It looks like Jared Dudley will be a member of the Milwaukee Bucks for at least one more season. According to ESPN's Marc Stein, Dudley will not exercise his early termination option for the 2015/2016 season. Dudley will be under contract for $4.25 million next year, meaning the Bucks will still have roughly $16 million in cap space after accounting for Khris Middleton's $2.75 million qualifying offer.
At age 29 and coming off a solid-but-injury-marred season, Dudley is raising some eyebrows by electing against free agency at this juncture. The security of a long-term deal would presumably be attractive as he exits his prime, though Dudley may be hoping for a relative bump in salary with the rising cap next summer (sort of a "rising tide lifts all boats" approach). That $4.25 million salary figure is arguably less than he could have likely commanded this summer as well, but by all accounts Dudley enjoyed his time in Milwaukee and wasn't eager to leave.
Assuming he can avoid the nagging injuries that ruined the second half of his season in 2014/2015, Dudley represents a terrific value for the Bucks in the coming year. Dudley was outstanding in 53 games prior to the All-Star break, shooting over 50% from the floor and over 44% from three in about 24 minutes per game. He fits Milwaukee's emphasis on versatility quite well, spending a decent amount of time as a small ball power forward in a some highly effective lineups. Dudley was also a great locker room presence for the Bucks, who would be well-served by maintaining some consistency around their developing young core.