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Contributors in Minnesota: Patrick Condon, Baird Helgeson, Patricia Lopez, Jim Ragsdale, Abby Simons, Rachel E. Stassen-Berger and Glen Stubbe. Contributors in D.C.: Allison Sherry, Corey Mitchell and Jim Spencer.

Dayton, GOP reach a budget deal to end the two-week government shutdown

Posted by: Baird Helgeson under Gov. Mark Dayton, Democrats, Republicans Updated: July 14, 2011 - 5:23 PM

DFL Gov. Mark Dayton and GOP legislative leaders announced Thursday evening they have reached a budget deal to end a two week government shutdown.

After a three-hour meeting with GOP leaders, Dayton said the shutdown will be done “very soon, within days.”

Dayton agreed to drop his insistence on a tax hike and accept the Republican offer to borrow money to balance the budget.

But the governor said the deal must include a $500 million bonding package for new building projects around the state, withdrawal of the divisive social issue proposals now threaded through Republican spending bills, and elimination of the GOP proposal to reduce the state workforce by 15 percent.

House Speaker Kurt Zellers, R-Maple Grove, said he will have the votes in the House to pass the agreement.

Senate Majority Leader Amy Koch, R-Buffalo, agreed. “We believe the caucus will ultimately support this.”
 

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