Talks resume for budget deal in Minnesota

"We're going to try to bring this to a head here today," the Republican governor said on his way to the talks.

DFL House Speaker Margaret Anderson Kelliher suspended debate on an education spending bill after taking a call from Pawlenty at her desk above the House floor. She said he expressed concern about forcing GOP representatives into a tough vote before an overall deal is in place.

Kelliher said she wants to pick up the pace.

"I felt that yesterday went on far too long in terms of not really making progress and that we would need a deadline today to be able to make some decisions," she said, adding that the deadline would probably be later Tuesday.

With the 2008 session fading fast, a mutually agreeable plan to blunt property tax hikes around the state has proven elusive. It is considered the key ingredient to a broader budget deal and an orderly finish to the election-year session.

Lawmakers spent much of Monday and Tuesday morning waiting on number crunchers to show them how a property tax cap, extra local government aid and more direct-to-homeowner assistance fit together.

Uncertainty revolved around the effect of a property tax cap on local governments, said Senate Taxes Committee Chairman Tom Bakk, DFL-Cook. He said lawmakers must be careful when restricting tax money to cities and counties because public safety is one of their major responsibilities.

Bakk said a tax compromise is still within reach. He said Pawlenty needs to do something about the increase in property taxes during his administration and the state needs the money that would be raised by tightening taxation of companies with foreign operations.

"If the governor really wants one, we'll get there," Bakk said of a compromise.