Hastings and Napier councils are working together to decide on a blanket closing time for bars and restaurants in Hawke's Bay.
They have discussed a new Local Alcohol Policy (LAP) but could not agree when on-licence premises should close, with Hastings favouring 2am and Napier supporting 3am.
"We are going to have another discussion," said Napier Mayor Barbara Arnott.
"At that time we already made big gains on other issues including off-licence times, this is the only issue unresolved.
"Napier is a tourism town, most people here are in the services industry and the nightlife is a vital part of that; that's why we wanted to stay with 3am, the status quo."