Arguments have arisen between the state and federal governments over the Brisbane Olympics.

Federal MP Ted O’Brien, who is set to co-ordinate the preparations, threatened to pull out of a joint funding arrangement for the $5 billion event after he felt the Queensland Government was trying to “stack the deck.”

Anastacia Palaszczuk can choose up to nine directors for the organising committee, while the commonwealth is permitted to allocate only four.

Mr O’Brien says this would give the state an “extraordinary amount of power” as he urges for the selections to be split evenly. 

Yvette D’Ath, Queensland government minister, described the threats as “embarrassing” but said she was pleased he stepped back from them.