ALBANY, N.Y. (AP) - A deal to keep New York City Off-Track Betting Corp. afloat and avoid 1,300 layoffs has eluded negotiators as lawmakers head home for the weekend without acting on a bailout.

Talks fell apart during a one-week reprieve intended to give Gov. David Paterson and the Legislature time to work out a way to save the state agency, which has been fiscally troubled for decades.

Now workers face another Sunday deadline for a possible shutdown.

Lawmakers left Wednesday and aren't scheduled to return to session until Monday. They could be called back if there's an agreement between state officials, the unions that would have to accept cutbacks, and the agency.

Once a city government entity, the OTB is in bankruptcy court to reorganize its finances.

It collects $1 billion a year in bets on horse racing.

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