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Adam Silver and the NBA are pushing to make some changes for the future of the league. One of those changes involves a "spending limit" in the negotiations on a new collective bargaining agreement.
The league has been expected to target some changes with the upcoming CBA negotiations with the National Basketball Players Association. This could be one of the biggest potential installments. The goal with his proposal is to put an "upper spending limit." It would be that teams would have a total number that they could not go over, known as a "hard limit."
In previous instances, franchises were forced to pay luxury taxes if they had a big enough payroll. If a team found themselves in the tax for consecutive years, they would have to pay a "repeater" tax.
NBA Insider Adrian Wojnarowski reported that the league's proposal was met with firm resistance by the NBPA. The sides are reportedly hoping to reach an agreement before a Dec. 15 deadline. The current CBA is set to expire after the 2023-24 season.
NBA pursuing a potential hard limit in CBA negotations
The discussions between the league and the NBPA will be something to monitor closely. Although teams with high payrolls have had to pay luxury taxes, it hasn't stopped major organizations.
Certain markets haven't let the idea of a luxury tax stop them from spending money to keep their roster intact. Teams like the Golden State Warriors, Brooklyn Nets and LA Clippers haven't been afraid to see their payrolls climb rapidly.
Because of that, it's put smaller markets at a disadvantage. The hope by the league is that this new proposal will put a stop to unfair advantages.
With how the CBA system is set up now, franchises are allowed to re-sign their own players and add salary with exceptions to surpass the salary cap. It's been reported that currently 20 of the 30 teams in the NBA are below the luxury tax threshold.
The other 10 teams that are above the luxury tax are expected to pay a record $697 million in penalties. Teams like the Golden State Warriors have been aggressive with attempting to keep their roster intact despite the tax.
Golden State is set to pay a tax of $176.5 million, which is the most in the league. Right behind them is the LA Clippers at $145 million and the Brooklyn Nets at $108.9 million.
Guess the Bulls players in this quiz and it's not going to be easy!
