Temecula Valley Balloon & Wine Festival Will Attempt To Make Good On Past-Due Bills

TEMECULA, CA — The city of Temecula withdrew its support for the Temecula Valley Balloon and Wine Festival until tens of thousands of dollars are repaid, the city said in an open letter Tuesday, a plan the event's operators say they will meet by the end of April.

For over 10 months, the Riverside County Parks Department has been requesting payment of $76,000 owed for the 2025 lease of the festival venue at Lake Skinner Recreation Area and Campground. This is a portion of the delinquent payments the city and others have sought from the 2025 Temecula Valley Balloon and Wine Festival organizers and their parent company, San Diego-based Events.com.

On Tuesday, the Riverside County Board of Supervisors voted 5-0, with no discussion, to end its contract with the festival as of April 30. Now, officials are speaking out about what happened to the 42-year-old festival, which was once a cornerstone of the community.

"The City of Temecula has proudly stood as a committed community and financial supporter of the Temecula Valley Balloon and Wine Festival for many decades. This event has been a signature event, reflecting the spirit of our region," according to the city of Temecula's open letter that was shared by Christine Damko, economic development manager.

"Following the festival held last June, the City was deeply concerned to learn that critical services provided by the Riverside County Sheriff, local school organizations, and small businesses remained unpaid," the letter continued. "Even 10 months later, these outstanding payments have yet to be resolved. Such a delay is not only unacceptable but also profoundly disheartening for a City that values integrity and responsible partnership."

Kyla Brown, general manager and parks director for Riverside County Parks, spearheaded the now-public efforts to collect back payments.

"In 2025, Events.com announced they acquired the Temecula Valley Balloon & Wine Festival. The festival was held June 20-22, under the existing Facility Use Agreement with Riverside County Regional Park and Open-Space District," Brown said. "After the event, a final invoice was issued on August 15, 2025, which went unpaid. The County attempted to contact Festival organizers multiple times. No payment plan or resolution has been provided by the organizers, nor has a date for the 2026 event been secured."

Multiple attempts were made to collect payment to resolve the delinquency, Brown said. Past-due notices sent in October and November culminated in a final notice in March.

Early Wednesday, TVWBF spokesperson Lynn Shaver responded to Patch, saying that the festival is attempting to pay its debts with "final payouts scheduled to be completed this April." She added that they were "grateful for the patience of our local vendors and city and county partners as we finalize these matters."

Shaver cited a year full of "challenges" since the transition to Events.com. "They have stepped in with an investment of over $3.4 million to stabilize the festivals during a difficult financial period and through a challenging transition," she added. They hope to maneuver to a fall date, at Lake Skinner, "to bring back the tradition, the wine and the entertainment our community loves."

According to the county parks, in order to do that, they will need to establish a new contract to hold the Lake Skinner location.

"If organizers, either the Events.com or Temecula Valley Balloon & Wine Festival, submit a new application to host an event, a new Facility Use Agreement would have to be negotiated, pending all delinquent payments are resolved," Brown told Patch.

Future fees may also depend on whether the company has maintained its non-profit status after selling the festival to Events.com. The Temecula Valley Balloon and Wine Festival Association was a functioning nonprofit organization, specifically a 501(c) 4, from 2012 to 2022, according to ProPublica.

The cost to rent the Lake Skinner campground and park remained largely the same as in previous years, and historically, the county permit ranged between $65,000 and $85,000, according to Brown.

County parks isn't the only agency owed back payment.

"Putting on the annual festival is a labor of many local organizations. Service providers who honored their contracts, but were not repaid in kind," according to the city's letter.

The Riverside County Sheriff's Department is one of those service providers that has yet to be paid. Patch has reached out to that agency for figures on what it is owed.

"The failure to settle these obligations undermines trust and jeopardizes the collaborative relationship that has been nurtured over many years," the city's letter states. "In light of this ongoing issue, the City has made the difficult decision to withdraw its support from the Temecula Valley Balloon and Wine Festival until these financial matters are satisfactorily addressed. This action reflects our dedication to fiscal responsibility and the well-being of our community partners."

Moving forward, the city says it remains hopeful that all parties can resolve these outstanding concerns, thereby restoring the foundation for future cooperation and community celebration.

Related: Temecula Valley Balloon & Wine Festival Contract Terminated In 2026: What To Know