PITTSBURGH -- By law, the Pittsburgh City Council has until midnight Dec. 31 to pass a balanced budget.

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Tuesday, Mayor Tom Murphy presented a balanced $407 million plan to council members.

The plan includes wage increases if there is no state relief by June of next year.

And two votes were taken Tuesday; the first was 4-3 vote against the mayor's plan. Late Tuesday afternoon, a second vote was taken, and the outcome was 4-3 in favor.

That plan goes into effect June 1.

Murphy said the taxes won't be necessary because the city was declared financially distressed Monday. But, council members aren't happy with his plans.

There are still several things that still must happen before the deadline Wednesday.

The council said more amendments to the proposed budget may be presented Wednesday. And, a final vote will be taken.

Council members said it will keep working and it will meet the budget deadline.