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View Full Version : Understanding the gap in NBA vs. NBAPA negotiations



beasted86
10-14-2011, 01:20 PM
Disregard their initial proposals, or what has been speculated in media and so forth, all we have to go by is what they actually said within the past 2 days' interviews on where they are now...

Billy Hunter on proposals: http://newyork.cbslocal.com/audio-on-demand/mike-francesa-1/#
David Stern on proposals: http://newyork.cbslocal.com/audio-on-demand/mike-francesa-1/#


Agreements - What they have come to term in negotiations for the past 4+ months:

Agreed changes to both the revenue sharing plan & system need to take place.
Agreed to maintain a soft cap
Both determine to leave guaranteed contracts in place; maintaining the ability for that to be individually negotiated between the owners and players in each new contract
Agreed no roll-backs on existing contracts will take place; meaning if there is a newly negotiated max salary, yearly raises, or contract length, existing contracts will not be affected, only new contracts from 2011 forward
Both agree on proposal of extending teams' timeline to pay bought out contracts


Disagreements - What are still major sticking points in debates. Both sides mostly agree on this pecking order of difficulty to negotiate:

1. Luxury Tax

Last CBA called for flat 1:1 ratio; $1 luxury tax per $1 over the predetermined limit
Owners would like a much stronger ratio to enforce the tax; propose 1.75:1 ratio first $5M over, 2:1 ratio next $5M; builds further and penalizes teams for staying over the luxury multiple years (Stern did not go into details)
NBAPA agrees to enforce tax, but propose 1:1 ratio over first $5M, 1.5:1 ratio next $5M, builds to 2:1 cap. Want no penalty for multiple year offenders

2. Contract length

Last CBA allowed for 6yr max length for re-signing your own free agents (Bird rights), 5yr max length for signing outside free agents (Non-Bird).
Owners propose reduction to a system of 5, 4, and 3. One "franchise player" 5yr contract per team. All other players would choose between 4yr max length Bird rights, 3yr non-bird
Players offer reduction to 5yr Bird, 4yr non-bird

3. Basketball Related Income (BRI) split

Split of approximately $4 Billion; last CBA allowed 57% of BRI revenue to go to players, 43% for owners. BRI is the calculation of revenue after approximately $600M is deducted for team expenses.
NBAPA current offer is 53% for players; would cover about $200M each year of owners claimed $300M losses
Owners current proposal calls for 47% for players; would amount to about $350M gain each year vs. old CBA




There are a couple more issues (namely inter-year raises on contracts), but this is the heart of the debate and where each side stands as per their lead negotiators Billy Hunter (NBAPA Director) & David Stern (NBA commissioner). Both sides have agreed to meet with a federal mediator next Monday 10/17 to try and come to an agreement.

Chronz
10-14-2011, 01:35 PM
Are you still banned?

Edit)
Wait you cant answer that, hit me up whenever you get back

beasted86
10-14-2011, 01:35 PM
Here's how I personally see how they could split the disagreements:

-Luxury tax: split the difference: 1.25:1 ratio over first 5, 1.75: over next 5, builds further, but no penalty.
-Contract length: mostly side with owners, but allow two 5yr franchise limits, instead of just 1.
-BRI: 51% players, 49% owners. Would cover total of $300M losses.
-Raises: Players offered reduction from 10.5% Bird/ 8% non-Bird to 8% Bird/ 7% non-Bird. Think that's a reasonable reduction.

beasted86
10-14-2011, 01:36 PM
Are you still banned?

I've never been banned ever. :confused:

Chronz
10-14-2011, 01:38 PM
Oh then turn on PM's or get a profile page

beasted86
10-14-2011, 01:41 PM
Oh then turn on PM's or get a profile page

I turned both off because people would send me nonsense PMs or profile messages all the time.

daleja424
10-14-2011, 01:46 PM
Quality summation beasted...

They really are not that far apart... but the players feel they have given away to much to close that gap by themselves...and the owners are more interested in putting it to the players than making a deal.

beasted86
10-14-2011, 01:49 PM
Quality summation beasted...

They really are not that far apart... but the players feel they have given away to much to close that gap by themselves...and the owners are more interested in putting it to the players than making a deal.

Based on the differences in their offers, how do think they can split the difference on the four categories of BRI%, luxury tax, contract length, and raises?

daleja424
10-14-2011, 01:59 PM
Based on the differences in their offers, how do think they can split the difference on the four categories of BRI%, luxury tax, contract length, and raises?

51-49 BRI
luxury tax up to 1.5 to 1 for first ten million, and 2 to 1 after that
all contracts 5 year max on bird players, 4 year max on others
raises should not be an issue... they are optional to begin with

beasted86
10-14-2011, 02:22 PM
51-49 BRI
luxury tax up to 1.5 to 1 for first ten million, and 2 to 1 after that
all contracts 5 year max on bird players, 4 year max on others
raises should not be an issue... they are optional to begin with

For the most part the BRI split seems to be an issue both sides think they can overcome, it's really the system issues on top of giving up the split.

NYman15
10-14-2011, 02:32 PM
From what I've heard, both Stern and Hunter feel they can get the BRI agreed too. The bigger issues right now are the luxury tax and contract lengths.