The CBA is quite an intricate set of parameters. Larry Coon's NBA Salary Cap FAQ is like the bible for this topic. It is incredible. To go through this as it relates to our situation with Webster, let's use this year's salary cap figure of $58.044 million and the luxury tax line of $70.307 million.
From what I have read of it, particularly the section about salary cap exceptions, I am fairly confident that the Wizards do not have Larry Bird rights for Martell Webster, so that, along with the fact that they will already be over the cap going into next season - per Hoops Hype, we stand at $57.4 million. I want to add that this number is with us having only nine players under contract going into next season. If we do nothing else but bring back Martell, sign our draft pick(s), and possibly bring over Satoransky, that puts us at 13 - means that the most that we can offer him is the mid-level exception (MLE). There are several different variations of the exception, but I think we are able to offer the non-taxpayer MLE, which is really the best of the MLEs given the monetary breakouts.
The MLE allows us to offer a contract of up to four years, with a starting salary next season of $5.15 million, with 4.5% annual increases thereafter. By my calculation, this adds up to four years, $22.033 million. Seems underwhelming, but maybe this will be enough. As good of a fit as Martell has been for us, and as much of a breakout season as he is having, he does have flaws. This could still work out for us.
Now keep in mind, there are still other factors at play. As
Hopefully someone will read this and tell me where or if I have mispoken, but I wanted to share the small bit of research that I have done on this. By the way, I now fully see the perspective that the Okariza trade hinders our flexibility. In the case of bringing back Webster, and adding further improvement to the team for next year, I definitely understand the argument.