Legislators hopeful progress can be made in budget talks

St. Paul, Minn. — DFL legislative leaders said they expect to make a lot of progress today during end of the session budget talks with Gov. Tim Pawlenty.

Closed-door negotiations resumed this morning after reaching an impasse Tuesday night.

One of the sticking points is the Republican governor's insistence that the budget deal include a cap on local property taxes. Democrats say they also want property tax relief, but they claim Pawlenty's proposal would be harmful to cities and counties.

During a break in the negotiations, House Speaker Margaret Anderson Kelliher, DFL-Minneapolis, said the cap is still a big issue.

"We don't want to punish Minnesotans by our actions at the Legislature. We need to make sure that they can have a reasonable level of police and fire safety and have communities share in equality and equity around the state," Kelliher said.

Pawlenty spokesman Brian McClung said a cap is the best way to to provide property tax relief. He said the governor's proposal is workable.