The Los Angeles Times is reporting that Lakers backup point guard Shannon Brown has agreed to a two-year deal worth $4.2 million that includes a player option in the second year. Brown initially impressed Laker fans in the final third of the regular season and saw considerable playing time in the first round of the playoffs against the Jazz.

On a day in which Kobe Bryant spoke out on a variety of topics, including his own contract, the Lakers pared their unrestricted free agents down to one after Brown agreed to take $4.2 million over the next two years, with the second year his option.

Meanwhile, Brown declined a more lucrative offer from Indiana to stay with the Lakers, said his agent, Mark Bartelstein.

“This is where he wanted to be,” Bartelstein said. “The Lakers treated him well during his short time there, and he hopes to continue and improve his game.”

Brown, 23, was a throw-in with Adam Morrison in the February trade that sent Vladimir Radmanovic to Charlotte, but he became a fan favorite with his hustle and surprisingly powerful dunks. He made $796,000 last season.

Brown went scoreless in the NBA Finals, playing in only three games because of Derek Fisher’s increased playing time, though he had better stats earlier in the playoffs, including 7.2 points a game in the first round against Utah.

This is a great signing for the Lakers who seem to be getting bigger by the year. With the acquisition of Ron Artest, and assuming they resign Lamar Odom, the Lakers will cut quite an imposing figure down low with the aforementioned players, Pau Gasol, and Andrew Bynum.

What they’ve been lacking is a point guard they can rely on. With Derek Fisher in the twilight of his career and Jordan Farmar refusing to live up to his potential, Shannon Brown is a great option. At only 23, Brown has time to develop his game over the next two seasons as he will likely see a fair amount of playing time each game.

The L.A. fans quickly took to Brown due to his hustle and sweet shot. When you’re bench consists of mid-level and overpaid athletes such as Luke Walton and Sasha Vujacic, Brown’s $2.1 million a year contract is quite a deal.

The NBA free agency period starts July 1st, and as that date approaches I’ll preview this year’s free agent class in more detail. But for now, I’d like to take a look at which teams have the cap flexibility to be major players in free agency this summer. (Mind you, just because a team has cap space, it doesn’t necessarily mean that they’ll use it. Just sayin’.)

Not familiar with the NBA salary cap? Here’s a quick primer…

1. The cap for the 2008-09 season was $58.7 million. The general consensus is that the cap will stay flat or decrease slightly. We’ll assume it sticks at $58.7 million.

2. If a team is over the cap, the only free agents they can sign are their own, unless they elect to sign a player to the mid-level exception (~$5.8 million per season), the bi-annual exception (~$2.0) or to a minimum contract. (The bi-annual exception may not be used in two consecutive years.)

3. If a team is under the cap, they can sign any free agent they want as long as they do not exceed the cap. They can also take on salary via trade up to the cap, so a team like the Grizzlies (with almost $20 million in cap space) could conceivably trade their first round pick to the Suns for Amare Stoudemire or to the Raptors for Chris Bosh.

Here’s a list of the bigger names in the free agent pool this summer:

Unrestricted: Carlos Boozer, Ben Gordon, Ron Artest, Lamar Odom, Andre Miller, Shawn Marion, Jason Kidd, Hedo Turkoglu, Allen Iverson, Mehmet Okur, Rasheed Wallace, Mike Bibby, Anderson Varejao, Grant Hill, Kyle Korver, Trevor Ariza, Brandon Bass, Chris Andersen, Zaza Pachulia, Chris Wilcox and Drew Gooden

Restricted: David Lee, Paul Millsap, Ray Felton, Josh Childress*, Marvin Williams, Glen Davis, Ramon Sessions, Charlie Villanueva, Nate Robinson, Leon Powe, Hakim Warrick, Linas Kleiza, Jarrett Jack and Shannon Brown

* It appears that if Childress does return to the NBA, the Hawks still hold his rights, so he would be a restricted free agent.

There are eight teams that project to have more than $5.8 million (the value of the mid-level exception) in cap space this summer:

Memphis Grizzlies
Projected Cap Space: $19.7 million
Memphis has been reluctant to spend for several years now and is probably one of the franchises that’s struggling the most in the current economy. I lived in Memphis for three years, and given its small size and overall lack of wealth, I always thought that it would struggle to support a professional sports team. With a core of Rudy Gay, O.J. Mayo and Marc Gasol, the Grizzlies have to feel pretty good about what they have at off guard, small forward and center. The big decision this summer is what to do with restricted free agent Hakim Warrick. When dealing with bad teams, numbers can be deceptive, because no matter what, somebody has to score and rebound, right? Warrick’s PER (16.91) is #24 amongst power forwards, so ideally he’d be coming off the bench for a playoff team. The Grizzlies projected cap space assumes they make the qualifying offer to Warrick ($3.0 million). Memphis is one of those teams that could really use the services of a Carlos Boozer, David Lee or Paul Millsap, but in this economy, are the Grizzlies willing to make that kind of a commitment? They could try to make a run at Chris Bosh or Amare Stoudemire next summer, but the odds are long that either guy would want to play for the Grizzlies.

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There were three games last night and the best one was on NBA TV, so nobody saw it. The Cavs beat the Pistons (Cavs lead, 2-0), the Lakers beat the Jazz (Lakers lead, 2-0) and the Blazers nipped the Rockets (series tied, 1-1). Here are a few random observations about Tuesday’s action:

- It’s a bad idea by the NBA to schedule both 1/8 matchups on the same night. Moreover, TNT aired both games while the best action (Blazers/Rockets) was relegated to NBA TV. The Jazz made a game of it against the Lakers, but could never quite get over the hump. Deron Williams was outstanding (35 points, nine assists, four rebounds, four steals, two blocks), nailing six threes but turning the ball over seven times. Six Utah players scored in double figures, but when you allow the Lakers to shoot 60% from the field, you’re going to have a tough time winning. (Sorry, I just channeled Hubie Brown’s third-person shtick there for a minute.)

- Where in the world is Jordan Farmar? He played just four minutes last night, and has seen his playing time decline from 20.5 minutes per game in November to 16.1 minutes in April. Year to year, his PER has fallen off a cliff — 15.29 last season vs. 9.93 this season — and he’s being outplayed by Shannon Brown. Farmar is battling some tendinitis, but he’s looking less and less like a future starter and more and more like a career backup.

- Speaking of Brown, he has played at least 14 minutes in each of the last six games, averaging 8.0 points, 2.2 assists and 2.3 rebounds over that span. Brown is really athletic, plays pretty good defense and has an improving offensive game. Interestingly, he was originally drafted by the Cavs, so if he continues to play well, it might come back to bite Danny Ferry in the bum. Mitch Kupchak acquired Brown as part of the Vladimir Radmanovic/Adam Morrison trade a few months ago.

- After dropping Game 1, Portland was in “must-win” mode and they got a much needed victory to tie the series. Brandon Roy came up big (42 points, 7 rebounds) and LaMarcus Aldridge posted a nice game (27 points, 12 boards) after scoring just seven points in Game 1.

- The Rockets will be without Dikembe Mutombo for the remainder of the playoffs (probably forever, actually) after he suffered a knee injury.

- Greg Oden had a nice follow up dunk, but he’s a fouling machine. He had six fouls in 12 minutes. Wowsers.

- The trade that sent Rafer Alston to the Magic hasn’t hurt the Rockets at all. They also acquired Kyle Lowry from the Grizzlies and he and Aaron Brooks are providing good play at the point. The two combined for 33 points, six assist and five boards on Tuesday night.

- The Pistons cut the Cavs’ lead to eight with about four minutes to play, but a Cleveland 9-2 run put the game away. I get confused when I look at the box score and see the Pistons’ best perimeter defender — Tayshaun Prince — only played 26 minutes and wasn’t in any foul trouble. Meanwhile, LeBron goes for 29/13/6 — do you think Prince should get a little more run?

- In other news, there are reports flying that Derrick Rose will win ROY and Jason Terry will win the Sixth Man award. No surprises there.