A proposed early childhood learning centre for the Maniototo is likely to be situated near Maniototo Area School in Ranfurly.
People at a meeting about the proposal recently provided a mandate for the project to proceed and options for the centre are being explored.
The Ministry of Education and Maniototo Area School board of trustees supported a centre either on the school grounds or within a classroom.
Steering group chairwoman Geraldine Duncan, of Gimmerburn, said it was decided the centre would be run like a kindergarten and be part of the Central Otago Kindergarten Association (COKA).
It would preferably be a custom-built centre on the school grounds, which was either owned by the community and leased to COKA or owned and operated by the association.
Mrs Duncan said the association was working with the steering group to determine which was the best option.
"We've found that the need is for a five-day, fully licensed facility with longer opening hours.
The association would prefer the community to own the centre, as it is a not-for-profit organisation and likes all money to go towards the kids," she said.
The group has conducted a survey which indicated one in three Maniototo children did not attend formal licensed early childhood education.
Mrs Duncan said there were 110 children aged 5 and under in the Maniototo.
That figure was expected to rise to 120 by 2016.