The only thing I really like in this proposal isn't actually included in it but the suggestion that they adopt a no picking in the top 3 in consecutive years. Hopefully that is taken into consideration and added. I'd go a little further also, saying that a team that picks #1 overall can't pick in the top 3 for the next 3 years with the highest pick they'd be able to get lowering each season. So the following season they'd be able to pick no higher than #4, the following they'd be allowed no higher than #3, then no higher than #2, then all restrictions lifted.
I still think the best system is one where teams plays for the #1 overall pick. There have been a few proposals to do that over the years, everything from going to a points system somewhat like the NHL or having a tournament of sorts. I think a point system is the best way and could create interest in bad teams towards the end of the year.
My favorite was once a team was mathematically eliminated from the playoffs they start earning points for each win from that point forward and whoever has the most points at the end of the year gets the #1 pick and other picks are ordered accordingly. So the slotting of picks would be similar to how they are now, with the teams who are the worst throughout the year up until the halfway point of the season or so having the best chance to rack up points since they'd have more games to do so and teams who are fighting for the playoffs will end up at the very bottom of the lottery because they may not earn any points because they stay in playoff contention all season. Sure, a team may tank the first half of the season but then they'd have to turn things around to start winning once they were eliminated from the playoffs to get that #1 pick. That would cause teams who are bad to try and keep their players at the trade deadline rather than selling off assets to further tank, which may slow down player movement. There would be a lot less buyouts at the end of February of veterans on bad teams who then sign onto playoff teams. It would keep bad teams from sitting healthy players to tank also.
So if the Suns were eliminated from the playoff race in early March, they'd have to try and win as many games throughout the rest of the season to get the #1 pick. If 2-3 other teams are already collecting points then that just means they sucked more during the first half of the year but it makes no guarantee they'd actually have more points than the Suns then, they'd just have more chances at them. They'd have to start competing and winning though to get the #1 seed. There would be no guarantees where anyone would fall and it would bring interest to teams who sucked early in the season because they'd have something to play for. The only problem I see with that is a discrepancy between conferences, a bad team in the east could still be in playoff contention because the East sucks and you can make the playoffs with a losing record. However they could change the seeding in the playoffs to the top 16 teams go, like it should be, rather than seeing a team win 48 games and miss the playoffs in the West while a team out east wins 37 games and makes it in the East.