Olympic funding effort gains ground
By Kathy Bergen
Tribune staff reporter
Published September 22, 2006
Warming to the idea of a 2016 Summer Olympics in Chicago, the city's business and civic leaders so far have chipped in $8 million of the $25 million in private financing the city needs to raise by March 31, 2007, to back its bid.
Patrick Ryan, the insurance executive heading Chicago's fundraising effort, disclosed the figures while addressing the Civic Committee of the Commercial Club of Chicago on Thursday, said Lester Crown, vice chairman of the organization. The event was closed to the public and press.
"He'll get the support he needs to," said Crown, chairman of Material Service Corp. and leader of one of the city's major philanthropic families. The donors were not identified.
Some outside observers say the progress is impressive, given that the formal bidding process began in June.
"The Olympic fundraising process for an aspiring city ... is one where you're always playing catch-up, trying to make believers out of non-believers," said Billy Payne, chief executive of the 1996 Atlanta Olympics and of that city's bid effort.
"In the first 12 months of our effort, eight of my friends and me, without corporate help, were the only investors in our effort," he said. "Then it started to gain momentum and traction, and people got all excited, and bam, it happened overnight almost," he said. "I suspect that's the way it will finish there."
The momentum comes after a period of wariness in the business community, and observers say it stems at least in part from the increasing flow of information about the plans, which were revised in response to suggestions from the U.S. Olympic Committee.
After months of keeping its cards close to the vest, the city is starting to unveil its evolving vision. On Wednesday, Mayor Richard Daley and Ryan announced plans to locate the main stadium, a temporary 95,000-seat arena, in historic Washington Park on the South Side, rather than on the downtown lakefront as first proposed.
Further details on venues are expected to be released shortly after the city submits revised plans to the U.S. Olympic Committee on Friday.
In its original bid submission this summer, the city committed to raising $5 million in private funds for the domestic phase of the competition, which pits Chicago against Los Angeles and San Francisco to be the U.S. bidder, should the USOC decide next spring to put forward a U.S. candidate.
And Chicago gave assurances that it could raise an additional $20 million from the private sector by March 31 to put toward an international campaign, should it be selected as the U.S. candidate.
"There was a great deal of enthusiasm among people at the program today," said R. Eden Martin, president of the Civic Committee. "Partly it was enthusiasm for sports ... and as Pat [Ryan] said, it's good for the long-term economic development of the city and region. It will do a lot for jobs and for development and improved transportation and for the reputation of the city internationally."
Ryan could not be reached Thursday.
But a spokesman for the Chicago 2016 Committee, which Ryan chairs, said, "We have had a robust fundraising effort. ... and we are confident we can raise the essential funds needed for the bid and for hosting the Olympic Games." The committee declined to discuss how much had been raised for the bid effort.
As well, it has not disclosed the potential costs of its revised plans for hosting the games. The original proposal called for $600 million in private funding for venue construction and for a private developer to take on construction of a $1.4 billion Olympic Village, which later could be sold as private residences and commercial space. The city has said the games would not burden taxpayers.
The 2016 committee did confirm that a number of major businesses have been working pro bono on the effort. They include architecture firm Skidmore Owings and Merrill LLP, consulting firm McKinsey & Co., law firm Sidley Austin LLP, public relations firm Hill & Knowlton, real estate firm Jones Lang LaSalle, insurance firm Aon Corp., and pharmaceutical firm Abbott Laboratories.
Ryan is executive chairman of Aon, while Miles White, another key member of the Chicago 2016 Committee, is chairman of Abbott.
Hill & Knowlton has worked on the Olympic efforts of Athens, Beijing and London. McKinsey is an Olympics veteran as well.
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kbergen@tribune.com
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