‘Far less risk’ in Calgary bid for Games, IOC says
International Olympic Committee officials said a potential Calgary Games bid would be a low risk, in response to questions from the city’s business community Tuesday.
Olympic Games executive director Christophe Dubi told a Chamber of Commerce audience that Calgary is “not starting from scratch” on a potential bid expected to cost at least $4.6 billion.
“You’re starting from a very strong basis,” he said. “This project has far less risk than many others because you start from known elements.”
Dubi and Hannah Burns, Olympic Games and candidatures head of promotion, joined Calgary 2026 chair Scott Hutcheson on a panel
that fielded questions on issues including a Calgary plebiscite, costs and the potential economic legacy of hosting the Games.
On the issue of a plebiscite, Dubi told the sold-out event there would be “no harm done” if Calgarians opt not to proceed with a 2026 bid.
“If the citizens do not wish to bid for the Games and continue the candidature, well, we’ll continue with the other cities,” he said.
Hutcheson said more specific numbers associated with the potential bid are expected to be vetted by all three levels of government in September.
“I’m not concerned about running out of time,” he told reporters. “I want to make the numbers right and I want to get the numbers agreed upon.”
The deadline for bid books is January 2019. IOC members will vote on a host city in the fall of 2019.
Erin Waite with the group No Calgary Olympics commended the IOC for coming to the city and answering “tough questions,” but said residents need to be the ones to decide “what’s right for Calgary.”
“We do absolutely need to know what this is going to cost Calgarians, and those cost overruns will be carried by Calgarians and there have always been cost overruns,” she told reporters.
She called the Olympics “the riskiest megaproject” that any city can take on.
Dubi said the next steps in the process include an IOC session Oct. 31, when certain projects will be selected to move on to the candidature process.
Last week, a city council committee approved an additional $5 million to decide whether Calgary should pursue a bid for the 2026 Winter Games. Part of the funding will go toward a public engagement program to start in September.
An initial estimate in June 2017 pegged the cost of hosting at $4.6 billion, with Games revenue covering almost half. Since then, the IOC committed to giving the successful 2026 host city US$925 million (C$1.2 billion) in cash and services to lower costs.
The 2010 Winter Games in Vancouver and Whistler cost roughly $7.7 billion.
Dubi was asked why the IOC doesn’t offer more money and assume more financial risk for the 2026 bidders.
He said the IOC gives 90 per cent of its revenues to host cities, national Olympic committees such as the Canadian Olympic Committee, and international sports federations.
The IOC’s reserve fund is insurance against the possible cancellation of a Games, in which case the organization would lose revenue.
“The organization won’t provide a financial guarantee for a Games in the event of a deficit simply because the Games are organized by you, Calgarians,” Dubi said.
“We are not responsible for the actions that are decided on a dayto-day basis. We cannot be financially responsible for actions that are the fact of the (other) parties.”
We are not responsible for the actions that are decided on a day-to-day basis.