Read more at:
https://awfulannouncing.com/espn/espn-wizards-bullets-standings-the-last-dance.html
in ESPN
ESPN says using Wizards instead of Bullets in 1986 standings in The Last Dance was “an error” that will be fixed in re-airs

The Last Dance drew strong reviews and viewership around its debut last night, but it also saw one notable anachronism pointed out. In a portion of the documentary covering the Bulls’ run to the playoffs in 1986, a list of the NBA standings featured the “Wizards” in sixth. But Washington didn’t become the Wizards until 1997; they were the Bullets in 1986. And that led to a number of people pointing out the error on Twitter. NBC Sports Washington’s Prince J. Grimes got a statement from ESPN that this was in fact just an error rather than a conscious choice to avoid the Bullets name, and that it will be fixed in future airings:
Some fans speculated this was purposefully done by ESPN in an attempt to be politically correct in a social climate where the name “Bullets” is no longer deemed acceptable.