The Southern District Health Board is considering a proposal for a Ronald McDonald trust to build an accommodation facility adjoining Southland Hospital.
And a report to the board's meeting in Invercargill tomorrow says a second proposal, for Dunedin, is likely.
The Ronald McDonald House South Island Trust would pay to build and equip a family room.
The trust and the DHB would share running costs. The trust would not pay rent.
A family room can comprise up to four bedrooms; the size of the proposed Southland Hospital facility has not been specified.
Because the DHB already hosted families of sick children, the facility should not cost the DHB extra, acting chief operating officer (Southland) Leanne Samuel said.
The report, prepared by Ms Samuel, said the proposal did pose an ethical issue, given that there was "always potential for debate over the morality of whether public good organisations should accept funding from what could be perceived as dangerous consumption industries [such as] alcohol, gambling [or] fast food".
Fast-food chain McDonald's is the main sponsor of Ronald McDonald trusts.
The DHB is to decide tomorrow whether to approve the facility.
