The wrong way for a city to make money sponsoring a street festival that attracts nonresidents

Image of the Arts, Beats & Eats Festival from the Mira Uncut blog and her Flickr photo stream.

A goodly chunk of the profit made by the City of Royal Oak, Michigan (which by the way, is one of the most successful examples of Main Street commercial revitalization in my opinion, and it is the town one over from where I went to high school) from the Arts, Beats and Eats Festival came from parking tickets, according to "Royal Oak expected to have net gain from Arts, Beats & Eats" in the Detroit Free Press. From the article:

Although critics said Royal Oak would lose money by holding the Arts, Beats & Eats festival during Labor Day weekend, officials will hear a report Monday night, showing the city expects a net gain of $51,619.

That amount comes after paying the promoter his 20% cut and after reimbursing the Downtown Development Authority the $100,000 it advanced to stage the four-day event, City Manager Don Johnson said today.

In addition, the city so far collected about $41,000 in parking tickets from festival goers who parked in posted areas of residential streets, according to Johnson’s report. After expenses, the city’s net gain from parking tickets is $11,266, Johnson said in the report to Monday’s City Commission meeting.

Although I will say that doesn't seem to be a very good net return, 25% after expenses, from the issuance of parking tickets.

On the other hand, ticketing people who are visiting your town for an event doesn't seem like one of the best ways to build repeat business and visits.