Oct. 29, 2024
The information covered below is from October 11, 2024, through October 24, 2024.
Highlights:
Administration:
White House:
Biden-Harris Administration announces more than 1 million public service workers have received student debt cancellation: On October 17, the White House announced an additional $4.5 billion in student debt cancellation for over 60,000 borrowers through the Public Service Loan Forgiveness (PSLF) program, bringing the number of public service workers who have had their student loans cancelled during the Biden-Harris Administration to over 1 million people. The PSLF program supports public servants — including teachers, nurses, social workers, first responders, service members, and other public servants — by forgiving the remaining student loan balance for those who make the required 120 qualifying monthly payments. Additionally, the Council of Economic Advisors (CEA) published a new analysis showing the impact of the Biden-Harris Administration’s student debt policies, as well as outlining new efforts with the following public sector unions to encourage public workers to take advantage of the PSLF program: American Federation of State, County, and Municipal Employees (AFSCME), American Federation of Teachers (AFT), National Education Association (NEA), and the Service Employees International Union (SEIU). In a speech regarding the debt relief for public service workers, USED Secretary Miguel Cardona highlighted the process the Department went through to make fixes to the PSLF program, conducting “extensive outreach” and enacting “new rules streamlining the process and centralizing management.”
Biden-Harris Administration states it will not collect involuntary payments on defaulted student loans until January 2025: On October 10, a spokesperson for the White House said in a statement to POLITICO that borrowers who have defaulted on their student loans will not see their wages and benefits withheld until 2025. "Involuntary collections will not occur before 2025," a White House spokesperson said, continuing, "Defaulted borrowers won’t see collections until 2025." (Note: A subscription to POLITICO is required to view this article.) The USED issued a blog post on October 9, explaining the impact of the Biden-Harris Administration’s “on-ramp” to repayment following the pandemic-related repayment pause, which ended on September 30, 2024. The blog notes that because the on-ramp has ended, “many borrowers continue to struggle with student debts they cannot afford,” and though the Department is required to report late or missing payments to national credit reporting agencies, they are not required to do so until January 2025.
U.S. Department of Education (USED):
USED releases proposed rules to provide student debt relief based on hardship: Building on the Biden-Harris Administration’s announcement on April 8 regarding the Administration’s new plan to provide student debt relief, the USED released proposed rules on October 25 to provide loan forgiveness to student borrowers experiencing hardships. Shortly after the Supreme Court struck down the Biden-Harris Administration's previous effort to forgive student loan debt, President Biden indicated that the USED would develop a new plan “using the [USED] Secretary’s authority under the Higher Education Act.” The proposed regulations are expected to be published in the Federal Register in the coming weeks. Following publication of the proposed rules, the public is expected to have 30 days to submit comments. The Department expects to finalize the regulations in 2025.
Specifically, the proposed regulations, which were prepared following the Department’s negotiated rulemaking session in February 2024, would allow borrowers meeting certain criteria to access relief through two different pathways for relief. The first pathway would allow automatic relief without an application. Citing the USED Secretary’s authority to grant individualized, automatic relief, loan forgiveness would be provided to “one-time basis to borrowers who the Department determines, based on a predictive assessment using existing borrower data, have at least an 80% chance of being in default within the next two years.” The second pathway would allow current and future cohorts of borrowers to receive relief based on “a holistic assessment of the borrower’s hardship and would be primarily application-based.” The Department estimates that if the regulations are finalized, as proposed, that debt relief could be authorized for nearly eight million borrowers.
In response to the release of the proposed regulations, House Education and the Workforce Chairwoman Virginia Foxx (R-NC) released a statement, saying, “Surprise, surprise, we’re eleven days out from an election, and the Biden-Harris administration announces another sham plan to shift responsibility for paying for college from those who took out loans to those who didn’t. The latest blatant attempt to bribe voters is the hallmark of a desperate administration that’s squandered the chance to make meaningful, lasting reform when it comes to college costs.”
USED moves to second Beta Testing phase of 2025–26 Free Application for Federal Student Aid (FAFSA) form: On October 15, the USED announced the launch of the second stage of testing, Beta 2, for the 2025–26 FAFSA. The second stage of FAFSA testing includes 16 organizations who will recruit students to complete the FAFSA, including first generation students, first-time filers, returning students, and mixed-status families, among others. Half of the organizations participating in the Beta 2 stage are institutions of higher education that will work with their current students to submit the FAFSA form as returning students, marking the first time that returning students will participate in beta testing. The announcement also included information on the first stage of beta testing: over 650 students successfully submitted forms; 586 unique institutions received 6,266 Institutional Student Information Records (ISIRs) generated by those applications; and dozens of student corrections were completed. According to the USED, the goal of the phased rollout of the 2025-26 FAFSA form is to allow the Department to test and resolve issues before making the form available to all students, recognizing the challenges of the 2024-25 FAFSA cycle. Beta 3 will begin in early November; Beta 4 will begin in mid-November; and the application will be available to all students on or before December 1, 2024.
U.S. Department of Education releases “toolkit” for AI use in education: On October 24, the USED Office of Educational Technology released a toolkit titled, “Empowering Education Leaders: A Toolkit for Safe, Ethical, and Equitable AI Integration.” The toolkit was developed following instructions from President Biden’s October 2023 Executive Order on AI, which included a requirement that the Secretary of Education to create a toolkit to support school and district leaders in navigating AI adoption while ensuring student protection, especially for vulnerable and historically underserved populations. Starting in December 2023, the USED held 12 roundtable discussions with education leaders and listening sessions with 90 educators to help develop this guidance.
The toolkit provides recommendations to education leaders within three areas. The first is on safeguarding student privacy, security, and non-discrimination. Here USED outlines concepts such as data security requirements, civil rights, digital equity as they relate to AI. Second, the toolkit focuses on building a strategy for AI integration in the instructional core. This section provides resources to support education leaders in considering the evidence supporting AI-enabled tools, and guiding leaders through steps intended to further inform their strategy for the effective use of AI-enabled tools to meet student needs. The final section covers guidance for the effective use and evaluation of AI. Here USED outlines three steps education leaders can promote for AI use including: developing AI literacy for educators; revising responsible use policies; and building a system-wide plan.
GAO issues new report on student loan relief through “borrower defense”: On October 24, the Government Accountability Office (GAO) publicly released a report titled, “Student Loan Relief in Cases of College Misconduct,” which provides an overview of student loan relief under “borrower defense,” including the number of applications the USED has received, and the outcome of those applications. “Borrower defense to repayment” is a legal ground for discharging federal Direct Loans. Under the Higher Education Act, borrowers may be eligible for student loan debt relief if “their institution misleads or manipulates them.” The report, which was requested by House Education and the Workforce Chairwoman Virginia Foxx (R-NC), highlighted that the most common type of misconduct found by USED was a college’s misrepresentation of its graduates’ employment prospects, including job placement rates or expected earnings, as well as misrepresenting educational services, such as faculty qualifications or program offerings. The GAO also found that until 2015, USED received “few” borrower defense applications. With the closure of Corinthian Colleges in 2015, which had more than 100 campuses at its peak operation, the number of borrower defense applications increased dramatically. The report noted that USED then developed new regulations, which were subsequently expanded during the Obama and Biden Administrations, to “clarify and streamline the borrower defense process.”
According to the report, as of April 30, 2024, through borrower defense, USED had forgiven $17.2 billion in federal student loans for 974,820 borrowers. The Department received 888,430 borrower defense applications from 762,180 borrowers. Borrowers are able to submit more than one application, if they allege misrepresentation from more than one college. And, of the 974,820 total borrowers, some received relief through a group discharge (i.e. discharging all loans for students from a particular college) and did not file an application. Of the total applications received, 1% were denied, 52% were either closed or are pending, and 47%, or nearly 417,000 applications were approved. The report noted that of those approved, 199,000 applications were directly approved by USED, while 218,000 were resolved through legal settlement - and not considered relief under borrower defense.
Chairwoman Foxx, in response to the report, commented, “For years, Democrat administrations have used illegal interpretations of the borrower defense law and other student loan schemes as tools to give the far left what it wants. Now, we’ve got the numbers to confirm it. The Biden-Harris administration is piggybacking onto the Obama-Biden administration’s legacy of dramatic government overreach and complete disrespect for the law and taxpayer dollars.”
National Student Clearinghouse Research Center data shows drop in college freshman enrollment: On October 23, the National Student Clearinghouse Research Center issued an update outlining new data for postsecondary enrollment, showing an overall 3% increase in undergraduate enrollment, while freshman enrollment declined 5% between fall 2023 and fall 2024. The decrease was most significant for 18-year-old freshmen (a proxy for those enrolling immediately after high school graduation) at 6%; public and private nonprofit 4-year institutions saw the largest declines, 8.5% and 6.5%, respectively. Four-year colleges with high shares of undergraduate students receiving Pell Grants experienced a 10% decline in freshman enrollment, whereas comparable community colleges experienced a 1% increase in freshman enrollment. Additionally, increases in enrollment were shown across Bachelor’s (2%) and Associate’s degree (4%) programs, as well as shorter-term credential programs (7.3%).
USED announces more students are poised to receive federal financial aid this year: On October 22, the USED issued a blog post with findings from new data showing that in the 2024-25 school year, federal financial aid is expected to support a greater number of low- and middle-income students. Specifically, the data indicates that 3% more students are poised to receive federal aid this year compared to last year at this time and 10% more students are on track to receive Pell Grants. The blog post comes as the Department continues to face scrutiny over its delayed rollout of the 2024-25 FAFSA, as well as its phased rollout of the 2025-26 FAFSA. The blog post includes a breakdown of federal student aid, including Pell Grants, disbursed to high school seniors, and students from public and private institutions.
USED’s Office Federal Student Aid (FSA) issues bulletin regarding conduct by institutions of higher education that creates a risk of engaging in substantial misrepresentations: On September 25, the FSA issued a bulletin to inform institutions of higher education and third-party servicers of examples of conduct that creates a risk of engaging in a substantial misrepresentation. Under the regulations implementing the Higher Education Act (HEA), the USED Secretary may take administrative action against an institution if he or she determines that the institution has made a substantial misrepresentation about the nature of its educational program, its financial charges, or the employability of its graduates. The bulletin notes the definition of misrepresentation as “[a]ny false, erroneous or misleading statement,” that an institution or its representative makes “directly or indirectly to a student, prospective student or any member of the public, or to an accrediting agency, to a State agency, or to the Secretary.” FSA noted that in its oversight activities, Department officials observed examples of conduct that could rise to the level of an actionable substantial misrepresentation, such as:
The bulletin notes that should the USED Secretary determine that an institution engaged in a substantial misrepresentation, the institution could be subject to a fine or limiting the institution’s participation in Title IV student aid programs.
USED’s Office for Civil Rights requests public input on Civil Rights Data Collection for 2025-26 and 2027-28 school years: On October 16, the USED issued an request for comments for the Civil Rights Data Collection (CRDC), which collects data and information about student access to educational opportunity and resources, including courses and school staff, as well as school climate factors from public schools. The Department noted that the CRDC for 2025-26 and 2027-28 school years proposes collecting the following additional data items:
Comments will be accepted until December 16 and more information can be found here.
USED Secretary Cardona delivers remarks at event for White House Initiative for Black Americans in Philadelphia: On October 23, USED Secretary Miguel Cardona traveled to Philadelphia, Pennsylvania for the Power Up summit hosted by the White House Initiative on Advancing Educational Equity, Excellence, and Economic Opportunity for Black Americans. Power Up is a series of in-person and virtual events to engage the community, discuss best and promising practices, and share information about local and federal resources that advance educational and economic opportunities for Black Americans. The summit in Philadelphia is the fifth installment of the multi-city series, and attendees heard directly from federal agencies about the initiatives, policies, and strategies aimed at enhancing racial and social justice, economic opportunity, and access to essential services for Black Americans.
USED Deputy Secretary Marten visits Pennsylvania to highlight investments made through the American Rescue Plan: On October 21 and 22, USED Deputy Secretary Cindy Marten traveled to Lancaster and Johnstown, Pennsylvania, to highlight investments made through the American Rescue Plan Elementary and Secondary School Emergency Relief (ARP ESSER) funds. The visits at Wickersham Elementary School and Johnstown High School highlighted how the investments have helped support students’ academic recovery and well-being and made lasting improvements in school facilities. Deputy Secretary Marten participated in a roundtable discussion with teachers and school leaders at Wickersham Elementary and visited the welding program at Johnstown High.
Biden-Harris Administration announces $70 million in new awards for school-based mental health services: On October 17, the Biden-Harris Administration announced $70 million in new federal awards to expand student access to school-based mental health services across 28 states. The investments were made through the School-Based Mental Health Services (SBMH) and Mental Health Service Professionals Demonstration (MHSP) grant programs, which will help train and hire an additional 4,000 mental health professionals nationally to support students and address their mental health needs. USED Secretary Miguel Cardona visited Five Forks Middle School in Gwinnett County, Georgia, to announce the awards, as Gwinnett County Public Schools is the recipient of $19 million in SBMH and MHSP grants to collaborate with five universities to train and hire 125 additional diverse mental health professionals.
USED celebrates Hispanic Heritage Month with “Educación En Acción” Summit: On October 15, the USED hosted the “Educación En Acción” (Education in Action) Summit, a day of professional learning celebrating Latinidad, Latino educators, Hispanic culture and Latino-related achievements. The event also brought together Latino influencers and celebrities who are using their platforms to advocate for Latino communities, and showcased student performances from schools in Arizona, Washington, D.C., and Connecticut. Also on October 15, the USED issued a fact sheet with a state-by-state breakdown of prior federal investments in Hispanic-Serving Institutions (HSIs), made through both COVID relief funds and USED programmatic funds.
USED issues letter to Chief State School Officers on arts education: On October 2, the USED issued a letter to Chief State School Officers regarding the Biden Administration’s commitment to arts education following President Biden’s September 2022 Executive Order on Promoting the Arts, the Humanities, and Museum and Library Services. The letter, sent by USED Deputy Secretary Cindy Marten emphasizes how arts education is a “core component…[of] equitable access to a well-rounded education” and outlines the federal resources accessible to states to boost arts education. Specifically, the letter notes that the Elementary and Secondary Education Act of 1965 (ESEA) Titles I, II, III, and IV all include permissible uses of funds for arts education, as well as funds under the Individuals with Disabilities Education Act (IDEA). The letter also added that the Department created the Assistance for Arts Education Center in February 2024 to highlight federal funding sources to support arts education.
U.S. Department of Health and Human Services (HHS):
Administration for Children and Families (ACF) releases inaugural data strategy to improve services for children and families: On October 16, the ACF released an inaugural data strategy, designed to ensure that the data the Administration collects delivers services for the people it serves. The strategy includes a dozen individual initiatives that are organized into four categories: sustaining initiatives; one-stop shop initiatives; delivery initiatives; and technology initiatives. Additionally, the ACF will build on foundational infrastructure and hire ACF’s first ever Chief Data Officer and establish a Data Governance Council, as well as create a Data Talent Center to provide expertise in hiring and retaining data talent.
Congress:
Senate:
Senate Commerce Committee Ranking Member Cruz releases report regarding concerns with “increasingly politicized” use of National Science Foundation (NSF) funds: On October 9, Senate Commerce Committee Ranking Member Ted Cruz (R-TX) released a report titled, “DEI: Division. Extremism. Ideology. How the Biden-Harris NSF Politicized Science.” The Committee’s analysis asserts 3,483 grants—over 10% of all NSF grants awarded during the Biden-Harris Administration—totaling more than $2.05 billion went to “questionable projects” that promoted diversity, equity, and inclusion. The report names specific examples from institutions and professors, adding that the representatives leading the projects “promote radical perspectives through on-campus activism and in their classrooms.”
House:
House Education and the Workforce Committee Chairwoman Foxx raises concerns with the USED’s proposed changes to the State Plan Guide and Consolidated Annual Report for the Carl D. Perkins Career and Technical Education Act of 2006: On October 15, House Education and the Workforce Committee Chairwoman Virginia Foxx (R-NC) and Subcommittee Chairman Aaron Bean (R-FL) expressed concern regarding the USED’s proposed changes to the State Plan Guide and Consolidated Annual Report for the Carl D. Perkins Career and Technical Education Act of 2006 (Perkins V). In comments submitted to the Department, Chairwoman Foxx and Subcommittee Chairman Bean noted that the changes proposed “will pose a significant and unjustified burden on state career and technical education (CTE) agencies, institutions of higher education, school districts, and CTE programs.” Specifically, the comments add that “the revisions to the State Plan Guide will require states to begin a new state plan submission process, including stakeholder consultation, public hearings, and a public comment period, after many states just recently completed this process for the new four-year state plans submitted in May.” Chairwoman Foxx and Subcommittee Chairman Bean also raise concerns that the revisions to the State Plan Guide would mean Perkins V would be out of alignment with the four-year planning cycle for the Workforce Innovation and Opportunity Act (WIOA), adding burden to states that aim to align initiatives between the two programs. The comments also express concern over the potential that the changes exceed what it is expected of states under Perkins V and would require states to “develop policies not expressly required under the law.” Chairwoman Foxx and Subcommittee Chairman Bean conclude their comments requesting that the Department immediately withdraw the proposed revisions.
U.S. Courts:
U.S. Eighth Circuit Court of Appeals hears oral arguments about the legality of Biden-Harris Administration’s SAVE Plan as the USED issues an update on the SAVE Plan: On October 24, the Eighth Circuit Court of Appeals heard oral arguments in the State of Missouri’s case against the Biden Administration’s income-driven repayment plan, the Saving on a Valuable Education (SAVE) Plan. U.S. District Court Judge Matthew Schelp of the Eastern District of Missouri previously issued a preliminary injunction on the case on October 3, blocking the Biden Administration from implementing relief to groups of borrowers announced in April, including borrowers who owe more now than they did at the start of repayment, borrowers who have been in repayment for decades, borrowers who are otherwise eligible for loan forgiveness but have not yet applied, and borrowers who enrolled in low-financial value programs. According to the Missouri Independent, “Arguments Thursday focused on two points: whether the U.S. Department of Education had the authority to create the plan and if the states bringing the lawsuit can prove they are harmed by the plan enough to give them standing to sue.”
In advance of the oral arguments, the USED issued an update on the status of the SAVE plan. The National Association of Student Financial Aid Administrators (NASFAA) reported that, “According to the latest update from [US]ED, pending further developments from the 8th Circuit Court of Appeals, the 8 million borrowers already enrolled in the SAVE plan, along with anyone who has applied for SAVE, should expect to remain in forbearance for “six more months or longer” as ED re-programs its systems.” As part of the announcement, the USED also stated, “This fall, the Department will take action to reopen the PAYE and ICR repayment plans to new enrollees, who otherwise meet the eligibility requirements. Doing so will allow the Department to meet its obligations under the Higher Education Act to offer borrowers a repayment option through the same authority used to create the SAVE plan.”
U.S. Supreme Court relists Boston exam school case: On October 15, the Supreme Court of the United States (SCOTUS) relisted Boston Parent Coalition for Academic Excellence Corp. v. The School Committee for the City of Boston, et al. According to SCOTUSblog, the case involves the process through which students were admitted to elite schools in 2021, which replaced the traditional standardized entrance exam with a plan that allowed for 20% of the admission slots to be based on the students’ grade point average. In December 2023, the United States Court of Appeals for the First Circuit held that Boston did not violate the Constitution because the admission policy was adopted to ease racial disparities in elite schools and not to discriminate against students of any particular race.
Upcoming Events (Congress & Administration):
Upcoming Events (Outside Organizations):
Publications (Congress & Administration):
Publications (Outside Organizations):
Legislation:
Introduced in the House of Representatives:
H.R. 9984
A bill to amend the Internal Revenue Code of 1986 to permit qualified business trade expenses to be treated as qualified higher education expenses for purposes of 529 accounts.
Sponsor: Rep. Marie Gluesenkamp Perez (D-WA)
H.R. 9986
A bill to amend the Higher Education Act of 1965 to enhance teacher and school leader quality partnership grants.
Sponsor: Rep. Abigail Spanberger (D-VA)
H.R. 10013
A bill to amend the Internal Revenue Code of 1986 to exclude individuals who have committed certain crimes from being eligible students for purposes of the American opportunity credit, the lifetime learning credit, and the deduction on interest paid on qualified education loans.
Sponsor: Rep. Greg Murphy (R-NC)
H.R. 10015
A bill to require that States that receive a grant under the Child Care and Development Block Grant Act of 1990, will not prohibit licensed child care providers from performing simple food preparation of fruits and vegetables.
Sponsor: Rep. Marie Gluesenkamp Perez (D-WA)
H.R. 10022
A bill to direct the Secretary of Transportation to issue rules requiring the inclusion of new safety equipment in school buses, and for other purposes.
Sponsor: Rep. Steve Cohen (D-TN)
H.R. 10024
A bill to direct the Director of the Cybersecurity and Infrastructure Security Agency (CISA) of the Department of Homeland Security to issue a rule requiring the installation or modification of interior and exterior doors in schools for the purpose of reinforcing such doors and improving the safety of students, teachers, and school personnel, and for other purposes.
Sponsor: Rep. Brian Fitzpatrick (R-PA)
H.R. 10048
A bill to prohibit the availability of Federal funds to institutions of higher education that conduct painful biomedical research on dogs and cats.
Sponsor: Rep. Nicole Malliotakis (R-NY)
H.Res. 1548
A resolution expressing support for the designation of October 2024 as "National Learning Disabilities Awareness Month".
Sponsor: Rep. Julia Brownley (D-CA)
These materials have been prepared for informational purposes only and are not legal advice. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. Internet subscribers and online readers should not act upon this information without seeking professional counsel.