Trump just ignited a battle within the Republican Party about whether to save Obamacare

President Donald Trump ended Obamacare's cost sharing reduction (CSR) payments on Thursday.
Some Republicans applauded the decision and don't want to pass a bill to make the payments.
Other Republicans say the CSR payments are critical to keeping healthcare costs down, and say Congress should pass a bill to fund them.

President Donald Trump continued a battle to undermine Obamacare on Thursday, when his administration announced it would cease paying the cost sharing reduction (CSR) payments under the Affordable Care Act. And in doing so, he created another battle that is set to play out among congressional Republicans in coming weeks.

The administration's decision will halt payments to insurers that offset the cost of offering low-income Americans plans with cheaper out-of-pocket costs. Analyses say it could lead to higher premiums for some, an increased number of people without coverage, insurer uncertainty, and destabilization of the Obamacare individual insurance markets in the short-term.

(Here's a complete explanation of the healthcare ramifications of the decision »)

But the move also shifts the onus onto Congress, where Republicans are set to battle over whether to appropriate the payments and help stabilize a law they have tried for the better part of a decade to repeal. Alternatively, they could let the law crumble and try to replace it again.

"While some lawmakers will use this as an excuse to pursue 'bipartisan market stabilization' measures, Obamacare is a fundamentally flawed law that cannot be saved, repaired or bailed out," said Michael Needham, the CEO of the conservative group Heritage Action.

To mitigate any short-term fallout, Congress could pass a bill to appropriate the funds. But that would require a push from influential congressional Republicans.

Some moderate members are calling on Congress to take up a bill to appropriate funding for the payments, while conservatives have come out against the idea.

Mick Mulvaney, the director of the Office of Management and Budget in the White House, said Trump does not support any bill to appropriate CSRs unless it includes something to further the president's agenda, such as funding for a wall along the US-Mexico border.

House Speaker Paul Ryan applauded the choice by Trump, arguing the payments were on shaky legal ground when they were paid by the executive branch, something the administration said in justifying its decision.

Rep. Jim Jordan of Ohio, a leader of the conservative House Freedom Caucus, also agreed with the decision.

But other Republicans are grappling with the potential consequences: namely, that the move could hurt some of the poorest of the more than 10 million people on the Obamacare exchanges. Rep. Charlie Dent, chair of the moderate Tuesday Group caucus, told CNN that he was concerned by the administration's decision.

Democrats are all but guaranteed to support a standalone measure that would appropriate funding for CSRs, but complications could arise if the appropriation is part of a larger package.

"He should do the right thing," House Minority Leader Nancy Pelosi said Friday. "And the right thing is to respect what we’re trying to do to bring healthcare to all Americans as well as those with preexisting medical conditions. I don’t know what he wants. Do you know what he wants? Do you know what the president wants? Do you have any idea from his vision, his presentation what he might want?"