Stern could institute another, or annual, "houston rule" to let teams lop off unwanted contracts...this would help the knicks, if they were smart about it (as they've been for a while now) and not add new bad contracts.
The Knicks would need about six Allan Houston rules for it to make a difference.
Or what about getting rid of the hard cap altogether?
You're proposing a gigantic change that could only be agreed to in the next collective bargaining agreement. And I suspect the owners of only the 5 or 6 large market teams would support it.