Good Vibrations for the LA 2024 Bid

(ATR) Good Vibrations for the Olympic bid from Los Angeles, the city where that quintessential California tune was born.

In its latest report on the Los Angeles 2024 Olympics, the Legislative Analyst's Office for the California state legislature provides an overall positive review of the bid for the Games, calling the plans "low risk".

Los Angeles and Paris are the two cities campaigning for the 2024 Summer Games. The vote is scheduled for Sept. 13 at the 130th IOC session in Lima.

The LAO describes itself as the "eyes and ears for the Legislature to ensure that the executive branch is implementing legislative policy in a cost efficient and effective manner". As such, the LAO has the job of raising alarms on state spending. If Los Angeles wins the Olympics, the legislature will need to deliver on a $250 million guarantee that is part of the LA 2024 finance package. But the report says the legislature should be able to avoid the need to use the guarantee.

"If Los Angeles is chosen to host the Olympics, the Legislature, with its ability to provide oversight to state departments, can play a constructive role in making the Games a success and keeping its financial risks low. In so doing, the Legislature can reduce the chance that any of the $250 million guarantee will ever need to be paid from the state treasury," the report notes in its introduction.

"Efforts to Mitigate Financial Risk Noteworthy" is the headline for the section of the 15-page report that deals with the steps LA has taken with the bid to lower risks. The report notes that the absence of any permanent construction projects means "Olympic organizers and local leaders can focus largely for the next seven years on preparing the region to host a fun, successful event for athletes and visitors, rather than focusing on keeping big construction projects on time and on budget.

"We agree with city officials that the current Olympic bid plan is fairly low risk for the city and, by extension, the state as well," says the report.

But the report also cautions prudence. It says ticket sales figures of 97 percent are not conservative and don’t reflect reality.

The report says despite the use of existing venues, vigilance will be neededby Los Angeles, if it wins the Games, to avoid costly unexpected modifications for those venues.

"Resolve" is needed to control costs, says the report.

"Faced with any of these challenges, to keep the Games as a low-risk financial proposition, city and state officials would need to resolutely resist any changes that could produce future financial shortfalls.

"For example, if requests emerge to change a venue, city and stateofficials would need to encourage LA 2024 to find ways to minimize any such costs. If ticket or other revenues fall short, these officials would need to encourage LA 2024 to look for savings to offset that potential shortfall," the report advises.

The report does not consider the emerging possibility that the IOC may try to select both Los Angeles and Paris as Olympic hosts, one for 2024 and the other for 2028.

"While aware of the speculation in recent months about 2028, we reviewed the 2024 bid presented by LA 2024. Our report is about a 2024 bid," Jason Sisney, a staff member at the LAO tells Around the Rings.

"We have been following the bid closely throughout the process. We will continue to do so, given the state's major role in any event of this scale in Los Angeles."

For the March 23, 2017 LAO Report, click here.

For the Nov. 10, 2016 LAO report, click here.

Written by Ed Hula.