Golden State Warriors: How Bob Myers Built The New Roster

The Golden State Warriors expertly navigated a complicated summer and remained poised to remain atop the NBA.

Golden State Warriors GM Bob Myers, heading into the offseason, had two different goals. The first was to confirm the entire core of the group while limiting the cost of the luxury tax. The second point was refresh the bench, mixing in promising rookies to develop with the team’s superstars.

And that is exactly what happened thanks Myers who, after receiving the Executive of the Year award, proved he deserved the honor for creating the necessary conditions to build a dynasty.

In one month, the Warriors signed the players they needed to complete the roster — leaving one spot available for a veteran or a last minute free-agency pick up.

The following is a timeline of the exquisite strategy of Myers, who was absolutely pitch-perfect this summer.

June 22: Golden State reached draft night without a pick and the only chance was (like the last year) buying a second round pick for cash consideration. Last year, Myers selected Patrick McCaw with the thirty-eighth pick. This year, the Warriors bought the thirty-eighth pick from the Chicago Bulls for $ 3.5 million, selecting Jordan Bell from Oregon University.

The skills of this rookie are already reminiscent of Draymond Green and the power forward will be his mentor for the next season.

• Player signed: Jordan Bell ($815,615)
• Number of contract signed: 6
• Salary Cap: $37,646,011

June 30: When the free agency started, the Golden State Warriors re-signed Stephen Curry. The new agreement guarantees $201 million for five year — a monstrous contract that pays him in the next season, the combined money earned during the previous four.

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Curry’s contract history is quite unique and it deserves a mention as a lucky episode for the Warriors. After being drafted, Curry signed a $12 million, four year deal. When the contract was expiring, during the summer of 2013, injury had prevented him from really reaching his potential.

Myers and team owner Joe Lacob decided to invest in him, offering Curry a new contract — but proposed less money because of his injury history. The four-year contract he signed for $44 million has been a key piece that allowed Golden State to accumulate the talent during the following years.

In eight seasons, Stephen Curry earned a total of $56,092,043, a ridiculous amount for a two-time MVP.

Curry’s new contract will guarantee him $40 million per year. Curry is reaping the benefits of the new agreement between the league and the players association, that allows to the team to offer up to $80 million more than the others if the player is:

• Drafted or acquired through exchange during the rookie contract
• Elected to an All-NBA team or awarded with the Defensive Player of the Year

For this reason, while all the other franchises could offer a maximum of $130 million for five years, the Golden State Warriors proposed $200 million to close the deal.

Golden State Warriors

Curry’s deal will eat up 27-28 percent of the total salary cap of Golden State for the next season —  almost 8 percent more than Kevin Durant.

The idea that Curry’s contract is too expensive is something of a false narrative. In fact, if you think of an NBA franchise in terms of it being a corporation, Curry’s new deal looks more like recognition by management of an employee who dramatically increased the value of the company as a whole. You can even call it “profit sharingm” if you like.

In fact, as tweeted by Ann Killion, Joe Lacob bought the Warriors in 2010 (Curry’s second season) for $450 million.

After seven years, according to Forbes, the value of the team is increased to $ 2.6 billion thanks in large part, to the point guard who is leading the team. Looked at in those terms, Curry’s deal looks a lot less selfish or greedy.

The only real risk connected to this contract is obviously, Curry’s health. If he stays healthy, the front office will be celebrated as one of the best of the history. But if Curry is unable to perform due to physical injury, it could compromise the entire Warriors salary cap system.

For Stephen Curry, the next year will be gold — at least economically. In fact, Forbes has calculated the superstar will earn $ 80 million in endorsement deals alone next season.

• Player signed: Stephen Curry ($34,682,550)
• Number of contract signed: 7
• Salary Cap: $72,328,561

July 1: The Golden State Warriors signed Shaun Livingston to a new three-year,  $24 million deal — with $20 million guaranteed. The contract, in fact, pays Livingston $8 million the first two years and only $2 million guaranteed during the last year or his pact.

That, incidentally, will be when the Warriors will have to work a new deal for Klay Thompson. Livingston, after the new contract was made official, said he had given up on richer offers to stay in Oakland.

In fact, thanks to his Bird Rights, Livingston could have asked for nearly $11 million a season. Instead, he accepted around $ 3 million per season less as well as a non-guaranteed final year of his deal to stay with the Warriors.

This is very important because in 2019, the Warriors need to discuss Thompson’s extension and will need to have the cap space to offer him a better contract.

However, this signing was possible only because of the verbal agreement with Kevin Durant, who had previously announced that he would do what was necessary to confirm the team’s core.

In this way, the Warriors had the opportunity to use the full Bird Rights on both Livingston and Andre Iguodala, — Iguodala who was developing his own strategy to work a better deal for himself to return to the team.

• Player signed: Shaun Livingston ($7,692,308)
• Number of contract signed: 8
• Salary Cap: $80,020,869

July 1: The Golden State Warriors confirm David West. The veteran, after the title won the last year, agreed to sign his last contract before he retires. The contract, the veteran’s minimum, shows again how much his desire to win a title is bigger than the will to get a massive contract.

The forward played a growing role last year, steadily increasing his minutes and replacing JaVale McGee during Game Seven of the Finals. All these elements pushed the front office to confirm West, who will not require significant cap space and already knows Warriors playbook inside and out.

• Player signed: David West ($2,328,652)
• Number of contract signed: 9
• Salary Cap: $82,349,521

July 2: A deal for Iguodala was probably the most complicated for the Golden State front office, especially because of the strategy the player used during the free agency. In fact, at the Free Agency kickoff, Iguodala announced he was open to hear other teams, planning meetings with the San Antonio Spurs, Sacramento Kings and Houston Rockets.

These teams had interesting rosters already — and two of them were contenders, able to ensure money and a trip to the playoffs.

The veteran was determined to get his money on a three-year contract, but word from the Bay Area was that the Warriors were only offering two-year deals. The rumors were also suggested that Iguodala had not scheduled any meeting with the Warriors, leaving fans to think there wasn’t any way he’d be back with the team next year.

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Everybody seemed left with the feeling Iguodala was ready to change teams. But in a surprise twist, a deal was surprisingly reached. The new contract is worth $48 million over three years —  exactly what he was looking for.

And with the Iguodala signing, the Warriors confirmed the entire core for at least another two years. With his new deal, Iguodala will earn 20 percent more than the last year.

But the Warriors’ salary cap and luxury tax situation is ready to explode in the 2019-2020 season.

The front office has calculated the risks and they will be able to use several strategies to fight the coming and inevitable luxury tax problems. In fact, first this situation will happen after two seasons, when Iguodala will be at his last year of contract.

Klay Thompson will be free-agent and the new arena in San Francisco will be opened. Revenue from the new arena, according to the first projections will be able to cover almost the entire luxury tax cost.

But the arena is not the only resource available for the Warriors. In fact, if they need, the Warriors can try to stretch the Iguodala contract or, in extrema ratio, trade Thompson to start a slow rebuild.

• Player signed: Andre Iguodala ($14,814,815)
• Number of contract signed: 10
• Salary Cap: $97,164,336

July 3: Kevin Durant’s agreement is the real masterpiece of the front office’s efforts. The decision to sign Durant to a two-year,  $53 million deal — with player option on the second season — revealed the strategy of Bob Myers.

In fact, Durant, in order to allow to the front office to confirm the entire core for at least two more seasons, gave up somewhere between $6-10 million a season rather than pushing for the maximum.

And there is a specific reason he signed the deal he did. With Durant’s deal, Golden State will have a payroll under $140 million. Which means that the Warriors will have to pay $32 million in luxury tax for a total payout around $170 million —  better than what you could expect.

To understand how the total payout works, it’s necessary first to realize how the NBA taxes work. The luxury tax requires $1.50 for every $1.00 over the luxury tax limit, increasing $0.50 every $5 million till $3.75 every $1 above $20 million luxury tax.

So, to realize the different taxes this year, the levels are:

• From $119 million to $124 million: $1.50 of tax every dollar spent
• From $124 million to $129 million: $1.75 of tax every dollar spent
• From $129 million to $134 million: $2.50 of tax every dollar spent
• From $134 million to $139 million: $3.25 of tax every dollar spent
• Over $139 million: $3.75 of tax every dollar spent

And because in NBA the salary cap history is important, the team already in luxury tax must pay more:

• From $119 million to $124 million: $2.50 of tax every dollar spent
• From $124 million to $129 million: $2.75 of tax every dollar spent
• From $129 million to $134 million: $3.50 of tax every dollar spent
• From $134 million to $139 million: $4.25 of tax every dollar spent
• Over $139 million: $4.75 of tax every dollar spent

For this reason, the luxury tax projection for next year has Golden State expecting to pay almost $90 million in luxury tax.

Having said that, it’s easy to understand why the Golden State Warriors want their payroll to stay under $139 million. In fact, above this level, the owner should pay $3.75 every $1.00 spent over the luxury tax, getting worse the next year.

The reason Kevin Durant signed his $25 million agreement is not accidental — the Warriors couldn’t pay more. And, for every dollar offered above that $25 million to the Finals MVP, they would have had one less dollar so offer to Iguodala and Livingston.

• Player signed: Kevin Durant ($25,000,000)
• Number of contract signed: 11
• Salary Cap: $122,164,336

Next: Kevin Durant’s Pay Cut Could Ultimately Make Him Richer

July 4: Who remembers the shootout duel between Omri Casspi and Stephen Curry back in 2015-16? Now try to imagine both on the same team. Now, imagine them with other players like Thompson, Durant and Nick Young.

The contract signed by Casspi will be a minimum (also because the Warriors weren’t able to offer more after the agreement with Kevin Durant) and will allow to Steve Kerr to have the perfect forward for the Golden State defensive playbook, that require switch and changes.

Casspi,  in fact, is able to defend different players, adapting well to the opposing team. He’s a perfect fit, able to help the Warriors on multiple fronts.

• Player signed: Omar Casspi ($2,106,470)
• Number of contract signed: 12
• Salary Cap: $124,270,806

July 5: after the confirmation of the entire core, Myers had to complete the roster with the best fit for this team. After Casspi, the Warriors signed the free agent Nick Young.

Young played for the Los Angeles Lakers and was coached by Luke Walton, former Warriors assistant coach. The referrals from Los Angeles were positive and Walton admitted being impressed because of his effort during the season.

To sign Young, the Golden State Warriors used the mid-level exception offering him a $5.2 million deal. Young is the perfect fit on from bench, thanks to his skills off-ball (during last year he was the second-best catch-and-shooter after Curry).

The Warriors will start the next season with four of the best ten catch and shoot players in the league. They’ll also be the best team in the assist per game category.

• Player signed: Nick Young ($5,192,000)
• Number of contract signed: 13
• Salary Cap: $129,462,806

July 7: Centers were the most sought after players for many teams in the past, something that has drastically changed now. During this free-agency period, the big men weren’t a priority and the front offices were more interested in other players.

Which meant that Zaza Pachulia, part of last year’s squad, was still without a contract after a week of free-agency.

There wasn’t a big concern about this though. Pachulia was aware there were some steps to follow and so, he was waiting for his moment — a moment that finally arrived. And the two-year pact for $3.5 million a season is an agreement that satisfies both sides.

On one side, the team signed a player who was able to win the rim fight with Tristan Thompson during the last Finals. On the other, thanks to the Non-Bird Rights (the rights a team have on a player who joined a team for less of three years) signed a contract 20 percent higher than the last season.

He and Draymond Green will also be tasked with mentoring young players Damian Jones and Jordan Bell.

• Player signed: Zaza Pachulia ($3,477,600 )
• Number of contract signed: 14
• Salary Cap: $132,940,406

July 27: With the agreement with Pachulia done, the Warriors were left with only one roster spot available. Which meant they had to choose between  JaVale McGee and Ian Clark. Although the expectation was to sign a center, the decision to sign McGee wasn’t so obvious.

Making it even more complicated, the Warriors have already five big me on the roster in Green, Pachulia, West, Kevon Looney, and the rookie, Bell.

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The front office waited for two weeks to decide if they wanted to add a sixth big man. And whether or not, that big man should be McGee. The center – as Steve Kerr confirmed – was trying to earn the best contract possible after a solid season that relaunched his career.

This one-year agreement closed free-agency for Golden State and allowed both Myers and Kerr to start to work on the coming season.

The McGee deal is important for the culture of the team, as he is beloved by teammates and staff (just think the jokes with Draymond Green and the words of Steve Kerr).

• Player signed: JaVale McGee ($2,100,000*)
• Number of contract signed: 15
• Salary Cap: $135,040,406*
• Cap Holds + Dead Money: $5,612,195
• Total allocation: $140,652,601*
• Luxury Tax: $32,300,000
• Total Payroll: $172,952,601*

* JaVale McGee contract details are still not confirmed

With this agreement, the Golden State Warriors have completed their roster. The next season the Warriors will pay $32.3 million luxury tax, for a total around $170 million — a payout second only to the Cleveland Cavaliers.

Durant’s promise of being able to create a dynasty able to win several titles has been realized — at least in theory. Now, only the action on the court will dictate whether or not this team will be able to repeat last season’s glorious run.