Report says true costs are double initial estimates when port expenses are included.
February 21, 2014
Bad financial news for promoters shopping the next America’s Cup to potential U.S. venues: A new report in the San Francisco Chronicle says AC34 cost the California city about twice as much as initial figures indicated.
The reason for the increase is the inclusion of expenses for the Port of San Francisco, costs that were omitted from previous reports. With the port expenses added, the total tab for the host city was $11.5 million.
About $6 million of that reportedly came from the city’s general fund. The rest was absorbed by the port’s budget, which is based on revenue from use, not local tax dollars.
Currently, AC34 winners Oracle Team USA are talking with officials in multiple venues about hosting AC35. San Francisco has been mentioned as a possibility along with San Diego, California, and Maui, Hawaii.
Oracle Team USA owner Larry Ellison also is working with the island of Lanai, Hawaii, to bring eight yachts used in AC34 there for charters by high-end visitors. The yachts reportedly will be based at the Manele Small Boat Harbor near Pineapple Island after docks can be expanded to receive the multihulls.