Government Shutdown

Focus of shutdown negotiations shifts to Senate

Harry Reid, John Boehner and Mitch McConnell
Toby Jorrin | AFP | Getty Images

WASHINGTON (AP)—House talks with President Barack Obama over ending the partial government shutdown and preventing a federal default have stalled, Speaker John Boehner told fellow Republicans on Saturday, shifting the focus to Senate efforts to end the twin stalemates.

"The Senate needs to hold tough," Rep. Greg Walden, R-Ore., said Boehner told House Republicans who met in a Capitol basement meeting room for an update on negotiations. "The president now isn't negotiating with us."

The closed-door Republican session came as the shutdown began its 12th day. Saturday also marked just five days from when administration officials have warned the government will deplete its ability to borrow money and risk a first-time federal default that could jolt the world economy.

(Read more: Shutdown's toll:Idled research to closed wallets)

Conservatives said Obama was to blame for the standoff.

Debt limit should be extended through Jan. 1: Sen. Collins
Debt limit should be extended through Jan. 1: Sen. Collins

"Perhaps he sees this as the best opportunity for him to win the House in 2014," said Rep. John Fleming, R-La. "It's very clear to us he does not now, and never had, any intentions of negotiating."

"It doesn't have to be this way. It's not supposed to be this way," President Barack Obama said in his weekly radio and Internet address Saturday. "Manufacturing crises to extract massive concessions isn't how our democracy works, and we have to stop it. Politics is a battle of ideas, but you advance those ideas through elections and legislation - not extortion."

Across the Capitol, senators planned to vote Saturday on a Democratic measure to lift the government's borrowing cap through the end of next year. Republicans were poised to reject it.

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But more importantly, a bipartisan group of senators, closely watched by Senate leaders, is polishing a plan aimed at reaching compromise with Obama.

An emerging proposal by Sen. Susan Collins, R-Maine, and others would pair a six-month plan to keep the government open with an increase in the government's borrowing limit through January.

Obama has turned away a House plan to link the reopening of the government - and a companion measure to temporarily increase the government's borrowing cap - to concessions on the budget.

In the face of disastrous opinion polls, GOP leaders have signaled they will make sure the debt limit is increased with minimal damage to the financial markets. But they're still seeking concessions as a condition for reopening the government.

Obama met Senate Republicans on Friday and heard a pitch from Collins on raising the debt limit until the end of January, reopening the government and cutting the health care law at its periphery.

The plan also would strengthen income verification for people receiving subsidies through the health care law and set up a broader set of budget talks.

(Read more: These states arehurt the worst by the shutdown)

The Collins proposal would delay for two years a medical-device tax that helps finance the health care law, and it would subject millions of individuals eligible for subsidies to purchase health insurance under the program to stronger income verification.

Collins said Obama said the proposal "was constructive, but I don't want to give the impression that he endorsed it."