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Two Republican senators abandoned their fight Wednesday for legislation this year to help contain premium costs by resuming federal subsidies to insurers, as Congress dealt a pair of blows to President Barack Obama's health care law. Sens. Susan Collins of Maine and Tennessee's Lamar Alexander ran into opposition from both parties to inserting the language into a must-pass bill preventing a weekend federal shutdown. They said they'd pursue the effort early next year, though there is no guarantee it would succeed. (Fram, 12/20)

Collins acknowledged on Wednesday that McConnell and Vice President Pence won’t be able to keep their promise to enact the insurance stabilization legislation in exchange for voting for tax reform. Collins and Senate Health Committee Chairman Lamar Alexander (R-Tenn.) said in a statement Wednesday that they will introduce the insurance market stabilization proposal “after the first of the year when the Senate will consider the omnibus spending bill” and other priorities such as reauthorization of the Children’s Health Insurance Program and funding for community health centers. (Bolton, 12/20)

Democrats, who initially supported the Alexander-Murray bill as a block, lost their will to push for it as open enrollment came and went and insurers locked in 2018 rates that include the CSRs. Collins and Alexander emphasized that they believe McConnell will bring their legislation to the floor in 2018. "It looks like the Christmas present of lower health insurance premiums will now have to be a Valentine's Day present," Alexander said. (Luthi, 12/20)

The two chambers had been on a collision course for days over the subsidies bill, with House rank-and-file Republicans staring down Senate Majority Leader Mitch McConnell. Even with the Obamacare flash point out of the picture, House Republican leaders will have a hard sales job to persuade their fractured conference to swallow another kick-the-can spending bill. And in the Senate, the suggestion of including provisions that would provide temporary leeway for certain defense funding is already deterring Democratic support. (Ferris, Caygle and Haberkorn, 12/20)

Senate Republican leaders had considered attaching the health-care proposal to the short-term spending bill to keep the government running through mid-January. But that approach ran into resistance from hardline conservatives in the House, who balked at approving what they consider a giveaway to insurance companies. (Collins, 12/20)

President Trump supports the passage of bipartisan legislation designed to shore up ObamaCare, the White House said Wednesday. “Yes,” a senior White House official said when asked if Trump wants the bills passed in January. The official expressed confidence that Republicans could overcome opposition in the House, where conservatives are objecting to the fixes. (Fabian, 12/20)

A vote on extending a program that provides health insurance to low-income children will also likely slide into 2018, even as several states face a funding squeeze that could leave many families without coverage. (Edney, Litvan and Rausch, 12/20)

Sen. Susan Collins (R-Maine) will be a crucial swing vote for Senate Majority Leader Mitch McConnell (R-Ky.) next year, but it may be tougher to strike deals with her after McConnell failed to fulfill a pledge on health care. The moderate senator told reporters this month that she had an “ironclad” commitment from McConnell and Vice President Pence to pass legislation by the end of the year to stabilize ObamaCare premiums. She wanted that assurance before committing her vote for tax reform. (Bolton, 12/21)

Senate Republicans are looking for ways to ensure that two ObamaCare funding bills they're trying to pass don't put money toward insurance plans that cover abortions. "There were some questions that were raised in the pro-life community, and we want to make sure we get those addressed so that all conservatives feel comfortable voting for this transition out of ObamaCare, which is what this is all about," said Sen. Mike Rounds (R-S.D.). (Hellmann, 12/20)