A report due to be presented to Birmingham City Council Cabinet next Monday - which coincides with the three year anniversary to the start of the London Olympics - proposes to organise an official signing of the contract in the near future.

Mike Whitby, the Leader of Birmingham City Council, said: “This is an exciting development and a major step forward in our efforts to bring USA Track and Field to Birmingham and follows a lot of hard work on both sides.

"Attracting such a high profile team to the city for 2012 will be a major coup, underlining just why Birmingham is perfectly placed to stage training camps, given our ideal location, excellent sports facilities and experience in looking after the world’s best athletes following our successful staging of a huge number of major sporting championships."

Thanks to that reputation for hosting European and World track and field events, strong links were already established with the USA Track and Field team and an agreement for the team to base themselves in the Midlands was announced in March 2007 and first revealed on insidethegames.

Those links were further cemented with a Memorandum of Understanding (MoU) in February 2008.

Talks continued following last year’s Beijing Games as USA Track and Field reviewed their training camp requirements.

Now, based on the original MoU, the draft contract covers camp facilities, accommodation, IT and technical support, transportation, security, marketing and media, social programme, community and development programme and a friends and family programme.

Funding for the likes of transportation and security has been identified within the Council’s major events budget and improvements will be made to the Alexander Stadium facilities to ensure a lasting legacy.

It is estimated that it will cost Birmingham £400,000 to host the US team but officials believe that they will recoup £6 million in benefits.

The majority of the figure, £205,000, represents the provision of security for the visiting athletes.

A further £52,920 is the estimate for the cost of flying the team from America to Birmingham.

Marketing, PR and media costs will be £56,000, while the bill for a sports development programme in local Birmingham schools is £50,000.

The cost of providing training venues, including Alexandra Stadium, which hosted the British Olympic trials last year, is £25,000.

Birmingham is also courting a number of other high-profile teams, including Jamaica.