Fond Du Lac Times

Congressman Glenn Grothman has reintroduced the Protecting Taxpayers from Student Loan Bailouts Act. This bill aims to prevent future administrations from implementing student loan forgiveness plans similar to those attempted by former President Joe Biden, which could have cost taxpayers up to $1.4 trillion.

"The amount of student loan debt in this country is an embarrassment to our entire educational system," said Grothman. "My bill helps shield Americans’ pocketbooks against debt forgiveness schemes like those of former President Joe Biden that sparks inflation, adds to our national debt, and tanks our economy, all without Congressional approval. Legal questions aside, the pattern of encouraging student debt cancellation is insulting to every American who paid their loans or never attended college."

During his presidency, Biden's approach to student loan forgiveness involved various attempts that were criticized as misuse of government resources. His campaign promises led to proposals for taxpayer-funded bailouts and repayment moratoriums that reportedly cost billions monthly.

In August 2022, the Biden Administration tried using the HEROES Act for a bailout plan benefiting households earning up to $250,000 annually. The Supreme Court later struck down this attempt, citing it as an overreach of executive authority. Following this decision, the administration sought ways through the Higher Education Act of 1965 for federal student loan waivers without involving Congress.

Grothman's bill mandates that any future plans for forgiving student loan debt must be reviewed by the Department of Education for fiscal impact. It ensures that costs do not increase at taxpayers' expense and prohibits issuing regulations that fail this standard.

U.S. Rep. Glenn Grothman represents Wisconsin’s 6th Congressional District in the U.S. House of Representatives.