Houston Rockets

Rockets face tough decision with rookie Montrezl Harrell

Published Aug. 25, 2015 4:09 p.m. ET

foxsports

The Houston Rockets are in a tough spot financially this offseason after re-signing Jason Terry to a one-year deal.

The Rockets still have a decision to make on second-round pick Montrezl Harrell, who could leave the team hard-capped if he's signed.

Here's Chuck Myron at Hoops Rumors with more:

"That leaves Houston with wiggle room to sign No. 32 overall pick Montrezl Harrell, but the Rockets still face a dilemma as they attempt to do so. Signing Harrell, a Rich Paul client, would almost certainly impose a hard cap on the team, and Harrell’s contract would leave the Rockets so close to that cap that they’d have almost no room to maneuver the rest of the season, barring some kind of other move to clear salary.

The collective bargaining agreement calls for a hard cap of $4MM above the tax threshold on teams that use the $5.464MM non-taxpayer’s mid-level exception instead of the $3.376MM taxpayer’s mid-level. The Rockets have already re-signed K.J. McDaniels for nearly $3.19MM. That’s close enough to $3.376MM that any use of the mid-level for a full-season salary for Harrell would push the Rockets above that figure and trigger the hard cap."

(h/t Hoops Rumors)