In February 2024, it was introduced that 16 cities in North America, together with Santa Clara’s Levi Stadium, residence to the San Francisco 49ers, would host six video games for the 2026 World Cup. However internet hosting video games for the World Cup is sort of expensive. Brazil nearly went bankrupt after spending $12 billion on now-unused stadiums for his or her World Cup internet hosting duties in 2014. Moreover, over the previous couple of years, large sporting occasions in Santa Clara promised “big economic payoff(s)”, such because the Tremendous Bowl and America’s Cup, but neither introduced nor created any new money or financial impact.
At the moment, different cities internet hosting the 2026 World Cup are seeing their prices rise to alarming ranges. Vancouver has seen their World Cup budget double. This implies prices for them might attain up to $600 million. Toronto officers initially advised the general public that it might price them between $30 million-$60 million. Now the price range for Toronto is slightly below $400 million. The town of Miami, normally budgets $10 million at any time when a Tremendous Bowl involves city, has requested roughly $60M for preparation of their World Cup video games. Contemplating how expensive the tickets will be for all of the video games, I might have thought that the cities could be making billions off the video games.
Nonetheless, none of this has stopped these internet hosting cities from claiming that they are going to nonetheless in some way defy the legal guidelines of economics and make billions off their internet hosting duties:
- Dallas expects to make $2 billion.
- New Jersey’s governor believes that estimates claiming that they are going to see $2 billion in financial impression is “understating it”. Why cease there? Perhaps they are going to see $4 billion? $10 trillion?
- Seattle believes their monetary windfall might be “at a minimum of $929M”…so slightly beneath $1B. Which is odd contemplating in 2022, they claimed that Seattle could make $100M off the 2026 world cup video games. That may be a large bounce.
- Los Angeles shouldn’t be as optimistic and claims that it’ll make $600M.
- Atlanta says it’s going to herald a little over $500M.
- Missouri and Kansas see their impression at around $630M.

Again to San Francisco. Final week, the San Francisco 49ers publicly vowed to cowl Santa Clara’s bills for the World Cup video games. The 49ers claimed that they’d use cash that they obtained from their NFL operations to cowl the prices. One estimate claims that it’ll price Santa Clara about $50M to stage the video games. The San Francisco Chronicle did a narrative on the Santa Clara Metropolis Legal professional privately acknowledging to the Metropolis Council that “Santa Clara would lose approximately $38 million from the FIFA games”.
Take into account that the general public in Santa Clara and San Francisco has been advised subsequent to nothing about native bills for internet hosting the World Cup video games. It was saved so secret that even some Santa Clara Metropolis Council members weren’t allowed to have a look at monetary paperwork given to town by FIFA. The mayor of Santa Clara advised the San Francisco Chronicle weeks in the past that “she has not yet seen agreements for the World Cup”.

However let’s watch out whether or not the 49ers will truly pay for a lot, if something in any respect. The mayor has tried to remind the general public that the 49ers promised to solely cowl all “approved costs”. That may be interpreted some ways, contemplating the terrible history between the 49ers and the mayor. SantaClaraNews.org brings up a great level on this problem: What occurs if the crew doesn’t pay all the prices? Ought to taxpayers belief a crew who promised in 2010 to construct youth soccer fields yet built VIP parking as an alternative? Or a crew that repeatedly pledged throughout stadium negotiations to pay their fair proportion of taxes but, even at this time, they pay nearly none?
Let’s have a look at the setup of every thing concerned with the video games coming to San Francisco. The Santa Clara Metropolis Council, most of whom have literally been given millions of dollars by the 49ers, agreed not too long ago at hand over the monetary duties of the World Cup video games to a nonprofit (began and run by the 49ers) known as the Bay Space Host Committee. Which means this nonprofit is taking up “all obligations, which includes event costs, public safety costs and stadium improvements”. The 49ers additionally pledged to be a “financial backstop if the nonprofit sports group can’t pay”.

Besides, there are such a lot of methods for the 49ers to get out of this promise:
- First, there are questions on whether or not this agreed is legally allowed because of the 2010 poll initiative known as Measure J. This protects Santa Clara taxpayers from their basic fund being raided for stadium-related bills. The mayor talked about this not too long ago however was shot down by the identical Metropolis Council members whom the 49ers gave hundreds of thousands to throughout election season.
- Second, this nonprofit desires town to pay for a “suite and 52 tickets”. Nothing sketchy about that.
- Third, this complete settlement is extremely written and complicated. The best way that the settlement defines a professional price is obscure. Contemplating how vital that it’s to get that truth right, it shouldn’t be tough to see that the 49ers did this deliberately. Is it any surprise that the 49ers made it an “odyssey” simply to get these paperwork? The Metropolis Legal professional admitted publicly that this settlement was put collectively to permit for “as little misunderstanding as possible”.
- Fourth, guess who decides what’s and isn’t a professional price? The non-profit, i.e., the 49ers, for the reason that settlement states that “the host committee decides which costs to approve”. How handy.
- Fifth, the best way that Santa Clara will get reimbursed is deliberately tough.
“This reimbursement course of is nothing like I’ve ever seen. It’s mind-numbing. It’s cumbersome, and it’ll paralyze our workers if we now have to argue over each bill. It can paralyze our workers. We’re a small metropolis. We are able to’t afford to take the time to try this” — Santa Clara Mayor Lisa Gillmor, Silicon Valley Voice, 12/11/24
As I stated above, this deal was completed quickly and intentionally by the 49ers. One former metropolis lawyer famous to the council that metropolis workers weren’t given “ample time” to evaluation any of the paperwork. Moreover, lots of the given paperwork had substantial redactions put in. If any metropolis chief desires to see the paperwork in full, together with the mayor, then all they should do is signal an iron-clad non-disclosure. Absurd.