Wednesday, March 05, 2008

Cost of Youth Day blows out to $150m

THE cost of staging World Youth Day in Sydney has escalated, climbing to $150 million after originally being budgeted to cost $100 million, the Sydney Catholic church has disclosed.

In a confidential briefing to diocesan priests last week, the archdiocese revised to $150 million its budget for the July event, billed as the largest religious gathering in Australian history.

The new estimates include government cash grants but not provision of in-kind services including visa processing for pilgrims, the Pope's security, policing, sleeping accommodation at public schools and emergency health care worth more than $20 million.

Nor does it include the $41 million in compensation provided by the NSW and federal governments to the Australian Jockey Club and the racing industry to secure the use of Randwick Racecourse for the overnight vigil Mass to be attended by Pope Benedict XVI on his first visit to Australia.

In a prior note to priests, the church has made it clear it considers only a small proportion of the overall racing package to be directly related to World Youth Day activities.

Sydney's Catholic priests have been told that the bulk of the $150 million - four dollars in every five - will go towards providing accommodation, meals and care for more than 200,000 local and international pilgrims and the staging of major events including the opening and closing Mass.

Pilgrims' registration fees - which vary according to source country and accommodation needs - will meet about half of all costs. The rest is to be made up by federal grants (20 to 24 per cent), the church and donors (18 to 22 per cent) and business partners and sponsors (8 to 10 per cent).

In the briefing paper, obtained by the Herald, the church denies it is making a profit from hosting World Youth Day. Instead it is expected to contribute $15 million towards the staging costs and has ruled out any special parish taxes and levies.

"[The Archdiocese of Sydney] has budgeted to make a substantial contribution towards the costs of World Youth Day," the briefing paper states. "It is doing this because it shares the Holy Father's belief that World Youth Day will make a substantial and ongoing contribution to Australia's, and the world's, Catholic youth.

"In excess of 200,000 pilgrims are likely to require accommodation, meals and care throughout the week of WYD08. We need to establish suitable accommodation arrangements and up to 300 venues for catechesis.

"In addition to the care of pilgrims we need to establish a number of major sites for the pilgrims and Sydneysiders to participate in WYD08 events including the Pope's arrival, the opening Mass, the Stations of the Cross as well as the evening vigil and final Mass. We must then cover the costs of actually producing those events at those sites."

Defending taxpayer contributions, the briefing paper tells priests that the costs to taxpayers of staging the Olympic Games and the Asia-Pacific Economic Co-operation forum were substantially more, and that government support for World Youth Day was nowhere near the $900 million provided for the Melbourne Commonwealth Games.

In addition to the immediate economic benefit from tourism and commerce, World Youth Day would showcase Sydney and Australia in a way that would contribute to tourism and industry for decades to come.

"Almost all our leaders - of whatever religious and political affiliation - also recognise that beyond the hugely positive economic impact, there is great social value in offering young people spiritual values and ideals, hope and reason to celebrate," the document says.

Asked if costs could rise again, a spokesperson for the church said: "The budgeted costs for WYD08 are closely linked to anticipated pilgrim numbers and based upon a thorough analysis of unit costs. Wherever possible, we plan to make commitments incrementally as final numbers become more certain.

"This approach will minimise the likelihood of any unexpected budget variation."
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