America’s Cup Foggy Revenue Prospects
SAN FRANCISCO (KCBS)—While the first phase of the America’s Cup races is over and the finals are set to begin, it remains unclear whether or not the city of San Francisco has benefited from the hosting the event.
The America’s Cup Organizing Committee originally promised to raise $32 million to pay for the city’s costs of hosting races but then only four teams signed up and the fundraising goal dropped to $22 million. CEO Kyri McClellan said however, that even though only $16 million dollars has been raised so far, the city won’t come up short.
“Ever since this has been conceived it’s been a vision to make this city whole really through raising funds privately and applying additional tax revenue that generated from the event,” she said.
While McClellan claims that’s always been the understanding, Supervisor John Avalos disagrees.
“It was always the fact that they were going to raise money to offset the costs to the city and not use revenue from the event to get cost recovery from the city,” he said.
“Now they’ve moved the goal posts—or the bouys, whatever you want to call it.”
The America’s Cup finals begin on Sept. 7 when Oracle Team USA faces off against New Zealand’s emirates.
A post race analysis will be done to see if the $900 million in projected economic activity for San Francisco was anything more than wishful thinking.
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