Partial state government shutdown looms if no budget

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June 29, 2009

Anonymous The Herald Bulletin Mon Jun 29, 2009, 08:57 AM EDT

INDIANAPOLIS (AP) — State lawmakers are due back at work today as they face a deadline of midnight Tuesday to pass a new state spending plan.

Without a budget or a stopgap funding measure, much of state government would shut down on Wednesday. That includes state parks, BMV branches and most state offices.

Lawmakers return to work Monday with little time left to settle their differences and reach a budget agreement.

Gov. Mitch Daniels says there is legal authority to keep essential services like state police and prisons running, but most of the state’s nearly 31,000 employees would be furloughed.

Republicans and Democrats have been trying to strike a compromise on a new state budget by Tuesday’s deadline. They’ve been at odds over several spending issues, especially funding for public schools.

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