The Clippers used their amnesty clause to waive backup forward Ryan Gomes on Tuesday night after plans to include him in a sign-and-trade with Phoenix for Hill failed. Gomes was due $4 million in the final year of his contract.
Clippers coach Vinny Del Negro did the lion's share of the recruitment of Hill. Del Negro, a member of the Suns' front office from 2007-08, and Hill are close from their days in Phoenix.
The Clippers long have been searching for perimeter players to complement their nucleus of Chris Paul, Blake Griffin and DeAndre Jordan. They have so far signed shooting guard Jamal Crawford and re-signed guard Chauncey Billups this summer.
The 39-year-old Hill gives the team depth at the small forward position behind starter Caron Butler.
Hill also adds a defensive presence and more overall playmaking ability.
The Clippers also had been trying to acquire Marco Belinelli from the Hornets, but the addition of Hill makes his acquisition unlikely.