The move comes one day after the Heat announced several front-office moves, including promoting Andy Elisburg to general manager and hiring Juwan Howard as an assistant coach.
Spoelstra had one season remaining on the contract he signed in 2011.
Spoelstra is 260-134 in his first five seasons with Miami. The Heat went to the playoffs each of the last three years and won the past two NBA titles.
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The Sacramento Kings will hold a news conference on Monday to announce hey have signed center DeMarcus Cousins to a multi-year contract extension.
Multiple media outlets reported the Kings and Cousins agreed to a four-year, $62 million extension.
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The NBA's competition committee, which is made up owners, general managers, coaches and one player, voted unanimously to return the NBA Finals to a 2-2-1-1-1 format, according to the Boston Herald.
The finals have been using a 2-3-2 format for years, which means the first two games are played at the home site of the team with the better record, the next three are played at the site of the opposing team and the remaining games are played at the site of the first two games.
The new proposal, which still requires approval by the owners, would mean increased travel. It is not clear whether it would take effect this season or next.
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