Easy enough to fix. I've organized and run similar activities, although not with cheeses.
They need to have a formal sign up process, part of which is a "hold Harmless" contract. IOW, if you participate, you do so at your own risk.
The next step is to heavily advertise the event and tie it to a regional food fair. Bringing in extra income for the town will likely bring the local leos onto the right side.
Police have the responsibility for maintaining public safety regardless of the situation. If they view an event as being a possible danger, they have to step in. In this case I think the concern is more that if someone is injured, they will sue the town gov.
But, like I said above, it's an easy fix.
Edited by red clay - 28-May-2013 at 10:42