SPRINGFIELD (CBS) — Illinois lawmakers will not approve a budget before tonight’s midnight deadline.

The legislative session ends tonight and House Speaker Mike Madigan said there will be no vote on a budget plan. Instead, he said, lawmakers will spend June trying to reach a compromise with Gov. Bruce Rauner.

“Our desire is to work cooperatively with the governor,” Madigan said.

Late Wednesday afternoon Rauner blasted the Democrats.

“Today we have seen a complete dereliction of duty by the majority in the General Assembly,” Rauner said.

The state has now gone 699 days without a budget, and both sides are sniping over a stunning record of political failure.

The Senate had passed a budget earlier, and House leaders spent the day behind closed doors, trying to come to an agreement, CBS 2’s Derrick Blakley reports.

In the end, Rep. Greg Harris of Chicago, announced the result.

“More work needs to be done on our budget proposal, so we will not be voting today,” he said.

The Democrats remained divided over the $37 billion Senate budget plan, which includes $5 billion in tax increases.

House lawmakers who are facing a tough re-election battle were balking at voting for tax hikes in a budget that Rauner is likely to veto anyway.

Lawmakers worked over the Memorial Day holiday, in an effort to reach an agreement, but the governor said the Senate’s spending blueprint is too heavy on taxes; and too light on property tax relief, workers’ compensation reforms, and other structural changes he has demanded.

That means the budget standoff continues and so does the severe squeeze on social services and higher education.

Madigan vowed to continue to work toward a budget before the new fiscal year on July 1.

Financial watchdogs warn without a deal, Illinois faces even more severe financial penalties, including a lower bond rating to “junk’ status. That would mean the state would pay higher interest rates on loans needed to meet state obligations.

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