NBA

KNICKS AWAITING HILL’S NEXT MOVE

Grant Hill last week re-enrolled his kids at their private school in Scottsdale, Ariz. He has told confidants the worst experience he ever had was uprooting his kids when they moved from Orlando to Phoenix.

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But the 36-year-old small forward may have five million reasons to spend a year taking a bite out of the Big Apple.

Money talks, and the Knicks are in the ballgame after their strong, one-year, $5 million offer that likely will top what Phoenix is willing to do.

One high-ranking Knicks executive rated the Knicks’ chances at “50-50.”

The Post first reported in Tuesday’s editions the Knicks had made Hill a one-year offer for a large portion of their $5.8 million mid-level exception. The Arizona Republic reported yesterday the offer was $5 million. Knicks president Donnie Walsh also reportedly gave Hill the option of a three-year deal worth $10 million.

The Suns initially felt they could retain Hill with a $2 million offer. Now that offer is an embarrassment.

One factor working against the Knicks is that Suns owner Robert Sarver doesn’t want to lose out again to the Knicks after they stole his star coach, Mike D’Antoni, last summer.

Yesterday was the first day free agents could sign deals, and the Knicks were in waiting mode. As expected, David Lee and Nate Robinson — their two restricted free agents — had no offer sheets to sign, putting the Knicks in excellent position to retain them if they wish.

Lee (16 points, 11.7 rebounds) and Robinson (17.2 ppg, 4.1 assists) put up wonderful numbers last season but the biggest number teams probably are concerned with is the Knicks’ record in their four NBA seasons — 111-217.

Lee may have to settle for the mid-level exception, which the Knicks would match, or be game to sign for the $2.5 million qualifying offer to become unrestricted next season.

Hill’s career saw a rebirth in Phoenix, though he never lived up to his Hall of Fame potential because of a career-threatening ankle injury.

Last season, Hill was the Suns’ best defender and showed an explosive first step to the basket. The Knicks feel he has a few years left, which is why Walsh has given Hill the option of a long-term deal.

Nevertheless, that $3.3 million will count against the 2010-11 salary cap, which will hurt the Knicks’ ability to sign two stud free agents.

A report yesterday said the NBA teams received a memo this week predicting the 2010-11 cap could fall to $53M because of declining revenues due to the recession. That leaves Walsh a few million dollar less space than he anticipated. And it put in jeopardy his fantasy of signing LeBron James and Dwyane Wade, who is making loud noises he may leave Miami.

As for Hill, the Knicks see him as a great fit, especially after losing Quentin Richardson. Hill has been promised a starting job, with the idea of moving Wilson Chandler to shooting guard.

Hill visited the Knicks Monday and reunited with the old Phoenix staff.

“He’s someone our younger players can look up to,” said Knicks assistant Phil Weber, the club’s summer-league coach who leaves tomorrow for Las Vegas. “And he can still play.”

marc.berman@nypost.com