Minnesota budget talks resume at Capitol in search of deal

Minnesota Gov. Tim Walz addresses a news conference Tuesday, Feb. 5, 2019 in St. Paul, Minn. where he said a conference call with drug company executives has left him hopeful that the Legislature will pass a bill to address the opioid crisis that he can sign. (AP Photo/Jim Mone)

ST. PAUL, Minn. (AP) Budget talks have resumed at the Minnesota Capitol as Democratic Gov. Tim Walz, House Democrats and Senate Republicans try to complete a deal.

The three sides held a marathon session that lasted until 2:30 a.m. Wednesday and reconvened around 10:15 a.m.

None of the sides said much in public heading into the private talks that are trying to bridge the divisions on taxes and spending that have held up a budget deal. But Walz spokesman Teddy Tschann says everyone is feeling "productive and optimistic."

The leaders need to set fiscal targets to guide the legislature's conference committees, which have made only patchy progress so far on crafting the main budget bills of the session. Lawmakers are required to adjourn by late Monday night.