Michelle Medintz spent at least $5,000 in 2022 alone, largely on books. She created a 'cozy corner' in her classroom with shelves filled with books, cushions on the floor, and stuffed animals. 'That doesn't make me a better teacher than my colleagues,' Medintz said.
The One Big Beautiful Bill Act includes the largest overhaul to the federal student aid system in decades, limiting loan repayment and debt forgiveness options for borrowers.
As the Federal student aid portfolio soars to nearly $1.7 trillion and with nearly a quarter of student loan borrowers in default, Americans know that the Department of Education has failed to effectively manage and deliver these critical programs. By leveraging Treasury's world-renowned expertise in finance and economic policy, we are confident that American students, borrowers, and taxpayers will finally have functioning programs after decades of mismanagement.
This decision formally ends the SAVE injunction that has forced over 7 million SAVE borrowers into economic limbo-pushing meaningful debt relief and affordable monthly payments out of reach. They added that they're calling on the department to implement the benefits of the SAVE plan and administer loan cancellation for borrowers on the SAVE Plan who are eligible for such relief immediately.
These new restrictions-which can be found throughout the appropriations bill for the Department of Education and other sections of the 11-part funding package that was signed into law last week-are part of what policy experts describe as a bipartisan attempt to rebuke the Trump administration's budget proposal and restore Congress's power of the purse. Historically, the language of these budget bills has largely stayed the same, serving as little more than a template into which lawmakers plug that year's dollar amounts and policy riders.
These actions further align the postsecondary and workforce education programs of ED and DOL and will position DOL as the central hub for America's postsecondary education and workforce development programs. Through the agreement, Labor is essentially administering ED grant programs, while ED continues to set the budget, criteria and priorities for the programs and manage hiring and other HR processes.
The 13-member panel, comprised largely of state officials, think tank researchers and higher ed lawyers, spent the last four days negotiating the rules of a new college earnings test called Do No Harm-which applies to all degree programs-as well as changes to the existing gainful-employment rule, an accountability metric that only applies to certificate programs and for-profits. The department's proposal, which aligns the two accountability
The new accountability metric, set to take effect in July, could eventually cut failing programs off from all federal student aid funds-an enhanced penalty that appeared key to the committee reaching consensus Friday. Before the compromise, programs that fail the earnings test would only have lost access to federal student loans. Under the proposal, college programs will have to show that their graduates earn more than a working adult with only a high school diploma.
"Here's the reality: When you come to the table prepared with smart and dedicated people that are focused on a clear goal, you can move quickly and intentionally without sacrificing the thoroughness and the careful deliberation that this process deserves,"
