LVCVA approves $40M commitment to host 2024’s Super Bowl LVIII

The Las Vegas Convention and Visitors Authority has made a $40 million commitment to host the Super Bowl in 2024.

The unanimous approval of the expenditure by the LVCVA’s board of directors Tuesday for Super Bowl LVIII was the largest noncapital amount ever spent for a single event by the LVCVA, although the board previously committed $80 million in a 20-year deal for naming rights to Las Vegas Ballpark.

LVCVA President and CEO Steve Hill also announced that the nonprofit organizing committee, Las Vegas Super Bowl Committee LLC, has hired Sam Joffray of New Orleans as the committee’s executive director and first employee.

Hill said Joffray, senior vice president of the Greater New Orleans Sports Foundation since January 2000, will move to Las Vegas and will hire around 10 people in his first year. More are expected to be hired after 2023’s Super Bowl LVII in Glendale, Arizona, has concluded and attention is handed off to the Las Vegas game.

The NFL’s championship game is scheduled for Feb. 11, 2024, at Allegiant Stadium. The game is expected to deliver more than $571.9 million in economic impact and 4,597 full- and part-time jobs, which was the amount Super Bowl LV produced for the Tampa, Florida, area when it hosted the game last year.

After Tuesday’s meeting, Hill said he was assured the economic impact of the game on the city would be at least a half-billion dollars but could be higher.

“Vegas is a platform for putting on major events like this and this city is great at it,” Hill said. “So there’s plenty of time for us to get ready, and it is going to be a spectacular Super Bowl.”

Hill also said the Super Bowl is going to create “an opportunity for Las Vegas to show off” and that more room tax revenue would be generated with the game in town than it would if fans came to view the game from the city’s multiple watch parties.

The Super Bowl isn’t Las Vegas’ first partnership with the NFL. The LVCVA board of directors in February 2020 approved up to $2.4 million to host the NFL draft in Las Vegas. The city was to host the draft in April 2020, but the outbreak of COVID-19 postponed that party until this year.

The board also approved up to $1.75 million in July 2020 to host the 2022 Pro Bowl, which will be played at Allegiant Stadium on Feb. 6.

The Super Bowl host committee, currently composed of nine community leaders, including Chairman Maury Gallagher, CEO of Allegiant Travel Co., may be expanded as the game date gets closer.

The committee is expected to spend nearly $60 million for game preparations and will need to raise $20 million in additional funds to go with the $40 million provided by the LVCVA.

The NFL has provided a $60 million budget based on experience with past Super Bowls. Hill said he believes the city will spend around $55 million for preparations with around $6 million in contingency funds available. Any cost overruns would be picked up by the NFL, Hill said.

It’s important to note that the host committee isn’t looking to spend money just for the game itself. At least a week of festivities will lead up to the game, including a Super Bowl Experience Fan Fest; a media center and media party for more than 6,000 working members of the national and international press covering the week from Las Vegas; “Opening Night” and “NFL Honors” live television broadcasts; a live entertainment and concert series; sponsor activations; corporate hospitality events; and other activities that will drive tourism to the city and cast an international spotlight showcasing Las Vegas as the sports and entertainment capital of the world.

The NFL has penciled out $20.8 million for direct operating costs. They include:

— $3.85 million in staff costs.

— $3 million in sponsorship fulfillment — collateral and promotional materials.

— $3 million toward public safety, including police, fire and emergency services.

— $2.7 million in advertising, marketing and decor.

— $1.65 million for media, public relations and hospitality.

— $1.6 million for other expenses like office space, professional services and insurance.

— $5 million for contingencies.

There’s also $39.2 million in event-related costs. Those include:

— $17 million reimbursement to the NFL.

— $6 million in stadium costs.

— $2 million for hotels and meeting spaces.

— $2.5 million for parking and transportation.

— $2.2 million for Super Bowl events.

— $5 million for tickets and suites.

— $1.25 million for volunteers.

— $750,000 for permits.

— $1.5 million for other expenses, including practice facilities, technology and an accreditation center.

— $1 million for contingencies.

The host committee is expected to sell corporate sponsorships to raise money. It also will have 750 game tickets at its disposal for sponsorship transactions and to raise money for committee expenses.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on Twitter.