Pacers apply for disabled player exception — but will they use it?

The Indiana Pacers need help at the wing spot with Paul George’s injury, Lance Stephenson’s signing with Charlotte, and Evan Turner moving on. The franchise has the option to apply for the disabled player exception, and they are expected to do so, according to David Aldridge.

Paul George’s open tibia-fibula fracture is expected to keep him out at least 12 months.

The team officially has until January 15 to apply for it, but it makes the most sense to do so immediately. While they haven’t officially come out and said George, who suffered an open tibia-fibula fracture last week in the USA Basketball Showcase, would miss the entire season, that is certainly the expectation.

The disabled player exception, which requires an NBA-designated physician to examine George, would allow the Pacers to sign a free agent for up to $5.3 million – the non-taxpayer mid-level exception. As stated in the Collective Bargaining Agreement, they can also trade for a player on the last year of his deal for no more than $5.4 million.

But will they? That’s the biggest question.

As they currently stand, the Pacers are about $1.6 million under the NBA’s luxury tax threshold ($76.829 million). Pacers President Larry Bird has said countless times that owner Herb Simon will not go into the tax, a very difficult thing for a small-market team to absorb.

For example, if they spent $3 million over the tax line – not happening! – they would pay that amount and have a $4.5 million tax bill.

Just because the exception allows the Pacers to spend up to $5.3 million, doesn’t mean they have must. They could use the exception to pay a player the veteran minimum.

Besides that, what’s to gain? Very little.

The free-agent market has dried up, and losing almost 40 percent of their scoring (George, Stephenson) is a big setback. If the team wasn’t willing to go into the tax to re-sign Lance or make another move to bolster the lineup when it was a contending team, why now?

It’s responsible management to apply for the disabled player exception and have it in their back pocket. But the options are limited for the Pacers without making additional roster moves.

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