Sky Italia reported last night that a deal was being put in place that would see the 27-year-old uncapped defender come in as free transfer signing to be a squad player next season.
City are targeting signings like Novaretti to go alongside big-money transfers in order to conform with Uefa's Financial Fair Play.
However, it seems they will also look to bring in another centre-back because Joleon Lescott appears on a list of 12 players that The Times claims are going to be moved out of the Etihad Stadium in the summer.
Kolo Toure has already been told that he is surplus to requirements and is on the look-out for a new club while the names of Aleksandar Kolarov, Wayne Bridge, Edin Dzeko, Samir Nasri, Roque Santa Cruz, Maicon, John Guidetti, Scott Sinclair, Dedryk Boyata and Richard Wright are also likely to be circulated.
However, some of those names will be difficult to shift with Maicon already having stated his intention of seeing out the final year of his two-year contract.
City are looking to bring in up to six new signings to give the squad a freshness and will also look to promote some of their loan and Elite Development Squad players to the first-team squad.