A two-week long state government shutdown could come to an end next week, but local legislators say they were hoping for a more long-term solution to Minnesota’s money woes.

Democratic Gov. Mark Dayton and GOP leaders struck a deal Thursday afternoon that will produce $1.4 billion in new revenue by delaying aid payments to schools and converting future tobacco settlement money into cash now.

Thursday’s deal came after Dayton abandoned his long push for tax increases, a painful move he said he made after hearing from residents around the state who just wanted an end to the shutdown. In return for dropping Dayton’s tax increase demand, Republicans agreed to drop a list of several policy changes, such as banning state aid for stem cell research. They also agreed to back off a plan to cut the state workforce by 15 percent.

“The budget now, that the Republicans proposed, is basically a cut-and-borrow budget,” said Sen. Dan Sparks, DFL-Austin. “I don’t believe borrowing from schools or the tobacco endowment fund was probably the best way to balance this budget. In light of the situation … that’s probably the best deal the governor could get.”

Rep. Rich Murray, R-Albert Lea, said he would prefer a long-term fix to the annual budget shortfall, a fix that calls for retooling many state government services. However, he is glad a deal has been struck.

“The main thing is I am happy the state is going to be open next week,” he said.

Murray said a deal should have been struck well before the shutdown, considering the outcome of the compromise.

“It has caused everybody a lot of stress,” Murray said.

Sparks said the decision to compromise with Republicans was difficult for Dayton because the governor didn’t necessarily agree with many aspects of the deal.

“It’s important to have the ability to agree to something you don’t agree with,” Sparks said.

Democratic Rep. Jeanne Poppe, who serves on the Higher Education committee, said putting another funding shift on Minnesota schools will hurt local school districts and college students.

“I’ve said, and it continues to be the case, that students in higher education have paid greater amounts of tuition to take care of the state’s budget problems in the past,” Poppe said. “That’s how the Republicans have determined they would like to balance the budget. They’re going to shift the money to keep it in the state’s coffers instead of giving it to the schools for spending.

“The school districts are going to be the ones who are going to feel this resolution the strongest,” Poppe said.

On Thursday, Dayton said the state government would be back in business “very soon,” but he didn’t say when. Murray said he hopes the government will be open again by Tuesday. But first, budget bills must be drafted, passed through committees if necessary and passed on the House and Senate floors.

During the shutdown, the state laid off 22,000 workers, halted road construction projects, closed state parks and rest stops, made it impossible to get fishing licenses and cut off funding for many social services. Some nurses, cosmetologists, drivers and businesses couldn’t get licenses they needed to launch careers or expand. In recent days, the shutdown even threatened to cut off the flow of some beer because of licensing snags.

The Mower County Board of Commissioners voted to place 39.55 employees in Public Health and Human Services on temporary leave. More than a dozen of those employees were called back after funding was guaranteed.

— Tim Engstrom and the Associated Press contributed to this report.