2002 GAO Report on the Salt Lake City Olympics

8/3/2019 2002 GAO Report on the Salt Lake City Olympics

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OLYMPIC GAMES

Federal GovernmentProvides Significant

Funding and Support

UnitedStatesGeneralAccountingOffice

GAO Reportto Congressional Requesters

September2000

GAO/GGD-00-183


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UnitedStatesGeneralAccountingOffice GeneralGovernmentDivisionWashington, D.C. 20548

Page1 GAO/GGD-00-183 FederalFundingandSupportofOlympicGame

B-282746

September 8, 2000

The HonorableJohn D. DingellRanking Minority Member, Committeeon

CommerceHouseof Representatives

The HonorableJohnMcCainChairman, Committeeon Commerce,

Scienceand TransportationUnited States Senate

Inresponseto yourrequests, thisreportprovides informationon(1)theamountof federalfunding andsupportprovidedtothe 1984 and 1996 Summer Olympic Games, andplanned forthe 2002 Winter Olympic Games, andthetypesofprojectsandactivitiesthatwere fundedandsupportedand(2)the federal policies, legislativeauthorizations, andagency controls inplaceforproviding the federal fundsandsupporttothe Olympic Games. Inaddition, as yourequested, thisreportprovidestheresultsofourevaluationofthe following fiveprojects:(1)developmentofthe OcoeeWhitewater Rapids Slalom venue forthe 1996 Summer OlympicGames, (2)useof federal employeestoprovidesecurity during the 1996 Games, (3)payment

ofAtlantaParalympic Organizing Committeestaffsalaries, (4)paymentofParalympic Gamesopening ceremony entertainerscosts, and(5) veteransassistanceduring theParalympicGames.

Thisreportcontainsmatters forcongressional considerationandrecommendationstotheDirectorofthe OfficeofManagementand Budget(OMB), theAdministratorofthe GeneralServicesAdministration, andthe Secretary ofVeteransAffairs.

Asagreed, unless youpublicly announce itscontentsearlier, weplanno furtherdistribution

ofthisreportuntil 15 daysafter its issuedate. Atthattime, wewill sendcopiesofthisreport

to Senator

Er

nest Hollings, Ranking Minor

ity Member

ofthe Senate CommitteeonCommerce, Science, and Transportation;and Representative Tom Bliley, ChairmanoftheHouse Committeeon Commerce. Wearealsosending copiesofthisreportto Senators OrrinHatchand Robert Bennettand RepresentativesJames Hansen, Merrill Cook, and ChrisCannonof Utah. Copiesofthisreportwill alsobemadeavailabletothe Directorof OMB;theSecretariesofthe DepartmentsofAgriculture, Commerce, Defense, Education, Energy,Healthand Human Services, the Interior, Housing and Urban Development, Labor, State,Transportation, the Treasury, andVeteransAffairs;andthe U.S. Attorney General. Weare


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B-282746


alsosending copiestothe Directorsofthe Corporation for National and Community ServicesEnvironmental ProtectionAgency, Federal Communications Commission, FederalEmergency ManagementAdministration, General ServicesAdministration, NationalAeronauticsand SpaceAdministration, Social Security Administration, TennesseeValley

Author

ity, and U.S. Infor

mationAgency andthe U.S. Postmaster

Gener

al. Wewill makecopiesavailabletoothersuponrequest.

If youhaveany questionsaboutthisreport, pleasecontactmeat(202) 512-8387 [email protected]. Key contributorstothisassignmentwere Tammy R. Conquest,Michael Rives, JohnParulis, David Bennett, Alan Belkin, Jessica Botsford, and SyreneMitchell.

BernardL. UngarDirector, Government Business

Operations Issues


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Page 3 GAO/GGD-00-183 FederalFundingandSupportofOlympicGame


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Executive Summary


The federal governmenthasprovided increasingly significant funding and

support forthe Olympic Gameswhenheld inthe United States. Concerneaboutthisrising costandtheappropriatenessofthe federal funding andsupport forcertain Olympic-relatedprojectsandactivities, yourequestedthat GAO review federal funding andsupport forthe 1984 SummerOlympic Gamesheld inLosAngeles, CA;the 1996 Summer Olympic Gameheld inAtlanta, GA;andtheplanned 2002 Winter Olympic Gamesheld inSaltLake City, UT. Inresponse, thisreportanswersthe followingquestions:

Whatweretheamountsof federal funding andsupportprovidedtothe

1984 and 1996 Summer Olympic Games, andplanned forthe 2002 WinteOlympic Games,

1andthetypesofprojectsandactivitiesthatwere

fundedandsupported?

Whatarethe federal policies, legislativeauthorizations, andagencycontrols inplace forproviding federal fundsandsupport fortheOlympic Games?

Inaddition, youasked GAO touse itsprofessional judgmenttoselectandreviewsomeofthe Olympic-relatedprojectsandactivitiestodetermine iffederal funding andsupportwereprovided inaccordancewiththeunderlying lawsandapplicablerequirements. Accordingly, GAO selectedandevaluatedthe following fiveprojects:(1)developmentofthe OcoeeWhitewater Slalom venue forthe 1996 Summer Olympic Games, (2)useoffederal employeestoprovidesecurity during the 1996 Summer OlympicGames, (3)paymentofAtlantaParalympic Organizing Committee(APOC)staffsalaries, (4)paymentofParalympic Gamesopening ceremony

entertainercosts, and(5) veteransassistanceduring theParalympicGames. GAOsspecificreasons forselecting theseprojectsarediscussedintheobjectives, scope, andmethodology sectionofchapter 1.

The Olympic Gamestakeplaceevery 4 years, withthe Summer GamesanWinter Gamesalternating ona 2-yearcycle. Eachofthese Games is

awar

dedby the Inter

national Olympic Committee(IOC)

2

toahostcity, noto itscountry. Since 1904, cities inthe United Stateshavebeenselectedtohostthe Olympic Gameseighttimesmorethanthoseofany other

country. Inthe United States, unlike inothercountries, thehostcity, not

1

The 1996 Olympic Gamesandtheplanned 2002 Winter Olympic Gamesalso includetheParalympicGames. TheParalympic Gameswerenotapartofthe 1984 Olympic Games.

2The IOC isan international, nongovernmental, nonprofitorganizationthat isprimarily responsible fosupervising theorganizationofthe Olympic Games.

Purpose

Background


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ExecutiveSummary


Games, suchasproviding security ortransporting spectators;these fundswouldnothavebeenprovided ifthe Gameswerenotheld inthe UnitedStates. Theremaining $1.4 billionhasbeenprovidedorplannedtobeprovided for infrastructureprojects, suchashighway, transit, andcapitalimprovements, thatarerelatedtopreparing thecitiesofAtlantaand SaltLake City tohostthe Olympic Games, asshown in figure 1. Theseprojectswill alsobenefitthehostcity andstateafterthe Gamesareheld. Accordin

to federal officials, mostofthese fundswouldhavebeenawardedtothesecitiesorstateseven ifthey hadnothostedthe Olympic Games, althoughthe fundscouldhavebeenprovided later ifthe Gameswerenotheld.

Source: OMB and various other federal agencies.

However, no governmentwide laworpolicy existsthatdefinesthe federalgovernmentsoverall role in funding andsupporting the Olympic Gameswhenhosted inthe United States. Nor isthereasingle federal agency thathastheresponsibility tooverseeandmonitorthe federal funding andsupportprovided forthe Olympic Games. Nonetheless, federal agencieshavehelpedandcontinuetohelp fundandsupport variousaspectsoftheOlympic Games, inresponsetorequests for federal assistance fromstateand local governmentsand Olympicorganizing committees. Federal

Figure 1: Proportion of Federal Fundingand Support Provided to Prepare HostCities for Olympic Games


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ExecutiveSummary


assistancehasbeenrequestedbecausetheseentitieshavenothadenough

resourcestoprovide forthe infrastructure improvementsnecessary topreparethehostcity ortoplanandstageall aspectsofthe Olympic Gamewhenhosted inthe United States.

Insomecases, Olympic-relatedexpendituresby federal agenciesweremadeusing fundsspecifically designatedby Congress inagenciesauthorizing and/orappropriations legislation. Inothercases, Olympic-relatedexpenditureswerenotspecifically designatedby Congressbutwereapprovedby theagencies, generally, inaccordancewiththeirnormafunding procedures. However, insomecases itwasdifficulttodetermine

theamountof federal funding andsupportbecause federal agenciesgenerally didnottrackorreporttheir funding andsupport forthe OlympicGames, exceptwhenthey werespecifically requestedtodosoby theOfficeofManagementand Budget(OMB). OMB beganrequesting federalagenciestoreportto itregarding howmuch federal funding andsupport

they hadprovidedafterthe 1984 Summer Olympic Games. Although GAOfoundthisreported informationtobehelpful, insomecasestheinformationthattheagenciesprovidedto OMB forthe 1996 SummerOlympic Gameswasnotalwayscompleteorreported inaconsistentmanner.

Federal funding andsupportwereused inaccordancewithstatutory

authority andapplicablerequirements forthreeofthe five 1996 SummerOlympic Gamesprojectsthat GAO specifically reviewed forthispurpose.

Oftheremaining twoprojectsreviewed, theexpenditures foronewerenoinaccordancewiththeunderlying statutory authority andexpenditures fotheotherdidnotcomply withall applicableadministratively imposedrequirements.

Thisreportcontainsmatters forcongressional considerationand

recommendationstothe Directorof OMB, theAdministratoroftheGeneral ServicesAdministration(GSA), andthe Secretary ofVeteransAffairs(VA)toaddressthese issues. Mostoftheagenciesthatprovided

commentsonadraftofthisreportprovidedtechnical changesthatweincorporatedwhereappropriate. However, GSA, VA, andthe U.S. DisabledAthletesFund, Inc., disagreedwithourconclusionthat GSAsandVAsusof federal funds forParalympic-relatedactivitieswasnot inaccordancewithstatutory oradministratively imposedrequirements. GSAalsodisagreedwithourrecommendationthat ittakeactiontoensuretheappropriateuseof federal funds forthe OlympicandParalympic Games.


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ExecutiveSummary


The federal governmentprovidedabout $75 million in funding andsupporforthe 1984 Summer Olympic Games inLosAngeles;themajority ofthisfunding wasusedtohelpprovidesafety-andsecurity-relatedservicesduring the Games. The $75 million in federal funding andsupportwouldnothavebeenprovided ifthe 1984 Summer Olympic Gameshadnotbeenheld inthe United States.

Incontrast, themajority ofthe federal funding andsupportthatwereprovided forthe 1996 Summer Olympic Games, whichwereheld inAtlanta, andplanned forthe 2002 Winter Olympic Games in SaltLake Cityisreportedtobe for infrastructureprojects inpreparing thehostcities forthe Olympic Games-projectsthatdidorwill benefitthehostcitiesand

theirstatesafterthe Games. Forexample, the federal governmentprovidedabout $609 million forthe 1996 Summer Olympic Games inAtlanta, ofwhichabout $424 millionwasspent forhighway, transit, publichousing, andothercapital improvements. Similarly, the federalgovernmenthasprovidedorplanstoprovideabout $1.3 billion forthe 200Winter Olympic Games in SaltLake City, ofwhichabout $1 billionhasbeenprovidedor isplanned forhighway andtransitprojectsthat Utahand

SaltLake City officialswantedtohavecompleted intime forthe Games.According to federal officials, themajority ofthe fundswouldhavebeenprovidedtothehostcitiesandstates for infrastructureprojects, suchashighwaysandtransitsystems, regardlessofthe Olympic Gamesbecausemany oftheprojectshadbeenplanned long beforethecitieswereselectetohostthe Games. However, some federal officialswerenotalwaysabletodocumentwhichofthespecific infrastructureprojectswouldorwouldnothavebeen funded ifthe Olympic Gameswerenotheld.

No governmentwide laworpolicy existsthatdefinesthe federalgovernmentsoverall role in funding andsupporting the Olympic Gameswhenhosted inthe United States. Nonetheless, many federal agencieshavebeen involved inhelping to fundandsupport variousaspectsoftheOlympic Gameswhenhosted inthe United States. Historically, thestateand local governmentsand Olympicorganizing committeeshavenothadenoughresourcestoprovidethe infrastructure improvementsnecessary tpreparethehostcity ortoplanandstageall aspectsofthe OlympicGames;thus, requests for federal assistancehavebeenmade.

Principal Findings

Almost $2 Billion inFederalFunding and SupportProvidedorPlanned forLosAngeles, Atlanta, and SaltLake City Olympic Games

No GovernmentwideLawo

r

Policy onFederal Funding andSupport fortheOlympic Games


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Contents

Executive Summary

1Background 1Objectives, Scope, andMethodology 2

Chapter 1Introduction

2About $75 Million inFederal Funding and Support Used

to HelpPlanand Stagethe 1984 Summer OlympicGames inLosAngeles

2

About $609 Million inFederal Funding and SupportProvided forthe 1996 Summer Olympic Games inAtlanta

2

Almost $1.3 BillionofFederal Funding and Support

PlannedorProvided forthe 2002 Olympic Games inSaltLake City

3

Chapter 2Almost $2 Billion in

Feder

al Funding andSupportProvidedorPlanned for 1984 and1996 Summerand 2002Winter Olympic Games

4Federal GovernmentEncourages Supportof Olympic

Games, but No GovernmentwidePolicy Exists

4

Congress Designated SomeFederal Funding and Support

for

Olympic-RelatedP

r

ojectsandActivities

4

Agency OfficialsMade DecisionstoFundand SupportMost Olympic-RelatedProjectsandActivities

4

Federal Funding and Support Generally ProvidedThroughAgencies Normal Funding Procedures

5

Chapter 3No GovernmentwidePolicy onFederal

Funding and Supportofthe Olympic GamesWhen They Are Hostedinthe United States

6OcoeeWhitewater SlalomVenueFunding Was

Authorized, but Reportof BenefitsAppearsto HaveBeen Incomplete

6

UseofFederal EmployeestoProvide Security During the

1996 Summer Olympic GamesWasWithinthe ScopeofJusticesAuthority

6

UseofFederal Funds forEntertainersattheParalympicGames Opening Ceremony WasAuthorized

6

GSA Inappropriately UsedFunds forAPOC EmployeeSalaries

6

Chapter 4Federal Agencies DidNot UseFunds

Appropriately for TwoofFive Olympic-RelatedProjects

VAs UseofFunding Designated forVeteransWas NotConsistentWithProvision intheAppropriationsAct

6


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Contents


6Matters for Congressional Consideration 7

Recommendations 7Agency Commentsand OurEvaluation 7

Chapter 5ConclusionsandRecommendations

Appendix I:Federal Funding and SupportProvidedtothe1984 Summer Olympic Games inLosAngeles

7

Appendix II:Federal Funding and SupportProvidedtothe 1996 Summer Olympic Games inAtlanta

7

Appendix III:Federal Funding and SupportPlannedand

Providedtothe 2002 Winter Olympic Games in SaltLake City

8

Appendix IV: CommentsFromthe OfficeofManagement

and Budget

8

AppendixV: CommentsFromthe U.S. General ServicesAdministration

8

AppendixVI: CommentsFromthe Secretary ofVeteransAffairs

8

AppendixVII: CommentsFromthe U.S. DisabledAthletesFund, Inc.

9

AppendixVIII: CommentsFromthe National Aeronauticsand SpaceAdministration

9

Appendix IX: CommentsFromthe SaltLake City OlympicOrganizing Committee

9

Appendixes

Figure 1: ProportionofFederal Funding and SupportProvidedtoPrepare Host Cities for Olympic Games

Figure 2.1: Projects RelatedtoPreparing Host Cities forOlympic GamesAccounted forMostofthe $2 Billion in

Federal Funding and Support

2

Figure 2.2: Safety-and Security-Related ServicesAccounted fortheMajority oftheFederal Funding andSupport ThatWereProvided During the 1984 Summer

Olympic Games

2

Figure 2.3: Projects RelatedtoPreparing Atlantato Host

the 1996 Summer Olympic GamesAccounted fortheMajority oftheFederal Funding and Support

2

Figures

Figure 2.4: AsofApril 2000, Projects RelatedtoPreparing SaltLake City to Hostthe 2002 WinterOlympic GamesAccounted fortheMajority oftheFederal Funding and Support

3


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Figure 2.5: LocationsofFederally Funded Roads,

Highway, and TransitProjects forthe 2002 WinterOlympic Games in SaltLake City

4

Abbreviations

ACOG Atlanta Committee for Olympic Games

APOC AtlantaParalympic Organizing Committee

CNCS Corporation for National and Community Services

CRS Congressional Research Service

DOD Departmentof Defense

DOE DepartmentofEnergy

DOT Departmentof Transportation

EPA Environmental ProtectionAgency

FBI Federal Bureauof Investigation

FCC Federal Communications Commission

FEB Federal Executive Board

FEMA Federal Emergency ManagementAgency

GSA General ServicesAdministration

HHS Departmentof Healthand Human Services

HUD Depar

tmentof Housing and Ur

ban DevelopmentIOC International Olympic Committee

ITS Intelligent Transportation Systems

LAOC LosAngeles Olympic Organizing Committee

MARTA MetropolitanAtlanta Rapid TransitAuthority

MOA MemorandumofAgreement

OIG Officeof Inspector General

OLC OfficeofLegal Counsel

OMB OfficeofManagementand Budget

OSTS Olympic Spectator Transit System

OTS Olympic Transportation System

PDD 62 Presidential Decision Directive 62

SLOC SaltLake City Olympic Organizing CommitteeSSA Social Security Administration

TEA-21 TransportationEquity Actofthe 21 Century

TVA TennesseeValley Authority

USDA United States DepartmentofAgriculture

USIA U.S. InformationAgency

USOC U.S. Olympic Committee

VA DepartmentofVeteransAffairs


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Introduction


Concernedabouttherising costsof federal funding andsupport fortheOlympic Gamesoverthe yearsandtheappropriatenessof funding forcertainprojects, yourequestedthatwereview federal funding andsupporforthe 1984 Summer Olympic Gamesheld inLosAngeles, CA;the 1996

Summer Olympic Gamesheld inAtlanta, GA;andtheplanned 2002OlympicWinter Games in SaltLake City, UT. Inresponse, thisreport

answersthe following questions:

Whatweretheamountsof federal funding andsupportprovidedtothe1984 and 1996 Summer Olympic Games, andplanned forthe 2002 WinteOlympic Games,

1andthetypesofprojectsandactivitiesthatwere

fundedandsupported?

Whatarethe federal policies, legislativeauthorizations, andagencycontrols inplace forproviding the federal fundsandsupporttotheOlympic Games?

Inaddition, yourequestedthatweuseourprofessional judgmenttoselectandreviewsomeofthe Olympic-relatedprojectsandactivitiestodetermine if federal funding andsupportwereprovided inaccordancewiththeunderlying lawsandapplicablerequirements. Accordingly, weselectedandevaluatedthe following fiveprojects:(1)developmentoftheOcoeeWhitewater Slalom venue forthe 1996 Summer Olympic Games, (2useof federal employeestoprovidesecurity during the 1996 SummerOlympic Games, (3)paymentofAtlantaParalympic Organizing Committee(APOC)staffsalaries, (4)paymentofParalympic Gamesopeningceremony entertainercosts, and(5) veteransassistanceduring theParalympic Games.

Whenreviewing thedata inthisreport, several pointsneedtobeconsidered. First, itwasnotpossibletoprecisely calculatethetotal

amountof federal funding andsupport forthe Gamesbecausethere isnorequirementnorwasthereany federal agency thatdeterminedoraccounted forthis information inasystematicmanner.

2Consequently,

somecosts, suchasper

sonnel costs, wer

e includedby someagencies, butnot includedby otheragencies intheir information. Second, weweredependentuponthe federal agenciesto identify anddeterminehowmuch1

The 1996 Summer Olympic Gamesandtheplanned 2002 Winter Olympic Gamesalso includetheParalympic Games. TheParalympic Gameswerenotapartofthe 1984 Olympic Games.

2Although it isbeyondthescopeofthisreport, someofthe federal spending is likely tobeoffsetby

increasedrevenueresulting fromthe Olympic Gamesbeing held inthe United States. Forexample,foreigntouristswhootherwisewouldnothave visitedthe United Statescould generateadditionalrevenue forthe federal government.


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ofthe federal funding andsupportwasprovidedorplanned fortheOlympic Gamesandhowmuch federal funding andsupportwouldhavebeenprovidedtothehostcitiesregardlessofthe Games.

Third, eachofthe Olympic Games variedwidely intermsofsize, scope,and location;thus, comparisonsamong theeventswouldbedifficult.Fourth, muchofthe federal funding andsupportreported forthe 2002Winter Olympic Games isplannedandmay changebetweenwhenwecollectedourdataand 2002. Thisaccounts forsomeofthechanges inplanned, expended, andcongressionally designatedamounts identified in

thisreportascomparedwiththepreliminary information inour Decembe

1999 reporton federal funding andsupportprovided forthe OlympicGames.

3Fifth, all financial informationpresented inthisreport isreported

inconstant 1999 dollars, exceptwherenoted.4

The Olympic Gamestakeplaceevery 4 yearswiththe Summer OlympicGamesandtheWinter Olympic Gamesbeing heldonanalternating 2-yearcycle. These Gamesarecompetitionsbetweenathletes in individual orteamevents, notbetweencountriesandaretheexclusiveproperty oftheInternational Olympic Committee(IOC). The IOC ownsall rights, includintheorganization, broadcasting, recording, representation, andreproductionofthe Olympic Games. Therightstohostthe Olympic Gameareawardedby the IOC toahostcity, notto itscountry. Forexample, Sal

Lake City will hostthe 2002 Winter Olympic Games, notthe U.S.government.

Inthe United States, theAmateur SportsAct givesthe U.S. OlympicCommittee(USOC), among otherthings, exclusive jurisdictionoverall

matterspertaining totheparticipationofthe United States inthe OlympicGames, including therepresentationofthe United States insuch Gamesandtheorganizationofthe Olympic Gameswhenthey areheld intheUnited States. ThepurposeoftheAmateur SportsActwastoaddressamateurathleticactivity inthe United States. Itwasnot intendedtoaddressordefinetheappropriateroleofthe federal government in

supporting and funding the Olympic Games. Nor isthereany othergovernmentwide legislationorpolicy thataddressesthis issue.

3

Olympic Games:Preliminary InformationonFederal Funding and Support(GAO/GGD-00-44, Dec. 211999).

4Ourconversionto 1999 dollars is lessthanprecise insomecasesbecausethe yearly datawerenot

alwaysavailable foreachofthe Olympic Games. Also, insomecases, thenumbersmay nottotalbecauseofrounding.

Background
http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44http://www.gao.gov/cgi-bin/getrpt?GGD-00-44


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The federal governmenthasno formal role intheselectionofthe U.S. citythat ischosentosubmitabidtothe IOC tohostthe Olympic Games.According to IOCscharter, only acity that isapprovedby the NationalOlympic Committee

5canapply tohostthe Olympic Games. The IOCs

charter furtherstatesthat intheeventthatthereareseveral candidates inonecountry thatarebidding onthesame Olympic Games, the NationalOlympic Committee isresponsible fordetermining whichcity may submit

abidtohost Olympic Games. Inthe United States, once USOC selectsthecity thatmay submitabidtothe IOC tohostthe Games, according toUSOC officials, thePresidentofthe United States, asamatterof formality

concurswiththatdecisionandsubmitsa lettertothe IOC recommending

thatthe U.S. city beselected.

Although governments inothernations generally play amajorrole inorganizing and financing thecostofhosting the Olympic Gameswhenoneoftheircities isselected, inthe United States, it is generally theresponsibility ofthehostcity, notthe federal government. Forexample,the New SouthWales

6government istheunderwriter forhosting the 2000

Summer Olympic Games in Sydney. Assuch, the New SouthWalesgovernment isto financethecostofproviding venues; facilities;infrastructures;and governmentservices, suchastransportation, security

andhealth. According todataobtained fromthe SaltLake City OlympicOrganizing Committee(SLOC),

7the New SouthWales governmentplanst

contributeabout 57 percentofthe $5.18 billionthat isneededtohostthe2000 Games in Sydney, andtheJapanese governmentcontributedabout 5

percentoftheestimated $2.84 billiontohostthe 1998 Winter OlympicGames in Nagano, Japan.

According to SLOCsdata, thesecostestimates

donot includethe governmentscosts fornational security andtransportation.

According toa Congressional Research Service(CRS)report,8significant

U.S. federal funding andsupport forsecurity-relatedservicesandotherprojectsandactivitiesrelatedtohosting the Olympic Gamesessentiallybeganwiththe 1960 Winter Olympic Games. Beforethattime, state, local,

andprivatesourcesprovidedall ofthe financing ofthe Games, dating bac5

Inthe United States, USOC isthe National Olympic Committee.

6New SouthWales isoneofAustraliaseightstatesandterritoriesand ishometo Sydney, which isthhostcity forthe 2000 Summer Olympic Games.

7SLOC istheprivateorganizationestablishedby SaltLake City and USOC toplanandstagethe 2002

Winter Olympic Games.

8TheFinancing of Olympic Games Held inthe United States, 1904-1960:A Brief Overview,

Congressional Research Service, Feb. 3, 1997.


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towhenthe Olympic Gameswere firstheld inthe United States in St.Louis, MO, in 1904.

9 According tothe CRS report, two fiscal development

occurredatthetimeofthe 1960 Winter Olympic Games in SquawValley,CA, thatprofoundly affectedthecostand financing ofhosting the OlympicGames. Thesedevelopmentswerethe inaugurationofthesaleoftelevisiobroadcastrights inthe Olympic Gamesandthe introductionof federalfinancing andmilitary assistance forthe Games.

Theresulting televised, worldwidespotlightandaccessto federalassistanceencouragedthe SquawValley Olympicorganizersand

subsequenthostcity organizerstoproducebigger, morespectacular, and

morecostly Olympic Gamesthantheonebefore, according to CRSreports. Asaconsequence, Olympic-andhostcity-relatedplanning,

construction, andsecurity costssoonoutpacedstate, local, andprivateresources. Tocoverthedifference, state, local, andprivateentitiesreliedincreasingly onthe federal government forassistance. Forexample,

according to CRS data, the federal governmentprovidedabout $20 millionorabout 25 percent, oftheapproximately $80 millionspenttohostthe1960 Winter Olympic Games in SquawValley. About $16 million in federal

fundswasusedtoconstructthe Olympic SportsArena, andalmost $4millionwasused forarmed forcesequipmentandpersonnel. Such federaassistancehascontinuedtothisday, asdiscussed inchapter 2.

TheParalympic Gamesareheld immediately afterthe Olympic Gamesandare fordisabledathletes. Althoughorganizedseparately, the 1996 SummerOlympic Gamesmarkedthe firsttimethattheParalympic Gameswereheld inconjunctionwiththe Olympic Games inthe United States. OnOctober 21, 1998, theAmateur SportsActwasamendedto incorporatetheParalympicmovementundertheumbrellaof USOC.

10OnMay 27, 1997,

SLOC wasawardedtherightstohosttheParalympic Games.

9

Since 1904, a U.S. city hasbeenselectedtohostthe Olympic Gameseighttimesmorethanany othcountry. In 1904, St. Louis, MO, hostedthe first Olympic Gamesheld inthe United States, followedbyLakePlacid, NY, whichheldtheWinter Olympic Games in 1932. LosAngeles, CA, heldthe SummerOlympic Games in 1932; SquawValley, CA, heldtheWinter Olympic Games in 1960;LakePlacid, NY,heldtheWinter Olympic Games in 1980;LosAngeles, CA, heldthe Summer Olympic Games in 1984;Atlanta, GA, heldthe Summer Olympic Games in 1996;and SaltLake City, UT, planstoholdtheWinteOlympic Games in 2002.

10P. L. 105-277.


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As yourequested, thisreportdiscussesthe following objectives:

Todeterminetheamountsof federal funding andsupportprovidedtothe1984 and 1996 Summer Olympic Games, andplanned forthe 2002 WinterOlympic Games;andthetypesofprojectsandactivitiesthatwere fundedandsupported.

Todeterminethe federal policies, legislativeauthorizations, andagencycontrols inplace forproviding the federal fundsandsupporttotheOlympic Games.

Inaddition, yourequestedthatweuseourprofessional judgmenttoselectandreviewsomeofthe Olympic-relatedprojectsandactivitiestodetermine if federal funding andsupportwereprovided inaccordancewiththeunderlying lawsandapplicablerequirements. Accordingly, weselectedandevaluatedthe following fiveprojects:(1)developmentoftheOcoeeWhitewater Slalom venue forthe 1996 Summer Olympic Games, (2useof federal employeestoprovidesecurity during the 1996 SummerOlympic Games, (3) GSAspaymentofAPOC staffsalaries, (4)theDepartmentofEducationspaymentofParalympic Gamesopeningceremony entertainercosts, and(5)the DepartmentofVeteransAffairs(VA)assistanceofnonveteransduring theParalympic Games.

Toaddressthe first 2 objectives, wemadea governmentwide inquiry bycontacting the OfficeofManagementand Budget(OMB)and 24 otherfederal agenciesregarding their federal funding andsupport fortheOlympic Games. Additionally, weresearched legislativedatabasesdatingbackto 1979;reviewednumerousreports;and interviewedtheappropriatfederal, state, and local governmentofficialsandrepresentativesofseveraprivateorganizationsto identify, document, anddiscussthe federalgovernments involvementwiththe Olympic Gamesheld inLosAngeles in1984 andAtlanta in 1996, andplanned for SaltLake City in 2002.

The following federal agenciesreportedsome federal funding andsupport

for

the Olympic Games

:

Corporation for National and Community Services(CNCS) DepartmentofAgriculture(USDA) Departmentof Commerce(Commerce) Departmentof Defense(DOD) DepartmentofEducation(Education) DepartmentofEnergy (DOE) Departmentof Healthand Human Services(HHS)

Objectives, Scope, andMethodology


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Departmentof Housing and Urban Development(HUD) Departmentofthe Interior(Interior) DepartmentofJustice(Justice) DepartmentofLabor(DOL) Departmentof State(State) Departmentof Transportation(DOT) Departmentofthe Treasury (Treasury) DepartmentofVeteransAffairs(VA) Environmental ProtectionAgency (EPA) Federal Communications Commission(FCC) Federal Emergency ManagementAgency (FEMA) Federal Executive Board(FEB) General ServicesAdministration(GSA) Social Security Administration(SSA) TennesseeValley Authority (TVA) U.S. InformationAgency (USIA)

11

U.S. Postal Service(Postal Service)

Ateachoftheseagencies, weobtained, totheextentpossible, supportinginformation fortheagenciesplanned;approved;andactual funding andexpenditures forthe Olympic Gamesasshown inagency records, suchasbudgetallocations, grantapplicationsandawards, contracts, and

corresponding expenditurereports. Weusedthis informationtodocumenanddescribe federally fundedorsupported Olympic-relatedprojectsor

activities. Becauseofthe largenumberof federal agenciesandprojectsandactivitiesrelatedtothe Olympic Games, our verificationoftheinformationprovidedby theagencies generally consistedofcollecting and

reviewing availablesupporting documentationtodeterminewhetheragency policiesandprocedures forauthorizing, distributing, andaccounting for federal funding andsupport for Olympic-relatedprojects

andactivitieswere inplace. Insomecases, suchdocumentationwasnotalwaysavailable. Forexample, inthecaseofthe 1984 Olympic Games,OMB datawere generally theonly informationavailableatthetimeofour

review. Although informationwas generally available forthe 1996 Summe

Olympic Gamesandthe 2002 Winter Olympic Games, someoftheinformationon federal funding andsupport forthe 2002 Games ispreliminary and, therefore, are, subjecttochange.

Wealso interviewedofficials fromtheAmateurAthleticFoundationofLoAngeles,

12theAtlanta Committee for Olympic Games(ACOG), SLOC,

11

The U.S. InformationAgency wasdissolved, and itsactivitieswere incorporated intothe Departmenof State in October 1999.


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USOC, andthe U.S. DisabledAthletesFund, Inc., regarding anyinformationthatthey maintainedon federal funding andsupport fortheLosAngeles, Atlanta, and SaltLake City Olympic GamesandtheParalympic Games. Further, we interviewedmembersoftheWhite HouseTaskForceonthe 2002 Winter OlympicandParalympic Gamesregardingthetaskforcesrole inapproving andmonitoring theuseof federal fundsprovidedtothe Olympic Games. Finally, wecontacted CRS staffwhohadpreviously issuedseveral reports

13on federal funding andsupport forthe

Olympic Games. Weexpandeduponthe informationthat CRS reportedbyobtaining additional detailsandupdating the information.

Ourthirdobjectivewastodeterminewhetherthe federal fundsandsupportprovided for five Olympic-relatedprojectsandactivitiesthatwerepartofthe 1996 Summer OlympicandParalympic Gameswereactuallyused inaccordancewiththeunderlying lawsandadministrativerequirements. Ourevaluation includedonly the fiveprojectsdiscussedbelow;wedidnotevaluatetheother Olympic-relatedprojectsand

activitiesdiscussed inthisreport. Specifically, weselectedthe OcoeeWhitewater Slalom venuebecausethe U.S. Forest Service(Forest Servicepaid forthemajority ofthe venuesconstructioncost, which isordinarilytheresponsibility ofthe Olympicorganizing committee. Wealsoselectedtheuseof(1) federal employeestoprovidesecurity during the OlympicGameswhileremaining ontheirrespectiveagenciespayroll and(2) federa

fundsby VAtoassistnonveteransduring theParalympic Gamesbecausetheauthority foragenciestouse federal resources forthesepurposeswasunclearandappearedtobesomewhatunusual relativetothemissionsoftheagencies involved. Finally, weselectedthepaymentofParalympicGamesopening ceremony entertainercostbecausetheuseof federal

fundstopay forentertainmentcanbe inconsistentwithcertainappropriations lawprinciples. Wesubsequently reviewedappropriationsstatutes;enabling legislation;agency policies, procedures, andregulations

andthecognizantagencys financial recordsandcorrespondence filestodeterminewhetherthe funding andsupportprovidedwas inaccordancewiththeunderlying lawsandapplicablerequirements.

Werequestedcommentsonadraftofthisreport fromtheheadsofthe 24federal agenciespreviously listed,

14OMB, theWhite House TaskForceon

12

TheAmateurAthleticFoundationofLosAngeles isthesuccessortothe 1984 LosAngeles Olympicorganizing committee.

13Forexample, CRS Report for Congress:Federal Financing ofthe 1996 Atlanta Summer Olympic

Games, CRS, Sept. 22, 1998.

14Excluding the U.S. InformationAgency, which isnow incorporated intothe Departmentof State.


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2002 Winter OlympicandParalympic Games, SLOC, theAmateurAthleticFoundationofLosAngeles, USOC, andthe U.S. DisabledAthletesFund,Inc. Wereceivedwrittencommentsonthesubstanceofthedraft fromOMB, VA, GSA, the U.S. DisabledAthletesFund, Inc., SLOC, andtheNational Aeronauticsand SpaceAdministration. Theircommentsarediscussed inchapter 5 andreprinted inappendixes IVthrough IX.

Wealsoreceivedwrittenororal commentsofatechnical nature fromUSDA, DOD, DOE, HHS, the Interior, Justice, DOL, DOT, the Treasury,EPA, FEMA, TVA, theAmateurAthleticFoundationofLosAngeles, and

theWhite House TaskForceonthe 2002 Winter OlympicandParalympic

Games. We incorporatedthesecomments inthisreportasappropriate. Inaddition, inAugust 2000,wewere informedorally or inwriting that CNCS,

Education, HUD, the State Department, FCC, thePostal Service, SSA, andUSOC hadnocommentsonthereport. Regarding Commerce, the GAOLiaisonsaid, onAugust 25, 2000, that, withtheexceptionofthe National

Weather Service, noneof Commercescomponentshadcommentsonthereport. According tothisofficial, the National Weather Servicehadnotindicatedwhetherornot ithadcomments.

Weconductedourreview inAtlanta, GA; Denver, CO;LosAngeles, CA;SaltLake City, UT;andWashington, D.C., fromApril 1999 throughAugust2000 inaccordancewith generally accepted governmentauditing

standards.


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Almost $2 Billion inFederal Funding andSupportProvidedorPlanned for 1984 and1996 Summerand 2002 Winter Olympic

Games


Overall, the federal governmentprovidedorplanstoprovidealmost $2billion in federal funding andsupport, asmeasured in 1999 constantdollars, for Olympic-relatedprojectsoractivities forthe 1984 SummerOlympic Games inLosAngeles, 1996 Summer Olympic Games inAtlanta,

andtheplanned 2002 Winter Olympic Games in SaltLake City. Ofthealmost $2 billion, about $75 millionwasprovided forthe 1984 SummerOlympic Games, about $609 millionwasprovided forthe 1996 SummerOlympic Games, andabout $1.3 billionhasbeenprovidedorplanned forthe 2002 Winter Olympic Games. Inaddition, according todataobtainedfrom Olympicorganizing committeeofficials, itcosttheorganizersanothe$602 milliontostagethe 1984 Summer Olympic Games; $2 billion forthe1996 Summer Olympic Games;andthe 2002 Winter Olympic Gamesareexpectedtocostanestimatedadditional $1.4 billion.

Asshown in figure 2.1, approximately $513 millionofthe $2 billion infederal funding andsupport isplannedorwasused forprojectsoractivitiesrelatedtoplanning andstaging the Olympic Games. These fundsgenerally wouldnothavebeenprovided ifthe Gameswerenothosted inthe United States. Ofthe $513 million, about $325 millionwasprovidedorisplanned forsafety-andsecurity-relatedservicesduring the OlympicGames;about $93 millionhasbeenprovidedor isplannedtohelpprovidespectatortransportationsystemsduring the Games;about $69 millionhas

beenpr

ovidedor

isplannedtohelpbuild, enhance, or

oper

ate var

ioussporting venues forthe Games;andabout $26 millionhasbeenprovidedoisplanned forthe increase in federal agency servicesduring the Games.Theremaining $1.4 billionofthealmost $2 billion in federal funding and

supporthasbeenprovidedor isplanned forprojectsrelatedtopreparingthecitiesofAtlantaand SaltLake City tohostthe Olympic Games, as isalsoshown in figure 2.1. Mostofthe $1.4 billion, about $901 million, hasbeenprovidedor isplanned fortheconstructionof varioushighwayprojects inAtlantaand SaltLake City. Inaddition, about $466 million, ofthe $1.4 billion, hasbeenprovidedor isplanned formasstransitprojects,

andabout $68 millionwasprovidedor isplanned forother Olympic-relateinfrastructureorcapital improvementprojectsthatstateand local

governmentofficialswantedtohavecompleted intime forthe Games.According to federal officials, themajority ofthe fundswouldhavebeenprovidedtothehostcitiesandstates for infrastructureprojects, suchashighwaysandtransitsystems, regardlessofthe Olympic Gamesbecausemany oftheprojectshadbeenplanned long beforethecitieswereselectetohostthe Games. However, some federal officialswerenotalwaysabletodocumentwhichofthespecific infrastructureprojectswouldorwouldnothavebeen funded ifthe Olympic Gameswerenotheld.


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Almost $2BillioninFederalFundingandSupportProvidedorPlannedfor1984 and1996Summerand2002WinterOlympicGames


Note: Numbers may not add due to rounding.


Eleven federal agenciesreportedto OMB thatthey providedabout $75million in federal funding andsupport(in 1999 dollars)tohelpplanand

stagethe 1984 Summer Olympic Games inLosAngeles. Generally, thesefundswouldnothavebeenprovided ifLosAngeleshadnothostedtheGames. Mostofthis funding andsupport, orabout $68 million, wasusedt

helpprovidesafety-andsecurity-relatedservicesduring theplanning andstaging ofthe Games, andtheremaining $7 millionwas fornon-security-relatedservices, asshown in figure 2.2.

Figure 2.1: Projects Related to Preparing Host Cities for Olympic Games Accounted for Most of the $2 Billion in FederalFunding and Support

About $75 Million in

Federal Funding andSupport Usedto HelpPlanand Stagethe1984 Summer OlympicGames inLosAngeles


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According toa DOD official, sincetheterroristattackduring the 1972Summer Olympic Games inMunich, providing adequatesafety andsecuritduring the Olympic Gameshasbecomeofparamount importanceduringthestaging ofthe Games. Ithasalsobecomeamajor logistical andfinancial undertaking forthe Olympicorganizing committeesaswell asstateand local lawenforcementagencies. Forthe 1984 Summer Olympic

Games, LosAngeles Olympicorganizing committee(LAOC)andstateandlocal lawenforcementofficialsrequestedassistance fromthe federalgovernment, inparticular DOD. According toLAOC officials, requests forfederal assistanceweremadebecausethey didnothavetheresourcestoprovidethepersonnel, expertise, equipment, andsuppliestoprotectthehundredsofathletesand foreigndignitariesaswell astosecurethe 3Olympic villagesand 23 venuesthatwerespreadovera 500-square-milearea.

Figure 2.2: Safety- and Security-Related Services Accounted for the Majority of the Federal Funding and Support That WereProvided During the 1984 Summer Olympic Games


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InresponsetoLAOC andstateand local officialsrequests, DOD provided

about $47 millionofthe $68 million in federal fundsthatwereused forsafety-andsecurity-relatedservices. Someofthetypesofsupportprovidedby DOD includedcommunicationsequipment; Olympic villageintrusion-detectiondevices;bomb-detectionanddisposal services;andaviationsupportandequipment, suchashelicopters, lights, and flight gearthatthe local lawenforcementagenciessaidthey couldnotprovide. Othefederal lawenforcementagencies, suchastheFederal BureauofInvestigation(FBI), U.S. Customs Service, and U.S. Secret Servicealsoprovidedsafety-andsecurity-relatedservices forthe 1984 SummerOlympic Games.

Theremaining $7 millionwereprovided fornon-security-relatedservicesofwhichabout $1 millionwasusedtohelpenhanceoroperateselectedOlympicsporting events, andabout $6 millionwasusedtocovertheincreases inagenciesworkloadscausedby the increase inthenumberofvisitorstoLosAngelesduring the Games. Forexample, USDAsAnimal

andPlant Health Inspection Serviceprovided inspectionand quarantineservices forthehorsesparticipating inthe Olympicequestrianevents. TheNational OceanicandAtmosphericAdministrationprovidedspecialweather forecasting services forall oftheevents. Other federal agencies,suchas USIA, increasedtheirnormal agency servicestopromoteinternational understanding andrelationsamong thespectatorsby

increasing thenumber, frequency, anddistributionofpublic informationprogramsduring the Olympic Games.

Unlikethe Olympic Games inAtlantaand SaltLake City, federal agenciesdidnotreportany federal funding orsupport forhighway, masstransit, orothercapital improvementprojects inLosAngelesasbeing Olympic-related. According to formerLAOC officials, LosAngelescity officialsdidnotdevelop, modify, oracceleratethecitysplannedhighway, transit, orothercapital improvementprojectstopreparethecity tohostthe Games.

According toLAOC officials, LosAngelescity officialsbelievedthathost

cities for Olympic Gamesheldbefore 1984 oftenoverextendedthemselvesby trying tocompletestate-of-the-art Olympic venuesandrelatedcapitalimprovementprojects. Suchactionpushedthosehostcities intodebtthat

remained long afterthe Olympic Gameswereover. Asaresult, LosAngelescity officialsdecidedthatthey (1)wouldnotundertakeany new

constructionorcapital improvementsspecifically forthe Olympic Gamesand(2)wouldencouragespectatorstousethetransitorbussystems inplaceatthetimeorsimply drivetheircarstothe Olympicevents. Tofurthersupporttheirdecision, city officials includedaclause intheirhost


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city contractwiththe IOC, stating thatthecity wouldnotpermitanyOlympic-relatedcapital improvementprojects, unlesseachprojectwasfully andprivately funded inadvanceof itsconstruction.

Inadditiontothe $75 million in federal funding andsupport, LAOC alsoreceivedabout $53 millionofthe $107 million fromthesaleof Olympiccommemorativecoinsby the U.S. Mint.

1Inoral commentsonadraftofth

report, onAugust 28, 2000, thePresidentoftheAmateurAthleticFoundationofLosAngelessaidthat USOC receivedtheremaining $54million. TheMintearnedaprofitof $15 million fromthe CommemorativeCoinProgram. Congressauthorizesa Commemorative CoinProgram

primarily asameansofhonoring certaineventsand individualsandraisinfunds forthecoinssponsors. Underthe Commemorative CoinProgram in

effectatthetimethattheLosAngeles Olympiccoinwasproduced, incomfromsurcharges, whichwere included inthecoinsprice, waspaidtosponsoring agencies, suchasthe Olympicorganizing committees.According toaMintofficial, the $107 million isconsiderednon-taxpayerfundsbecausethe Commemorative CoinProgramreceivesnoappropriated funds. Therefore, wehavenot includedthese fundsasparto

the $75 million in federal funding andsupportprovidedtothe 1984Summer Olympic Games.

Appendix I providesdetailed informationontheamountsandtypesof

federal funding andsupportthatthe 11 federal agenciesprovidedtothe1984 Summer Olympic Games.

Twenty-four federal agenciesreportedproviding about $609 million infederal funding andsupport(in 1999 dollars) forthe 1996 Summer Olympi

Games inAtlanta. About $185 millionofthese fundswas forprojectsandactivitiesrelatedtoplanning andstaging the Games. Theremaining $424millionwasprovided forprojects, suchashighways, transitsystems, andothercapital improvements, thatwererelatedtopreparing thehostcity fothe Gamesandthatstateand local governmentofficialswantedtohavecompleted intime forthe Olympics Games(see fig. 2.3).

1

U.S. Mint: Commemorative Coins Could BeMoreProfitable(GAO/GGD-96-113, Aug. 7, 1996).

About $609 Million inFederal Funding andSupportProvided forthe 1996 SummerOlympic Games inAtlanta
http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113http://www.gao.gov/cgi-bin/getrpt?GGD-96-113


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According to DOT andotheragency officials, mostofthe $424 millionprovided forhighway, transit, andothercapital improvementprojects

wouldeventually havebeenprovided, regardlessofwhetherAtlantawasselectedasthehostcity forthe 1996 Olympic Games. However, theseofficials identifiedthesespecificprojectsas Olympic-relatedbecausethei

completion generally hadtobeaccelerated forAtlantatosuccessfully hosthe Games. However, DOT officialsstatedthatthe $17 millionspentonthOlympic Transportation Systemwouldnothavebeenprovided iftheOlympic Gameshadnotbeenheld inthe United States. Inaddition, $22millionprovided fortheconstructionofthe OcoeeWhitewater Slalom

Figure 2.3: Projects Related to Preparing Atlanta to Host the 1996 Summer Olympic Games Accounted for the Majority of theFederal Funding and Support


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venue forthe 1996 Summer Olympic Gamesalsoappearsto fall intothiscategory.

Appendix II providesdetailed informationontheamountsandtypesof

federal funding andsupportthat 24 federal agenciesprovidedtothe 1996Summer Olympic Games.

The federal governmentwas involved in virtually all aspectsofplanningandstaging the 1996 Olympics Games inAtlanta. Asshown in figure 2.3,about $185 millionofthe $609 million in federal funding andsupportwasusedtohelp(1)providesafety-andsecurity-relatedservicesduring the

Games;(2)build, enhance, andoperate venues forthe Games;(3)transportspectatorstoand fromthesporting venues;and(4)meettheincrease inagenciesworkloadscausedby an increase inthenumberofvisitorstoAtlantaduring the Olympics.

The federal governmentspentabout $96 milliontohelpprovidesafety-ansecurity-relatedservicesduring the 1996 Summer Olympic Games. Aswiththe Games inLosAngeles, safety andsecurity issuesrelatedtotheOlympic Games inAtlantawereofsignificantconcerntothe federalgovernment, particularly becauseofthesize, scope, andmagnitudeoftheevent. The 1996 Summer Olympic Gameswerethe largest Olympiceventathattime, with(1) 31 venues located in 8 cities fromMiami, FL, to

Washington D.C.;(2)morethan 10,700 athletes from 197 countries;and(3daily visitorstothe Gamesreaching ahighofmorethan 750,000 people.Consequently, according to federal lawenforcementofficials, federalfunding andsupportwereneededbecauseACOG andthestateand localjurisdictionsdidnothavetheresourcesorexpertisetoadequately planand implementthenecessary security requirements.

Among the federal agency officials, DOD officialsreportedproviding thelargestamountof fundsandsupport$36 millionforsafety-andsecurity-relatedservices forthe 1996 Summer Olympic Games. Included inthe $36 millionwerethe incremental costsassociatedwithproviding abou

15,000 military personnel from 45 statesandterritories. Incremental costswerethose incurredabovetheusual personnel salary, benefits, andrelateexpensesand includedcostssuchasextratravel, perdiem, supplies, and

equipmenttosupportthe Games. Atthepeakofthe Olympic Games, abou6,500 troopswere involvedwithproviding security atthe venues.According toa DOD report,

2thiswasthe firsttimethat DOD hadprovided

2FORSCOMandthe 1996 Summer Olympic Games, DOD, May 1999.

About $185 Million inFederal Funding andSupportProvided for

ProjectsandActivitiesRelatedtoPlanning andStaging the Games

Federal AgenciesProvidedAbout $96 Million for Safety-andSecurity-Related Services Duringthe Games


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military forcestosupplementthe local security forcessupporting theOlympic Games.

Another 1,000 troopswerealsousedasbusdriverstotransportathletes,

coaches, officials, andmilitary and lawenforcementpersonnel to variousOlympic venues. According to DOD officials, military personnel wereused

asbusdriversbecauseACOG and local lawenforcementagenciescouldnotprovidethem. Theestimatedcosttoprovidethemilitary busand vandriverswas $978,450, including $105,800 forcommercial drivers licensesand $300,000 fortraining.

Inadditiontothemilitary personnel, DOD assisted inthe following areas:

aviation, communications, explosiveordnance, emergency response, facilities, physical security, and training.

Because local sourceswerenotadequate, several federal lawenforcemenagencieswerealsorequestedtoprovidepersonnel tohelpperformsafety-

andsecurity-relatedservicesthatnormally wouldhavebeendoneby localawenforcementagencies. Forexample,

Customs Serviceofficerswereusedtopatrol theAtlantarapidtransitsystem,

Deputy U.S. Marshalsprovidedsecurity onselectedbusescarrying athletefromselectedcountriesorteamsconsideredmoreatrisk, and

Drug EnforcementAdministrationofficerswereusedtoperformsecurityfunctionsatsporting venues.

Federal lawenforcementagenciesalso increasedtheirstaffing levels in

carrying outtheirmission-relatedresponsibilities, suchaspreventingterrorismanddrug interdiction.

Other federal civilianagencieswerealsocalledupontoprovidesafety-ansecurity-relatedservices forthe 1996 Summer Olympic Gamesatacostofalmost $1.8 million. Forexample, ACOG requested federal assistancetomeetashortage insecurity personnel thatwas identifiedabout 2 monthsbeforethe Olympic Gameswerescheduledtostart. InresponsetoACOGrequest, the U.S. Attorney General onMay 17, 1996, exercisedherauthorit


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under 18 U.S.C. sections 112, 1116, and 1201 torequestthatupto 1,000federal civilianagency employees inAtlantahelpACOG providesecurity athe Games. These volunteersweretomonitorandoperatemagnetometers(metal detectors)andassistwiththemovementofathletesandspectatorswhilethey continuedtoreceivetheir federal salaries.

Inadditiontoproviding security personnel, federal fundswerealsousedt

supportother local lawenforcementresponsibilities. Forexample, twograntstotaling about $5.6 million fromJustices OfficeofJusticeProgramwereawardedtothe Georgia Criminal Justice Coordinating Counsel forOlympic-relatedactivities. One grant for $1.4 millionwas forsecurity

planning, andtheother grant for $4.2 millionwasusedtopay theovertimecostsoftheAtlantaPolice Department.

The federal governmentprovidedabout $56 milliontohelpbuild, enhanceandoperateseveral Olympic venues. Mostnotably, theForest ServiceandTVAprovidedabout $22 millionoftheapproximately $33 millionneededthelpbuildandoperatethe OcoeeWhitewater Slalom venue, whichwaslocated inthe Cherokee National Forest in Tennessee. Theremaining $11

million includedabout $4 million fromthe Tennessee Ocoee DevelopmentAgency forplanning andconstructionofthe venue, about $2 million fromACOG fortelevisionbroadcast, andalmost $5 million from Tennessee forvenueoperations.

According toForest Serviceofficials, thewhitewaterrafting eventwasno

ontheoriginal listof Olympicsporting events. However, after Tennesseestateand local officialsapproachedACOG andaskedthat itbe included,ACOG agreedtodoso, provided itdidnothaveto financethedevelopmen

andoperationofthe venue. Thestateand local officialssubsequentlyapproachedtheForest Service, TVA, andotherstoobtaintherequisitefunding andapprovals.

Forest Serviceofficialschoseasectionofthe Ocoee Riverthatwasnormally notused forwhitewaterrafting because TVAdivertedthewatertoapower-generating station. TheForest Servicethenprovidedabout $17milliontoreengineertheriverbedtomeet Olympic Gamesrequirements.Specifically, theForest Serviceawardedconstructioncontractstomakeirreversiblechangestotheriverbedto(1)reducetheriverswidthbyaboutone-half, (2)modify thewater flow, and(3)maketherivercable-readyby implanting cablesandconnections forthemediasuseduring thGames. TVAprovidedabout $3 milliontobuildthescalemodel thatwasused forthe venuesoverall developmentandtoupgrade facilitiesatthevenuesite. TVAthenreleasedtherequiredamountofwaterduring the

About $56 Million inFederalFunding and SupportProvidedto Help Build, Enhance, andOperate OlympicVenues


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timeof Olympictrialsandthe Games. Toreleasethewaterduring the 199Summer Olympic Gamescost TVAanadditional approximately $2 millionin lostpower-generationrevenue.

InadditiontotheForest Serviceand TVA, other federal agenciesprovidedfunding andsupporttohelpcomplete, enhance, oroperateother venuesduring the Olympic Games inAtlanta. Forexample,

The Natural Resources Conservation Serviceprovidedabout $331,000 tpurchase flowers, shrubs, and grass for Olympic venuesandcity parks.

DOEprovidedabout $3.5 million forprojectsassociatedwithenergyefficiency andrenewableenergy. Someofthoseprojects includedtheinstallationofsolarelectrical systemsatthe Olympicswimming venueand geothermal heatpumpsattwo Georgia Instituteof Technologydormitories inthe Olympic village.

EPAprovidedabout $313,000 tobuildabikepathtoaccessthe OlympicCentennial Parkareaandabout $7 million forsewersystemconstructionrelatedtothe Olympicstadium.

TheEconomic DevelopmentAdministrationprovided grantstotalingabout $1.2 million forthecity todevelopsewerandrelatedinfrastructure improvements fortheareaaroundthe Olympic Stadium

and grantstotaling about $1.3 million foreconomicstudiesandbusinespromotionsrelatedtothe Olympic Games.

DOT preparedandpostedhighway, bridge, andrelatedsignsdirectingtrafficto Olympic venuesandother Olympic-related locationsatacostofabout $1.6 million.

The National OceanicandAtmosphericAdministrationprovidedweather forecasting services forall oftheeventsduring thestaging ofthe Gamesatacostofabout $1.1 million.

Finally, 10 federal agenciesprovidedabout $23 million, oraboutone-fourth, ofthe $84 millionrequiredtoplanandstagetheParalympic Gamewhich immediately followedthe 1996 Summer Olympic Games. About $17millionoftheapproximately $23 million in funding andsupportwasusedtohelppay fororganizing committeeadministrationcosts;opening,closing, andawardceremonies;andotherrelatedcostsassociatedwithstaging theParalympic Games.


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According to DOT officials, during the 1996 Summer Olympicand

Paralympic Games inAtlanta, anestimated 11 millionspectatorsmadean

estimated 25 milliontransittripsonatransportationsystemthatwasprincipally fundedandsupportedby the federal government. Specifically,

DOT providedapproximately $17 milliontostateand local transitandtransitplanning agenciestopay forthedelivery, operation, andreturnofthe 1,500 buses, whichwereborrowed fromcommunitiesthroughouttheUnited States. Thesebuseswereusedastheprincipal transportationsystem for OlympicspectatorsandParalympicathletes. The local transitagenciesallocatedandusedabout $11 million fortheregular OlympicGamesandabout $6 million fortheParalympics Games.

Seven federal agenciesprovidedabout $16 million for increasedservicesduring the Olympic Games. Mostnotable, USIAreportedspending almost$8 milliontoprovide informationaboutthe Games. Inaddition, thePostalServiceprovidedabout $4 millionto increasethenumberof(1)clerks

availableatpostofficesclosetothe venuesand(2)deliveriestotheOlympic villageduring the Games. Otheragencies, suchasthe NationalParkService, State Department, Federal AviationAdministration, EPA,

andJustice, alsoreportedproviding acombinedtotal ofabout $4 milliontincreasetheirnormal agency services(seeapp. II).

Withtheworldwide focusonAtlanta, federal, state, and local government

officialssoughttoensurethathighways, transitsystems, andothercapitalimprovementprojectsespecially thosecritical tosupporting theOlympicswerecompletedbeforethe Gamesbegan. Highway, transit, ancapital improvementprojects, whichcostthe federal governmentabout$424 million, accounted formostofthe federal funding providedtothe1996 Summer Olympic Games. Federal, state, and local officialstoldusthattheseprojectswereplannedtobebuiltregardlessofthe OlympicGames, buttheprojectswere identifiedas Olympic-relatedbecausetheygenerally receivedpriority funding considerationsoracceleratedcompletionschedules.

Specifically, the federal governmentprovidedabout $256 milliontoGeorgiatobuildandrepairhighways, bridges, androadsandmakeinfrastructure improvements inandaroundAtlanta inanticipationoftheOlympic Games. According to Georgiatransportationofficials, assoonasAtlantawasselectedasthehostcity forthe 1996 Olympic Games, theofficials immediately reviewedhighway-relatedprojects inthestates 20-yeartransportation improvementprogramand identifiedthoseprojectsthatwould impactonthecityscapability tohostthe Games. They saidthey madethe Olympic-relatedprojectsapriority andacceleratedtheir

About $17 Million inFederalFunds Usedto HelpProvidetheSpectator Transportation SystemDuring the Games

About $16 MillionProvidedtoIncreaseAgency Services Duringthe Games

About $424 Million inFederal Funding andSupport Used forProjectsRelatedtoPreparing Atlantaforthe Games


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constructionschedules, asneeded, tocompletethem intime fortheGames.

Inaddition, the federal governmentprovidedabout $114 millionsothat

threetransitprojects inAtlantawouldbecompleted intime forthe 1996Olympics Games. Thethreetransitprojectswerethe NorthLine RailExtension, theAtlanta University CenterPedestrianWalkway, andtheMetropolitanAtlanta Regional TransitAuthority Intelligent TransportationSystem. The NorthLine Rail Extensionassisted inbringing spectators fromareasnorthofAtlantatothe Olympic Circle indowntownAtlanta;theAtlanta University CenterPedestrianWalkway enabledathletesand

spectatorstomoreeasily reachthe Olympic village, venues, andrapidtransitsystem fromdowntown;andtheMetropolitanAtlanta Regional

TransitAuthority Intelligent Transportation Systemallowedtheadministratorstotracktheuseoftransitbusesduring the Olympic Gamesandprovidedautomatedtransit informationto visitorsduring andafterthGames.

The federal governmentalsoprovided $55 milliontorevitalize, rejuvenate

andrestorecommercial, residential, andhistorical areasofAtlanta intimeforthe 1996 Summer Olympic Games. Theseprojects includedrevitalizingtheportionofthebusinessdistrict leading tothe Olympic Centennial Park

area;rejuvenating anareacontaining adilapidated low-incomehousing

project;andrestoring MartinLutherKingsresidence, including completinthedevelopmentofaparkinhishonor. Additionally, during an 18-month

periodbeforethe Olympic Games, thePostal Servicemademajorrenovationsto 39 postal facilitiesatacostofover $16 million.

Inadditiontothe $609 million in federal funding andsupport, theMintalsprovidedabout $27 million fromthesaleof OlympiccommemorativecointoACOG. Unlikethe Commemorative CoinProgram forthe 1984 SummerOlympics, theMintdidnotearnaprofit fromthesaleof Olympiccommemorativecoinstosupportthe 1996 Summer Olympic Gamesbutreporteda lossof $3 million. In 1996, Congressenacted legislationstating

thattheMintmust firstrecoverall of itscostsbeforeany incomesurchargecanbeprovidedtothedesignatedsponsoring agency.

3

3P.L. 104-208.


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AsofApril 2000, federal funding andsupportprovidedorplanned forthe2002 OlympicWinter Games in SaltLake City isestimatedtobealmost$1.3 billion(in 1999 dollars). Ofthisamount, about $254 millionhasbeenplannedorprovided foractivitiesrelatedtoplanning andstaging theGames. Theremaining $1 billion isplannedorhasbeenusedmostly forhighway andtransitprojectsthat Utahand SaltLake City officialswantedtohavecompleted intime forthe Olympic Games(see fig. 2.4).



Almost $1.3 BillionofFederal Funding andSupportPlannedorProvided forthe 2002Olympic Games in SaltLake City

Figure 2.4: As of April 2000, Projects Related to Preparing Salt Lake City to Host the 2002 Winter Olympic Games Accounted

for the Majority of the Federal Funding and Support


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Aswasthecase forthe 1996 Summer Olympic Games, the federalgovernmentcontinuestobe involved intheplanning andstaging forthe2002 Winter Olympic Games in SaltLake City. Federal agencieshavespenorplantospendabout $254 million in federal funding andsupporttohelp

(1)providesafety-andsecurity-relatedservicesduring the Games, (2)transportspectatorstothesporting venues, and(3)meetthe increaseddemand forroutine federal agency services.

Aswithprevious Olympic Gamesheld inthe United States, ensuringadequatesafety andsecurity continuestobeofprimary importancetofederal, state, and local officials.About 15 federal agencieshavespentor

plantospendabout $161 milliontoensurethesafety andsecurity oftheOlympicspectators, officials, andathletesduring the 2002 Winter OlympicGames. However, this figuremay changebecause, asofApril 2000, finalsecurity planning forthe Gameshadnotbeencompleted.

The federal governmentsability toprovidesafety-andsecurity-relatedservicestothe 2002 Winter Olympic Gameswill alsobeaffectedby PublicLaw 104-201 andPresidential Decision Directive 62 (PDD 62), which

becameeffectiveafterthe 1996 Summer Olympic Games. Inpast OlympicDOD wasabletoprovidebothsecurity and logistical servicesas long astheseserviceswerewithin DOD guidelines. However, on September 23,1996, shortly afterthecloseofthe 1996 Summer Olympics, PublicLaw 104

201 wasenacted. Thepublic law includedaprovisionthatchangedthewainwhich DOD couldprovidesupport forsporting events. Specifically, thatprovision, foundat 10 U.S.C. section 2554, statesthat

attherequestofa federal, state, or local governmentagency responsible forproviding law

enforcementservices, security services, orsafety services, the Secretary of Defensemay

authorizethecommanderofamilitary installationtoprovideassistance forthe

Olympics, andany otherciviliansporting event insupportofessential security andsafety

suchevent, butonly iftheAttorney General certifiesthatsuchassistance isnecessary to

meetessential security andsafety needs.

Section 2554 furtherprovidesthatthe Secretary of Defensemay authorize

acommander

topr

ovideother

assistance for

aspor

ting event, pr

ovidedthat

theneedscannotbereasonably metby asourceotherthan DOD, providing suchservicesdoesnotadversely affectthemilitarypreparednessofthearmed forces, and

theagency requesting suchservicesagreestoreimburse DOD forproviding theassistance.

About $254 Million inFederal Funding andSupport Is forProjectsandActivities RelatedtoPlanning and Staging the2002 Winter Olympic Games

About $161 Million inFederalFunding and SupportProvidedorPlanned for Safety-and

Security-Related Services


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During ourreview, the Utah OlympicPublic Safety Command4had

submitted its initial request for DOD support inninecategories. OnJuly 81999, theAttorney General certified fiveoftheninecategoriesofsupportrequested. The fivecertifiedcategories, whichweresubsequently

approvedby the Secretary oftheArmy onAugust 20, 1999, included

aviation fordeploymentofemergency tactical teams, communications for lawenforcementandpublicsafety, explosiveordnancedisposal, physical security equipment, and temporary facilities.

TheAttorney General didnotcertify therequest for

technical expertsandtraining; personnel; transportation;and fireservices, emergency medical services, andpublicworks.

These fourcategorieswererejected for variousreasons. Forexample,

according to DOD andJusticeofficials, thetransportationcategory wasrejected, inpart, because vehicleswereavailable fromsourcesotherthanDOD. Afterreviewby theAttorney General, a letterwassent fromJusticeto DOD stating whichcategorieswerecertifiedandwhichwerenot.According toaJusticeofficial, notcertifying acategory doesnotmeanthanosupportwill beprovided. Theofficial statedthatan individual request

foraspecific itemorservicecouldstill beauthorized if itmeetsthecriteriastated insection 2554. AsofFebruary 2000, DOD hadnotreceived

any request forservices fromany ofthecertifiedcategories.

Thesecondchangeaffecting themanner inwhichsome federal lawenforcementagenciescouldprovidesecurity supportwasthe issuanceof

PDD-62 onMay 22, 1998. PDD-62, aclassifieddocument, reaffirmstheUnited Statescounter-terrorismpolicy. According toanunclassified

summary ofPDD-62, thePresidentdirectedan integratedapproachamongfederal lawenforcementagenciestoeffectively manageterroristicthreatsandtheconsequenceofsuchattacksagainst U.S. citizensor infrastructureInaddition, regarding security forspecial events, suchasthe 2002 WinterOlympic Games, PDD-62 statesthatthe Secret Servicehas leadagency

4

The Utah OlympicPublic Safety Commandwasestablished in 1998 by Utahstate lawandhasprimarandoverall responsibility forpublicsafety planning andoperations forthe 2002 Winter OlympicandParalympic Games.


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responsibility forsecurity planning forsomeevents;theFBI has lead

agency responsibility forcounter-terrorism;andFEMAhas leadagencyresponsibility forconsequencemanagementofterrorist incidents.

AsofApril 2000, the federal governmentplannedtoprovideabout $77milliontoassistwithproviding spectatortransportationtothe 2002 WinteOlympic Gamesandtohelpenhancetheaccessoruseof venues fortheGames. Specifically, federal transitofficialsplantorequest $47 million infederal funding andsupport from Congress foraspectatortransportationsystem, parkandride lots, andother infrastructure improvementsassociatedwiththe 2002 Winter Olympics. AsofApril 2000, DOT had

providedabout $3 million forthespectatortransportationsystem.Althoughtheplanned Olympictransportationsystem istoprincipally

consistofborrowedtransitbuses, whichwasthecase forthe 1996Olympic Games inAtlanta, the SaltLake City system isestimatedtocost 5timesasmuch. Intotal, SLOC planstorequestabout $91 million fromthefederal government forthespectatortransportationsystemtobeusedduring the Games. This funding wouldbeusedtopay fortransporting theborrowedbusestoand from SaltLake City, additional busdrivers, busmaintenance, constructionandoperationofparkandride lots, and loadinandunloading facilitiesthatareplannedtoservice fourofthe Olympicvenues located inrural, difficult-to-reachareas.

Inadditiontosupporting thespectatortransportationsystem, DOT alsoplanstoprovidealmost $20 milliontobuildtwoaccessroadsto Olympicvenues. Specifically, the federal governmentplanstoprovideabout $15milliontobuildthe Snowbasin/TrappersLoop RoadtoprovideaccesstotheAlpineand BiathlonArenas, andabout $5 million fortheWinter SportParkroads, whicharetoprovideaccesstothebobsled, luge, andski jumpevents. UtahtransportationofficialssaidthattheseroadswerenotonUtahs long-rangetransportation improvementplanbefore SaltLake Citywaschosenasthehostcity. DOT alsoplannedtoprovideabout $10 milliotodevelopanoverall Olympictransportationplan.

AsofApril 2000, nine federal agenciesexpectedto increasetheirservicesorprovideenhancementsto Olympic venues insupportofthe 2002 WinterOlympic Gamesatanexpectedcostofalmost $16 million. Forexample,

TheForest Serviceplanstospendover $7 million for Olympic-relatedplanning toaddressenvironmental issuesconcerning national forest landthat isadjacenttomany ofthe 2002 Olympic venues, aswell astodealwiththeexpected increase in visitorsduetothe 2002 Winter OlympicGames.

About $77 Million inFederalFunding and SupportProvidedorPlanned for SpectatorTransportationtothe GamesandtoEnhanceAccessto OlympicVenues

Sever

alA

genciesPlantoP

r

ovideAlmost $16 MilliontoEnhanceVenuesand Increase ServicestoSupport 2002 Winter OlympicGames


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ThePostal Serviceplanstospendabout $2 millionduring the 2002 WinterOlympic Gamestocoverpersonnel costs, including overtimeresultingfromthe increase inservicesduring the Games.

HUD planstoprovideabout $2 million, which SLOC planstousetohelpfinancetheconstructionofamixed-incomehousing project, tohousethemediaduring the Games. According toa SaltLake City housing official,

any money SLOC receives fromrental feeswouldbeusedby thecity tosubsidizethesubsequentpurchaseofthesehousing unitsby low-incomefamilies.

EPAexpectstoprovideover $2 millionto fundsewerconstruction forseveral Olympic venues inandoutsideof SaltLake City. According toEPAofficials, thisconstructionwouldnothavebeennecessary ifthe Gameshadnotbeenplanned.

USDA, Justice, the State Department, Interior, EPA, FCC, andthe NationaOceanicAtmosphericAdministrationalsoreportedadditional costsduetothe 2002 Winter Olympic Gamesthattotaledabout $2 million.

AsofApril 2000, the federal governmentplannedtoprovideabout $1billion in federal funding andsupporttoprepare SaltLake City forthe 200Winter Olympic Games. Mostofthe $1 billion in federal funding andsupportwasprovidedprimarily todevelop, build, andcompletemajorhighway andtransit improvementprojectsespecially thoseprojectswhosecompletionswereconsideredcritical tothesuccessofthe OlympicGames. Stateand local officials identifiedtheseprojectsasOlympic-relatedbecausethey eitherreceivedpriority considerationorwereputoanacceleratedcompletionschedule.

DOT plannedtoprovideover $645 millionto Utahs DepartmentofTransportation forhighway, road, andbridgetransportation infrastructureprojectsrelatedtothe 2002 Winter Olympic Games. Figure 2.5 showsthelocationsofthesomeofthehighways, roads, and interchanges, along with

theamountsof feder

al fundsthathavebeenpr

ovidedor

havebeenplannedtobeprovidedto Utahand SaltLake City forthem.

About $1 Billion inFederalFunding and Support

PlannedorProvided forProjectsandActivitiesRelatedtoPreparing SaltLake City forthe Games

DOT PlannedtoProvideAlmost$1 Billionto Help BuildHighways, Bridges,Interchanges, and Transit

Systems in Time forthe 2002Winter Olympic Games


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Great Salt

Lake

15

15

15

80

80

8080

215

2

6

7

10

8

9

189

40

40

89

189

248

Provo

Salt LakeCity

Salt Lake CityInternational

Airport

Light rail

Ogden

Park City

1

3

1

2

3

4

5

6

7

8

9

10

Legend Road and highway projects

UtahLake

Olympic venues

Major interstate highways

Light rail

Denotes a project to helpplan or stage the 2002Winter Olympic Games.Not a part of the20-year plan.

Snow Basin:

Access road $14.96 MUS 89 and I-84:

Interchange $12.40 M

Winter Sports Park:

Access road $4.11 M

Soldier Hollow:Access road $11.17 M

SR 248:

Reconstruction $11.84 M

Silver Creek and

Kimball Junction:

Interchanges $42.42 M

*

*

*

**

Kimball Juct.

Silver Creek

West Valley I-215 and

3500 South Ramp: $1.66 M

I-15:Reconstruction $426.14 M

Olympic ITS:

Expansion $27.96 M

University of Utah:

Pedestrian land bridge$3.79 M

5

4

Source: DOT officials.

Figure 2.5: Locations of FederallyFunded Roads, Highway, and TransitProjects for the 2002 Winter OlympicGames in Salt Lake City


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According tostateofficials, theseroadandhighway projectswerepartofUtahs long-rangetransportation improvementplan, buttheprojectsreceivedpriority considerationtoensurethatthey werecompletedbeforethe 2002 Winter Olympic Games. Asshown in figure 2.5, the largestand

mostcostly oftheprojects isthereconstructionofa 15-milestretchof U.SInterstate I-15 thatrunsthrough SaltLake City. Thetotal costtorebuild I-15 isestimatedat $1.4 billion, withtheestimated federal sharetotaling

about $426 million. Theotherprojects includewidening ofroadsthat leadto Olympic venues, thereconstructionofbridgestoenhance venueaccessandsafety, andthe installationofanautomatedtrafficmanagementsystem.

Inaddition, DOT officialsalsoreportedabout $353 million in federal

funding andsupport for SaltLake Cityssurfaceandairtransportation-relatedsystemsasbeing Olympic-related. Specifically, approximately $229millionof federal funding wasused forthedevelopmentandconstructionof SaltLake Citys North-South light-rail transitsystem, which, accordingto Utahofficials, formsthebackboneoftheplanned, downtown-portionothe Olympicspectatortransportationsystem, (see fig. 2.5). Thissystem

wasrecently completed, andthe Utah TransitAuthority recently obtainedapproval foranadditional $91 million in federal funding toextendthissystemtothe University of Utah, whichwill housethe Olympicathletes.Additionally, local transitagenciesareplanning touseabout $9 million in

federal funding toconstruct intermodal centers, about $4 million in federafunding to improvecommuterrail service, andabout $4 million foranIntelligent Transportation Systemupgrade. These local transitagencieshavealready spentover $5 millionontransitstudies. Moreover, theFederal AviationAdministrationplanstospendabout $16 milliontopurchaseandupgrade facilitiesattheairport inpreparation forthe Game

AsofApril 2000, twoother federal agencies, theForest ServiceandthePostal Service, plannedmajorcapital improvementstobecompleted intime forthe 2002 Winter Olympics Games. Specifically, theForest Serviceplanstospendabout $8.9 million forcapital improvements in

campgroundsandtrails inthenational forestrecreational areastobetterservetheexpected increase inthenumberof visitorstothe Utahnationalforestsduring and following the Games. ThePostal Servicealsoplansto

spendabout $4.7 millionto improve itspostal facilitiestobetterservethepublicduring the Games.

Similartowhenthe 1984 and 1996 Summer Olympic Gameswereheld inthe United States, legislationhasbeen introducedauthorizing aCommemorative CoinProgram forthe 2002 Winter Olympic Games.

About $14 MillionPlannedfor Other CapitalImprovementProjects


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NoGovernmentwidePolicyonFederalFundingandSupportoftheOlympicGamesWhenTheyAreHostedintheUnitedStates


Althoughthe federal governmenthashistorically supportedthehosting ofOlympic Gamesby a U.S. city, a governmentwidepolicy ontheroleofthefederal government intermsof funding andsupporting the Gamesdoesnoexist. TheAmateur SportsAct, theonly governmentwide legislationthat

addressesthe Olympic Games, wasnotenacted forthispurpose. TheAmateur SportsAct gives USOC, among otherthings, exclusive jurisdictiooverall matterspertaining totheparticipationofthe United States intheOlympic Games, including therepresentationofthe United States insuchGamesandtheorganizationofthe Olympic Gameswhenthey areheld inthe United States.

Inaddition, USOC, notthe federal government, selectsthe U.S. city thatmay presentabidtohostthe Olympic Games. Once USOC selectsthe U.S

city, asamatterof formality, thePresidentofthe United Statessubmitsalettertothe IOC encouraging theselectionofthe U.S. city tohosttheGames. Althoughthe federal government isnot formally involved intheselectionprocess, ifthe U.S. city isawardedtherighttohostthe Games, iis likely thatrequests fromstateand local governmentsand Olympicorganizing committees for federal assistancewill be forthcoming. Such

federal assistancehasbeenneededbecausethecostsassociatedwithplanning andstaging the Olympic Gameshave farexceededthe financialresourcesoftheseentities.

Underthe IOC hostcity contract forthe 2002 Winter Olympic Games, SaltLake City and USOC, notthe federal government, areresponsible fororganizing the Games. Thecontractstates, inpart, that SaltLake City,SLOC, and USOC shall be jointly responsible forall commitmentsconcerning theorganizationandstaging ofthe Games, withtheexceptionof financing the Games. Financing the Games istheresponsibility ofbothSaltLake City and SLOC. Inaddition, organizersofboththe 1984 and 1996Summer Olympic Gamesstatedthatthey werededicatedtohosting theGameswithrevenue fromprivatesources. Specifically, inthecaseofthe1996 Summer Olympic Games inAtlanta, ACOG officialssaidthattaxpayerswouldnotbeaskedtopay forthe Olympic Games. Theorganizers forthe 1984 Summer Olympic Games inLosAngeleshavealsomadesimilarstatements.

Themajority oftherevenuetoorganizeand financethe Olympic Games isgenerated fromtelevisionbroadcastrights, corporatesponsorships, ticketsales, andproceeds fromthesaleof Olympicmerchandise. Althoughthesecombinedsourceshaveproducedsignificantrevenue forthe Games, itgenerally was lessthantheamountrequiredtohostthe Games, inpart,becausetherevenuesweretobedividedamong the Olympicorganizing

Federal GovernmentEncourages SupportofOlympic Games, butNo GovernmentwidePolicy Exists


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NoGovernmentwidePolicyonFederalFundingandSupportoftheOlympicGamesWhenTheyAreHostedintheUnitedStates


committee, USOC, andthe IOC. Forexample, forthe 2002 Winter OlympicGames, revenue fromthesaleoftelevisionbroadcastrights istobedividebetween SLOC andthe IOC. SLOC isscheduledtoreceive 60 percentofthtelevisionbroadcastrevenue, andthe IOC istoreceive 40 percent.

Tosupplementtherevenuereceived fromtelevisionbroadcastrights,

corporatesponsorships, andothersources, the Olympicorganizing

committeehashistorically maderequeststothe federal government forassistance. Forexample, includedon SLOCsstaff isaVice-PresidentofFederal Governmentrelationswho isresponsible forcontacting officialsatheWhite House, federal departmentsandagencies, aswell asMemberso

Congress, toobtain federal assistanceasneeded forthe Olympic Games.ACOG alsohadasimilarpositionon itsstaff forthe 1996 Summer OlympiGames.

Asdiscussed inchapter 2, the federal governmenthasprovidedorplanstoprovideacombinedtotal ofabout $2 billion(in 1999 dollars) forthe 1984

and 1996 Summer Olympic Gamesandthe 2002 Winter Olympic Games.However, this funding andsupporthasbeenprovided inanadhocmanneby asmany as 24 different federal agencies forprojectsandactivitiesranging fromsafety andsecurity activitiesto venueconstructionbecauseno governmentwidepolicy existsthatspecifically governstheoverall roleandresponsibilitiesofthe federal governmentwithrespectto funding and

supporting the Games. Moreover, there isnorequirement forany federalagency tooverseeandmonitortheappropriatenessofthe federal fundingandsupportofthe Olympic Games.

In fact, we foundthatonly a feweffortshavebeenmadetocoordinatethefederal governmentsoverall involvementwithprojectsandactivitiesrelatedtohosting the Olympic Games inthe United States. OneeffortincludedtheestablishmentoftheWhite House TaskForceonthe 2002

Winter OlympicandParalympic Games, whichwascreatedby thePresidenton September 25, 1998. This interagency taskforce includesrepresentatives fromabout 27 federal agencies, ischairedby theVicePresident, andwasestablishedtoessentially coordinate federal activitiesinvolved inhelping toprepare SaltLake City tostagethe Games. TheAssistanttothePresidentand Cabinet Secretary andtheAssistanttothePresidentand Directorof Intergovernmental Affairsserveas vicechairs.Th

Documents

2002 GAO Report on the Salt Lake City Olympics