If no agreement is reached City face the prospect of the case being handed to a panel for a non-negotiable decision.
Neither the club nor UEFA would comment but it is understood the City have been negotiating forcefully for a significant reduction in that sanction but have been struggling to make progress.
No club is expected to be excluded from the Champions League for breaching the spending limits, the maximum possible sanction - UEFA president Michel Platini said last month he does not envisage that to happen.
Find out more about Financial Fair Play here.
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Here's Sunday's latest Granada weather update, plus viewer photos. Looking wet and windy for Bank Holiday Monday...
Cloudy, wet Sunday afternoon. Turning windier overnight into Monday with a second band of rain affecting us on Bank Holiday Monday morning
A 52 year-old man has died after being struck by a car in Salford. The car failed to stop at the scene but was later found on Dalton Drive.