Chairwoman Foxx, Ranking Member Cassidy Seek Transparency on Biden's Decision to Cancel $39 Billion in Student Debt

Press Release

"On July 14, 2023, the Department of Education (Department) announced its plans to discharge $39 billion dollars in student loans through so-called "fixes' to Income Driven Repayment (IDR) plans via a press release, without explaining its methodology or statutory authority for doing so. The numbers identified in the GAO report could not account for $39 billion in loan discharges for 804,000 individuals.

"The Department has not shared what statutory authority it is using either to justify this expenditure of taxpayer dollars or the expansive interpretation of the law that led to the fixes. Accordingly, we write to understand what legal authority the Department used to carry out the "fixes' and to understand the process it underwent to identify the 804,000 individuals whose loans were discharged."

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