Gov. Tim Pawlenty will veto a $3 billion budget balancing bill that lawmakers approved in the early morning hours, a spokesman said. The DFL-crafted bill stripped out a controversial proposal that increased income taxes for Minnesota's highest earners, but the governor is concerned it doesn't do enough to deal with the expected deficit in coming years. "The bill makes the state's long-term budget deficit worse, not better, increases health care spending at a time we should be reining it in, and is devoid of meaningful government reform," said Brian McClung, the governor's deputy chief of staff. "In addition, the vote on the bill was highly partisan, which reflects lack of agreement." However, McClung struck a hopeful tone that a final deal could be reached for midnight, the deadline for passing bills. "There's still time to pass a bill that could be signed into law," he said. "We're hopeful the DFL will do so." Top DFL legislators have asked for a 3 p.m. meeting with the governor.

"We look forward to talking with them at that time," McClung said.