Old North News

Education and the Workforce Committee Chairwoman Virginia Foxx (R-NC) criticized the Biden administration's decision to transfer $1.2 billion in student loan debt to taxpayers. In response to President Biden's implementation of the income-driven repayment (IDR) rule through the "Savings on a Valuable Education (SAVE)" plan, Chairwoman Foxx stated, "If President Biden spent half as much time working to address the root causes of our broken student loan system as he does peddling his illegal free college agenda, college costs would be lower, the student loan repayment process would be simpler, and students and families would be able to fill out the FAFSA."

Foxx further expressed her concern that Biden's focus on government dependence for electoral gain is leading to harmful initiatives, stating, "Don’t be fooled by this administration’s so-called free college agenda. It means less money in the pockets of hardworking taxpayers, more debt, and a continuing decline of an already failing student loan system."

The SAVE scheme introduced by Biden is estimated to cost as much as $559 billion, making it the most expensive regulation in history and exacerbating the problems of rising college costs and excessive borrowing. It has also been criticized for subsidizing some graduate students' loans more than what low-income households receive in federal housing assistance, and ensuring that a significant percentage of undergraduate student loan borrowers will never fully repay their loans.

In contrast to Biden's approach, the Committee passed H.R. 6951, the College Cost Reduction Act, which includes bipartisan proposals aimed at addressing concerns about the affordability of postsecondary education. This legislation focuses on providing clear and personalized information about costs and return on investment, holding institutions accountable for overpriced degrees, offering targeted relief to struggling borrowers, and funding colleges based on student outcomes while reducing regulations that increase costs for families.

Chairwoman Foxx and the Committee's efforts reflect a commitment to finding solutions to lower college costs and alleviate the burden of student debt on Americans.