The city of Sturgis, S.D., is raising vendor fees for its annual motorcycle rally, with plans for a new system entirely next year. Vendor fees this year will be $700 – a $50 hike over last year.


"The change would be based on a flat fee for every vendor on every location, and then a per-square-foot fee [in 2014]," said city manager Daniel Ainslie. Under that system, the fee could increase as much as $1,800 for large vendors.

Bob Davis, owner of Sturgis Photo and Gift Shop and a former vendor, estimates vendor participation is down 25 percent over the last seven years.

David Wilson, owner of Sturgis Real Estate and Promotions, told a local television station that plans are in the works for a large rally attraction outside of Sturgis that would offer lower vendor fees. "This fee will be one of the biggest economic disasters to ever hit the Sturgis rally," he said.

The 2013 Sturgis Motorcycle Rally is scheduled for Aug. 5-11.