One example of outrageous license fees is the amount that the city charges for trash pickup.... $255.00 per vendor! Lets see 1,500 vendors times $255.00 that equals $382,500.00 for trash pickup per a 10 day event! I hope my trash service does not get wind of this they only charge me $23.00 a month now. If you figure trash service the way Sturgis does I could be paying $1.020.00 a month for trash service. Then there is the City License Fee $345.00 for a 10 day temporary license. That equals out to $517,500.00 for 1,500 vendors. Then you have the 7% sales tax that South Dakota collects from the vendors 75% of which is given to the city of Sturgis. Lets do a conservative estimate on this amount. If the average vendor makes $20,000.00 for the 10 days they owe the State of South Dakota $1400.00. Now multiply that by 1,500 and you get $2,100.000.00 of which Sturgis receives $1,575.000.00. Now on top of that the city of Sturgis owns property that it leases to vendors at an average of $200.00 per frontage foot. The City also owns the liquor store. You are now starting to get the picture of what is happening. Now we throw in the property owners who charge outlandish lease fees, greedy vendors who will pay double the going lease rate thus driving up lease prices. Not to mention price increases in the stores, restaurants and service stations during the rally.
The greed machine runs high in Sturgis. As for myself I am at the absolute max of what I can lay out and still make it worth my time to go. I will not price gouge! What you would pay in my studio is what you will pay when I am on the road, no different. If my lot lease ever increases then I will not return to Sturgis.
Sadly as I watched the traffic flow by this year I noticed that there
was an even number of motorcycles and cars or trucks. This is suppose to
be a motorcycle event yet there was not the amount of motorcycles that
should have been in attendance. I also noticed a lot of new bikes and
very few older motorcycles which means the old timers are not coming. If
dedicated motorcycle riders have abandoned the rally then established
vendors will not be far behind followed closely by corporate sponsors.
It would not take long after that for Sturgis to cease to exist as the
rally is the only thing it has going to keep it alive. I fear that
Sturgis is in it's death throes even now and that they have killed their
cash cow. I will stay with it until it is impractical to go any longer
and then I too will cease to return. Lets pray that if Kansas ever
garners an event such as this that they have more sense than to bite the
hand that feeds them.
-James A. George AKA; The GYPSY-
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