From the Morning Memo:

The organization that represents New York hospitals in Albany criticized President Donald Trump’s move on Thursday to loosen requirements under the Affordable Care Act.

The administration and Republicans supportive of the move say the president’s executive order is designed to make it easier and cheaper to purchase insurance under the ACA, also known as Obamacare.

But opponents are worried it will leave sicker people in the regulated market, driving up costs of those plans.

In a statement, Healthcare Association of New York President Bea Grause said Trump’s order “undermined” a key part of the law. She pointed to allowing small groups to pool insurance and purchase plans across state lines, which would be exempt from ACA requirements and outside of state regulators’ jurisdictions.

At the same time, the order would expand short-term insurance that does not cover pre-existing conditions, undercutting insurance companies that are providing fuller coverage as mandated by New York law, she said.

“As a result, out-of-state companies offering products with less coverage and fewer consumer protections will undercut New York-regulated insurance companies providing comprehensive coverage by mandated by state law,” she said. “This approach will almost certainly serve to destabilize the insurance market in New York and lead to unaffordable coverage for the people who need it most.”

The Trump administration on Thursday evening, meanwhile, announced it would not longer fund a key ACA subsidy to insurance companies.

The moves come after Republicans in Congress could not reach an agreement to unwind the law, a signature domestic policy achievement under President Barack Obama.