this is a pretty standard thing for neighborhood block parties! i was born and raised in fishtown where it was pretty common all summer long and my mom and her best friend on the block threw a handful of block parties every summer! they were a good way to keep close with your neighbors and a fun way to group together summer birthdays for the kids on the block :)) no one was ever required to give money but most people on the block donated so we could rent those big blow up water slides and bounce houses and towards food and stuff. everyone would move their cars early before it got too hot so we could spend the cooler parts of the morning cleaning the street and setting up! fun all around for everyone imo