L.A. officials raise alarms over crippling Olympic costs

Key Points:

• Los Angeles officials are concerned that taxpayers could face substantial costs for the 2028 Olympic Games if a firm "zero-cost" agreement is not finalized between the city and LA28, the private organizing committee.
• City Attorney Hydee Feldstein Soto and Councilmember Monica Rodriguez have demanded a contract ensuring LA28 covers any excess expenses related to policing, transportation, and other city services, to prevent taxpayers from bearing the financial burden.
• LA28 projects the Games will cost over $7.1 billion, funded by sources including the International Olympic Committee, corporate sponsors, ticket sales, and marketing rights, but city officials worry about potential shortfalls due to unforeseen events or federal funding uncertainties.
• Negotiations are ongoing, with city officials emphasizing the need to maximize federal resources and avoid scenarios where LA28 pays costs in ways that could jeopardize federal reimbursements, which currently include a $1 billion pledge for security and planning.
• Concerns have been raised about transparency, audit rights, and the financial risks posed by recent controversies involving LA28 Chairman Casey Wasserman, as well as the potential impact of natural disasters or economic downturns on the Games' funding.