way Players

When NBA teams sign undrafted free agents or second-round picks to contracts, those clubs need to have cap space or a mid-level exception available to lock up those players for longer than two years or to pay them more than the minimum salary.

While most teams make sure to earmark some cap room or a portion of their mid-level exception to use on those players – particularly second-rounders – that’s not always the case. The Grizzlies, for instance, used their entire mid-level exception on Kyle Anderson‘s offer sheet, meaning they could only sign 32nd overall pick Jevon Carter to a two-year, minimum-salary deal.

This offseason though, a new tool has come in handy in allowing teams to sign players to longer-term or more lucrative contracts than the minimum salary exception would allow, without having to use cap room or the mid-level exception to do it. The catch? Those players had to have finished the 2017/18 season on a two-way contract with the club.

When a player is on a two-way contract, a new kind of deal introduced in the NBA’s latest Collective Bargaining Agreement, he’s not technically on a club’s 15-man roster, but he accrues Bird rights just as a player on the roster would. That means that any player who finished last season on a two-way deal had Non-Bird rights this summer.

Non-Bird rights don’t allow teams to give players major raises — Non-Bird deals can only start at up to 120% of the player’s previous salary or 120% of his minimum salary, whichever is greater. However, they do allow for contracts of up to four years, which has paid off for some teams and players this summer.

Consider the case of Georges Niang, who was on a two-way contract with the Jazz last season. Buoyed by an impressive Summer League showing with Utah last month, Niang earned a three-year contract with the club. Typically, to go up to three years, the over-the-cap Jazz would have had to dip into their mid-level exception, but that wasn’t the case for Niang — his Non-Bird rights allowed for a three-year deal.

While Niang’s contract is only worth the minimum, Non-Bird rights do allow for slightly larger salaries, as noted above. For example, the Knicks re-signed former two-way player Luke Kornet to the maximum allowable salary using his Non-Bird rights. Instead of earning his minimum salary ($1,349,383), Kornet will make 120% of that amount ($1,619,260). Without his Non-Bird rights, New York would have had to use its mid-level or bi-annual exception to give Kornet that kind of raise.

Non-Bird rights haven’t paid off for every team with a two-way player who’s getting a promotion. For instance, the Nuggets moved Torrey Craig to their standard roster by giving him a new two-year, $4MM contract. Denver had to use part of its mid-level exception to complete that signing, since it exceeded the salary Craig could’ve earned with Non-Bird rights. The Nuggets did take advantage of the Non-Bird rules with their other two-way player though, giving Monte Morris a new three-year contract.

Two-way contracts remain in their relative infancy, so it’s interesting to see how teams are taking advantage of the rules surrounding them. Players like Niang, Kornet, and Morris are among the first group of two-way players to be promoted to standard contracts via Non-Bird rights, but they certainly won’t be the last.

Here’s the full list of two-way players whose teams have promoted them to standard contracts this offseason:

Note: Jamel Artis, Danuel House, Daniel Hamilton, and Kadeem Allen have signed or agreed to standard NBA contracts with new teams after finishing last season on two-way deals.

Photo courtesy of USA Today Sports Images.

Dempsey Examines Nuggets' Offseason

  • After a busy offseason, the Nuggets have their most talented top-to-bottom roster since the one that advanced to the Western Conference Finals in 2009, opines Chris Dempsey of Nuggets.com. Dempsey runs through a checklist of Denver’s summer accomplishments, which included solidifying the reserve point guard spot with Isaiah Thomas and carving out a larger role for Trey Lyles.

Contract Details: Bolden, Carter, Harrell, Smart

Sixers forward Jonah Bolden has received the largest contract of any rookie second-round pick this summer, tweets Eric Pincus of Basketball Insiders. The 36th player taken in the 2017 draft, Bolden spent a season with Maccabi Tel Aviv in Israel before coming to the NBA. Philadelphia gave him a four-year, $7MM deal with a starting salary of $1.69MM, although the third and fourth seasons are non-guaranteed.

The Nets signed Rodions Kurucs to a similar arrangement, Pincus adds (Twitter link). The 40th pick in this year’s draft, Kurucs will make $1.62MM in his first year and has incentives that could bring the value of his four-year contract up to $6.96MM. The first three seasons are fully guaranteed.

Pincus passes on a few more details about deals signed this summer:

  • Although Jevon Carter was taken 32nd overall, he signed for just the minimum salary over two seasons, less than others in his draft range (Twitter link). However, he received a full guarantee from the Grizzlies on both years. Jalen Brunson, taken at No. 33 by the Mavericks, makes more per season but is locked into a four-year deal (Twitter link). He will receive $1.23MM in his rookie year, with minimum salaries for the next three seasons. The first three years are fully guaranteed. Elie Okobo, the 31st pick, signed a four-year agreement with the Suns that will pay him $1.24MM in his first year, with three seasons at the minimum to follow. Only his first two years are guaranteed, and Phoenix has a team option on the final season (Twitter link).
  • Among the two-way contracts handed out this summer, only four players signed multi-year deals. Kostas Antetokounmpo of the Mavericks, Billy Preston of the Cavaliers, Yuta Watanabe of the Grizzlies and Thomas Welsh of the Nuggets all have two-year agreements (Twitter link).
  • The Clippers will pay Montrezl Harrell $6MM in each season of his two-year, $12MM deal (Twitter link).
  • Celtics guard Marcus Smart has a base salary of $11.16MM in the first year of his new deal, but $500K of likely incentives place the cap hit at $11.66MM. The incentives remain in effect for each season of his four-year contract.

Second Unit Will Include Plumlee, Thomas

Nuggets Discussed Salary-Dump Trade With Bulls Before Making Deal With Nets

Before the Bulls signed Jabari Parker to a two-year, $40MM contract, they discussed using their salary cap room to accommodate a possible salary-dump deal with the Nuggets, sources tell ESPN’s Zach Lowe. Denver ultimately made that trade – which involved Kenneth Faried and Darrell Arthur – with the Nets instead of Chicago.

Nuggets Sign Monte Morris To Three-Year Deal

JULY 25: The Nuggets have officially signed Morris, the team announced today in a press release.

JULY 19: The Nuggets have reached an agreement with Monte Morris on a three-year contract worth $4.8MM, with the first two seasons guaranteed, reports Shams Charania of Yahoo Sports (Twitter link). Morris had been on a two-way contract with Denver, but his new deal will be a standard contract that moves him to the team’s 15-man roster.

Morris, the 51st overall pick in the 2017 draft, only appeared in three NBA games during his rookie season. However, he had a strong season for the Rio Grande Valley Vipers in the G League, averaging 17.8 PPG, 6.5 APG, 4.5 RPG, and 1.8 SPG in 37 contests.

The 6’2″ guard also played well for the Nuggets in Summer League action this month, posting a team-high 17.5 PPG on 50% shooting in four games in Las Vegas. He also chipped in 6.3 APG and 3.3 RPG.

Morris will fill out the roster for the Nuggets, who now have 15 players on NBA contracts. He figures to slot in as the team’s third point guard behind Jamal Murray and Isaiah Thomas. As long as both Murray and Thomas are healthy, Morris may not have much of a role in Denver’s rotation, so more G League stints are possible.

A three-year, minimum-salary contract would have been worth about $4.66MM for Morris. Based on Charania’s report, he’ll receive slightly more than that, so Denver will likely use Morris’ Non-Bird rights to complete the signing.

Isaiah Thomas Reached Out To Celtics Before Signing With Nuggets

Before he officially signed a one-year, minimum-salary contract with the Nuggets, Isaiah Thomas reached out to Celtics president of basketball operations Danny Ainge to see if a return to Boston might be possible, writes ESPN’s Adrian Wojnarowski. According to Thomas, he and Ainge talked for about 15 or 20 minutes, with the point guard saying, “If the opportunity is there, I would just like to let you know that I’d love to come back.”

Ainge didn’t rule out the possibility of re-signing Thomas less than a year after trading him to Cleveland, but he and the Celtics needed to address Marcus Smart‘s contract situation before deciding whether a reunion with Thomas was in the cards. While Ainge was willing to continue the conversation, Thomas elected to sign with Denver before the C’s locked up Smart, closing the door on the possibility for now. Still, it sounds like Thomas would be open to heading back to Boston in the future if the opportunity arises.

“S–t, I’d have gone back,” Thomas says. “I don’t hold grudges.”

Here’s more on Thomas from Wojnarowski’s feature:

  • The Nuggets‘ offer was the only real one Thomas received in free agency, which he calls “disrespectful.” However, he believes that his health was a major deterrent for interested teams. “People are scared of my hip now,” Thomas said, per Wojnarowski. “I just had to be real with myself. I had to understand that it’s not going to be about the money this summer. I’ve got to show people that I can play — and play at a high level again. And I will.”
  • Thomas views his decision to play through his hip injury in the 2017 postseason as one that cost him in the long term. “If I didn’t play in the playoffs, I’d be OK,” Thomas said. “I’d be getting paid. I’d be who I am — who I was. But you couldn’t tell me in that moment in time — with everything I was going through — that, OK, I should just sit out. … I played until I literally couldn’t play anymore. And that was not a good business decision if I was looking in the long term, but I was looking in the ‘right now.’ That’s just what it was.”
  • Thomas also believes it was a mistake to get back on the court in January for the Cavaliers, suggesting he should have waited until after the All-Star break rather than rushing back early.
  • Nuggets head coach Mike Malone said he’ll welcome Thomas’ “voice and personality” into what has been a “quiet” locker room. “I want Isaiah to be Isaiah,” Malone said.
  • Thomas isn’t concerned about his specific role in Denver as long as he gets the opportunity to show that he’s healthy. “I’m not worried about starting or coming off the bench now,” Thomas said. “I’m worried about playing well and showing the world who I am again. Once the people see that I can play — and play at a high level still — they won’t be able to deny me next summer. They won’t be able to deny me what I bring on the court and off the court for an organization.”

Michael Porter Jr. Undergoes Second Back Surgery

JULY 19, 1:30pm: Porter’s surgery involved the lumbar spine, and there is no timetable for him to start playing again, tweets Marc J. Spears of The Undefeated.

JULY 18, 9:46pm: Per Steve Aschburner of NBA.comNuggets rookie forward Michael Porter Jr., who was recently selected by Denver with the No. 14 overall selection in the 2018 NBA Draft, had a second surgery on his back last week.

Porter, 19, who ultimately slid to the Nuggets on draft night due to worries about his ongoing back issues, first underwent back surgery in November of last year, which limited him to just three games during his freshman season at Missouri.

The latest procedure, according to Porter’s camp, has led to a greater understanding of Porter’s herniated-disks condition, thereby boosting he and his team’s confidence that he will be able to move on from the injury more quickly and begin his NBA career without having to sit out the 2018-19 season.

Per Aschburner, a spokesperson for the Nuggets declined to speak when reached for comment but did indicate that an update on Porter’s health from the team’s medical staff would be forthcoming.

As we relayed at the beginning of the month, Porter has already signed his rookie scale contract with the Nuggets, which will see him earn a salary of just over $2.41MM in his rookie season.

Isaiah Thomas Excited To Be A Nugget

  • Armed with deep motivation after having his career curtailed by injury, Nuggets point guard Isaiah Thomas is eager to play for a team who wanted him, reports Christopher Dempsey of Nuggets.com. Thomas, who played for head coach Mike Malone in Sacramento during his breakout season in 2013-14, credits Malone’s trust in him as a key to his continued success.

Nuggets Waive Isaiah Whitehead

As expected, the Nuggets have waived recently-acquired guard Isaiah Whitehead, per the NBA’s official transactions log. Whitehead had been included in the trade between Denver and Brooklyn, which sent Kenneth Faried, Darrell Arthur, and draft picks to the Nets.

Whitehead, 23, was selected by the Nets with the 42nd overall pick in the 2016 draft and spent two seasons with the club, appearing in 89 overall games. The former Seton Hall standout was a regular part of Brooklyn’s rotation in his rookie season, but saw his playing time cut back in 2017/18 as he spent more time with the Long Island Nets in the G League.  Whitehead averaged 22.3 PPG, 3.8 RPG, and 3.5 APG in 30 games for the Nets’ NBAGL affiliate.

A Brooklyn native, Whitehead was disappointed to be included in last week’s trade, but there was no room for him in a Nets point guard rotation that will include D’Angelo Russell, Spencer Dinwiddie, and Shabazz Napier. Similarly, the Nuggets had no need for another point guard with Jamal Murray, Isaiah Thomas, and Monte Morris in the mix.

Whitehead’s $1.54MM salary for 2018/19 was non-guaranteed, so Denver won’t be on the hook for his cap charge. He’ll become a free agent later this week, assuming he’s not claimed on waivers.