A western Sydney club will join the A-League for next season with Football Federation Australia to confirm the move on Wednesday, according to reports.
The Daily Telegraph reports the FFA will fund the club themselves, backing their belief the football market in Sydney's west will support the club.
Though funded by the FFA, the club would be run by a separate entity.
The report suggests a deal with Football NSW has been struck to use their training facilities and community programs.
Socceroos star Tim Cahill will reportedly be approached to be involved with the club.
Incredibly, the federal government is also likely to provide $3million worth of funding to redevelop the Football NSW headquarters in Parklea.
A further $5million will be poured in to grow the game in the area, funding infrastructure and training for children, while $1million of that will go towards building the women's game in the area.
The move - if it works - would be a boost for the A-League, which would maintain a 10-team competition after Clive Palmer's Gold Coast United licence was revoked in February.
Gold Coast's future in the league remains unclear, and FFA chief Ben Buckley has said he expects a decision on the composition of the 2012/13 A-League season within three weeks.
A 10-team competition is seen as a key for the FFA's TV rights deal, which is soon to be negotiated.
A name, colours and logo are undecided for the new side, as is the team's home ground, although Parramatta Stadium is likely to get the nod.
The FFA failed to find investors for the club, while the previous west Sydney bid - the Sydney Rovers - were denied entry in 2010.