No deal yet on property tax relief or spending cuts
by The Associated Press 
 
ST. PAUL -- Democrats who control the Legislature and Republican Governor Pawlenty are taking a break from budget talks, but plan to resume later this afternoon.

House Speaker Margaret Anderson Kelliher went into the meetings this morning saying she is maintaining an open mind and a feeling of optimism about reaching a deal.

The legislative leaders and the governor are trying to close a $935 million budget gap and give homeowners relief from rising property taxes.

The two sides are also divided on about $100 million worth of spending cuts and revenue to cover the deficit.

The Legislature faces a mandatory Monday deadline to finish its business.

The main sticking points are how to structure a limit on local property tax increases and how much money to put into municipal aid and homeowner property tax assistance programs.