Los Angeles taxpayers could face significant, undefined costs as the city prepares to host the 2028 Summer Olympic and Paralympic Games. Negotiations between the city and the LA28 organizing committee regarding financial responsibility for “enhanced city resources” – services beyond normal operations required to host the Games – are ongoing and, as of February 18, 2026, remain unresolved.
Financial Concerns Mount
The core of the issue centers around an “Enhanced City Resources Master Agreement,” or ECRMA. This agreement is intended to clarify what the LA28 committee will cover financially and when. The deadline for signing the ECRMA was October 1, 2025, but it remains incomplete.
Without a finalized ECRMA, the city lacks firm cost estimates for essential services like police, sanitation, fire department, and transportation. The potential financial burden extends beyond Los Angeles, as other host cities, including Inglewood, may also incur “enhanced city resource” costs.
Complicating Factors
The situation is further complicated by uncertainty surrounding security expenses. While the federal government has allocated $1 billion for security, the scope of the secure areas around venues – and who will pay for security outside those zones – remains unclear.
The opening ceremony is scheduled for July 14, 2028, and the Games will continue through July 30, followed by the Paralympic Games from August 15-27. This month-long event is anticipated to draw a massive influx of visitors.
Recent Developments
The negotiations have been further impacted by controversy surrounding LA28 Chair Casey Wasserman, whose name appeared in documents related to Jeffrey Epstein. Initial reluctance from Los Angeles Mayor Karen Bass to comment on the matter was followed by a call for Wasserman’s resignation from the LA28 board, after the board itself found no reason for him to step down.
Looking Ahead
The state of California has limited its financial exposure, and the federal government has committed funds for security. However, the city of Los Angeles remains in a precarious position, still attempting to finalize the ECRMA without concrete cost estimates. The City Council will continue to raise questions regarding sustainability, social justice, and local business opportunities. It is also possible that negotiations will continue to stall, leaving Los Angeles taxpayers vulnerable to unforeseen expenses.
Frequently Asked Questions
What are “enhanced city resources?”
Enhanced city resources are any city services or resources that proceed beyond what the city normally provides in its day-to-day operations, and will be needed because of the Olympic Games.
What is the ECRMA?
The ECRMA, or “Enhanced City Resources Master Agreement,” is supposed to make clear what the LA28 committee will pay for, and when.
What is LA28’s stated funding model?
LA28 describes itself as independently operated by a privately funded, non-profit organization with revenue from corporate partners, licensing agreements, hospitality and ticketing programs and a significant contribution from the International Olympic Committee.
Given the ongoing uncertainty, what level of financial risk are Los Angeles residents willing to accept to host the 2028 Olympic and Paralympic Games?
