There are two general paths that the Cleveland Cavaliers can take in free agency this summer, and the road forks on the contract of one single player. For NBA teams operating over the salary cap (set at $122 million for the 2022-23 NBA season) they can use an “exception” to sign a player even without cap space.
There are a handful of low-value exceptions, but the two primary ones are the mid-level exceptions. These open up a salary slot for teams to sign players, either using the entire amount on one player or dividing it between multiple players. The smaller one, the “Taxpayer Mid-Level Exception” or “Taxpayer MLE,” will be worth $6.34 million, and the “Non-Taxpayer Mid-Level” or just “MLE” is worth $10.26 million.
What’s the difference? Teams using the standard MLE are “hard-capped” at the tax apron; that means that if the Cavs (or any team) use the MLE, they cannot have a team salary of more than $155.2 million for any reason. Using the smaller Taxpayer MLE gives a team flexibility to spend over that tax apron number.
The Cavs have a path to making a strong swing in NBA Free Agency. If they use the full Mid-Level Exception, which players should they look to sign?
What does this mean for the Cavs? It means that if they hand out enough money to their own free agents, they won’t have enough room under that tax apron to use the full MLE, and will have to stick to the smaller amount to improve their team. The swing factor here is therefore Collin Sexton. The players available for the full MLE are a step above those available at the much smaller Taxpayer MLE. If the Cavs let Collin Sexton walk, or he signs the qualifying offer, they can use the larger amount. If he comes back on a substantial deal, they likely need to stick to the smaller one.
Let’s assume for the moment that the Cavs head down Path A; Sexton’s contract is either on some other team’s books or at a low enough amount that the full Mid-Level Exception is available to the Cavaliers. Which players could they target this summer to improve the team? Here are three players from a pair of successful Western Conference teams that the Cavs should reach out to.