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Why isn’t Oklahoma City opening up its wallet?

When you were a kid, you were one of two ways when it came to money. You either spent it as soon  as you got it on crap or you waited and saved for something good. Every kid was that way. You found a dollar? Let’s blow it on baseball cards. Or maybe you’ll save for a baseball glove. It was pretty much one or the other. And I think NBA general managers are the exact same way.

Some get a little cap room and can’t wait to blow it on some “big name” free agent. Doesn’t matter who’s out there or what could come available, if money is in the pocket, it’s getting spent. Others get some cap room, take a look at the options and just say pass. And obviously, it appears Sam Presti is the kid putting the dollar in his pocket. But with something like $10 million in cap room and free agents still out there, some folks are david_leewondering why Oklahoma City isn’t getting into the game. Why isn’t OKC going after Lamar Odom? Why didn’t the Thunder press harder for Paul Millsap? What about guys like David Lee and Ramon Sessions? Why is Presti holding his cards?

It’s simple: Because he’s freaking smart.

If there’s one thing that sets a franchise back, it’s frivolous spending. Five years, $53 million for 30-year-old Hedo Turkoglu? Five years, $55 million for Ben Gordon? Four years, $20 million for Jarrett Jack? The full mid-level exception for Marcin Gortat? Those type of signings are so hit and miss that they’re almost not worth it. Sure they could improve your squad, but is the risk worth the reward? And when you’re running a low risk, high reward franchise like Presti, it’s easier to pass on those deals than you think. There is no sense in spending money just because you have it. Other teams can do that. Presti and the Thunder can’t.

Think about other big free agent deals. They’re almost as inconsistent as the draft. The Heat gave Brian Grant $84 million over seven years. Tariq Abdul-Wahad got $43 million and six years from the Nuggets in 2000. Juwan Howard got a $105 million contract. Vin Baker’s $87 million deal back in 1997. Raef LaFrentz’s last contract. Anything Tim Thomas ever signed. Guys that shouldn’t get paid big every year. It just happens. The key is staying away from those albatross contracts that will weigh down your cap for years to come. And that’s what Sam Presti is doing. A lot of teams bounce year to year, signing free agents and turning over their rosters. And for some, that’s necessary to keep their heads above water. But Presti hasn’t taken that approach.

The Thunder’s built a roster with eight players in their first, second or third season. That’s fairly remarkable. So when over 60 percent of your roster is that way, you’re not really looking for the quick fix free agent. It’s about developing what you have. Unless you don’t believe in your draft picks, what’s the point of even taking them if you’re not planning on developing them? Obviously you can trade to bring in bigger pieces, but at this point, there’s no huge rush. Develop what you have, figure out what you need and go from there. It’s really not a crazy idea. abdulwahad

Sure the money is there right now for the Thunder. And there will be even more next year. Etan Thomas’s new $7 million contract comes off the books next year, opening up even more cap room for OKC. But don’t forget the salary cap shrunk and is likely to tighten ever more next year. So if a player doesn’t fit or won’t step in and contribute to the existing team, why spend the money? Some people don’t seem to get this concept. Presti does. He’ll gladly sit on $10 million, just waiting for the right fit. And with an uncertain economy, that’s a great, great thing.

Now some teams I understand signing bigger free agents (though I’ll never understand overpaying them). Maybe you’ve got an aging roster than needs frontcourt help. Maybe you really feel you’re a good shooting guard away from getting to the postseason. Maybe some of the young players you’ve got didn’t work out. Not everybody is using the Thunder model and building for long-term success. Actually, according to Ric Bucher, OKC is the only team building for long-term success. But with so much pressure to win and win NOW, it’s understandable. Some fan bases won’t accept you standing firm and waiting for the right moves. Coaches will lose their jobs as a result. Fans will grumble. Ticket sales will drop. So it’s not like I don’t get it. I’m just extremely appreciative of the way a small market club like OKC is building.

The bigger markets don’t have to run in low risk mode like OKC. They can spend and if it doesn’t work out, no sweat. Just trade or squat on the contract. Wait until next year and sign someone else. But some markets have to be more prudent about their cash. And it’s the ones that spend frivolously that wind up regretting it. Team can set themselves back years. Instead of being a player at the trade deadline, instead of being able to sign multiple draft picks, they’ve got a bloated roster with fat contracts that aren’t doing anything.

Again, Presti has signed one (one!) player to a summer free agent contract – C.J. Miles last year. And that didn’t even work out. Presti also inked Nenad Krstic last winter, but that’s when nobody was really competing for him. As I’ve said, Presti prefers trades at the moment. He gets to set the price, pick the player he likes and skip negotiation. Obviously at some point he’ll pounce with this cap space. But not yet. There’s no need. The roster is basically full and until that Missing Piece is out there or some of the youngsters show they aren’t working out, he can wait.

Sure guys like Millsap and Lee and good players and would likely contribute positively with the Thunder. But for one, somebody is already playing their position and two, $$$. I like David Lee a lot. But unless we can get him with a coupon, I’ll just take the pass. At some point OKC will get in the free agent game. When the team is ready and that Missing Piece is out there, we’ll get him. But not yet. Don’t spend the money just because you have it because you won’t have it when you need it. If that makes any sense at all.

The Thunder want a team that is set up for a lengthy run. Bring in young players, develop them in house and re-sign them. That’s the plan. So dropping $52 million on a mid-level shooting guard or power forward just doesn’t make sense. The players Presti wants are already on the roster. It’s just about the process of getting them where they need to be and in a few years, keeping them around. That’s the plan and so far Presti the Patient is doing a pretty good job sticking to it.

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@Gar
I didn't mean to be snippy or personally attack you, but I really, really disagreed with what you had to say. KD is going to be a serious, bona fide star in this league, but he is still wet behind the ears. Dissing him for not being confrontational with team management seems silly to me. I would honestly think less of him if he were behaving like that, ESPECIALLY considering how satisfied I have been with all of Presti's personel additions (Krstic,Sefalosha,Livingston) and the glimpses of potential we have seen from Ibaka and White to date. As for whether we will over pay for Westbrook and Green- I'm not sure it will be possible to over-pay for Russell if his development continues on its present arc. Green is going to get paid well, and I have trouble seeing teams pursuing him the way Portland pursued Milsap in the current economic climate (By the way, I think the Jazz were morons for matching that offer- should have just let him go and focus on resigning Boozer).

@Paul R
Sessions looks like a fine point guard- I just don't think he's worth spending significant money on to compete with Livingston for the back-up PG position.

@Gar

Kobe and Lebron are both in their prime and were a good second banana away from being a legit title contender. That's not exactly Durant's situation.

We can talk about having a good well rounded roster, not necessarily a complete one, because we have YOUNG talent at every position but center.

I don't think Presti is waiting for the "perfect" fit, just a good one that is worth investing in (i.e. not Chandler, who has glass feet, or David Lee, who is pretty overrated). This signing period in particular has been WEAK, so I don't think it's fair to criticize Presti for being too conservative.

It'll be interesting to see how Westbrook and/or Green get paid tho. Not sure how that plays out exactly.

@Steve H

I'm not "criticizing" KD I'm just wondering why he's different from every other star in that respect. Nobody's declaring Mullens a bust, but I think I'm allowed to have my doubts. I see you didn't address anything relevant in my post, so thanks. I'm wondering if we will be willing to overpay to keep Jeff Green and RW, and how our perception of "overpaying" might change in that scenario. I'm also wondering how soon winning will become a priority when Durant is approaching free-agency. When winning is a priority, we won't have the luxury of sitting on cap space waiting for the perfect fit that may or may not come along at the perfect price.

With all the talk about Lee and Millsap, my question is why hasn't there been more talk about Ramon Sessions. I know as a RFA, the Bucks would have the ability to match a reasonable offer, but with the cap space the Thunder could front load a deal similar to what Portland tried to do in the Millsap trade. Sessions seems like a good asset as he's only 23 years old, has played as both a starter and back up, and has plenty of upside maybe even better than what Livingston has and that would allow a nice combination of Westbrook, Harden, Sessions at the guards, while not eating up all the cap most likely as Sessions is looking at around the mid-level exception from all his current offers.

Further with the expiring contract of Thomas, the multiple draft picks including 2 first rounders, and Collison who is sought after by a few teams for a backup PF, the Thunder would still be able to make lots of manuevers in the next few years. And as people above have pointed out with center being a major concern, next years draft is supposed to have a lot of very talented post players just like this years draft had a lot of PGs. So keeping with Presti's precedence the Thunder could have a off-season if they wait a year and invest in the draft or wait for offers from cap space deprived people willing to part with their pieces for some of the nice moveable pieces the Thunder have.

The biggest thing i see in this article is that if there were more people like presti in this country (money wise) the economy would not be where it is at this juncture. Any market needs the spenders some, but if our economy were built on investment (as the Thunder is becoming) rather than consumtion we would be in a much nicer economy right now.

I read that article yesterday the Etan Thomas wrote, and just based on that so far i think he may be the perfect new add to the roster. He hasn't been a huge contributor on past teams from what i know, but he is tough and hes experienced. Plus he is clearly going to be an excellent role model for all of these 19, 20, 21 year old kids (i can call them that i'm 22, lol) with more money than they know how to take care of.

As far as the roster goes, i'm with Steve H. Presti is just poised to pounce on the next great center who becomes available whether it is through trade FA or the draft(unlikely, i think, but possible). I believe trade would be the first choice since as we all know we have gobbs of young talent who would make great bait...

@Gar
KD just finished his second season in the NBA. He won't be able to legally buy a beer for another couple months. You really want to criticize him for not "pressuring" Sam Presti? And I entirely disagree with your assesment of the depth of our bench. Other than issues at the center position, we have a really good looking cast of supporting players- most of whom were added mid-season last year, if not later. Its also way too early for hand-wringing over Mullens' failure to develop- he's only been in the NBA for a couple of days now. How about we actually let the guy play in a basketball game before declaring him a bust?

Presti probably has a start on a budget plan to 2013 or 2015 or beyond. I haven't done it yet and might not but somebody else could.

I wonder if we'll be willing to overpay to keep Westbrook and Green, because as Royce mentioned there are GMs out there who will overpay. Obviously Durant is max. I also wonder how we can talk about a complete roster while we won 23 games last year and our bench is so shallow. It's crazy because stars like Kobe, LeBron, Wade, Bosh put the pressure on their franchises to bring in players to make them competitive. Does Durant just not care? Someone said we can afford to take on a few more losses to see if some of these other players will develop. What if they don't? There will come a time when Durant is sick of waiting to see if BJ Mullens will ever become good. At that point, we won't get to wait for the perfect fit to come along, we'll have to take whoever's currently available.

Justin is right. There will come a day where we will be paying KD somewhere between 14-20 mil per season instead of 5 mil. There will also come a day when Jeff Green gets somewhere between 6 mil and 12 mil per season. RW will get between...well shoot, he's harder to figure, but I'm thinking 6-10 mil per season, but it could be more if he starts shooting for percentage and cuts his turnovers. Lets not forget Harden, who will likely get staring SG money like 6-10 mil...now the team has to be very careful to keep it's powder dry. Ready to shoot when the perfect shot is there (the perfect complimentary piece), but not willing to waste it's jack on superfluous players that don't put wins on the board.

@justin
As amazing as this sounds in talking abouta 23 win team, I don't think tere really ARE that many more pieces we need to look to acquire. RW could be a FANTASTIC pg- no way do we need to look for another starter until he has had a couple of years to fulfill his potential. Ditto Harden. KD is obviously the corner-stone of the franchise. Can't honestly name back-up pg,sg or sf that could be obtained without insanely over-paying than Livingston, Sefalosha and Green. Krstic would/should make a great back-up center. DJ COULD be a D.West clone in a couple of years. Ibaka COULD be an Amare clone in a couple of years. Green and Collison's PF play isn't so far behind the likes of Milsap and Lee to make it worth over-paying to replace them, especially with guys like Ibaka and White waiting in the wings. Basically, we need a great starting center, and until one lands on the radar screen, there isn't anybody out there that is worth what they would cost to pursue.

@justin
Nice point about flipping Chandler. I still think it really was about his health after watching him in street clothes for the NO/Denver series, but I would have LOVED doing that same deal to land Okafor. Predicting the possibility of a deal like that would truly have required a crystal ball (hell, I still can't fathom why the Bobcats did it). I don't think rescinding the Chandler deal proves that Presti is cheap- it just proves that he is not psychic.

Presti may never be able to use the cap room he has right now because Durant and Green will be eligible for extenstions next summer but thats fine with me. Durant Green and Westbrook are a perfect core to build around. Once OKC is ready to compete, all Presti has to do is a sign or trade for a key free agent at "his price" and then OKC will be ready to make a run.

Are you guys alright with the team remaining so far under the cap the entire season? With teams bound to be racing to cut salary either for 2010 free agency or to avoid the luxury tax, it seems unlikely that the Thunder wouldn't have offers to 'rent' their cap space.

I'm still convinced that the rescinded Tyson Chandler trade had more to do with second guessing the finances than long term concerns about his health. Now the team's under the cap for almost the amount of money owed to Chandler this season, and he was succesfully flipped for the exact kind of player OKC needs (Okafor). In this instance I feel the trigger shy attitude of this management team got the best of them.

Sam Presti probably has this year to still be given the benefit of the doubt, but if he isn't active with all this flexibility next offseason it'll be clear what's what.

Look at a team like the Bucks. They are right next to the luxury tax threshold and they aren't a playoff team, and have little flexability to make the moves that will put them into the playoffs. Small market teams have to be more frugal in the spending that they do make and make sure that those moves move them forward and not make them stagnant.

I think there is something to the fact that there are so many new parts to this team from even from January of last year that Presti has yet to see them playing together. You don't want to add someone yet before you see what the real holes are in this roster. When we know more about what Sefolosha, Krstic, White, etc. can do on this team, we'll know more about what we need to spend money on and what trades need to be made to make this a perennial playoff team.

Good article. I think one of the big points is just that we have so many assets. We've got, right now, probably 11 guys who are or will be regulars in NBA rotations at some point in their careers. I think we've got at least 6 multi-year starters right now (Westbrook, Harden, Thabo, KD, Green, Krstic). We've got 3 big men in Ibaka, White, and Mullens who have varying levels of potential. And we have 2 first-round picks next year (and 5 picks altogether). So if a FA isn't a perfect fit, what's the point?

I think also, being a small-market team, it's important to remember that the cap space not spent isn't necessarily wasted. Let's say it's February 2012, and the Thunder are 39-25, and Presti really wants Player X at the deadline for the playoff run. But Player X will put us into the luxury tax. It's much easier for Presti to say to the ownership group, "We've been $10 million under the cap for two years, we need to spend $8 million for a chance at a playoff run." Whereas, had he bumped up against the cap for three years while winning 35 games, that's a harder sell. We are a small-market team (and always will be) so economics will always be a factor.

Good article. I think one of the big points is just that we have so many assets. We've got, right now, probably 11 guys who are or will be regulars in NBA rotations at some point in their careers. I think we've got at least 6 multi-year starters right now (Westbrook, Harden, Thabo, KD, Green, Krstic). We've got 3 big men in Ibaka, White, and Mullens who have varying levels of potential. And we have 2 first-round picks next year (and 5 altogether). So if a FA isn't a perfect fit, what's the point?

I think also, being a small-market team, it's important to remember that the cap space not spent is not necessarily wasted. Let's say it's February 2012, and the Thunder are 39-25, and Presti really wants Player X at the deadline for the playoff run. But Player X will put us into the luxury tax. It's much easier for Presti to say to the ownership group, "We've been $10 million under the cap for two years, we need to spend $8 million for a chance at a playoff run." Whereas, had he bumped up against the cap for three years while winning 35 games, that's a harder sell. We are a small-market team (and always will be) so economics will always be a factor.

Good article. I think one of the big points is just that we have so many assets. We've got, right now, probably 11 guys who are or will be regulars in NBA rotations at some point in their careers. I think we've got at least 6 multi-year starters right now (Westbrook, Harden, Thabo, KD, Green, Krstic). We've got 3 big men in Ibaka, White, and Mullens who have varying levels of potential. And we have 2 first-round picks next year (and 5 altogether). So if a FA isn't a perfect fit, what's the point?

I think also, being a small-market team, it's important to remember that the cap space not spent isn't necessarily wasted. Let's say it's February 2012, and the Thunder are 39-25, and Presti really wants Player X at the deadline for the playoff run. But Player X will put us into the luxury tax. It's much easier for Presti to say to the ownership group, "We've been $10 million under the cap for two years, we need to spend $8 million for a chance at a playoff run." Whereas, had he bumped up against the cap for three years while winning 35 games, that's a harder sell. We are a small-market team (and always will be) so economics will always be a factor.

I think you said it best Royce. If 40 wins is our ceiling this year, then the playoffs would be our ceiling the next year. So three years from now, when we've had our first bit of playoff experience, and we've resigned all our core players to extensions, then we can search through the market to find a missing piece that will help us get deeper into the playoffs.

The Cavs and Celts and Magic are adding high priced pieces to make a run. They'll be in contention for a while, then they'll start over. When we get there, we'll do it too.

I could see us going for a FA sooner, but he'd be a younger guy. Probably someone who has just finished their rookie contract and isn't set on returning to their team. You don't want to grab a Lamar Odom and make him wait 2 years before we're talking playoffs.

Royce, great analogy with the kids spending or saving their money, good stuff. I agree with Clark when he says that sometimes you regret not making a move for a player, but we all at some point have had buyers remorse also.

I would rather miss out on a marginal player this offseason than trying to make a splash on one of these FA's and having buyer's remorse when we don't have the flexablity to resign our core players or the better FA's of 2010.

@Clark Matthews
That's a good point Clark. But group 2 and 3 kind of run together in a way.

About to talk Durant/LeBron on Around the Horn.

Well, let's also remember that there really weren't many free agents this year that would have made a significant difference. Gortat would have been nice, but I agree with an article Hollinger wrote a couple weeks ago that there were strong indications all along that Orlando was going to match all along.

@Clark Matthews
Good point. But I think we have to give him the benefit of the doubt because he did express SOME interest in FA's. And the Cap IS coming down. And there ARE some core players to resign soon.

If I'm presti, I'm looking at those things, as well as all of my new toys I just got, and saying "eh, let's save it for later."

There are more than two options. 1) The kid who spends as soon as he gets is. 2) The kid who holds on to the money until there is something worth buying. 3) The kid, like me, who convinces himself that the money is more valuable than anything I could spend it on and becomes a grown up wishing he'd bought a slurpee every now and again.

I'm hoping Presti is #2, but until he does take advantage of the cap space, I have a suspicion that he might be #3.

@Alex
That's a really good way of putting it.

@Alex
Agree completely. Slow and steady wins the race!

Nice article Royce. I have to say that as one of those "spend it" sort of people, it is easy to look at some of the FA's and say "go for it!"

But I know that it's smarter to wait. Presti added a lot of pieces over the last few months and has only test driven a few of them. I don't think it makes any sense to spend money on another guy, when there is a decent chance that, with all the new talent, the Thunder pick up the pace this coming season. Who knows, what if Thomas does contribute? What if DJ White has a breakout season or Ibaka makes a breakthrough?

It's like you said: what is the point of adding all these guys if you are not going to make a serious effort to develope them and even get them some REAL minutes while the team can still get away with a few extra losses?

This is what I love most about the Thunder. Royce is able to succinctly explain the Thunder's long-term plan within the space of a short article. Try doing that with a team like Memphis or Detroit. That tells me that we are building our team for a championship and not just a year or two of semi-relevancy with nothing significant to show for it.