Annual Route 66 Festival city (8)
I believe the answer is:
amarillo
(Other definitions for amarillo that I've seen before include "Texas panhandle city" , "Oil alarm (anag) - Texas city" , "City in northern Texas. Is this the way to it?" , "There's a strange oil alarm in this Texan town" , "Texan city made famous in the song ''Is this the way to ...''" .)