Minnesota encountered its second government shutdown in six years on Friday as Democratic Gov. Mark Dayton and Republican lawmakers failed to reach a compromise on closing the state’s $5 billion budget gap.

Government functions deemed critical by a county judge on Wednesday will keep operating, including the state patrol, prisons and the Medicaid health-insurance program for the poor. Courts will stay open, and welfare and food-stamp payments will continue.

The governor and Republicans who control the Legislature have collided over the budget since Mr. Dayton took office in January. Mr. Dayton, the state’s first Democratic governor in 20 years, wants to raise taxes on the wealthiest Minnesota residents to erase part of the deficit.

Republicans, who campaigned on a platform of no tax increases, want to eliminate the gap through budget cuts and accounting shifts. The state GOP took control of both houses of the Legislature for the first time in 38 years as part of a power shift of state governments toward Republicans in November’s elections.

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