Scott, Cassidy, Cornyn, Ernst, Colleagues Introduce CRA to Overturn Biden’s Reckless Student Loan Schemes

WASHINGTON – U.S. Senators Tim Scott (R-S.C.) and Bill Cassidy, M.D. (R-La.), ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, along with Senators John Cornyn (R-Texas), Joni Ernst (R-Iowa), and 34 other Republican colleagues introduced a Congressional Review Act (CRA) resolution to overturn President Biden’s student loan cancelation scheme, which would transfer up to $20,000 in student loan debt per borrower onto taxpayers, costing an estimated $400 billion. The CRA would also end the pause on student loan payments, which will have cost Americans a total of $195 billion by the time the most recent Biden extension is set to expire in August of 2023.

“President Biden continues to push inflationary and regressive policies at the expense of hardworking Americans. The truth of the matter is this proposal shifts the responsibility from white-collar borrowers to blue-collar taxpayers— this isn’t right,” said Senator Scott. “I will continue to fight this administration’s radical policies and protect the hard-earned dollars of South Carolinians.”

“President Biden is not forgiving debt, he is shifting the burden of student loans off of the borrowers who willingly took on their debt and placing it onto those who chose to not go to college or already fulfilled their commitment to pay off their loans,” said Dr. Cassidy. “It is extremely unfair to punish these Americans, forcing them to pay the bill for these irresponsible and unfair student loan schemes.”

“The Biden administration’s tuition bailout is bad public policy, and it’s unfair to people who’ve paid their college debt off by working multiple jobs or consciously meeting their obligations,” said Senator Cornyn. “This would block President Biden’s political gambit from driving up inflation, incentivizing universities to raise tuition, and forcing hardworking Texans to pay off the debts of wealthy graduates.”

“President Biden’s attempt to transfer nearly half a trillion dollars in debt to hardworking Americans who chose to avoid or pay off student loans is unfair and unaffordable. That’s why I’m fighting to stop Biden’s student loan socialism and protect Iowa taxpayers from being forced to foot the bill,” said Senator Ernst. 

Senators Scott, Cassidy, Cornyn, and Ernst were joined by Senators John Barrasso (R-Wyo.), Marsha Blackburn (R-Tenn.), John Boozman (R-Ark.), Mike Braun (R-Ind.), Ted Budd (R-N.C.), Shelley Moore Capito (R-W.Va.), Tom Cotton (R-Ark.), Kevin Cramer (R-N.D.), Mike Crapo (R-Ind.), Steve Daines (R-Mont.), Deb Fischer (R-Neb.), Lindsey Graham (R-S.C.), Chuck Grassley (R-Iowa), Bill Hagerty (R-Tenn.), Josh Hawley (R-Mo.), John Hoeven (R-N.D.), Cindy Hyde-Smith (R-Miss.), Ron Johnson (R-Wis.), John Kennedy (R-La.), James Lankford (R-Okla.), Cynthia Lummis (R-Wyo.), Roger Marshall (R-Kan.), Mitch McConnell (R-Ky.), Markwayne Mullin (R-Okla.), James Risch (R-Ind.), Mitt Romney (R-Utah), Marco Rubio (R-Fla.), Eric Schmitt (R-Mo.), Rick Scott (R-Fla.), John Thune (R-S.D.), Thom Tillis (R-N.C.), Tommy Tuberville (R-Ala.), Roger Wicker (R-Miss.), and Todd Young (R-Ind.).

U.S. Representative Bob Good (R-Va.) introduced the companion CRA resolution in the U.S. House of Representatives.

“President Biden’s so-called student loan forgiveness programs do not make the debt go away, but merely transfer the costs from student loanborrowers onto taxpayers to the tune of hundreds of billions of dollars,” said Representative Good. “Congress should stop these unilateral actions, and I am proud to lead the fight in the House to hold President Biden accountable for his reckless, unfair, and unlawful student loan proposal. I hope all my colleagues will join me and support this effort.”

Background:

Sen. Scott’s efforts to combat reckless student loan policies and support responsible spending include:  

• Urging the Secretary of the Department of Education to rescind its reckless Income Driven Repayment (IDR) rule proposal, which would reduce the amount of student loan debt borrowers have to pay back by 40 percent and cost taxpayers up to $1 trillion. 
• Demanding answers from the Department of Education about federal employees potentially receiving refunds for student loan payments that the federal government made on their behalf.
• Introducing the Student Loan Accountability Act, which would prohibit the Biden administration from canceling student loan debt, a move which would add up to $1.7 trillion to the national debt, further fueling inflation.