Democrats and Republicans Both Hint at Allowing Government Shutdown Ahead of Budget Talks

Negotiations on Obamacare and sequestration look likely to cause deadlock

The routine Capitol Hill negotiations in which Democrats and Republicans try to reach a short-term deal to fund the federal government after September is expected to be especially complex this year as both sides hint they will allow a government shutdown over such key issues as sequestration and ObamaCare.

Republicans essentially have tried to dismantle the president's signature health-care legislation since he signed it into law in 2010, including 38 related votes in the GOP-led House. And Republicans say defunding it next year is their last, best chance.