Councilwoman Demands Olympic Costs Audit

Los Angeles Councilwoman Monica Rodriguez on May 20 introduced a package of motions aimed at tightening the city’s financial protections before the 2028 Olympic and Paralympic Games, including an independent third-party audit of LA28 before the organizing committee dissolves. Rodriguez said the measures were meant to protect taxpayers from unreimbursed city costs tied to the Games. LA28 says the Games are being organized by a privately funded nonprofit, but city officials have been negotiating a separate reimbursement agreement for municipal services required to stage the event. (cd7.lacity.gov) (cityclerk.lacity.org) The push comes as Los Angeles and LA28 are still working to finalize the Enhanced City Resources Master Agreement, or ECRMA, which is supposed to govern reimbursement for city services such as public safety, transportation and sanitation. A joint statement from Mayor Karen Bass’s office and LA28 on Oct. 1, 2025 said the parties were “working actively” to complete that agreement and that it would ensure reimbursement of city costs required by the Games. ### What exactly did Rodriguez ask the city to do? Rodriguez’s May 20 package called for an independent third-party audit of LA28 prior to its dissolution and for a proposed ballot measure creating a dedicated revenue stream modeled on protections used during the 1984 Olympics, according to her office. (cd7.lacity.gov) Her office said the motions were part of a broader effort to strengthen fiscal accountability ahead of the 2028 Games. An April 14 motion from Rodriguez also asked city officials to draft charter language establishing a “Zero-Cost Principle for the LA28 Games,” requiring that Los Angeles not incur unreimbursed costs associated with hosting the Olympics and Paralympics. (mayor.lacity.gov) That motion said no legacy fund should be established until the city is reimbursed. ### Why is the city focused on reimbursement now? An April 17 motion filed in the City Council said the ECRMA is necessary to establish the framework for the provision and reimbursement of city services required for the Games. The motion said unresolved issues include cost recovery, the timing of reimbursement for enhanced city resources and the prioritization of the city’s financial protections. (cd7.lacity.gov) That same motion said the Games will require substantial city resources beyond normal operations, including public safety, transportation, sanitation and other essential services. It asked the City Administrative Officer and Chief Legislative Analyst, and requested the City Attorney, to present an agreement within 14 days requiring LA28 to reimburse the city for enhanced services and for LA28-requested infrastructure improvements beyond normal city responsibilities. (cityclerk.lacity.org) ### What numbers are driving the concern? A Rodriguez motion dated April 14 said preliminary estimates indicate security costs alone may exceed $1 billion, excluding extra expenses tied to weather events, emergencies or other unforeseen impacts. (cityclerk.lacity.org) The motion also said LA28 had presented a $7.15 billion budget that did not include security costs, raising questions about how any surplus funds would be defined and whether the city would be fully reimbursed for essential services. A June 20, 2024 joint report from the City Administrative Officer and Chief Legislative Analyst said LA28’s Games budget remained $6.9 billion and that the organizing committee’s most recent audited financial statements at the time were for calendar year 2022. (cityclerk.lacity.org) That report said LA28 posted a 2022 annual deficit of $87.4 million and a cumulative deficit of $233.1 million. ### What does LA28 say about who pays for the Games? LA28 says on its website that the Games are independently operated by a privately funded nonprofit organization. It says revenue is expected to come from corporate partners, licensing agreements, hospitality and ticketing programs, and a contribution from the International Olympic Committee. (cityclerk.lacity.org) A 2021 city report on the Games Agreement said the agreement expanded on the earlier memorandum of understanding by adding more detail on delivery of city resources and reimbursement of city costs, along with provisions covering public safety, mobility, sustainability and other obligations. (cityclerk.lacity.org) That report said the city and LA28 had completed negotiations on the Games Agreement presented to the council and mayor in 2021. ### Where does this go next at City Hall? The City Council motions direct the City Administrative Officer, Chief Legislative Analyst and, in some cases, the City Attorney to prepare or finalize language for additional protections, including the reimbursement agreement and charter language. (la28.org) The city clerk’s online files show those Olympics-related motions were filed in April 2026 under the long-running council file for the 2028 Games. The next concrete step is council consideration of those motions and any draft ECRMA language returned by city staff. LA28 is scheduled to stage the Olympic Games from July 14 to July 30, 2028, followed by the Paralympic Games from Aug. 15 to Aug. 27, 2028, according to Olympic movement materials. (cityclerk.lacity.org) (olympics.com) (cityclerk.lacity.org)