CHICAGO — The Democratic leaders of the Minnesota Legislature advanced a plan yesterday that relies on a mix of cuts, delaying school aid payments, and more tax revenue from the state’s top earners to erase a looming $3 billion deficit.

The legislation sets the stage for another in a series of clashes over fiscal issues between the leaders of the Democratic-Farmer-Labor Party that controls the Senate and House and retiring Republican Gov. Tim Pawlenty, who has vetoed past attempts by Democrats to raise revenue through tax hikes.

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