Tokyo 2020 appear poised to downscale existing plans rather than move Olympic venues for rowing, canoe sprint and other sports away from the capital city.
According to Japanese reports, who quote unnamed sources "close to the matter", plans to move the rowing and canoe sprint venue to Naganuma rowing course in Tome, 400 kilometres north of Tokyo in Miyagi Prefecture, are likely to be dropped.
They will instead stick with plans to develop the Sea Forest venue in Tokyo Bay, it is claimed.
Current plans will be downscaled, however, in a bid to cut costs.
Hosting the sports at another venue was put forward as a suggestion after a Tokyo Metropolitan Government Task Force report warned of rising costs.
The Task Force, commissioned by new Tokyo Governor Yuriko Koike, warned that the overall Olympic budget could rise to ¥3 trillion (£22 billion/$30 billion/€26 billion) unless drastic changes are made.
Sporting bodies and Tokyo 2020 organisers opposed these plans, however, and warned it would require additional expenditure for an Athletes' Village amid other facilities.
Planned swimming and volleyball stadia are also now expected to be modified rather than abandoned in favour of existing venues outside Tokyo.
Proposals are expected to be discussed in detail by a four-party group involving the International Olympic Committee (IOC), the Tokyo 2020 Organising Committee and the central Japanese and Tokyo Metropolitan Governments over the weekend or early next week.
A final decision is expected soon.
It has also been reported that abandoning the Sea Forest venue would in itself cost ¥10 billion (£73 million/$90 million),
Work at the venue in preparation for the Games began in July, with ¥3.8 billion (£28 million/$34 million/€32 million) earmarked to remove and relocate a waste facility at the site.
A further ¥900 million (£6.5 million/$8.1 million/€7.6 million) has been committed for "test designs", it has been reported, with cancelling the project likely to result in costs relating to restoring the site to its pre-construction state.
Compensation for contractors would also contribute to the ¥10 billion.
Tokyo 2020 is about to enter a busy period with a Rio 2016 debrief in the city next week before an inspection visit from the IOC Coordination Commission on December 1 and 2.