Darlington could benefit from up to £3m of investment aimed at improving and developing services for young children and their families.
The town is hoping to tap into the millions of pounds available under the Government's Sure Start programme.
The scheme was set up to try to ensure children living in mainly deprived areas get the best possible start before they get to school.
A multi-agency partnership is currently being developed in Darlington involving primary care groups, health professionals, social services and education chiefs.
The partnership is being created to develop a plan as to how any grant aid received would be spent.
An independent body could be set up to co-ordinate a Sure Start programme, and it would have to budget ahead to ensure that services could continue to be provided in the long term.
These are expected to include outreach and home visiting services for young parents and children, as well as new ante-natal services.
The funding which the partnership hopes to receive will be targeted at the so-called North Road corridor of Darlington, which takes in six council wards.
Plans are already being developed for a consultation process to take place with parents living in the area.
Euen Weir, assistant director of partnerships for Darlington Borough Council's social services department, stressed that the aim was to provide something new and not just to redefine existing services for parents.
He said: "There is lots of enthusiasm and commitment from professionals for this project. It would mean a significant amount of finance for Darlington and the areas identified to benefit from the project.
"The aim is to get to children while they are young enough and improve their life chances."
The Darlington partnership will have to submit an outline plan to the Sure Start programme by November 7, and a final plan by January 25.
An announcement on whether the bid has been successful will be made later in the year.
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