There is a belief that by pushing for that reserve league model it will largely avoid the problems of promotion and relegation with clubs unable to have have two teams in the same league - so if an A-League's B-team can win the Championship, it will negate any need for promotion or relegation.

FFA chairman Chris Nikou shrugged off the concerns and insisted the second tier had the backing of the A-League clubs.

"The A-League clubs can speak for themselves," he said.

Nikou caused controversy in March when he insisted that A-League clubs could not be relegated from the elite level until 2034 under the terms of their licence.

He now says the FFA does currently have the right to introduce promotion and relegation - but the system has to be in place and operating smoothly first.

"The way to move the needle on this is to get the new A-League model up and running and then as quickly as possible get a second division running," said Nikou.

"And once you consolidate those two elements, only then can you have the discussion about the promotion-relegation in its truest form.

"That's not to say teams in the second division or Championship would not be considered for teams to expand the A-League."

Funding and business models for the new league and its clubs could be decided by the broadcast deal, and may be bundled into the next TV rights for the A-League, currently due to expire in four years.

"The experience around Australia is that second tier competitions have not performed well in economic terms," said Nogarotto. "I don't underestimate the size of the mountain in front of us.

"But if ever there was a football code that can make a national second division work, it's ours. A second tier competition is part of the football DNA everywhere in the world.

"There are a number of options on this front and we need to respect our current rights holder and conversations we might have with the rights holders due course."

Chairman Nikou added: "We are looking at the way we best establish a second division that is financially viable.

"We've got an open mind on how we're doing that and that's for the next phase of the working party."