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L.A. Mayor Garcetti Backs Olympic Bid, Would Commit To Covering Cost Overruns
L.A. Mayor Eric Garcetti yesterday indicated that he is pushing for the city to be "named as the replacement for Boston" as the USOC's candidate to host the '24 Games, and he and his team have proposed to spend $500M less than what Boston had planned, according to a front-page piece by Wharton & Jamison of the L.A. TIMES. L.A. officials said that they can host the Olympics for $4.1B and "offered to guarantee that the city will cover any cost overruns." Garcetti and his staff also expect to finish with a $150M surplus by "generating billions in broadcast and sponsorship revenue." The USOC is "expected to make a decision on a bid city by the end of the month" and submit it to the IOC "by mid-September." Boston "dropped its bid amid financial concerns last month," as Mayor Marty Walsh "waffled over signing a standard IOC contract to guarantee his city would cover any overruns." Garcetti and Wasserman Media Group Chair & CEO Casey Wasserman, who has worked closely with the mayor's office, said that a potential L.A. bid would "be 'dead on arrival' if it did not include such a pledge." Wharton & Jamison report the L.A. proposal hinges on committing less than $1.5B "for 30 or so required venues." Recent host cities have "spent considerably more on stadiums and arenas." L.A. would "rely instead on existing facilities" like Staples Center, Pauley Pavilion and a renovated L.A. Memorial Coliseum. The organizing committee "might have to partner with a developer to build the athletes' village." Garcetti mentioned that a parcel along the L.A. River could be a "potential site." An entertainment company also might be "enlisted to help with a media center." Renovating the Coliseum would "require a deal with USC, which is contractually obligated to spend" at least $70M on upgrades "over the next decade." Security could "be an even greater expense" ( <a href="http://www.latimes.com/sports/la-sp-la-olympics-costs-20150811-story.html#page=1" target="_blank">L.A. TIMES, 8/11</a> ).
