Scouts Inc. Blueprint: New York Knicks

New York has not finished above .500 since the 1999-2000 season and entered this year coming off a 23-59 campaign. They will end the season out of the playoffs again, but stiil 10 games ahead of last season.

Last spring, the high-profile conflagration between president Isiah Thomas and coach Larry Brown led to owner James Dolan appointing Thomas the coach. In the fall, to help him run the team, Thomas brought in trusted colleague Glen Grunwald, who previously had worked for him in Toronto (and later took over GM responsibilities for the Raptors).

Thomas recently received an extension on both his coaching and management responsibilities, and after a period of turmoil, the internal future of the Knicks is stable for the moment.

GM SCORECARD By John Hollinger

ISIAH THOMAS
President, Basketball Operations and Head Coach
Seasons: 4
Playoffs: 1
Division Titles: 0
Conference Titles: 0
NBA Titles: 0

BEST MOVE: Drafting David Lee
The draft is the one area Thomas has been mostly on target, with the Lee pick being his most astute.

The 30th overall pick in 2005 has been one of the league's top sixth men this year, despite being selected long after busts like Yaroslav Korolev, Antoine Wright and Julius Hodge were off the board.

WORST MOVE: Signing Jerome James
There's a lot of competition for this dishonor, but I have to go with James' five-year deal for the full midlevel exception because of the immediacy of the reaction.

With other Thomas moves, like the Stephon Marbury and Steve Francis trades or the "let's-take-on-Jalen-Rose's-contract-and-then-waive-him-a-few-months-later" maneuver, there was at least a time lag before we saw how bad it would be. But everyone knew how foolish this move was the second it was announced.

TEAM STATUS REPORT

KNICKS CAP/TAX SITUATION

Free agent: Kelvin Cato

Players under contract (13): Renaldo Balkman, Mardy Collins, Jamal Crawford, Eddy Curry, Steve Francis, Channing Frye, Jerome James, Jared Jeffries, David Lee, Stephon Marbury, Randolph Morris, Quentin Richardson, Nate Robinson

Total for players under contract: $79,661,703

Waived (1): Jerome Williams

Total for waived player: $7,639,400

First-round pick: Chicago owns the right to swap picks with New York

Team options: None

Player option: Malik Rose

Total for player with player option: $7,101,500

Estimated NBA salary cap: $55 million

Maximum cap room for New York Knicks: None

Estimated luxury tax threshold:
$67 million (Knicks are expected to exceed threshold)

At $117 million this season, and a committed $93.5 million next season, New York is not only well beyond cap range, they are a significant luxury tax team. As a matter of fact, they play the league's most significant role in actually supporting the luxury tax system.

With the Knicks discounting Jerome Williams' contract towards their tax number through the league's amnesty clause, the $117 million tax figure is reduced to approximately $110 million, still well ahead of league pace.

Where the Knicks don't often receive fair evaluation, though, is in recognition of their market: a couple years ago the Knicks earned more than twice some teams every time they tipped off at the Garden and have access to an elite media market, including the parent company's ability to bring team and cable provider under one roof. In other words, though the Knicks' salary places them on their own playing field amongst all NBA clubs, it must be recognized that they are unique across the league in their ability to generate revenue.

While all the smoke last summer was generated by the Thomas-Brown feud, from a team-building perspective, the real news in New York largely went under the radar. How the Knicks of recent years have taken advantage of their wealth is by a) spending full midlevel contracts regardless of their tax situation, and b) turning expiring contracts into talented players whose deals go out several years -- in other words, they have been able -- by and large-- to throw money at a problem.

But, while the Thomas-Brown feud grabbed much of the spotlight, there was a major policy shift in New York this summer. The buy-outs of two significant expiring contracts (Jalen Rose and Maurice Taylor) signaled a new fiscal strategy within the organization, namely a commitment to cap management more in keeping with the rest of the league.

While the Knicks' number of $93.5 million next season (pre-draft pick) still will lead the league, it is a tremendous reduction from where it presently stands. Additionally, unlike most clubs, it does not discount any present rotation players. As a matter of fact, New York's cap number remains fairly constant even the following season, with once again none of its own free-agent concerns to face.

The summer of 2009 is when New York will have to make decisions on many of its own players, but their '09 committed salary as presently reflected is approximately $45.5 million. Obviously there will be draft picks added along the way, possible free-agent acquisitions and other deals, but the fact is that New York's relative financial positioning is somewhat stable, with no major additions looming until the club has enough breathing space to manage them.

All of this, of course, precludes both the absence of midlevel additions and allowing expiring contracts to expire without re-generating them towards importing longer-term deals. Both of these are considerations that will have to be weighed against New York's ability to generate revenue, which in turn hinges upon team success.

THE FUTURE

With the emergence of Eddy Curry and David Lee as a pair of coveted front-line players, the Knicks' foundation appears to have been laid. This is crucial to the Knicks' future because if the fiscal policy is heading in a more conservative direction, much of New York's improvement will have to be internal.

With Marbury and Francis in their primes, and Crawford, Richardson and Jeffries all nearing theirs, the Knicks will look for a good portion of the growth to come from its next generation: Curry, Lee, Channing Frye, Nate Robinson, and its pair of rookies, Renaldo Balkman and Mardy Collins.

MAJOR ISSUES FOR KNICKS

• Develop the kids: Youth could be truth in New York

• Midlevel magic: Will Knicks spend wisely?

• Improve from within: Pressure's on current roster to make playoffs

Curry, while quickly becoming one of the league's most dominant post-presences, must become a more proficient rebounder; Lee brings a Rodman-type of energy and commitment to rebounding but has room to become more of a threat offensively.

Richardson, Crawford and Francis all have missed significant games this season, but each has shown he is capable of adding to the success and chemistry of the club: Richardson ranks behind only Lee in team rebounding, and Crawford has developed a solid chemistry alongside Marbury while providing a wild-card scoring punch.

Francis has played only 43 games this season and thus has been the odd man out of the rotation. During his rehab there were rumors of a buyout, but -- if the rumors were true -- with over $34 million due Francis the next two seasons, no agreement was reached.

Of the younger wave of players, it would appear that the Knicks would most benefit from Frye's progression. With Curry's post-scoring and Lee's rebounding, an intelligent 4 whose premier asset is his perimeter shooting would go a long way in cementing the frontline. Frye has the appropriate skill-set, but his game has not progressed to where he is as yet a fixture in the starting lineup.

With the veteran backcourt trio locked into significant deals that likely will run through the 2008-09 season (Francis and Marbury both hold ETOs -- or Early Termination Options -- in 2008 and Crawford in 2009, but all at numbers unlikely to induce the ETO), the Knicks show more roster flexibility up front and relating to their younger players.

While New York's payroll far exceeds its nearest competitor, the numbers do appear to have stabilized, with the core locked up for the immediate future and a tremendous financial reduction coinciding with the summer the club will have to deal with its own free agents. Furthermore, what's often lost in the large cap number is the Knicks' unique ability to generate revenue in New York. In order to do that, the club obviously must show signs of improvement and eventually compete for something significant.

Though still well below .500, there is cause for optimism in New York. If the Knicks are to use their midlevel exception this summer, they will add two significant players to their fold (the other being a first-round pick, which likely will be Chicago's). But given the recent financial conservatism reflected in the Taylor and Rose buyouts, is a midlevel contract a tool the Knicks will implement this summer? That likely will depend on whom they are able to spend it on.

Regardless, if New York is to become an elite NBA team, the structure of the roster juxtaposed alongside its payroll mandates that much of its improvement come internally. While the Knicks have five first or second-year players on the roster, Frye is the most significant piece in that if he were to break through a la Lee and Curry, he would help cement the frontline for years to come.

TO many IF's for me

The trade for Marbury told me we weren't trying to win a championship, zeke lost me right there when the masses were elated to bring home stephon marbury. With the lame argument, who would you rather have ward -eisley or marbury. I say neither I wanted to build a team with another franchise player from the draft with high top 5 picks for a couple of yrs.

Curry's going nowhere.

Only way they'd trade him is for an even bigger talent in his prime (JO/KG).

Sounded like propaganda.

How is this a blue print? Blue prints are plans to build from - but this article basically says there will be no great additions, and improvements must come from within. This is more like telling us we need to replace our worn appliances every few years.

Most fair assessment of the club I have ever read. Good stuff.

So who is the elite player the knicks need?

Next year we should have a starting lineup of
Curry
Lee
Q Rich
Jeffries
Marbs

Bench Squad
Crawford
Balkman
Collins
Frye

I think if we STICK to that rotation after these players DEVELOP their games more over the summer, we can be a much better team. The KEY is the development of what we already have.

I think Nate is going to be good but he needs to be on a team like Phoniex. Hopefully we can release Frantrash or make an FISCALLY INTELLIGENT trade for him. If Frye comes back next season playing like he is playing in this one then we always have Morris to take his spot. With that said if Frye gets his act together and shows some progress, I really believe sky is the limit for the New York Knickerbockers.

Jerome Williams lost that option when we "Houstoned" him.

We have 6 rookies or sophs on our team.
Lee, Nate, Frye, Balkman, Collins, and Randolph. That makes up nearly half of our roster. Curry is 24.

That's 7 players with a lot of room for improvement. I think we have enough talent stockpiled in young players to get a lot better w/o any additions.

MS I agree with 99% of your post but, I think you're wrong about Morris. While he hasn't been great in the games hes played in so far, you have to attribute alot of that to him being a true rookie. The guy can rebound and he can block shots, you'll see.