By Shereen Siewert | Wausau Pilot & Review
The U.S. Supreme Court ruled on Friday that President Biden exceeded his authority when announcing a plan to forgive student loan debt for more than 40 million borrowers.
The 6-3 ruling was the culmination of legal challenges launched shortly after the plan was released in August. Biden’s plan called to eliminate up to $20,000 in federal student debt and was limited to borrowers earning up to $125,000 annually. The married couple cap was at $250,000.
According to a Washington Post report, U.S. Solicitor General Elizabeth B. Prelogar, who defended the program at oral arguments, said Education Secretary Miguel Cardona’s actions were not only justified by the law, but they were also exactly what Congress had in mind when it passed the HEROES Act in the wake of the 9/11 terrorist attacks.
For the majority, the issue boiled down to their interpretation that President Biden lacked the authority to carry out the plan.
Chief Justice John G. Roberts Jr. wrote that the HEROES Act, which was at the center of the plan, allows waiving or modifying existing statutory or regulatory provisions applicable to financial assistance programs under the Education Act, “not to rewrite that statute from the ground up.” Justice Roberts wrote the opinion for the conservative majority.
The pause on student loan payments will end in roughly two months. Unclear is whether the Biden administration will renew the call for student loan reform in another form.
The Supreme Court has now finished issuing opinions for this term.
