You STAY THE COURSE. You stay the course through this year, regardless of the outcome. You let Melo test free agency and don't bust your nut on him right away. You make a real plan for the future (without draft picks mind you). You use that plan to try to keep Melo here, but you don't do more than that. If he's going to test the waters, you can't stop it, let him do it. Who knows, maybe he'll decide to keep the extension. Let's say he does (I realize this probably won't happen). You'll be starting next season with your 4 highest salaries (Melo, STAT, Chandler, Bargs) for a total of 73.5 Mill. Yup 73.5 Mill for 4 guys. All off the books. If you're smart, you parlay 1 or 2 of those contracts into draft picks and exciting young players (true talent or seat fillers really), make a trade with one of your other guys who over produced for draft picks or more young talent, and start out the 2015-2016 season with somewhere near 45 million in cap space (without Melo). And you start over if need be. If you keep Melo, you need to keep the total payroll over the cap so when you resign him you use bird's rights, and get shot in the face with luxury tax. But you take the hit if this is one of your guys and he's committed.
This is a nice fantasy right? I need a shot.