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Tourists who had hoped to visit the Statue of Liberty stand near the dock used by Liberty Island ferries, Tuesday, Oct. 1, 2013 in New York. A government shutdown, the first since the winter of 1995-96, closed national parks across the nation. (AP Photo/Mark Lennihan)
Shutdown: Neither side softening before White House meeting
First Published Oct 02 2013 07:52 am • Last Updated Oct 02 2013 01:59 pm

Washington • President Barack Obama summoned congressional leaders to the White House on the second day of a partial government shutdown that has furloughed hundreds of thousands of workers and closed military cemeteries as far away as France. Republican and Democratic leaders agreed to meet Wednesday afternoon but showed no signs of yielding.

Much of the government has been on hold since early Tuesday — ruining vacations, robbing businesses of customers and even idling many in the nation’s spy force — in a dispute over Republicans’ efforts to block or postpone Obama’s health care law.

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White House spokesman Jay Carney said Obama wasn’t backing down from his refusal to negotiate health care in return for reopening the government. Obama called the lawmakers in to impress upon them the shutdown’s consequences and to remind them of the importance of raising the nation’s borrowing limit before mid-October.

"He will not offer concessions to Republicans in exchange for not tanking the economy," Carney said.

Some in both parties have ominously suggested the impasse might last for weeks, with tea party-backed conservatives especially committed to the fight, while a few Republicans seemed ready to blink.

House Speaker John Boehner’s office cast the White House invitation as a sign the president might be backing down.

"We’re pleased the president finally recognizes that his refusal to negotiate is indefensible," Boehner spokesman Brendan Buck said. "It’s unclear why we’d be having this meeting if it’s not meant to be a start to serious talks between the two parties."

Senate Minority Leader Mitch McConnell’s office expressed skepticism. "Frankly, we’re a little confused as to the purpose of this meeting," said Don Stewart, a spokesman for McConnell, R-Ky.

Nevertheless, McConnell, R-Ky., and Boehner, R-Ohio, agreed to sit down with Obama, Vice President Joe Biden and Senate Majority Leader Harry Reid, D-Nev., and House Minority Leader Nancy Pelosi, D-Calif.

Reid, for his part, offered a new round of budget talks to House Republicans if they allow the government to reopen.

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He proposed that the talks occur on a nonbinding measure known as a budget resolution that can serve as a template for follow-up legislation on the budget. Democrats have been pressing for official negotiations on the budget resolution for some time, but Republicans have resisted, saying they won’t give any ground on taxes.

Boehner rejected Reid’s offer, said spokesman Michael Steel.

There were some rumblings from Republicans who wanted to reopen the government.

Rep. Peter King, R-N.Y., accused tea party-backed lawmakers of trying to "hijack the party" and said he senses that a growing number of rank-and-file House Republicans — perhaps as many as a hundred — are tired of the shutdown that began Tuesday morning and will be meeting to look for a way out.

But GOP leaders and tea party-backed members seemed determined to press on. The House GOP leadership announced plans to pass five bills to provide more funds to popular parts of the government — national parks, the Veterans Administration, the National Guard, some medical research and the Washington, D.C., government.

The White House promised a veto, saying opening the government on a piecemeal basis is unacceptable. "It’s a gimmick and it’s unsustainable and it’s not serious," Carney said.

Democrats in Congress said it was unfair to pick winners and losers as federal employees worked without a guarantee of getting paid and the effects of the partial shutdown rippled through the country and the economy.

Funding for much of the U.S. government was halted after Republicans hitched a routine spending bill to their effort to kill or delay the health care law they call "Obamacare."

Meanwhile, another financial showdown even more critical to the economy was looming. Treasury Secretary Jacob Lew told Congress that unless lawmakers act in time, he will run out of money to pay the nation’s bills by Oct. 17. Congress must periodically raise the limit on government borrowing to keep U.S. funds flowing, a once-routine matter that has become locked in battles over the federal budget deficit.

Rep. Steny Hoyer of Maryland, the second-ranking House Democrat, said Democrats would overwhelmingly accept a short-term spending measure to reopen the government and increase the nation’s debt limit while other political differences are worked out. "That would be a responsible way to go," Hoyer told CNN.

At issue is the need to pass a temporary funding bill to keep the government open for the new budget year that began Tuesday.

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