Lawyer of US Grand Prix Richard Suttle says Austin City Council might scrap project – Formula 1 news
Lawyer of US Grand Prix Richard Suttle has said that the organisers admit the Austin City Council has the power to scrap the event if they want.
“There is a distinct possibility that if this process doesn't work, that the project and the 1000 people that are working right now, their jobs could be in jeopardy and the event could be in jeopardy,” Suttle said.
The event is expected to take place in July 2012 according to the official report released by the organisers of the sport but it seems that due to some financial concerns, the event might be in jeopardy.
According to some reports, it has been revealed that the council members recently came to know that they must approve the $25 million funds which will be used by the organisers of the venue. Following their approval, the Texan government will then provide the funds to the organisers.
This is going to involve the City of Austin as they are going to contribute $4 million to the Major Events Trust Fund.
“Apparently there is no plan B. I think that is an interesting assumption to make that something like that is going to be approved,” said one of the members of the Austin City Council.
The first $4 million will be paid by the organisers of the sport themselves which will be later funded by the tourist activities visiting the place in future.
The organisers of the race took this huge gamble as the approval of the plan is in the hands of the council completely.
“We are hoping that it's not just a bet, it's a confidence in our city that they will realise what a benefit this will be for our community and our region,” said Suttle.
The mayor of Austin Lee Leffingwell also admitted that this was a huge risk for the organisers since the decision is in the hands of the council and if they decide to disapprove the event, then the property of the Austin, Texas track will be used for some other purpose.
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