Conservative, Labour and Liberal Democrat MSPs stood in opposition to the scheme. They were joined by Greens MSPs last month.
The SNP is in power as a minority administration after a power-sharing agreement with the Greens collapsed in April.
They must now rely on the support of other parties to pass legislation at Holyrood.
But at the Greens’ party conference in Greenock members voted to withdraw support saying the scheme was “not fit for purpose” in its current form.
Scottish Green health and social care spokeswoman Gillian Mackay said the bill was “contrary to Green values” and a “power grab” on local authorities.
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