Currently, there is a ban on street vending and the setting up of roadside stalls during major race events.

In his report to last week's council meeting, director of Environmental Planning and Building Services, Neil Southorn, he said the ban had continued to prove ineffective.

Given the location along busy road corridors, there is a threat to safety.

"Generally set up on the major arterial roads, the activity presents as a traffic safety issue as well as adversely impacting the amenity of our city as a result of the visual unsightliness," he said.

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Mr Southorn put forward an alternative approach to the issue, which would lift the ban to a degree.

Instead, council would allow street vending and roadside stalls in a specific location and carefully monitor the situation.

"Vendors will still need to make an application to council and approvals would still be limited to full track closures events and be restricted to the week of the event," Mr Southorn said.

The benefits of this approach include the ease of monitoring compliance, improved safety and maintaining a pleasing visual appearance along arterial roads.

The policy would apply to a number of vendors, such as those selling firewood, and anyone who doesn't comply with the guidelines set out by council would have their approval terminated.

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Council plans to trial the new policy over a 12-month period, using Alan Morse Park on Durham Street as the location.

It was chosen due to its proximity to Sydney Road, the surrounding speed limit and parking provisions.

Mr Southorn also said it would also direct visitor traffic past the Bathurst Visitor Information Centre.

The new policy has been placed on public exhibition and people are invited to make submissions. If no submissions are received, the policy will be adopted.