April 8, 2011 10:13 AM

Government shutdown: Can they make a deal?

By
Stephanie Condon
Topics
Congress

Updated at 3:15 p.m. ET

With just hours left for Congress to avert a government shutdown Friday, Republicans and Democrats seemed closer than ever to reaching a budget deal. But at the same time, the negotiations seemed as intractable as ever.

Democrats say Republicans are prepared to shut down the government over a women's health policy rider. Republicans say Democrats still need to "get serious" about spending cuts. Whatever the case may be, if Congress doesn't pass a budget for the rest of the fiscal year by midnight tonight, the federal government will in part stop operating.

President Obama huddled with House Speaker John Boehner and Senate Majority Leader Harry Reid in the Oval Office again on Thursday night, and negotiations on Capitol Hill lasted until 3 a.m. early Friday morning. A Democratic aide told CBS News Capitol Hill Correspondent Nancy Cordes that Mr. Obama agreed to a number "higher than $34.5 billion" in spending cuts to include in the six-month budget bill. Reid said later on Friday morning they agreed to cut $38 billion.

On top of that, the aide says negotiators "settled" just about every policy issue Republicans wanted to include in the bill -- for instance, a policy rider over the Environmental Protection Agency is now off the table.

However, Democrats say talks remain stalled over a GOP policy rider to cut Title X funding, which provides a few hundred million in grants for clinics like Planned Parenthood.

"This all deals with women's health," Senate Majority Leader Harry Reid said this morning. "Everything has been resolved, everything... that is the only issue that was left undone when we left the White House last night."

"We agreed on spending cuts, and they still are not happy," he added.

Republicans insist there is no agreement on how much spending to cut from the budget.

"When will the White House, when will Senate Democrats get serious about cutting spending?" Boehner asked, addressing reporters this morning.

Budget battle: What are the sticking points?
What a government shutdown means for you
Bob Schieffer: Congress' behavior "shameful"

Added Boehner's spokesperson Michael Steel, "While nothing will be decided until everything is decided, the largest issue is still spending cuts. The American people want to cut spending to help the private sector create jobs - and the Democrats that run Washington don't."

A GOP aide told CBS News that aides met last night and discussed the GOP proposal on spending. Republicans then got a counterproposal from Democrats at 9 a.m. this morning. It was a joint proposal by the White House and Senate Democrats. The spending cut figure was around $38-39 billion.

The compilation of cuts was still "not acceptable" to House Republicans, the aide said. The biggest spending issue was that there were still too many cuts to defense.

The aide said the House GOP drafted a counterproposal and gave it to Democrats at 11:30am. The spending cut figure is still $38 billion, but the compilation of cuts are different. Republicans have not heard back from Democrats yet on their counteroffer.

Boehner acknowledged today that Democrats and Republicans are "close to a resolution on policy issues" -- but not completely there.

A congressional aide close to the negotiations told CBS News' Nancy Cordes that, as negotiations stand right now, Democrats have conceded to Republicans on about a dozen policy riders, including one that would prohibit any federal funding for transferring prisoners from Guantanamo Bay to the U.S. for imprisonment or trial.

As for the Title X funding, a Democratic aide told Cordes that Republicans want that money given to states in the form of block grants, apparently so Republic governors would have discretion to funnel that money elsewhere. Democrats oppose that idea, and the aide said they offered Republicans a standalone vote on that rider outside the funding bill. Republicans said no.

Senate Majority Leader Harry Reid said in an exclusive interview Friday that Democrats "are not budging" when it comes to Republican efforts to defund Planned Parenthood and other groups that provide women's health services.

"I have nine granddaughters and I want them to have the peace of mind that if something later goes on I can't help them with, that they can go get a cancer screening, have some information that they can't get at home and we're not going to violate that," he told CBS News' Nancy Cordes.

With negotiations at a stalemate, the House on Thursday passed a short-term spending measure to keep the government operating for another week -- while cutting $12 billion from this fiscal year's budget. Congress has already passed two short-term budget bills this year, cutting a total of $10 billion already.

The newest short-term bill includes a policy rider to restrict government funding for abortion services in the District of Columbia, as well as a full year's funding for the Pentagon.

"I think the Senate should follow the House lead and pass the troop funding bill and do it today," Boehner said today.

Reid today Senate Democrats are working on their own short-term funding measure to avert a shutdown.


Add a Comment See all 235 Comments
by chonder2 April 8, 2011 7:48 PM EDT
All you guys were NOT concerned about the economy untill the crash!

Weak oversight.

No regulation.

Now we are up in arms!!!
Reply to this comment
by jgg000101 April 8, 2011 8:47 PM EDT
skyrocketing oil prices, rising food prices, and loomimg inflation have nothing to do with the government shutdown. weak oversight? absolutely.
by dim_public April 8, 2011 7:28 PM EDT
Republican: A political party known for their audacity to spout lies in the face of all known facts. To them, facts are irrelevant. Their core belief is in the power of persuasion created by repetition of attractive lies that preys upon the prejudices of the common people.
Reply to this comment
by RespectOthersAlways April 8, 2011 7:25 PM EDT
GOP Scorched Earth Plan: 1) Trillions of Dollars in Tax Breaks for the rich and super rich resulting in Trillions of Dollars in lost revenue to the government. 2) Cry and whine about Trillions of Dollars in deficits caused. 3) Shift Trillions of Dollars in service cuts onto the backs of middle class families and elderly. 4) Take the country back to the pre-Hoover days of the 1920's.

If Democrats don't draw the line hard, every little poodle in the alley will be chasing their butts all over the country.

Don't be fooled by the Tea Party Extremists. Stand firm and fight.
Reply to this comment
by VerySadTeacher April 8, 2011 7:07 PM EDT
Dear Congress, Last year I mismanaged my funds and this year my spouse and I cannot decide on a budget. Until we have come to a unified decision that fits all of our needs and interests, we will have to shut down our checkbook and will no longer be able to pay our taxes. I'm sure you'll understand. Thank you very much for setting an example we can all follow. Repost if you agree
Reply to this comment
by 1pheasant1 April 8, 2011 7:17 PM EDT
Tell her she won't need health-care this year. I'm sure she'll understand.
by slatep April 8, 2011 7:01 PM EDT
THROW THE BUMS OUT. EVERY CONGRESSMAN AND SENATOR AND START OVER.!!
There is so much corruption and so many bought and paid for politicians; this is the only way we are going to get our country
back.
Reply to this comment
by 34sender April 8, 2011 7:06 PM EDT
So you think the new people won't be bought?

Please. All we need to do is become informed ourselves and keep holding the representatives we do elect to account for their actions on our behalf.

If you haven't written your Reps about this, then you have no place to say get rid of them, get rid of your lazy ways first.
by gmm1111 April 8, 2011 7:00 PM EDT
The Only way we are to believe that our politicians have our Best interests in mind, is to have them take the 'same' cuts as the people would have to take. From what we've seen, it's all about "money" for the republicans and it's all about ' needs' for the democrats. the other 'parties' are trying to keep up appearances and the people are hoping the people they 'voted' for, will work tihs crisis out together.STOP THE FIGHTING AND FREE THE PEOPLE.
Reply to this comment
by starleo146 April 8, 2011 6:58 PM EDT
Republicans holding out for 1. no funding for Abortions we already have no federal dollars can go for abortions
2. release restrictions on blasting mountain top mining
3. energy adjustments
They cannot pass anything unless they get the religious right satisfied or the corporate that gave all that money to get them elected.Pay back time on the backs of the American people
Reply to this comment
by Dont_Tread_on_me April 8, 2011 7:10 PM EDT
So you are saying that no Federal dollars go to Planned Parenthood? I think you are either fooling yourself or untruthful.
by 34sender April 8, 2011 7:19 PM EDT
The federal dollars only pay for women's ongoing health services. No abortions are paid for with federal funds.

HYDE AMENDMENT!

Tread, why do you hate women and want them to suffer cancer and worse.. why?
by dim_public April 8, 2011 6:53 PM EDT
OK Baggers, let's squash this ridiculous fallacy (again) once and for all!

Pelosi DID pass a budget on December 8, 2010. It was the Senate REPUBLICANS that derailed her efforts by filibustering.

PLEASE GET YOUR FACTS STRAIGHT!

Here is the FOXNEWS.COM report to prove it!

"The House passed the bill Wednesday evening by a 212-206 vote. It would cap the annual operating budgets of federal agencies at the $1.2 trillion approved for the recently finished budget year - a $46 billion cut of more than 3 percent from President Barack Obama's request."

http://www.foxnews.com/us/2010/12/08/house-democrats-unveil-massive-budget/

(I also had posted this before, below. I know its hard, but try to do a little reading before you post something that makes you look so clueless)
Reply to this comment
by 34sender April 8, 2011 7:10 PM EDT
Exactly.

Also people forget that the GOP led Congress in 2006 did not pass a budget for the incoming Dem majority in 2007.

And the Dem majority did not pass a budget for the outgoing POTUS to sign (even though they were favored to keep and improve majorities) in 2008.

It is nothing new to not have a budget on October 1st of any given fiscal year.


But thank you for posting the truth with a link! (Fox and all, kudos)
by jgg000101 April 8, 2011 8:43 PM EDT
the fact is that the budget deadline was october 1 - not december 8 - and that date was for the budget to have been approved by both houses and signed by the president. The reason for the fillibuster, when the budget arrived late, was that the budget was a complete farce.
by Xyler12 April 8, 2011 6:52 PM EDT
I would just like to say if you can not come to an agreement in say a couple months or so, how is somone in critial care suppose to get their meds and they proper care they need. If they would have to pass away what you have to say between both houses? This can not be like this you need to come to an agreement and not agrue about it.
Thanks for reading this
Reply to this comment
by lily777 April 8, 2011 6:50 PM EDT
If the Democrats really cared about planned parenthood--they would have passed a budget to fund it last year when they controlled Congress---in fact they could have tripled the funding-but they DIDN'T CARE--it's just a political football to them.

7
Reply to this comment
by 34sender April 8, 2011 7:11 PM EDT
Read above.

You obviously have no use for the facts, but at least read them ^^^ right up there!
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