Los Angeles unveils $5.3 bn budget for 2024 Olympics

Organisers of Los Angeles’ bid for the 2024 Olympics on Friday unveiled an updated budget, vowing to deliver the Games within a $5.3 billion price tag.
Bid chiefs said the LA 2024 plan would require “no surprises” and would benefit from more than 30 competition and non-competition venues which were already built or planned by private investors.
The plan revised an initial budget announced in August 2015 which projected a $161 million surplus. No surplus was projected in the new budget but organisers said a contingency fund of $491.9 million would be available. Any funds not used in the contingency would be a surplus.
Speaking to reporters in a conference call on Friday, LA 2024 chief executive Gene Sykes said the numbers in the updated budget reflected a more exhaustive planning process.
“(The 2015 budget) was prepared as a preliminary concept by a relatively small group of people,” Sykes said.
“This budget was built from the bottom up and I would just say to you, focus on this budget. This budget is what we are responsible for and what we are delivering to the IOC. We’ve put 15 months of preparation into this budget.”
Los Angeles Mayor Eric Garcetti meanwhile said in a statement that the budget represented a “fiscally responsible Games that provides only upsides -? economic, social and sporting -? for our city.”
“Instead of mortgaging our futures on unknowable construction costs, our Games will capitalize responsibly on investments that are already transforming our city for the future,” Garcetti said.
The budget announcement comes amid concerns within the Olympic movement about the cost of staging the four-yearly sports spectacular.
Tokyo’s preparations for the 2020 Games have been dogged by rows over the budget, with some warnings suggesting the final bill could hit a staggering $30 billion — four times the initial estimate.
The total cost for this year’s Rio de Janeiro Olympics also went over budget, with a final price tag of around $12 billion.
Los Angeles officials maintain their 2024 bid can be delivered for a fraction of those costs and on time because their plan makes use of existing sports venues which are either ready for use or will require upgrades.
“Our Games Plan offers stability and minimal risk to the IOC and the Olympic Movement,” LA 2024 chairman Casey Wasserman said.
Other traditionally expensive Olympic costs, such as construction of the athletes village, will also be avoided because of plans to use the facilities of the University of California Los Angeles campus.
“By using the existing state-of-the-art housing, dining and training facilities at UCLA, LA 2024 can simultaneously guarantee an outstanding level of service for the athletes of the world and eliminate a significant drain on Games resources,” International Olympic Committee Athletes? Commission chair and LA 2024 chief strategy officer Angela Ruggiero said.
“The facilities and workforce are already in place.”
Los Angeles is battling Paris and Budapest for the right to host the Games, with the International Olympic Committee due to choose the hosts at a meeting in Lima in September 2017.