There are 30 names at the very top of NBA franchises, and the one thing they all have in common is incredible riches. It’s up to them to decide what to do with it.
The prestige that comes with property ownership appeals to certain people. Indeed, some people thrive under the authoritative rule. The wealthy appeal to certain people. Some people enjoy the feeling of success.
Warriors Joe Lacob Takes Pleasure in Every one of These
CEO of the Warriors Joe Lacob enjoys all of the aforementioned, which is why he lavishes the team with so much of its earnings. More than twice the team’s player payroll in 2023 could be due to taxes he owes.
This is because the previous CBA did not permit the employment of the drafting and development strategy, which is widely regarded as the best way to assemble a winning squad.
That bothers Lacob since his Warriors tend to follow that model. Their drafting strategy has led to four championships in eight years. They’ve only made one major free-agent purchase of Kevin Durant in 2016.
The league’s law enforcers have gone after the defending champion Warriors as if they were trying to buy their way to a title like the late Yankees owner George Steinbrenner was 40 years ago.
With the signing of contract extensions by Jordan Poole and Andrew Wiggins over the weekend, those cries will get louder and more fervent. Up to five Warriors players in 2023-24 might earn over $25 million.
So, the consistently proficient may be hit with a hefty tax bill. On Sunday, team president/general manager Bob Myers remarked, “The mark of a strong company can keep talent, groom talent, identify talent, and thrive.”
What The Rules Indicate Must Be Followed
Last year was the pinnacle of that. I’m not going to argue about what the regulations should or shouldn’t be in the economy. What the regulations say goes. I’m fortunate in that our owner encourages us to compete fiercely and consistently for championships.
Myers refrained from speaking up because he was afraid of what might happen if he did. Essentially, thou shalt not negatively speak on thy blessed CBA.
And Lacob broke that rule when he went public in July with his disgust for constructing an elite organization mostly by the book and still being hammered, for which he was fined $500,000.
On the Point Forward podcast hosted by Andre Iguodala and Evan Turner, he said, “The truth is, we’re just $40 million over the luxury tax.” “Now, that’s not a tiny amount, but neither is it a huge one.
There is an extraordinary penal luxury tax that accounts for the majority of our $200 million overrun. Also, I’m going to express my grievances on this podcast in the hopes that they’ll be heard by the right people.
It’s in my best interest to declare that the system is unjust because our club is constructed on the backs of the eight best players in the league, all of whom were drafted by our organization.
Lacob’s roster count is inaccurate by one player (Wiggins, who was traded to the team in 2020), but otherwise, his allegation holds water.
Stephen Curry, Draymond Green, and Klay Thompson, all of whom were drafted by the Warriors, formed the long-term nucleus of a squad that won four championships, the most recent by beating the Celtics in the 2022 NBA Finals.
Five Consecutive Appearances in The NBA Finals
Poole, Jonathan Kuima, Moses Moody, all first-year players, and starting center Kevon Looney all arrived at the team via the draft.
Andre Iguodala, a free agent who was instrumental in the clubs’ runs to the NBA Finals the previous five years in a row, re-signed with the team for last season on the veteran minimum salary.
Many of Lacob’s fellow “governors,” who have far bigger funds, resent his willingness to spend. According to estimates, he has a net worth of roughly $1.5 billion.
However, down the coast comes Clippers owner Steve Ballmer, who is worth an estimated $76 billion, making him the richest owner in sports. He’s powerful enough to be the financial bogeyman for the NBA.
These choices, however, are always left up to the individual. By the end of the 2023–24 season, the present CBA will have run its course. Lacob will use his draft and development power to mitigate any negative effects of his achievement.
It’s only just in a field where the cost of victory might be so high that the wallets of the decision-makers could bring down a mansion if they tried.
