Newly Released LA 2028 Olympic Budget Remains “In Line” With Bid Estimates

[GBModerator]

While still nine years from the Opening Ceremony, organizers of the Los Angeles 2028 Olympic Games claim budget estimates made during a bid for the 2024 Games are still on target for 2028. LA was awarded the 2028 Games instead of the 2024 Games as part of a double allocation by the International Olympic Committee […]

The post Newly Released LA 2028 Olympic Budget Remains “In Line” With Bid Estimates appeared first on GamesBids.com.

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[Quaker2001]

So let's recap here.  What was initially projected to be a $5.3 billion budget has gone up to $6.2 billion and now to $6.9 billion.  Venue infrastructure for a bid that has no new permanent venues to build is now close to $1.5 billion.  And based on those numbers, they're expected to break even, NOT make a profit.

Not trying to be negative here, but just looking to be realistic.  What say our number 1 LA booster?  Oh yea, that's right.. he got sent on permanent vacation for being a complete and total piece of sh!t.

[mountainboarder_530@yahoo.]

pretty much California High Speed Rail 2.0 going on here.  Its true, America cant build things on budget anymore.

[GBModerator]

2 hours ago, Quaker2001 said:

So let's recap here.  What was initially projected to be a $5.3 billion budget has gone up to $6.2 billion and now to $6.9 billion.  Venue infrastructure for a bid that has no new permanent venues to build is now close to $1.5 billion.  And based on those numbers, they're expected to break even, NOT make a profit.

Not trying to be negative here, but just looking to be realistic.  What say our number 1 LA booster?  Oh yea, that's right.. he got sent on permanent vacation for being a complete and total piece of sh!t.

That's not entirely correct.  A 2024 bid, in 2016 dollars was $5.3 billion in the bid book.  In the very next column on the same page it was listed as $6.2 billion in 2024 dollars (accounting for inflation).  But plans were moved to 2028 instead, so there is four more years of inflation plus four more years of organization costs, and $160 million will be spent on youth sports (not taxpayer funded).  That makes the 2028 inflation adjusted number $6.9 billion less the amount to youth sport.

Nothing has really changed except for inflation accounting (still nine years away).

There is also over $600 million in contingency funds that could be converted to a surplus *if* any of it is not used.

There are still no permanent venues to build.

[jtrevino]

8 hours ago, Quaker2001 said:

So let's recap here.  What was initially projected to be a $5.3 billion budget has gone up to $6.2 billion and now to $6.9 billion.  Venue infrastructure for a bid that has no new permanent venues to build is now close to $1.5 billion.  And based on those numbers, they're expected to break even, NOT make a profit.

Not trying to be negative here, but just looking to be realistic.  What say our number 1 LA booster?  Oh yea, that's right.. he got sent on permanent vacation for being a complete and total piece of sh!t.

If it’s projected to make a profit, that wouldn’t change with this revised budget.   The revised budget is almost specifically based on inflation through time, not substantive changes to the budget. Inflation doesn’t just effect expenditure, it effects revenue as well (ticket costs in 2016 vs 2028). In other words, nothing really changed except we’re trying to project ourselves into what things will cost in 2028 (using 2028 dollars vs 2016).

In layman’s terms, Americans weren't saving any more money back in 2009 because a burger was $1 less then than now in 2019.   

 

 

[Quaker2001]

8 hours ago, GBModerator said:

That's not entirely correct.  A 2024 bid, in 2016 dollars was $5.3 billion in the bid book.  In the very next column on the same page it was listed as $6.2 billion in 2024 dollars (accounting for inflation).  But plans were moved to 2028 instead, so there is four more years of inflation plus four more years of organization costs, and $160 million will be spent on youth sports (not taxpayer funded).  That makes the 2028 inflation adjusted number $6.9 billion less the amount to youth sport.

Nothing has really changed except for inflation accounting (still nine years away).

There is also over $600 million in contingency funds that could be converted to a surplus *if* any of it is not used.

There are still no permanent venues to build.

3 hours ago, jtrevino said:

If it’s projected to make a profit, that wouldn’t change with this revised budget.   The revised budget is almost specifically based on inflation through time, not substantive changes to the budget. Inflation doesn’t just effect expenditure, it effects revenue as well (ticket costs in 2016 vs 2028). In other words, nothing really changed except we’re trying to project ourselves into what things will cost in 2028 (using 2028 dollars vs 2016).

In layman’s terms, Americans weren't saving any more money back in 2009 because a burger was $1 less then than now in 2019.   

Fair points, particularly about the contingency funds.  My fault for not seeing that as a specific line item under expenses.  Could have skipped the condescending line about inflation though.  I should know better than to reference original estimates which were all based on 2024 and not 2028.  Still, why would the original estimates have been made in 2016 dollars, as if they didn't know from the start the Olympics were going to be in 2024 (and later in 2028).

[FYI]

21 hours ago, Quaker2001 said:

Not trying to be negative here, but just looking to be realistic.  What say our number 1 LA booster?  Oh yea, that's right.. he got sent on permanent vacation for being a complete and total piece of sh!t.

OH WOW, really?! When did this finally happen?! What GB’s mellow-drama did I miss here?!  

Should’ve happened LONG ago, though, especially when others in the past were shown the door for far less infractions than you-know-who. 

9 hours ago, Quaker2001 said:

Could have skipped the condescending line about inflation though. I should know better

[GBModerator]

9 hours ago, Quaker2001 said:

Fair points, particularly about the contingency funds.  My fault for not seeing that as a specific line item under expenses.  Could have skipped the condescending line about inflation though.  I should know better than to reference original estimates which were all based on 2024 and not 2028.  Still, why would the original estimates have been made in 2016 dollars, as if they didn't know from the start the Olympics were going to be in 2024 (and later in 2028).

The original estimate was made in 2016, so in current dollars as per the IOC's request.  Then that amount is adjusted for inflation to 2024 dollars.

[Quaker2001]

1 hour ago, GBModerator said:

The original estimate was made in 2016, so in current dollars as per the IOC's request.  Then that amount is adjusted for inflation to 2024 dollars.

Thank you for clearing that up.  Makes sense now.  Sort of

[Nacre]

11 hours ago, Quaker2001 said:

Still, why would the original estimates have been made in 2016 dollars, as if they didn't know from the start the Olympics were going to be in 2024 (and later in 2028).

Technically they can't know what the inflation rate will be from 2020-2028, so it's impossible to calculate that even if they wanted to.

But it will be 1-3% each year, because the fed only cares about the inflation rate and not monetary velocity. *grumble* *grumble*