California budget watchdog boosts Los Angeles Olympic bid
Send a link to a friend
[November 11, 2016]
By Rory Carroll
SAN FRANCISCO (Reuters) - California's
budget watchdog on Thursday gave its blessing to Los Angeles' bid to
host the 2024 Olympic games, saying its a "low-cost, low-risk"
approach will not require building major new venues and will not
subject the state to excessive financial risk.
The Legislative Analyst's Office (LAO) report said a new law
allowing the governor to enter into a contract with the city to
provide no more than $250 million in state funds to pay for any
financial deficits was a sound one.
The state would only be on the hook after other revenue sources have
been exhausted, including insurance policies and up to $250 million
from the city of Los Angeles.
"Los Angeles' bid relies almost exclusively on existing venues and
infrastructure," said Jason Sisney, the LAO's chief deputy
legislative analyst.
"This is important to keeping the financial risk for the city and
the state low and will help Los Angeles avoid some of the major cost
overruns that have plagued some prior Olympic hosts," he said.
![](http://archives.lincolndailynews.com/2016/Nov/11/images/ads/current/best_friends_sda_120215.png)
The short-term economic gains from the games would likely generate
additional state and local tax revenues that would offset some or
all public costs, the LAO report said.
"Compared to many past Olympic bids, the current proposal by the LA
2024 organizing groups is a relatively low risk one," the LAO report
said.
California Senate President pro Tempore Kevin de Leon of Los
Angeles, who authored the bill, praised the report and said the
legislature would play a strong oversight role throughout the
process.
Los Angeles is up against European glamour cities Paris and Budapest
in the race to host the Olympics and Paralypics summer games in
2024. The International Olympic Committee is expected to announce
the winning city in September 2017.
[to top of second column] |
![](../images/111116pics/sports57.jpg)
The city of Los Angeles, California is pictured on a hot summer day
next to the San Gabriel mountains August 5, 2015. REUTERS/Mike
Blake/File Photo
![](http://archives.lincolndailynews.com/2016/Mar/14/images/ads/current/tires250x300.gif)
Rome Mayor Virginia Raggi in September pulled the plug on the city's
bid to host the games, saying that staging them would bury the
Italian capital under mountains of debt and tons of cement.
Boston and Hamburg also abandoned their bids for the 2024 games out
of concern that hosting the sporting extravaganza would weigh on
their finances.
The LA 2024 bid committee this week said the election of Donald
Trump to U.S. president on Tuesday could boost the chances of the
city winning the games, citing "his longstanding support of the
Olympic movement in the United States."
(Reporting by Rory Carroll; Editing by David Gregorio)
[© 2016 Thomson Reuters. All rights
reserved.] Copyright 2016 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
![](http://archives.lincolndailynews.com/2016/Nov/11/images/ads/current/bonanza_lda_thanksgiving_2015.png)
![](http://archives.lincolndailynews.com/2016/Nov/11/images/ads/current/ldn_business_directory_small_2016.png) |