Pelicans offseason primer: Herb Jones extension, Brandon Ingram, more

The 2022-23 New Orleans Pelicans season went from incredibly exciting to downright disappointing. It all started with the return of Zion Williamson, who missed all of last season, re-joining a Pelicans team that made a late push to the 2022 playoffs. The Pelicans started the season 23-14 led by Williamson who was playing like an All-NBA lock. They were on track to return to the playoffs and lock up homecourt advantage in the first round.

Then Williamson suffered a hamstring injury from which he would not return this season. The Pelicans plummeted in his absence and finished the season 19-26, falling all the way down to the play-in tournament, then elimination. The team is clearly well-equipped to win many games, they just need their star player to stay on the court. With Williamson only having played 37 percent of Pelicans’ regular season games in his short career, at what point does his unavailability become a major concern?

The Pelicans are going into the offseason with their roster mostly set. They still have a surplus of picks that could be used in a consolidation trade or to continue replenishing depth in a new CBA that poses more roster-building challenges. They also have several key players that are extension-eligible that they will look to take care of.

Here is a preview of the 2023 offseason for the New Orleans Pelicans.

State of the roster and how the new CBA affects them

(Photo by Nathaniel S. Butler/NBAE via Getty Images)

The Pelicans are entering the 2023 offseason with nearly a full roster for the second year in a row. They have 14 players under contract, including their first-round pick for this year, and are projected to be right at the $162 million luxury tax line. Their sole addition to a standard contract last season was the drafting and signing of Dyson Daniels, and it’s possible they have a similarly quiet summer.

The 2023-24 season could be the last one in which the Pelicans are able to stay under the luxury tax with this core. Zion Williamson, Brandon Ingram, and CJ McCollum are all set to earn between $33-36 million over the next two seasons, taking up a substantial percentage of their space below the tax. Herb Jones will be the next player due for a significant raise. His next contract, as well as a potential new contract for Jonas Valanciunas or a different starting center, could push the Pelicans over the tax starting in 2024-25.

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It would make sense for New Orleans to avoid the luxury tax for one more season in order to delay the repeater tax. And they have the luxury of doing that considering they already have their rotation nearly set for next season. The one move we can expect to see is the Pelicans waiving Garrett Temple, whose $5.4 million salary is non-guaranteed. This would give the Pelicans a little over $5 million in space below the tax, enough room to fill out their last two roster spots.

The Pelicans are in an advantageous situation heading into the new CBA. The addition of the second apron will restrict teams above it from increasing their payroll other than re-signing their own players, signing draft picks, and minimum players. With their payroll already hovering around the tax and with more players due for new contracts soon, they could be in a position to have a payroll above the second apron soon.

Fortunately for them, they’re already loaded with talented young players on rookie contracts like Jones, Trey Murphy III, and Jose Alvarado, giving them enough depth to operate within the second apron restrictions. And if they need to reshuffle the deck, they have all their own draft picks as well as two additional ones owed from other teams. This gives them plenty of opportunities to replenish their roster, which could help extend their competitive window. They just need to make the commitment to spend.

Free agents and final roster spots

Derick E. Hingle-USA TODAY Sports

The Pelicans’ two primary free agents are Jaxson Hayes and Josh Richardson. Hayes, the former eighth overall selection, did not live up to the selection but still projects to be a solid backup big man in the league. He played a big part in helping the Pelicans make the playoffs last season but saw his role marginalized this year with the return of Williamson and Larry Nance Jr.

New Orleans can make Hayes a restricted free agent if they tender him a $7.7 million qualifying offer, but that seems unlikely given their proximity to the tax. That amount may be well above his market with recent big men like JaVale McGee, Nick Richards, Andre Drummond all receiving less than that recently. It seems like a good bet that the Pelicans will let Hayes become an unrestricted free agent instead of risking him accepting his qualifying offer.

The Pelicans acquired Richardson at the trade deadline in exchange for Devonte Graham and five second-round picks. The main motivation for them making this deal is getting off Graham’s $12.1 million salary for next season, but Richardson has been a regular part of the rotation averaging over 20 minutes per game. They could be open to re-signing him but might not prioritize him if his market is stronger than their budget allows. It’s possible he receives an offer for most or all of the mid-level exception after guard/forwards like Gary Harris, Gary Payton II, Pat Connaughton, and the Martin twins all received as much.

If the Pelicans want to re-sign Richardson or sign a player as talented as him while avoiding the tax, they may need to make another cost-cutting move. That could include reducing payroll through a trade or cutting another player or two on a non-guaranteed contract. They are projected to have access to the non-taxpayer mid-level exception but may not utilize the full amount if it takes them over the tax. They will likely fill their last two roster spots with minimum signings if they don’t sign anyone with the MLE.

Extensions

Larry Robinson-USA TODAY Sports

The Pelicans have a handful of players that are extension-eligible this summer, with Herb Jones being the most pressing one. The second-year forward is already one of the best perimeter defenders in the league with the potential to earn a couple of All-Defense teams in his career. His shooting still remains an issue after seeing his efficiency decline from last season, but he’s a good play-finisher and an underrated passer and playmaker. Jones is one of the biggest bargains in the league earning a minimum salary in his first three years.

Jones is due for a significant raise and the new extension rules help increase the chances he agrees to one with the Pelicans. The new CBA will increase the first-year salary increase in extensions from a maximum of 120 percent to 140 percent off the previous season. This applies to the veteran extension maximum, which is now projected at four years, $75 million. That is an increase north of $10 million in the overall extension total than the previous extension rules allowed.

Will four years, $75 million be enough to lock up Jones now? It’s possible when comparing that figure to recent second contracts for the league’s top wing defenders. It’s more than the four years, $55.6 million Dorian Finney-Smith got, on par with OG Anunoby’s four years, $72 million, and less than Mikal Bridges’ four years, $90 million. $18 million annually is sound in relation to his peers and how much the salary cap has increased over the years. If no extension materializes, he could earn more when he becomes a restricted free agent in 2024.

Brandon Ingram will be extension-eligible during the offseason but can only add a maximum of three seasons. Also, he still has supermax eligibility remaining for one more season. If he meets the criteria by earning All-NBA honors next season, he would be eligible to extend next summer for up to five years, projected at a maximum of $285 million. He seems more likely to play next year out since extending ahead of time would forego his supermax eligibility.

Jonas Valanciunas will also become extension-eligible starting on October 1, but it’s unclear where he fits in New Orleans’ long-term plans. He is set to enter his age-32 season next year and his defensive limitations keep him from regularly closing games. If the Pelicans don’t view him as part of their future, his $15.4 million salary can be the centerpiece of a trade that brings in a new starting center.

2023-24 SALARY SITUATION

Players rostered: 14

Guaranteed salaries: $148.1

Non-guaranteed salaries: $13.5 million

Total salary: $161.6 million

Luxury tax space: $378,600

Apron space: $7.9 million

Second apron space: $17.9 million

Spending power:

CJ McCollum

John E. Sokolowski-USA TODAY Sports

2023-24 salary: $35,802,469

Remaining salary guaranteed: $99,802,469 through 2025-26

Brandon Ingram

Andrew Wevers-USA TODAY Sports

2023-24 salary: $33,833,400

Remaining salary guaranteed: $69,849,600 through 2024-25

Additional notes:

Zion Williamson

Scott Wachter-USA TODAY Sports

2023-24 salary: $33,500,000

Remaining salary guaranteed: $194,300,000 through 2027-28

Additional notes:

Jonas Valanciunas

Larry Robinson-USA TODAY Sports

2023-24 salary: $15,435,000

Remaining salary guaranteed: $15,435,000

Additional notes:

Larry Nance Jr.

Stephen Lew-USA TODAY Sports

2023-24 salary: $10,375,000

Remaining salary guaranteed: $21,580,000 through 2024-25

Dyson Daniels

Stephen Lew-USA TODAY Sports

2023-24 salary: $5,784,120

Remaining salary guaranteed: $19,551,349 through 2025-26

Kira Lewis Jr.

Chuck Cook-USA TODAY Sports

2023-24 salary: $5,722,116

Remaining salary guaranteed: $5,722,116

Additional notes:

Garrett Temple

Daniel Dunn-USA TODAY Sports

2023-24 salary: $5,401,000

Remaining salary guaranteed: $0

Additional notes:

Trey Murphy III

Kyle Terada-USA TODAY Sports

2023-24 salary: $3,359,280

Remaining salary guaranteed: $8,519,135 through 2024-25

Willy Hernangomez

Andrew Wevers-USA TODAY Sports

2023-24 salary: $2,559,942 (team option)

Remaining salary guaranteed: $0

Additional notes:

Naji Marshall

2023-24 salary: $1,930,681 (team option)

Remaining salary guaranteed: $0

Additional notes:

Jose Alvarado

Stephen Lew-USA TODAY Sports

2023-24 salary: $1,836,096

Remaining salary guaranteed: $0

Additional notes:

Herb Jones

Stephen Lew-USA TODAY Sports

2023-24 salary: $1,836,096 (team option)

Remaining salary guaranteed: $0

Additional notes:

EJ Liddell

Two-way contract: Year 2

Dereon Seabron

Two-way contract: Year 2

Jaxson Hayes

Stephen Lew-USA TODAY Sports

Cap hold: $20,409,036

Type of free agent: Bird (restricted)

Additional notes:

Josh Richardson

Cap hold: $18,394,141

Type of free agent: Bird (unrestricted)

2023 Pick No. 14

2023-24 salary: $4,246,200

Remaining salary guaranteed: $20,293,013 through 2026-27

Additional notes: HoopsHype and ForTheWin’s draft expert Bryan Kalbrosky has Leonard Miller being selected with the 10th overall selection in his most recent mock draft.

You can follow Yossi Gozlan (@YossiGozlan) on Twitter.

Story originally appeared on HoopsHype