Michigan lawmakers are adjourning for the week without a $1.2 billion road-funding deal.
The Republican-led House is unable to garner enough support for permanently dedicating $600 million in existing revenue for transportation infrastructure. Both Gov. Rick Snyder and Democrats are concerned about the impact on other budget priorities.
And Republicans are balking at unspecified fuel and vehicle registration tax increases that would generate $600 million in additional money for roads.
The House and Senate sent bills to a conference committee in case an agreement could be reached. But negotiators are too far apart Wednesday night. Talks could continue into the fall.
Voters earlier this year rejected a sales tax hike that would have pumped more money into roads, schools and local governments.