According to Ken Berger, he's not interested in Portland. I mean, why would he be? The only offer we will have is an MLE that will push him into a role player type role. For a guy that is used to starting, this is a very unattractive offer.
Likewise, to other free agents, the Blazers appear to have a shaky line-up. Because of this, they won't find it in their best interest to play for a team that doesn't guarantee them a specific role. They don't want to be the player that gets tossed around when Oden comes back or play behind Aldridge, Mathews, and Felton. It's always an "IF" with the Blazers; nothing is secure. That's not a good selling point to a customer.
And so, that's the dilemma of cutting Roy....While you'll have more money, free agents are reluctant to join because of the shaky line-up. And despite Roy's injuries, he still is the face of the franchise and if you cut off the face (no GM too), you'll become a less attractive destination especially for those key guys who don't mind taking a secondary role.