The Haines Borough and Pacific Pile & Marine could end up in mediation over a dispute about the hardness of the harbor basin, according to borough manager Debra Schnabel.

Settlement discussions Monday failed to reach agreement on resolving the contractor’s $1.2 million claim, Schnabel said. “We’re at a stalemate and we’re not in the same place,” Schnabel said. “Each of us is in a place where we’re moving to exchange information about our attorneys…