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Dayton has a year long calendar of great events. That said, it's still best to visit the city and its festivals in the warm months of spring through fall unless you're ready to battle below zero temperatures.
The end of July has one of the largest of the city's festivals, one which locals and visitors absolutely love, the Vectren Dayton Air Show. The birthplace of Aviation is the only place that could rightfully host such an event; aviation lovers flock to this showcase of some of the world's best planes. The US Navy's Blue Angel Flight Demonstration team is one among many others that will perform in the skies for the awestruck spectators. Fans of this should be sure to check with the National Museum of the United State's Airforce event calendar as well; there are many special exhibits, tours and more taking place throughout the year.
Also in July is the City Folk Festival which takes place annually at the very beginning of the month. The festival celebrates the city's diversity. Shortly after if you remain in the area, be sure to celebrate the nation's independence with Dayton.
For updates on events and festivals, make sure to visit the city's online tourist board's calendar.