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Bill Erases Legal Cloud Over Olympic Bonuses

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Times Staff Writer

The Assembly Thursday unanimously approved a bill by Speaker Willie Brown (D-San Francisco) aimed at removing a legal cloud over $2.6 million in bonuses given to unpaid workers in the 1984 Olympics.

A 70-0 vote sent the measure to the Senate without debate. Brown said Los Angeles Olympic Organizing Committee officials asked him to introduce the legislation because they want to close the books. He said the measure was not prompted by any immediate threat of lawsuits.

The LAOOC decided early in 1984 that it would reward outstanding volunteer workers with bonuses if the Summer Games turned out to be a financial bonanza.

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After the highly successful Games ended with a surplus that now stands at $225 million, the committee gave 3,600 volunteer workers $750 each.

But the attorney general’s office said this could be a violation of the committee’s articles of incorporation, which contain no mention of potential bonuses. LAOOC lawyers argued that the bonus payments were proper.

Would Authorize Payments

The Brown bill would authorize such payments. It would give qualified nonprofit amateur sports organizations authority to pay for services rendered by volunteers in connection with the staging of national or international amateur sports competition.

The bill would not affect the 6,500 bonus checks given to the committee’s paid staff, according to a Brown aide.

“They (the committee) are not concerned about any immediate lawsuits,” Brown said. “They do want to close the committee down. They can’t do that until they are certain there are no contingent liabilities. This bill removes those contingent liabilities.”

The bill zipped out of the Assembly Finance and Insurance Committee Wednesday with no negative votes and without opposition.

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Queried about the speed with which the bill moved, Brown quipped, “The action was as quick as Carl Lewis.”

Lewis won four gold medals--victories in the 100 meters, 200 meters, the long jump and the 400-meter relay.

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