The second apron has turned into the Boogeyman of the NBA.
Or maybe it’s more like the Grim Reaper. It’s a salary cap threshold that comes to collect from high-spending teams, penalizing them with an array of restrictions. And it has already knocked on the door of multiple championship winners since it took effect in the 2024 offseason.
It’s a big reason why Denver parted ways with Kentavious Caldwell-Pope and Bruce Brown, two key pieces from a 2023 title run. It’s also why Boston shed $301 million in less than two months this summer, decimating a roster that won it all in 2024.
Some people are now wondering if the reigning champion Thunder will meet the same fate. But OKC, still as youthful as any team in the NBA, won’t receive that dreaded visit from the Grim Reaper anytime soon.
“People talk about the CBA (Collective Bargaining Agreement), and the second apron has become so engrained in our NBA vocabulary so quickly,” Thunder general manager Sam Presti said during his preseason media availability on Thursday. “But there’s nothing relative to the second apron that would prohibit us from keeping anyone on our team.”
The second apron is very much real. But similar to a mythical monster, there are misconceptions about it. One piece of the folklore is that teams only have a three-year championship window before they’re affected.
That hasn’t been the case for OKC, though. It was a championship contender two seasons ago, when it became the youngest No. 1 seed in the history of the NBA. And after winning its first title last season, it’s the favorite to repeat this time around.
All the while, OKC has had the fifth-lowest cumulative payroll since the 2020-21 season, according to ESPN’s Bobby Marks. It also won’t pay a luxury tax penalty for the sixth straight season.
“Assuming we’re a contending team this year, that would be three years as a non-taxpayer as a contender,” Presti said. “People talk all the time about the fact that the windows are shorter. … We just had three (seasons), or we’ve had two. We’re going on three.
“We don’t know how this year is going to go, what chapter 18 (of the franchise) will be. But we certainly can say with confidence that we are a contending team.”
Of course, OKC’s days of being one of the least expensive teams in the NBA will soon come to an end.
The Thunder signed Shai Gilgeous-Alexander to a four-year, $285-million supermax contract extension on July 1. That’ll kick in for the 2027-28 season.
OKC then signed Chet Holmgren on July 9 to a five-year, maximum rookie contract extension that could reach $250 million. And it signed Jalen Williams on July 10 to a five-year, maximum rookie contract extension that could reach $287 million. That’s up to $822 million spent this summer on three players, but don’t mistake it for a care-free shopping spree.
Each of Holmgren and Williams’ deals starts at 25% of the salary cap in 2026-27. But unlike Orlando star Paolo Banchero’s recent maximum rookie contract extension, which includes a 30% escalator if he’s named All-NBA, MVP of Defensive Player of the Year, Holmgren doesn’t have that in his contract.
Williams can only achieve that 30% escalator if he’s named MVP, Defensive Player of the Year or he makes the All-NBA first team. He’d receive a lesser percentage for All-NBA second (27%) and third (26%) team.
OKC can also save money with some of its other recent signings. Isaiah Joe, Jaylin Williams, Aaron Wiggins and Ajay Mitchell are all on front-loaded contracts, meaning the annual amount will decrease over time.
And when the new deals for Jalen Williams and Holmgren kick in at the start of the 2026-27 season, OKC can save even more money. It’ll have team options on Isaiah Hartenstein ($28.5 million), Lu Dort ($18.2 million) and Kenrich Williams ($7.2 million).
Presti says OKC won’t hit any repeater tax penalties until the next CBA, assuming it stays under this season. The current agreement runs through the 2029-30 NBA season, with both sides having the ability to opt out following the 2028-29 season.
But even though the Thunder brought back all but one player (Dillon Jones) from last season’s 15-man roster, Presti explained that some changes are inevitable.
“Over the course of time, whether or not you have aprons, taxes or what have you, teams change,” Presti said. “We have a very unique situation because everybody is back to a team that had tremendous success. But going forward, that’s just natural, that there will be some changes.
“Part of it is players. Players have options. So when they become free agents, they have choices. We might want to keep specific players. They may have better opportunities other places. All that to say, we understand what’s coming.”
Presti also understands that OKC is positioned to have a “significant” influx of capital during the time it gets more expensive.
It has a new $900 million arena, which Thunder ownership will commit $50 million to, that’s set to open in time for the 2028-29 season. It has the NBA’s 11-year, $76 billion media agreement with Walt Disney Company, NBCUniversal and Amazon Prime Video that was signed in July 2024. It has projected revenue from expansion.
And it has an ownership group that is dedicated to winning. It’s an ideal setup for the Thunder, which will be knocking on the door of championships for years to come.
“Our ownership group is fiercely committed to supporting the team,” Presti said. “We knew five years ago when we repositioned and replenished that team that if we were to ever get back to the postseason or exceed past being just an average playoff team, we would need the resources to support that. We saw that during the first mountain, so this isn’t our first look at this.
“There’s been ample time for us to plan for this, and then we have the benefits of some outside resources that should aid us. But we’re still going to have to be strategic and make smart decisions when we have all the information.”
Justin Martinez covers sports for The Oklahoman. Have a story idea for Justin? He can be reached at jmartinez@oklahoman.com or on X/Twitter at @Justintohoops. Sign up for the Thunder Sports Minute newsletter to access more NBA coverage. Support Justin’s work and that of other Oklahoman journalists by purchasing a digital subscription today at subscribe.oklahoman.com.