Thanks to all of you for your comments.

Jack, you might try to meet with the mayor and see if it’s just a matter of the City worrying about liability.  You could do up some kind of release form, that would keep them out of any liability connected to your business, and maybe present it to the City Council. 

You could also assure them that you would be collecting all sales tax due and remitting it, maybe even paying a dollar a day for renting a space there six months out of the year?

Just thinking out loud here.