A funfair may be held in Steyne Gardens, Worthing, to herald the end of a charity walk from Brighton's Palace Pier to Worthing Pier.
However, the owner of the Chatsworth Hotel has voiced concern over the sale of alcohol at the event, scheduled for July 3.
Councillors will now consider the application by the Ball Tree Inn, based in Sompting, at a meeting tomorrow.
Borough council parks manager Chris Bradley said there was a potential problem over holding the fair.
He said that guidelines issued by the Showmen's Guild stated that funfairs could not be staged within 22 days of each other in any given town and on the last weekend in June, Worthing Horticultural Society was holding a funfair on Broadwater Green.
But Mr Bradley said: "The guidelines do allow that if the event is for charity, children's rides and stalls are permitted."
Cash from the walk and fair would go to the Chestnut Tree Appeal to build a children's hospice at The Dover, off the A27 between Worthing and Arundel.
Other events planned for Steyne Gardens this year include a jazz and blues concert on June 1, a motor show from July 7 to July 21, a Coastway Hospital Radio family fun day on July 19, a custom car show on July 27, a rotary fair and carnival parade on August 25 and a Mini rally on September 7.
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