Transactions listed are from July 1, 1985 to June 30, 1986

• July 1, 1985

  Waived Wes Matthews.

• September 25, 1985

  Signed Billy McKinney as a free agent.

• October 1, 1985

  Caldwell Jones signed as a veteran free agent with the Portland Trail Blazers; received a 1987 2nd round draft pick (Winston Garland was later selected) as compensation.

• October 4, 1985

  Signed Kyle Macy as a veteran free agent and sent a 1986 2nd round draft pick (Rafael Addison was later selected) and a 1990 2nd round draft pick (Miloš Babić was later selected) to the Phoenix Suns as compensation.

• October 7, 1985

  Waived Adrian Branch.

• October 18, 1985

  Waived Ron Brewer.

• October 24, 1985

  Traded Dave Greenwood to the San Antonio Spurs for George Gervin.

  Waived Rod Higgins.

• October 29, 1985

  Signed John Paxson as a veteran free agent and sent cash to the San Antonio Spurs as compensation.

• November 5, 1985

  Signed Ron Brewer as a free agent.

• December 17, 1985

  Waived Billy McKinney.

• February 12, 1986

  Signed Mike Holton to the first of two 10-day contracts.

• February 22, 1986

  Signed Tony Brown to the first of two 10-day contracts.

• March 1, 1986

  Signed Mike Holton to a contract for the rest of the season.

• March 14, 1986

  Signed Rod Higgins to the first of two 10-day contracts.

• March 27, 1986

  Waived Rod Higgins.

• May 19, 1986

  Fired Stan Albeck as Head Coach.

  Hired Doug Collins as Head Coach.

• June 17, 1986

  Drafted Brad Sellers in the 1st round (9th pick) of the 1986 NBA Draft.

  Drafted Larry Krystkowiak in the 2nd round (28th pick) of the 1986 NBA Draft.

  Drafted Ricky Wilson in the 3rd round (52nd pick) of the 1986 NBA Draft.

  Drafted Scott Meents in the 4th round (74th pick) of the 1986 NBA Draft.

  Drafted Jimmy Gilbert in the 5th round (98th pick) of the 1986 NBA Draft.

  Drafted Pete Myers in the 6th round (120th pick) of the 1986 NBA Draft.

  Drafted Robert Henderson in the 7th round (144th pick) of the 1986 NBA Draft.

  Traded Larry Krystkowiak, a 1987 2nd round draft pick (Winston Garland was later selected) and a 1992 2nd round draft pick (Brett Roberts was later selected) to the Portland Trail Blazers for Steve Colter.