Newport County are holding a board meeting in a bid to end a three-week impasse over manager Justin Edinburgh's move to Gillingham.
County accepted Gills' request to speak to Edinburgh about succeeding Peter Taylor, who was sacked in December.
But Gillingham chairman Paul Scally refused to pay the six-figure sum stipulated in Edinburgh's contract.
County have now informed the League One team they are willing to accept a lower figure for the former Tottenham player.
Gillingham were originally told to more than double their initial offer for the man who in 2013 guided Newport back into the Football League.
The 45-year-old was due to take County training again on Friday before Saturday's League Two trip to AFC Wimbledon.
But club bosses hope to bring a quick end to an episode that has been hanging over the club for three weeks when the team have lost three successive games.
The Exiles board will discuss the situation on Friday morning.
Despite telling County he wants to leave Rodney Parade, it had looked likely that Edinburgh was going to be in the dugout for the Wimbledon match.
Assistant Jimmy Dack will now take charge for that game, with an announcement on Edinburgh's future expected on Friday.
"Justin is at home. I don't know too much about it as it's at board level," said Dack.
"I know it sounds like I'm sitting on the fence, but I genuinely don't know.
"I spoke to him after training, he wants to get something sorted either way so we can move on."
Dack did confirm he would not be joining Edinburgh at Gillingham whatever happens and pledged to stay at the club until at least the end of the season, "unless told otherwise," by the club.
"Justin's in charge of his destiny," said Dack.
"I'm a big boy and I'm in charge of my own decisions.
"I'm a loyal person, this club's been great to me and I will see the job through.
"We've come this far and I truly believe the job's not done yet and we can go up."
Edinburgh's current contract expires in the summer of 2016, but he recently verbally agreed a contract extension until 2017 after being linked to Gillingham following the sacking of Taylor.
County made an excellent start to this season, but have faltered recently, failing to score a goal in their last three games.
Gillingham sit 18th in League One, four points above the relegation zone.
Edinburgh has said speculation about his future has affected his players' performances, though Newport are still in the League Two play-off zone.