Los Angeles City Controller Kenneth Mejia has issued a subpoena demanding increased financial transparency from LA28, the organizing committee for the 2028 Summer Olympics. The subpoena, issued under the authority of the City Charter on a Friday in October 2023, seeks detailed financial records, including bank statements, information on venue construction, and contract sizes with third-party vendors. Mejia’s action follows months of requests for the same data, which LA28 has declined to fully provide.
The request is grounded in the 2021 agreement that governs the relationship between the City of Los Angeles and LA28, which obligates the organizing committee to submit comprehensive annual financial reports to designated city officials such as the mayor, city attorney, and top administrative officers. Mejia emphasized his responsibility to protect taxpayer funds and his intent to use his full legal powers to evaluate the city’s potential financial risks related to hosting the Games.
LA28 representatives have stated that while they have not made all requested information publicly available, they have supplied it to certain city officials, including Mayor Karen Bass and other top administrators. However, concerns have been raised about the level of detail and completeness of these disclosures. An independent review found that reports contained vague references and omitted specifics about progress on approximately two dozen venues across Greater Los Angeles and details of contracts exceeding $1 million, including those related to security and ceremonies.
The financial stakes are significant given the city’s contractual obligation to cover any losses incurred by the Games. Under the current deal, Los Angeles faces exposure to the first $270 million in losses, the state of California would cover an additional $270 million, and the city would be responsible for any losses beyond $540 million. This arrangement has underscored the need for rigorous oversight.
LA28 officials have reported revenues from corporate sponsorships and ticket sales exceeding initial projections and maintain that the Games remain financially on track to be profitable. They have pledged that any excess revenue will support youth sports programs in Southern California. Despite this, some city officials have expressed concerns about limited financial transparency.
The City Council accepted LA28’s annual reports in recent years without major objections, although staff members including the city’s chief administrative officer and legislative analyst have sought more detailed information in recent months. LA28 cited fears that disclosing contract details might jeopardize future partnerships and sponsorships.
City officials beyond the controller’s office have largely remained reserved on the matter, but Mayor Karen Bass publicly supports increased financial transparency. The City Attorney’s office also endorsed the controller’s pursuit of additional records to better understand LA28’s finances and the associated fiscal risks for Los Angeles.
The subpoena represents an escalation in the ongoing efforts to ensure accountability and public trust ahead of the 2028 Olympics, highlighting the complex balance between operational confidentiality and the public’s right to information when public funds and liabilities are involved.