Published on May 19, 2026

Smart sponsorships

Contact: Communications

A how-to guide to sponsoring summer celebrations.

By Municipal Research and Services Center (MRSC) staff

Summer invites a celebration, with longer days, the dry, warm weather, and community spirit in full swing. Cities, counties, and other municipalities like to join in the summertime fun by organizing community celebrations and events, such as carnivals, parades, outdoor basketball tournaments, and outdoor music festivals.

While municipalities can sponsor such events, they need to be mindful of the gift of public funds prohibition in Article VIII, Section 7 of the Washington State Constitution:

No county, city, town or other municipal corporation shall hereafter give any money, or property, or loan its money, or credit to or in aid of any individual, association, company or corporation, except for the necessary support of the poor and infirm. …

Avoiding gifts of public funds

When evaluating whether public expenditures on community events are impermissible gifts of public funds, the Washington State Auditor’s Office refers to and relies on Eating and Drinking at Public Expense, a 1987 memorandum written by former Senior Assistant Attorney General James Pharris, which still provides excellent guidance on this issue, even decades later.

As detailed in the memorandum, the following three questions determine the legality of a municipality’s expenditure on a celebratory event:

  1. Does the event match the purposes/power of the jurisdiction? Cities, as general governments with broad powers, can more appropriately sponsor community celebrations (such as parades and festivals) than smaller special purpose districts whose purposes are more focused and limited.
  2. Is the celebration being held for a valid purpose? A ‘valid municipal purpose’ could be strengthening a city’s sense of community or celebrating a county’s history.
  3. What role does the jurisdiction play in the event? If the city is a co-sponsor, the municipality’s sponsorship of the celebration cannot be in the form of a gratuitous contribution to a private organization. To protect against this, the city should enter into a contract with the other sponsor(s) detailing the terms of the co-sponsorship, including funding, and distribution of duties and responsibilities for management and operation of the event.

Formalizing event plans

To ensure your summer celebration goes off without a constitutional hitch, your city should adopt a resolution about the celebration. The resolution should describe the event’s valid municipal purpose and identify the municipality’s role in the event.

Finding local sponsors may also be part of your event planning, and it gives local businesses and organizations a fantastic opportunity to be involved in and supportive of the community.

Additional considerations

Summer events are made that much better by well-planned-out details. To ensure your event really brings in the public, be sure to address items that can make attendees feel welcomed, safe, and excited to be there.

  • Health and safety
    Some individuals may need assurance that health and safety factors are being considered before being comfortable attending a special event that can attract thousands. Consider including stations where attendees can grab a mask and/or sanitizer or offer temporary washing stations to promote frequent handwashing.
  • Food and drink
    Eating al fresco is an enjoyable summer pastime, and having food vendors at your summer celebration is a terrific way to provide a fun outdoor dining option. The most essential requirement is that food vendors obtain a permit from the local health department as well as a state business license and any local permit.
  • Beer and wine gardens
    Alcohol can be sold at community celebrations held in public parks and other public spaces so long as local permitting requirements are met and a special occasion license is secured from the Washington State Liquor and Cannabis Board (LCB) or an independent vendor hosting the beer garden is licensed to sell alcohol at events.

While there are a lot of details to cover when planning a celebration or special event, the community building that can occur through these events makes them a win-win for your city and its residents.

Excerpted from “A How-To Guide to Sponsoring Summer Celebrations” on MRSC.org.

Parade prep


Everybody loves a parade, and many municipalities include a parade as part of their special event. Many considerations go into planning a parade, including managing parade participants, traffic control, and crowd safety.

Due to constitutional free speech restrictions, a municipality has limited ability to deny a group from participating in a celebratory summer parade. Nevertheless, all participants should be required to submit a parade application form, which will help with logistics and minimize agency liability. The application form should include an indemnification and hold harmless clause and require proof of automobile liability insurance if participants plan to drive a vehicle in the parade.

To minimize complaints from the non-parade-goers, take the time to develop a traffic detour and street closure plan. Be sure to provide plenty of advance notification about traffic impacts. Don’t forget to inspect the parade route and sidewalk viewing area and repair any significant hazards, such as holes and cracks, that could cause injury to those watching or participating.

Excerpted from “A How-To Guide to Sponsoring Summer Celebrations” on MRSC.org.

  • Cityvision
  • About cities
  • Budget & finance
  • Community engagement
Copyright © 2018-2026 Association of Washington Cities