On Nov. 6, Dallas voters will have an opportunity to go to the polls and decide if the 2012 Olympic bid will continue to have Dallas as a contender.
During the site visit by the United States Olympic Committee (USOC) this past spring, the subject of a financial guarantee was discussed. The Dallas 2012 Committee has secured $150 million in pledges from the private sector to be used if there should be a shortfall in revenue from the 2012 Games.
The USOC thought that was great, but they require a government guarantee from the government in which the games are being held for the bid to be considered complete. The Texas State Legislature in 1999 passed legislation for a trust fund to be established to act as a guarantee for the Olympics or the Pan American Games (in San Antonio) should a Texas city with more than 850,000 people win the right to hold those games.
This Trust Fund would only be funded with sales tax revenue from the sale of merchandise, tickets and other Games-related items, such as construction of venue sites. The decision about which items would be included in the eligible list will be decided by the State Comptroller. The Trust Fund will be capped at $100 million with $14 million of those dollars being designated from the local city with the remaining $86 million from the State of Texas.
But in order for the Trust Fund to be set up, the Legislature requires the hosting city to pass a referendum supporting its establishment.
Dallas County is already having an election on Nov. 6 and has agreed to put this one item on the ballot at no additional cost. The only additional costs are for polling places outside Dallas County but inside the City of Dallas, and these will be paid for with private funds. It is important to hold the election on this date because the USOC wants all bids in by Nov. 30.
It is important to note that in the event of a shortfall of funds from the games, the original $150 million that is pledged by private sources would be utilized first and only after those were exhausted would the $100 million in the trust fund be used.
Last year, Houston passed a resolution supporting the Trust Fund, and Dallas must pass one to remain in contention. I believe that three months is plenty of time to debate the merits of this item fully and invite any questions you might have. Dallas could enjoy several billion dollars worth of improvements if chosen to host the 2012 Olympics.
I voted to put this item before you on Nov. 6, and I will vote for it at that time and encourage you to do so.
