A federal appeals court has dealt another blow to President Biden’s plans to transfer outstanding student-loan debt to American taxpayers, blocking his latest proposal just one year after the Supreme Court struck down a similar plan. However, the Biden administration remains undeterred, with Education Secretary Miguel Cardona sending an email to student-loan borrowers that appears to disregard the court’s ruling.
Cardona’s email, sent from the U.S. Department of Education’s account, reads like a campaign message, accusing Republican elected officials of siding with special interests and vowing to implement the SAVE Plan “to the fullest extent.” This message is a clear violation of the 1939 Hatch Act, which prohibits federal employees from engaging in partisan activity while on duty or using federal property.
The email is just one example of the Biden administration’s attempts to circumvent adverse court rulings. Despite the Supreme Court’s decision in Biden v. Nebraska, which limited the Department of Education’s authority to cancel student debt, the administration is using the Higher Education Act to push forward with its SAVE Plan. This plan, which aims to cancel debt under the guise of regulating student aid programs, is without precedent and raises serious concerns about the administration’s disregard for the law.
The Supreme Court’s decision in Biden v. Nebraska is clear: the Department of Education can only shift student debt to taxpayers in limited circumstances, and large-scale cancellation of student debt is a matter of “staggering” economic and political significance that requires clear congressional authorization. However, the Biden administration seems to be ignoring these conclusions, and instead is attempting to use the HEA to justify its actions.
Lower courts have already begun to push back against the administration’s plans, with two Democrat-appointed judges relying on the Supreme Court’s decision in Biden v. Nebraska to partially halt the implementation of the SAVE Plan. In Kansas, U.S. District Judge Daniel D. Crabtree found that the administration’s attempt to expand the HEA’s authority was a “transformative expansion” that went beyond anything Congress contemplated. In Missouri, U.S. District Judge John A. Ross found that it was “far from clear” that Congress had granted the Secretary authority for the SAVE Plan’s debt cancellations.
The Biden administration’s actions are not only illegal, but also demonstrate a clear disregard for the law and the separation of powers. Policymakers should continue to take the administration to court to protect students and taxpayers from these executive breaches of authority. The Office of Special Counsel should also remind Education Department personnel of their duty to use public time and public money for the public good, not for partisan activities.
