Mavs could waive Finley, sources say

[LRB]

Originally posted by: chumdawg
I think Houston has only $40MM left, while Fin has $50MM.

Yeah I think you're right I was just thinking about next years salary instead of the whole contract remaining. I forgot Houston has less years.

[#1MavsFan]

Originally posted by: alby

Now you understand. More minutes for Marquis and Stackhouse = help us win a title

Since degrading our roster will help us win a title, why not get rid of JHO and Dirk while your at it?

[dirno2000]

1st of all they haven't decided whether it will or won't be paid this year. From what I read it was the previous year that it was paid. However with the NEW CBA. Still there has been a lot done by owners to cut spending the last year and revenues still are increasing. Add to that the fact that probably several hundred millions of dollars of salary will be exempted from counting against the salary cap over the next few years, I feel that the chances are better that it won't happen than that it will. But it's still a crapshoot. No one will know for sure until sometime in July 2006 if there will or won't be a luxary tax for this coming season.

This is the Chad Ford blurb that I was basing my information on:

Last season, teams whose payroll exceeded $54.6 million paid a dollar-for-dollar tax on the amount they were over the threshold.

I don’t know if by last season he meant the 2003-2004 season or the one that just ended but either way, it doesn’t change my point. The last time the luxury tax was calculated, it was instituted so we know that BRI was over 61%. As I pointed out the new CBA has provisions that are likely to increase salaries.

I’m not sure where you’re getting the several hundred million dollars in overall salary savings over the next few years.

Of course most of the owners will try and keep it as close to 57% as possible.

How will they manage to do this when 1) They’re making decisions independent of one another and 2) The calculation isn’t done until the season ends? To me (and to the people that have access to the books) it seems unlikely that they’ll stay within that 4% window.

[dude1394]

Another thread was shown how the revenue dipped dramatically in 02-03. I think that's the only year.

[dirno2000]

Originally posted by: dude1394
Another thread was shown how the revenue dipped dramatically in 02-03. I think that's the only year.

The only year that revenue dropped or the only year that the tax kicked in?

[dude1394]

It looks like the only year that the tax kicked in.

Here's the link with the tables..realgm

(Dollar Amounts in Millions)

Year BRI National TV BRI Percentage Change in TV BRI Non-National TV BRI Percentage Change in Non-TV BRI
2000-01 $2,450 $674 +20.2% $1,776 +5.2%
2001-02 $2,664 $810 +20.2% $1,855 +4.4%
2002-03 $2,662 $675 -16.7% $1,986 +7.1%
2003-04** $2,795 $684 +1.4% $2,111 +6.3%
2004-05** $2,993 $705 +3.0% $2,288 +6.3%
2005-06** $3,157 $726 +3.0% $2,431 +6.3%

** Preferred estimates. The 2004-05 estimate assumes that Charlotte generates about $45 million in new revenue for the League in 2004-05, which is not counted as part of the percentage change in non-TV BRI.

[dirno2000]

According to the Chad Ford article on the CBA, it kicked in "last year" also. So if it kicked in in 2002-2003 then it was in effect two years straight.

[dude1394]

I've been trying to find definitive answers for this for a week now, but cannot. The only definitive time (with a date) that I've seen it kicked in was 02-03. As shown above you can see there was a 16.7% decrease in revenues.

[Pirate]

Each owner doesnt have to spend 57%, and many wont. The team minimum will presumably be around only 38%.

[madape]

I was re-reading this thread and found it pretty hilarious that so many people just savagely attacked Eddie Sefko, calling him an "admitted liar", purveyor of "trash", and other more colorful terms.

I just thought it might be worth mentioning that Sefko is a damned fine beat writer. Some people like to attack the messenger when he brings bad news.

[Evilmav2]

You're absolutely right, Ape. Sefko obviously made a very good use of his Mavs' sources on this one, and retrospectively I'll say that he probably didn't deserve to be vilified by the greater part of Mavs fandom for merely reporting on the Finley situation as he knew it, a couple of weeks back. Additionally, the obviously fact-grounded validity of Eddie's first 'cut Finley' column makes me wonder just how cogent his June claim that the braintrust 'shopped' Erick Dampier at mid-season actually was...