Kiwanis group fundraising gone bad

So...each day I commute home from work through the small suburb of St. Anthony. Last Friday, the Kiwanis organization has a person standing in the middle of the road at an all-way stop intersection and they are asking for money from each driver who pulls up. This seems to happen a couple times each summer, although I can't remember the other group who does this. I am a bit confused and miffed as to why they do this, so I'm doing some investigating. I sent the following email tonight, and will blog again if I get any interesting responses:

Hi all,

I've sent this email to St. Anthony's Mayor, City council, and
Kiwanis leaders.

Can one of you explain to me how you have the right to post
yourselves at a 4/5 way stop and collect money.  Do you have a
permit? I admire the Kiwanis organization's cause, but that is not a
good way to do a fund raiser.

Why not let the girl scouts sell cookies at the stop sign?
Why not let the football team sell raffle tickets?
Where do you draw the line since your group does this?

Not only is it favoring your organization, it is also dangerous.
Traffic gets more backed up than usual, and the flow isn't normal,
leading to confusion and tempered drivers.

"Let's see, is it my turn to go, nope it's the other guy, oh wait,
that guy to my right is giving money, guess I'll go now...crash!
oops, I didn't account for the guy to my left trying to figure out
the same thing"

Please explain this to me, thanks.