Sen.
Bill Cassidy
(R-LA) accused the Biden administration of stubbornly pushing through a new costly
student loan
forgiveness regulation despite being struck down at the Supreme Court this summer.

In a
Washington Examiner

op-ed
Friday, Cassidy, who is the ranking member on the Senate’s Health, Education, Labor, and Pensions committee, argued that the Biden administration’s income-driven repayment regulations are a “bigger” effort than the failed attempt to cancel up to $20,000 in loans for borrowers who make less than $125,000. The regulations allow borrowers to make payments commensurate with their discretionary income, which is defined as income above the poverty line.

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If borrowers make consistent payments over a period of time, at least for 10 years, they can become eligible to have their loans forgiven.

“The new income-driven repayment rule allows a majority of bachelor’s degree student loan borrowers to avoid paying back even a loan’s principal,” the senator wrote. “Ninety-one percent of new student debt would be eligible for reduced payments, subsidized by taxpayers. Just like Biden’s original student debt cancellation scheme, this IDR rule does not ‘forgive’ debt. It transfers the burden of $559 billion in federal student loans to the 87% of Americans who don’t have student loans — including to those who earn far less than some who took the loans.”

Earlier this month, Cassidy introduced a Congressional Review Act resolution that would repeal the regulation. The resolution requires a simple majority vote of both chambers of Congress, and Republicans have had success passing such resolutions, although they have typically been vetoed by President Joe Biden.

Another problem with the regulation, Cassidy wrote, is that it fails to address the out-of-control costs of higher education.

“Aside from being unfair, Biden’s student loan forgiveness does not address the root causes that created the debt in the first place,” the senator wrote. “For example, he does not hold colleges or universities accountable for rising costs. In the last 30 years, tuition and fees have jumped at private nonprofit colleges by 80%. At public four-year institutions, they’ve jumped by 124%.”

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Cassidy said that a series of bills introduced this year as a package dubbed the Lowering Education Costs and Debt Act would alleviate the problems with higher education funding that have allowed tuition to reach excess levels.

“Biden’s failure to address rising tuition rates won’t hurt the rich — only the middle- and lower-income Americans who will continue to be forced to take out more and more loans just to get an education,” he wrote. “Republicans have brought forth a solution that holds colleges accountable for rising costs and empowers students and families to make the best decision for their college career and beyond. But if Congress fails to act, students will continue to drown in debt without a path for success.”