For the offseason of 2018, Kawhi Leonard qualifies for the Designated Veteran Player Extension, otherwise known as the new NBA Super-Max Deal. Per the CBA, he can sign this Super-Max deal in the final season of his current deal, extending him by five years (6 total with the Spurs). He has done so based on the following qualifications (Article II, Section 7a, ii):
The “supermax” deal qualifies Kawhi for a first year base-salary (2019-2020) of 35% of the NBA salary cap. In the following years, he can receive an 8% increase yearly from the first year salary. The DVPE calls for a six-year length, thus Kawhi would sign a five-year contract in the summer of 2018, having only one-year remaining on his current deal. The salary projections are based on the first year of the new deal, thus the 2019-2020 NBA salary cap. The numbers are as follows:
2019-2020 NBA Salary Cap Projection: $108,000,000
Year 1 – 2019-2020
Year 2 – 2020-2021
Year 3 – 2021-2022
Year 4 – 2022-2023
Year 5 – 2023-2024
In total, Kawhi could sign a 5 year/$219,240,000 contract with the San Antonio Spurs in the summer of 2018. Because of Rule 3, the San Antonio Spurs are the only team that can offer him this deal.
On the other hand, if Kawhi were to sign with another team during the summer of 2019, he would only be able to sign a max contract of 4 years/$139,320,000. Only the Spurs can offer him a 5 year, 35% of the cap, 8% raise contract as the Supermax deal, and others can only offer a 4 year, 30% of the cap, 5% raise contract. As a result, the Spurs can offer Kawhi nearly $80 million more than any other team in 2019 NBA Free Agency.
I'm Jake, a recent graduate of Duke University pursuing a career in collegiate or professional basketball operations.
Cap #s 2018 - 2019
Salary Cap: $101.869M
Lux. Tax: $123.733M
Tax Apron: $129.827M
Tax Floor: $91.682M
Room MLE: $4.45M