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IOC selection of Olympic host could impact region significantly
Posted by:
shorefan on
September 28, 2009 at
1:00PM EST
![]() In this photo taken on Sept. 21, 2009, a tour boat passes under an 2016 Olympic banner spanning the Michigan Ave. bridge in Chicago, one of four sites being considered for the 2106 Games. Chicago's strength lies in its simplicity, a compact plan that keeps athletes close to their venues and President Barack Obama, a charismatic and well-regarded figure internationally whose permanent home—not where he currently lives—is a short walk from the planned Olymnpic stadium. (AP Photo/Kiichiro Sato.) The final countdown is under way, as the world will learn later this week if Chicago is going to host the 2016 Olympics. The International Olympic Committee is scheduled to meet Friday in Copenhagen to announce the results of its vote for the site of the 2016 Summer Games. Chicago could be the first U.S. city to host the Olympics since Atlanta in 1996, but it faces strong opposition from fellow candidates Rio de Janeiro, Madrid and Tokyo. The IOC decision certainly will affect Chicago, but there’s also much at stake for Northwest Indiana, said Michael Murnane, director of ethnic and regional outreach for Chicago 2016, the organization that’s spent the past couple years working to generate support for Chicago’s bid. If Chicago is selected, Murnane said the region could benefit from significant business opportunities aside from the expected surge of customers for local hotels and restaurants. “We’ll probably look to Northwest Indiana to see what the interest is for some park-and-ride facilities,” he said. “Also, training facilities (will be needed). There are several colleges and community colleges (in the region). There were 202 countries that competed in Beijing, and each country has 40 to 60 Olympic and Paralympic teams. There will be a lot of people looking for provided practice facilities. The city of Chicago does not have the capacity to host all the private practice facilities.” But not everyone wants the Olympics to be brought to Chicago. Tom Tresser, of No Games Chicago, a grassroots activist group that opposes Chicago’s bid, dreads the prospect of an Olympics bust. “We think it has the potential to bankrupt the city, ruin our credit rating and raise our property taxes, because historically, the Olympic projects go way over budget,” Tresser said. “It just spells disaster for taxpayers.” Murnane, however, insists Chicago’s 2016 budget is sound, citing the findings of a third-party audit as evidence. “I think it’s good that things are monitored and checked, but I think their concern is probably more on the cautious side than it needs to be,” Murnane said. “Olympic Games in the United States have made money. They’ve all made a profit, and we don’t want to be the first one that doesn’t.” No Games Chicago also questions whether proposed Olympic venues will be built at the expense of public parks, Tresser said. Chicago 2016’s plan calls for five new structures, including an Olympic Stadium in Washington Park that will seat about 80,000, and 11 temporary installations to be built. Eleven existing sports venues are included in the proposal. There’s also an overwhelming concern the city’s transportation system won’t be able to support an influx of large crowds. “Our infrastructure, most notably our mass transit, is just not up to the task,” Tresser said. “It barely works for us today. How can it handle an extra million people?” A new fleet of buses would be used to double the city’s transportation system, Murnane said, adding that Chicago 2016’s safety plans have been in development with the assistance of federal agencies for more than two years. “This could be the next great thing to happen to the city of Chicago,” Murnane said. “It’s not just jobs, not just economic development, but . . . there’s the civic pride of being an Olympic city. “And it’s not just the city. It becomes the area around it. There will be volunteers from Hammond, Ind., and all parts of Northwest Indiana that work on the Olympic Games in Chicago, and they’ll never forget that.” 2016 Olympics Bid City CapsulesChicago The IOC said Chicago’s proposed financing presents a risk. The city set a $750 million cap on guarantees to cover a shortfall in the organizing budget. Overall, the budget is “ambitious but achievable.” Chicago must generate $1.83 billion in revenue from sponsors. The bid placed a “heavy financial reliance” on the organizing committee to deliver infrastructure and temporary venues. However, Chicago demonstrated “thorough planning and a full understanding of the complexity” of its venue plan, including temporary arenas in public parks. The IOC questioned the ability of Chicago’s public transport links and traffic control plans, especially around McCormick Place. Although the Olympic site was compact, it relied on a “significant increase” in the capacity and use of public transport, including doubled peak-time demand on the rail system. This could be a “major challenge.” On security, the IOC welcomed the federal government taking “full financial and operational responsibility.” But it called for a clearer description of how the city and organizing committee would share roles and responsibilities to ensure the committee was not overburdened trying to deliver infrastructure. Madrid Madrid enjoys the strongest public backing in IOC polls, with 84.9 percent of residents supporting the bid and only 2.8 percent strongly opposed. But the bid team suffered from showing the IOC it did not fully understand the roles and responsibilities of delivering a complex, multisports event. The confused management structure “could result in organizational and financial challenges,” the IOC said. Madrid’s concept is “highly compact” and efficient with 23 of 33 venues in place and two more venues already being built. The IOC questioned whether Spanish anti-doping laws complied with the World Anti-Doping Agency code. The issue was “important” to resolve. Rio de Janeiro Rio has “strong” public support in IOC polling, with 84.5 percent of residents in favor of the bid and only 4 percent strongly opposed. City, state and federal governments have guaranteed to finance the infrastructure costs and cover any potential shortfall in the organizing budget. Brazil’s hosting of football’s World Cup in 2014 will “accelerate infrastructure delivery” in Rio. However, hosting the world’s two biggest sports events within two years presents a “challenge” to marketing and communications strategies. Rio has accommodation issues with a shortage of hotel rooms. It plans to use four villages and six cruise ships to house people. With public safety and crime levels a concern, Rio is praised for achieving positive results from engaging communities in social and sports programs. Tokyo Praise and criticism for Tokyo follow consistent themes: Financing is secure, but public support is relatively low. The city government has financially guaranteed the games and set aside a $3.7 billion reserve fund. National and city governments have guaranteed to finance infrastructure and cover any potential shortfall in the organizing budget. Tokyo has the lowest public backing in IOC polls, with 55.5 percent of residents supporting the bid and 7.8 percent strongly opposed. Tokyo also faces challenges to control traffic around the athletes’ village and Olympic Stadium, and there’s concern about the size of land area available to build the Olympic Village. – By Graham Dunbar, AP Sports Writer
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BusINess magazine is Northwest Indiana's only local business magazine where professionals go to connect with other professionals. The Times Media Company has been a key leader in our region for over 100 years. We work here, we live here and we know the community. We deliver critical trends, strategies and information to over 6,400 businesses and 12,000 executives and decision-makers in the tri-state area. BusINess formats include our magazine 5 times per year, a weekly e-newsletter, recognition programs and off-the-record conversations with key individuals in the news.
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