A property in Stillington in the Stockton area has been approved as a new vulnerable children's home.
Stockton Borough Council had earlier decided to turn a property on Darlington Road in Hartburn into a similar home.
The decisions still needs to be rubber-stamped by Ofsted.
More top news
A report was launched at this year's Conservative conference and follows the 'devolution revolution' speech from the Chancellor.
The pair defrauded Durham County Council out of nearly £100,000 but were given suspended sentences.
Gascoigne is alleged to have sent abusive tweets, text messages and telephone calls to Amanda Thomas in March this year.