The Sacramento Kings are exercising the third-year option on guard Tyrese Haliburton, a source told ESPN's Adrian Wojnarowski on Friday.
Haliburton averaged 13.0 points, 5.3 assists and 1.5 steals in 58 games last season and was named to the NBA All-Rookie first team.
He suffered a season-ending knee injury in early May. The injury did not require surgery.
Haliburton was selected 12th overall in the 2020 NBA draft out of Iowa State.