Effort continues to prevent a government shutdown

(CBS)- After a late night meeting, President Obama and top congressional leaders were all optimistic that a budget deal can be reached before the government is forced to shutdown Friday at midnight.

And in what is seen as a positive sign....the House Speaker and Senate Majority Leader stood side by side outside the White House.

Joel Brown has the latest.

There was still no deal when Congressional leaders walked out of the late night budget talks at the White House.

Sot: Sen. Harry Reid/Senate Majority Leader says,
"We've narrowed the issues significantly."

Sot: Rep. John Boehner/Speaker of the House says,
"There's an intent on both sides to try to work together to resolve this."

After a day on the road, the President arrived back in Washington, in hopes of brokering a compromise.

Afterwards he made an unexpected stop in the White House briefing room: turning up the heat on lawmakers.

President Obama says,
"We are going to keep pounding away at this because i am convinced that we can get this done."

More than 4 million federal employees are in jeopardy of losing their pay...if the government is forced to shutdown.

President Obama says,
"It means people have to recognize that a government shutdown has real consequences for real people."


Joel Brown, CBS News, Washington says,
"The two parties remain at odds over spending cuts. Everyone agrees they are necessary, but finding common ground has been a challenge."

Sot: Sen. Harry Reid/Senate Majority Leader say, "We meet them half way they say no. We meet them more than half way, and they
still say no."

Sot: Rep. John Boehner/Speaker of the House says, "We are going to fight for as many spending cuts as we can get."

The impact of a shutdown will be felt across the nation.
Government backing of small business loans would come to a halt. National Parks will shut their gates...and customs officers will be furloughed.

sot: Sen. Barbara Mikulski/D-Maryland says, "I represent the great port of Baltimore. Ships are going to come into the port. Who is going to inspect their cargo."

Essential government workers will stay on the job no matter what...including air traffic controllers, the FBI and the U.S. military.

Joel Brown, CBS News, Washington.

House Republicans are threatening to pass a stop gap spending bill that would keep the government open for another week,
but President Obama has already promised to veto it.

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