Expense numbers surrounding the cost to host the game can be added up to a to a large, impressive Billion dollar number, that is easily misunderstood. Here is a partial breakdown of them:
1) The expense to bid for the Games
This is around $2.5 Million per year for 5 to 10 people to promote the City to the USOC and internationally to the IOC. Exploratory Committees and Bid Committees can spend much more, if they can raise the funds, from wither private sources, or from their government. It could also be viewed as a City Marketing expenditure to showcase the city and dispel outdated myths of the city.
2) The cost for the Host City committee to host the games.
The IOC gives the Host City an average of $700 Million to host the games. This $700 Million number is a combination of television broadcast rights, and Joint Venture marketing rights with major corporate sponsors. In addition, the Host City ticket sales income can range from $185 Million, to $850 Million. A Host City could host the Games with $2 Billion Revenue. This is revenue, not expense.
The combined revenue of the Games can vary from $1.3 Billion to $2.4 Billion. This is revenue to the Host City Organizing Committee, not expense to the City. You can view the source of these numbers at the IOC's website, or here.
3) The Capital Project cost the city would expense to set up the necessary facilities to host the games.
A list of $600 Million projected Tulsa Capital projects that the Games could be a catalyst to complete can be viewed here. These are expenses the IOC does not pay for from the Revenue generated in the above paragraph. Cashflow through the local economy could generate the taxflow to pay for these Capital Project expenses.
Undeveloped countries need to build venues, roads, bridges, and fiber optic telecom systems. Undeveloped countries capital expenses will be much higher than developed countries to host the Games.
Developed countries already have roads, bridges, fiber optic telecom systems, and other facilities in place to host the Games, so their Capitol expenses will be much lower than an undeveloped country.
Tulsa, Oklahoma is in a developed country, with one of the largest fiber optic networks in the country. Tulsa has two more venues in place than Atlanta did during their bid phase. Tulsa does not need to spend Billions on Capital Projects; rather, the Games could be a catalyst to get $600 Million in completed planned Capital Projects