PALM BEACH COUNTY, Fla. — It's the week of Palm Beach Pride in downtown Lake Worth Beach as the 33rd annual event kicks off this weekend.
It's a tradition that has brought the community together for over three decades but WPTV's Joel Lopez has been digging into the financial impact organizers are facing this year and why this year's parade may it's last.
WATCH BELOW: Compass CEO explains challenges ahead of next year's parade
"I love that there's towns like this that support and hearing about the big celebration on Sunday," said Iva Voorhees visiting from Philadelphia.
Businesses like the Tacky Tourist are anticipating triple the numbers in sales because of the two day event.
"Rainbows everywhere, lots of local artists, we see allies we see community," said Andy Amoroso with the Tacky Tourist. "Pride brings everyone together under one big rainbow umbrella."
His business sits along the parade route on Lake Avenue, where 22,000+ people expected to attend this weekend.
"It's one of our biggest weekends. At our shop our numbers are better than the street painting festival." said Amoroso. "We need to embrace our communities for who and what they are and pride does that."
Amoroso said he's seen law enforcement surveying the area as his clients have expressed concerns about safety.
Compass, the organizers of Palm Beach Pride, told WPTV because of the events that happened in New Orleans, they were required to ramp up the number of law enforcement officers along the route and at the Bryant Park. They also have are required to use more expensive but safer water filled barricades.
The added safety measures costing the non-profit $21,000 in safety measures, that's nearly double compared to last year.
"We all need this festival more than any other year," said Julie Seaver, the CEO of Compass. "I think that the political environment is lending to fear among sponsors and fear about being canceled. We can't host pride without them."
Seaver said over the years they've seen sponsors drop out, but this year they've experienced a loss in sponsorship revenue, putting the nonprofit in a tough financial position.
"We have to take a really hard look and make some really hard choices about if we can sustain the parade next year," said Seaver. "These costs came unexpected this year."
That means next year's Palm Beach Pride, may take place without a parade.
This year Compass is also at risk of losing millions in federal funding.
WATCH RELATED: How counties, nonprofits could lose millions in federal funding pause
Compass Community Center provides services for the LGBTQ+ community from health testing, services people living with HIV, mental health resources, youth programs and more.
In total, Compass said their budget is $4.5 million, 50% of which comes from federal grants.
"All of our funding ends June 30, and it's March. We usually are writing for the next three-year grant cycle in September," said Seaver. "We have not seen a notice of funding opportunities go out."
They said they typically start their contracts for their youth and families program, HIV resources and Department of Health HIV funding this month.
"We have been the host of Palm Beach Pride for over 30 years," said Seaver, "but it is also our responsibility to make sure that we still have the funds to provide the free services that we provide to our clients and the community the other 354 days out of the year."
She said Palm Beach Pride weekend overall will still take place but they are considering raising fees for sponsors and ticket sales.
They are hoping to find a generous sponsor to help keep the parade afloat.
"We're not the biggest parade or pride in the country but I feel we have the biggest heart," said Seaver.
On the bright side, Compass said they continue to see record number of presale tickets for Palm Beach Pride weekend.
The event kicks off this Saturday with the parade through downtown Lake Worth Beach on Sunday. The parade kicks off at 11 a.m.
