alarms

L.A. officials raise alarms over crippling Olympic costs

Los Angeles officials are expressing growing fears that taxpayers and the city treasury could be hit with a round of crippling costs to support the 2028 Olympic Games if the city doesn’t ink a rigorous deal to assure a “zero–cost” Games.

Some city officials have long been concerned that taxpayers could be left with massive bills if the Olympics don’t generate the income organizers have promised. Delays in finalizing a deal between City Hall and the Olympics committee have heightened those tensions.

The exact costs to L.A. and other local governments remain unknown, as officials wait to hear from LA28 and federal security agencies about exactly what services they will need. Recent controversy over the ties between Casey Wasserman, the head of the L.A. Olympics, and Jeffrey Epstein have added to the uncertainty over the finances in the minds of some city leaders.

City Atty. Hydee Feldstein Soto and Councilmember Monica Rodriguez both issued letters demanding a contract pledging that LA28 cover any of the city’s future costs that arise as the city plays host to hundreds of thousands of athletes and fans.

The contract, more than six months overdue, is needed “to foreclose any scenario in which funds might go back to the wealthy backers and investors of the LA 28 organization without reimbursing taxpayer funded extraordinary costs,” the city attorney wrote to council members.

Rodriguez agreed in a separate letter this week that the city needs a contract that assures that the Olympics organization will pay any excess costs for policing, transportation, trash pickup and more, so that taxpayers are not burdened or “core city services” slashed.

That should take priority over the private nonprofit LA28 building a “Legacy Fund” to bankroll future youth sports programs, public sports facilities and the like, argued the city officials, who are both up for reelection this year.

“Bankruptcy cannot be the legacy of these Games,” Rodriguez wrote, without elaborating on what she meant, though L.A.’s top budget official recently projected a deficit, unconnected to the Olympics, of “several hundred million” dollars.

LA28 officials responded with a statement they issued previously, saying, in part, that “LA28 remains committed to delivering the safest, most secure, and fiscally responsible Games that will benefit Angelenos for decades to come,” adding, “We remain engaged in good faith negotiations and look forward to our continued partnership with the City of Los Angeles.”

LA28 Chief Executive Reynold Hoover said at a press event Wednesday that ticket sales were one vehicle for the host committee to assure that taxpayers didn’t get stuck with a big bill down the road.

The stakes remain high for both sides. The private LA28 group needs the city’s police, fire, sanitation, streets and transportation services to deliver a successful event. The city wants the sports extravaganza to succeed, not only to burnish its image on an international stage, but also to assure there is enough money to pay for all the extra tasks city workers will perform.

The LA28 leaders project the Games will cost more than $7.1 billion. They say that money will come from a variety of sources: nearly $1 billion from the International Olympic Committee, $437 million from international marketing rights, $2.5 billion from corporate sponsors in the U.S., $2.5 billion from ticket sales and hospitality packages, $344 million from licensing and merchandise and $405 million in other revenue.

LA28 reports being ahead of schedule on the revenue front. But city officials worry that unforeseen events — including an economic downturn or natural disaster — could blow up the income model, with one of many wild cards being the willingness of President Trump and the Republican-controlled Congress to follow through with a funding pledge to the Democratic-controlled city.

L.A. officials have long expressed concern that Trump and Congress might belatedly yank away $1 billion already set aside to reimburse state and local governments for security, planning and other Olympics-related costs.

While the two elected officials and some others, including an attorney representing city employees, raised alarms, an individual with knowledge of the talks between the city and LA28 said that a tentative agreement would likely be before the City Council “within two or three weeks.”

The knowledgeable individual, who asked not to be named because of the sensitive nature of the discussion, said negotiators on both sides must bear in mind how a third party, the federal government under Trump, is integral to the financing model.

The source tracking the negotiations said that both sides needed to make sure the pact creates a path to “maximize federal resources, which were dedicated by Congress for the Games,” adding: “The contract needs to avoid saying that LA28 is going to pay, for example, for all of the LAPD’s extra costs in such a way that the federal government says, ‘Fine, then you don’t get any of the federal money.’ We can’t afford to leave a billion dollars on the table.“

City Administrative Officer Matt Szabo, one of those bargaining for the city, struck a positive note.

“We are invested in a successful Olympics. The organizing committee knows that it needs the city and city services to have a successful Games,” said Szabo. “It’s in both the city’s and the organizing committee’s best interest to have a successful Games. We’re joined at the hip and we’ll succeed together, or not.”

The 2028 Games have been designated a National Special Security Event, placing it in the same category as major party political conventions and Super Bowls. The U.S. Secret Service sets the security plan for those events.

Officials in L.A. have said they are still waiting to learn from the Secret Service how broad the security “blast area” should be around each athletic venue. The federal agency will then dictate how many police and federal agents will flood those zones, which include the Los Angeles Memorial Coliseum, Exposition Park and Crypto.com Arena.

Attorney Connie Rice, who represents L.A. city employees concerned about how the city will pay for the Games, said that her clients still had questions. Rice, whose past litigation helped force LAPD reforms, said that employees helping to plan for security said they had estimated that the Los Angeles Police Department and the Los Angeles County Sheriff’s Department, alone, would need at least $1 billion to pay for extra security during the Games.

The current federal allocation would not get the city and county of Los Angeles $1 billion since many other jurisdictions, including Long Beach, Oklahoma City and the state of California also will be competing for U.S. funding. And the federal government has not yet released its “notice of funding opportunity” — laying out the parameters for claiming a part of the $1 billion.

Rice argued that the city gave up its best leverage when it signed an earlier agreement to host the Games. “Who is going to pay the bill, or who are they even going to send the invoices to, when the Games are over and LA28 is dissolved?” Rice asked. “LA28 has no obligation to raise money once the event is over.”

Los Angeles city officials expect to have requests by October from LA28 for the services the Games organization needs at each venue. The Games organizing group has agreed to pay any costs that exceed the city’s typical expenditures. But there is not a clear understanding of what constitutes a customary level of service. The massive event is expected to require an array of services, including trash pickup, bus service, street closures, park maintenance, drinking water stations and building inspections of temporary Olympic structures.

In her letter late last month to City Council members, the city attorney raised a slew of questions about the fiscal contract with LA28. Feldstein Soto contended the Games had a “heightened risk exposure … given the recent claims against LA 28 Chairman Casey Wasserman.”

Wasserman’s name appeared in the files about convicted sexual predator Epstein, with records showing the then-28-year-old sports marketer had gone on a two-week tour of Africa sponsored by Epstein and later exchanged risque emails with Epstein accomplice Ghislaine Maxwell. Though some activists demanded Wasserman leave his post as LA28 chair and called for a Games boycott, there has been no apparent reduction in sponsorships or ticket sales because of the furor.

As city attorney, Feldstein Soto is advising the city officials negotiating the Olympic contract. Her letter says she will insist that “transparent audit rights and procedures” be put into place to assure the city treasury does not take a hit in supporting the Games.

The letter raises the possibility that natural disasters or other emergencies could cut into LA28’s bottom line. It also asks: “What happens if the federal government does not pay the assume $1 billion [or] … [w]hat happens if the city’s actual expenses exceed $1 billion?” Feldstein Soto’s answer: “In either situation, this office believes that all surplus funds must reimburse the city and its taxpayers first, as promised, before any surplus funds are available for a [LA28] legacy or tribute fund.”

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As Supreme Court hears mail ballot case, alarms are raised in far-flung Alaska

The tiny Alaska Native village of Beaver is about 40 minutes — by plane — from the nearest city. Its roughly 50 residents rely on weekday flights for mail and many of their basic supplies, including groceries and Amazon deliveries of everyday household items.

Air service plays an outsize role in the nation’s most expansive state, where most communities rely on flights for year-round access. Planes also play a crucial role in elections, getting voting materials and ballots to and from rural precincts such as Beaver and delivering ballots for thousands of Alaskans who vote by mail — some in places where in-person voting is not available.

The vast distances and relative isolation of so many communities make Alaska unique and are why its residents have a significant interest in arguments taking place Monday before the U.S. Supreme Court.

Many here worry that a case from Mississippi challenging whether ballots received after election day can be counted in federal elections could end Alaska’s practice of accepting late-arriving ballots. Alaska counts ballots if they are postmarked by election day and received within 10 days, or 15 days for overseas voters in general elections.

“These processes have been in place for a long time just to ensure that our ballots are counted,” said Rhonda Pitka, a poll worker and first chief in Beaver, which sits along the Yukon River 110 miles north of Fairbanks.

If the court decides ballots in all states must be received by election day, she said, “they’ll be disenfranchising thousands of people — thousands of people in these rural communities. It’s just basically saying that their votes don’t count, and that’s a real shame.”

The Supreme Court will hear arguments as the U.S. Senate is debating legislation being pushed by President Trump that would require people to show proof of citizenship to register to vote — an onerous burden for many — and a photo ID to cast a ballot.

Most Republicans argue that the bill is necessary to shore up voting integrity, but Democrats and voting rights advocates — and Alaska Republican U.S. Sen. Lisa Murkowski — contend that it amounts to voter suppression. Studies have consistently shown that voting fraud is exceedingly rare in the U.S., and courts have struck down similar measures after finding they prevented eligible voters from casting ballots.

Some ballots already arrive late

Alaska is one of 14 states that allow all mailed ballots postmarked by election day to arrive days or weeks later and be counted, according to the National Conference of State Legislatures and the Voting Rights Lab. An additional 15 provide grace periods for military and overseas ballots.

But Alaska’s geography, weather and great distances between communities — Alaska is more than twice the size of Texas, the nation’s second-largest state — raise the stakes for voters. The unusual way the state counts its votes also makes a grace period important, advocates say.

Under Alaska’s ranked-choice system for general elections, workers in small rural precincts call in voters’ first choices to a regional election office. All ballots, however, ultimately are flown to the state Division of Elections in the capital, Juneau. There, the races not won outright are tabulated to determine a winner.

Even with Alaska’s current 10-day grace period, ballots from some villages in 2022 were not fully counted because of mail delays. They arrived too late for tabulations in Juneau, 15 days after election day.

If the Supreme Court rules that ballots cannot be counted if they arrive at election offices after election day, many Alaska voters could be affected. About 50,000 Alaskans voted by mail in the 2024 presidential election.

“I think there’s probably no other state where this ruling could have a more detrimental impact than ours,” Murkowski, her state’s senior senator, said in an interview.

Murkowski sees the case — a challenge by the Republican National Committee and others to Mississippi’s allowance of late-arriving ballots — as an effort to end voting by mail nationwide.

‘Seeing a level of voter intimidation’

The RNC argues that such grace periods improperly extend elections for federal office, but Mississippi responded that no voting occurs after election day — only the delivery and counting of already completed ballots.

Taken together, Murkowski said, the Trump-backed voting bill and the Supreme Court case could discourage people from voting.

“I think we’re seeing a level of voter intimidation, I’ll just say it,” she said. “I feel very, very strongly that the effort that we should be making at the federal level is to do all that we can to make our elections accessible, fair and transparent for every lawful voter out there.”

Alaska’s other congressional members, Rep. Nick Begich and Sen. Dan Sullivan, both Republican allies of Trump who are seeking reelection this year, support the SAVE America Act now before the Senate. But they also said they want to ensure that ballots properly cast on or before election day get counted.

“We’ll see what the courts choose to do on that issue, but I do think that we need to allow for time for ballots to come in from the rural parts of our state,” Begich said during a recent visit to Juneau.

Alaska officials highlight challenges to the court

A court filing in the Mississippi case by Alaska Atty. Gen. Stephen Cox and Solicitor Gen. Jenna Lorence did not take sides but outlined geographic and logistical challenges to holding elections in Alaska.

In Atqasuk, on Alaska’s North Slope, poll workers counted votes on election night in 2024, tallies they would normally relay by phone to election division officials. But the filing said they could not get through and “chose what they saw as the next best solution — they placed the ballots and tally sheets into a secure package and mailed them to the Division, who did not receive them until nine days later.”

The filing seeks clarity from the Supreme Court, particularly around what it means for ballots to be received by election day.

While it is clear when a ballot is cast, “when certain ballots are actually ‘received’ is open to different interpretations, especially given the connectivity challenges for Alaska’s far-flung boroughs,” Cox and Lorence wrote.

Effect on Alaska Native voters

Lawyers with the Native American Rights Fund and Great Lakes Indigenous Law Center said in filings with the court that limited postal service in rural areas means that some ballots might not be postmarked until they reach Anchorage or Juneau, which can take days.

In the 2022 general election, between 55% and 78% of absentee ballots from the state House districts spanning from the Aleutian Islands up the western coast to the vast North Slope arrived at an election office after election day, they wrote. Statewide, about 20% of all absentee ballots in that election were received after election day.

Requiring ballots to be received by election day, they warned, would “disproportionately disenfranchise” Alaska Native voters. The lawyers represent the National Congress of American Indians, Native Vote Washington and the Alaska Federation of Natives.

Michelle Sparck, director of Get Out the Native Vote, a nonpartisan voting rights advocacy group affiliated with the Alaska Federation of Natives, worries about creating confusion and fear among voters.

She sees the case before the Supreme Court and the Republican SAVE Act as “a multipronged attempt to take control or wrest control of elections away from states.” Alaska, she said, already has enough inherent barriers for many voters.

“There is a minute record of election fraud — not at the rate that requires this heavy-handed response through the legislature and the Supreme Court,” she said.

Bohrer writes for the Associated Press.

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