The informant uses this response whenever someone says something isn’t fair.
“Fair is where you ride rides and eat hot dogs.”
She heard the phrase from her family and continues to use it. It is employes as a snarky response to someone who has said something that annoys her using the word “fair” playing on the two meanings of the word. There seems to be a common trope of folk responses to common statements and questions. I.e. “I’m hungry.” “Hi Hungry. I’m Bob.” or “What time is it?” “Time to get a watch.” I think people enjoy displaying their cleverness through these phrases.