your reading more into that, than what is there mountainstar.
it doesnt talk about the race not happening, it talks about "Blues, Brews and BBQs " not happening if the funding doesnt happen
you are right that its a side event to the race, but in theory what it does is encourage others to come who wouldnt normally come, or encourages those that were 50-50 about attending to make the effort.
Its similar to the sydney 500 having bands in the evening
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