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U.S. Olympic Sports Could Receive Government Funding, Commission Hears

The Commission on the State of the U.S. Olympics and Paralympics (CSUSOP) held a public hearing on September 6, 2023, to discuss the future of Olympic and Paralympic sports in America. One of the main proposals was to create incentives for national governing bodies (NGBs) to increase participation in sports at the grassroots level, which could lead to government funding for Olympic sports.

The Problem of Unfunded Mandate

Tom Farrey, the founder of the Aspen Institute’s Sports & Society Program and a contributor to the 1978 Amateur Sports (Ted Stevens) Act, testified that the current policy that tasks the U.S. Olympic and Paralympic Committee (USOPC) and NGBs with selecting and supporting U.S. teams and coordinating and developing participation opportunities was an “unfunded mandate”.

Farrey said that the USOPC did not have the resources or the authority to do both, and that the money tended to go towards money-making stars headed for Olympic podiums rather than pushing for increased participation.

“It was an unfunded mandate,” Farrey said of the 1978 Act. “And within a few years, the USOPC was telling Congress explicitly that it can’t both get Americans off the couch and onto the podium, that it lacked the resources and the authority to do so. And they were right. And I think it’s time we listened.”

Farrey also said that most NGBs were not able to change their business model to prioritize mass participation and support for quality programs, as they were beholden to corporate sponsors more interested in media stars.

U.S. Olympic Sports Could Receive Government Funding

The Proposal of Grassroots Performance Plan

Farrey suggested that NGBs be required to create an annual Grassroots Performance Plan (GPP) that includes promoting participation in youth sports, among other things. The GPP would be reviewed by an independent panel of experts, who would award grants to NGBs based on their performance.

The grants would come from a new fund created by Congress, which would allocate a portion of federal revenues from sports betting, lottery sales, and other sources to support Olympic sports.

Farrey said that this would create a “win-win-win” situation for NGBs, athletes, and society, as it would increase access and opportunity for sports participation, improve health and well-being, and enhance national pride and identity.

The Reaction of Other Stakeholders

The proposal received mixed reactions from other stakeholders who testified at the hearing. Some praised it as a bold and innovative idea that would address the challenges faced by Olympic sports in the U.S., while others expressed concerns about the feasibility, accountability, and impact of government funding.

Sarah Hirshland, the CEO of USOPC, said that she was open to exploring new ways of supporting Olympic sports, but cautioned that government funding could come with strings attached and compromise the autonomy and flexibility of NGBs.

She also said that USOPC had already taken steps to reform its governance structure, increase athlete representation, and enhance transparency and accountability.

Nancy Hogshead-Makar, a former Olympic swimmer and the founder of Champion Women, an advocacy group for women and girls in sports, said that she supported government funding for Olympic sports, but only if it came with strict oversight and enforcement of Title IX, a federal law that prohibits sex discrimination in education programs that receive federal funding.

She said that many NGBs had failed to comply with Title IX and provide equal opportunities for women and girls in sports.

She also said that government funding should be contingent on NGBs adopting policies and practices to prevent and address sexual abuse and harassment in sports.

Michael Phelps, the most decorated Olympian of all time with 28 medals in swimming, said that he was in favor of increasing participation in sports at the grassroots level, but questioned whether government funding was the best way to achieve that goal.

He said that he was concerned about the potential bureaucracy and politics involved in government funding, and suggested that private sector partnerships and philanthropy could be more effective and efficient ways of supporting Olympic sports.

He also said that he hoped that any funding for Olympic sports would also include mental health services and resources for athletes, as he had struggled with depression and anxiety throughout his career.

The Next Steps for CSUSOP

The CSUSOP is an independent commission created by Congress in 2020 as part of the Empowering Olympic, Paralympic, and Amateur Athletes Act. The commission is tasked with studying various aspects of U.S. participation in Olympic and Paralympic Games, such as governance reforms, athlete participation levels, financial organization, diversity and inclusion, licensing arrangements, and international bidding efforts.

The commission is expected to submit a report with its findings and recommendations to Congress by March 15th 2024. The report will inform future legislation and policy changes regarding Olympic sports in the U.S.

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