New Jersey's governor has ordered Cabinet members to begin planning for a government shutdown in case the state budget has not been approved before the July 1 deadline.
The memo directs department heads to identify essential functions and personnel who'd be needed to carry them out.
The Star-Ledger of Newark obtained a copy of the memo, which was distributed Friday.
Republican Gov. Chris Christie has proposed a $29.3 billion budget plan with sweeping spending cuts.
Democrats, who control the Legislature, have been negotiating to restore some of the cuts.
While the memo says the administration is confident the budget process will be successfully completed, Christie spokesman Michael Drewniak said the governor's office is preparing for all possible outcomes.
Meanwhile, New York's state budget is already more than two months late and the state faces a government shut down for the first time in history if legislators don't pass Gov. David Paterson's emergency spending bill on Monday.