An appeals court temporarily suspends Biden’s student debt forgiveness plan.Joe Biden
Joe Biden’s plan to cancel billions in federal student loans has been temporarily stopped by a federal appeals court as it considers motions from six Republican-led states to block the program. rice field.
The Eighth Circuit Court of Appeals issued a stay Friday, Biden administration Do not act under the program while your appeal is being considered.
Delaware State University is a historically black university and the majority of its students receive federal Pell Grants. Biden said Friday that nearly 22 million people have applied for loan relief in the week since the administration made online applications available.
The plan, announced in August, would cancel $10,000 of student loan debt for people with incomes below $125,000 or households with incomes below $250,000. Pell grant recipients who typically demonstrate more financial need can additionally receive $10,000 in debt forgiveness. According to the administration, the plan could make 43 million borrowers eligible for debt forgiveness and completely cancel the debt of 20 million.
The Congressional Budget Office says the program will cost about $400 billion over the next 30 years.Attorney James Campbell Nebraska At a hearing on Oct. 12, the Attorney General’s Office told U.S. District Court Judge Henry Autry that the administration is acting beyond authority in ways that cost states millions of dollars. Told.
The debt relief plan quickly became a major political issue ahead of November’s midterm elections.
Conservative lawyers, Republican lawmakers and business-minded groups allege that Biden exceeded his authority by taking such drastic action without congressional consent. He called it an unfair government present to the relatively wealthy at the expense of taxpayers who had no higher education. ing.
Biden on Friday was blown up republican Those who criticized his relief program say “their anger is wrong and hypocritical.” He noted that some Republican officials were forgiven debt and pandemic relief loans Did.
6 states – Nebraska, Missouri, Arkansas, Iowa, Kansas, south carolina – Filed in September. Administrative attorneys countered that the Department of Education has “broad authority to administer federal student financial aid programs.” , the Secretary of Education may waive or modify the terms of federal student loans in times of war or national emergencies.
“Covid-19 is a very urgent matter,” Filing said.
Justice Department attorney Brian Netter told Autry at a hearing on Oct. 12 that the aftermath of the Covid-19 pandemic is still rippling. said to have increased sharply in
Other lawsuits also seek to suspend the program. On Thursday, Supreme Court Justice Amy Coney Barrett dismissed an appeal from a group of Wisconsin taxpayers seeking to suspend the debt forgiveness program.
https://www.theguardian.com/us-news/2022/oct/21/joe-biden-student-debt-cancellation-scheme-halted An appeals court temporarily suspends Biden’s student debt forgiveness plan.Joe Biden