Manitoba Public Insurance is slated to create a new daycare in downtown Winnipeg with a construction cost of $2 million.

Some support the plan, while others question the revenue source for it, with funds partially coming from insurance premiums paid by long-haul truckers.

The 10,000-square-foot facility will have 102 spaces for children. Most spots will be reserved for staff, but 40 per cent of spaces will be made available to the public.

The auto insurer says the idea for the daycare came from its employees.

"Obviously making it a little bit easier for them - we know that daycare spots are at a premium, for everybody not only MPI employees but for everyone - this daycare downtown is certainly a plus," said Brian Smiley, spokesperson for MPI.

Sandy Zabalotnuk's child is on a three-year wait list for daycare. She's pleased a new facility is being built in downtown Winnipeg.

"There aren't a lot downtown (daycare spaces) to begin with and there are tonnes of people working down here. It would make it really easy for moms such as myself to have something close by that we can drop off and pick up," said Zabalotnuk.

Construction on the facility, which will be set up inside the Cityplace building on Graham Avenue, is set to begin in November, with an opening date sometime in the summer of 2012.

MPI said the money is coming from insurance rates paid by long-haul truckers, but also other areas of its business where people want to buy down their deductible or top up their third-party liability.

The trucking association believes its members should not be subsidizing social programs such as the daycare.

"If the revenue that they're generating is that great that they can take revenues and give it to social programs then the question would be where should their premiums actually be?" said Bob Dolyniuk from the Manitoba Trucking Association.

MPI said trucker rates won't increase.

Daycare advocates argue child care is good for the economy, allowing parents to go to work while their children learn.

"Early learning and child-care programs produces quality education curriculum for young children which in turn help them to grow up to be good people in the economy," said Jodie Kehl from the Manitoba Child Care Association.

While it isn't set to open until sometime in the summer of 2012, the daycare is already accepting applications. The centre will take kids from three months to six years old. People can call the non-profit agency that will run the daycare at 945-8585.

- with a report from CTV's Jeff Keele