The bureaucratic fallout from the Minnesota government shutdown,now in its second week, continued to reverberate Wednesday withcredit unions grappling with lien bottlenecks on recreational loansand businesses suffering revenue losses because of state agency closures.

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For one, members of the $810 million US FCU of Burnsville areunable “to transfer titles on boats and in addition the Departmentof Motor Vehicles has stopped sending us our lien cards, whichmeans we don't have proof that our liens are being perfected on ourloans,” said Rick Blood, vice president of mortgage and consumerlending.

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The 68,000-member US FCU “can manage in the short term, but thelonger this goes on the more issues that will cause,” saidBlood.

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“Anecdotally,” said Blood, “we have heard from some of ourmembers, especially on the commercial side, that their businessesare being impacted by the loss of revenue that the state employeesprovided. The shutdown is impacting more than just thoseemployed by the state. Many businesses are tied into the stateor rely on the state workers as a portion of their revenue.”

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The 12-day Minnesota shutdown, which began July 1, is now the longeststate government shutdown in recent U.S. history with no end insight as Democratic Gov. Mark Dayton continues locked in a bitterclash with a Republican majority in the legislature.

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