The NBA has settled on a plan to fight tanking after one of the most tanking-filled regular seasons in recent memory, according to multiple reports.

The league has reportedly informed its 30 general mangers of a new plan that will, among other things, expand the draft lottery to 16 teams (from 14), penalize the league’s bottom three teams and simplify lottery odds down to whether a team gets one, two or three ping-pong balls.

The framework reportedly has the support from a majority of teams, though minor modifications could be made before the proposal is put forward for an owners vote on May 28.

If approved, it would reportedly take effect starting with the 2027 NBA Draft.

The new “3-2-1” structure, also reported by Tim Reynolds of the Associated Press, would create a system where each team gets a certain number of ping-pong balls to win the No. 1 pick.

Here’s how it breaks down going in reverse order of the standings and then play-in game participants:

• No. 1-3: two ping-pong balls (5.4%)

• No. 4-10: three ping-pong balls (8.1%)

• Teams in 9-10 play-in games: two ping-pong balls (5.4%)

• Losers of 7-8 play-in games: one ping-pong ball (2.7%)

The new system is designed to incentivize non-playoff teams to try to stay competitive late in the season, and it will also give the No. 8 seeds in the East and West at least one shot at the top pick.

This makes the NBA the first of the four major North American leagues to officially penalize its worst teams in the standings.

To ensure flexibility, the proposal incorporates a sunset provision, meaning the new system will expire after the 2029 draft.

This allows the board of governors to review, continue, or transition to an alternative system.

The current collective bargaining agreement is valid through the 2029-2030 season. Importantly, the league will also gain expanded disciplinary authority to regulate tanking, including the option to reduce teams' lottery odds or modify their draft positions.

High-ranking NBA officials believe this 16-team reform will effectively de-incentivize losing while providing lottery opportunities for all 16 qualifying teams.

It is designed to incentivize winning, particularly in the latter half of the season, as teams near the bottom three will strive to escape the relegation zone, and those above it will fight for victories to maintain their position.

NBA Commissioner Adam Silver has emphasized that addressing tanking is his top priority, especially given its escalation this season due to the highly anticipated 2026 draft class and the strong incentives that previously pushed teams to maximize their lottery chances.

Silver asserted in March that fixing this issue is paramount, stating, "It has business implications, has basketball implications, has integrity implications for the league. So, it's one that we take very seriously, and we are going to fix it. Full stop."