Borrego, 37, took over the team earlier this month after the Magic fired Jacque Vaughn. The Magic have won two of their four games under Borrego.
The Sacramento Kings were criticized by Pistons head coach Stan Van Gundy for how they handled interim coach Ty Corbin before replacing him with George Karl last week. Instead of potentially having a similar situation in Orlando, the team will delay hiring a new coach until the offseason.
The Magic fired Vaughn after the team started the season 15-37. Since being hired in 2012, Vaughn had a 58-158 record.
Orlando is currently No. 13 in the Eastern Conference with a 17-39 record.
- Paul Palladino