Fairness for Responsible Borrowers Act

Bill: 117-hr-8496
Sponsor: full_name: Rep. Grothman, Glenn [R-WI-6]
Introduced: 2022-07-26
Policy area: Education
Latest action: action_date: 2022-07-26
text: Referred to the Committee on Education and Labor, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Summaries:
action_date: 2022-07-26
action_desc: Introduced in House
text: <p><strong>Fairness for Responsible Borrowers Act</strong></p> <p>This bill generally prohibits the Departments of Education, Justice, or the Treasury from taking any action to cancel or forgive the outstanding balances, or portion of balances, of covered loans. <em>Covered loans</em> refer to Federal Family Education Loans, Federal Direct Loans, Federal Perkins Loans, and loans under the Health Education Assistance Loan Program.</p> <p>The prohibition does not apply to targeted federal student loan forgiveness, cancellation, or repayment programs carried out under the Higher Education Act of 1965.</p>

tv_txt: I 117th CONGRESS 2d Session H. R. 8496 IN THE HOUSE OF REPRESENTATIVES July 26, 2022 Mr. Grothman introduced the following bill; which was referred to the Committee on Education and Labor , and in addition to the Committee on Energy and Commerce , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To prohibit the Secretary of Education, the Secretary of the Treasury, and the Attorney General from cancelling student loans except as specifically authorized by law.

1. Short title This Act may be cited as the Fairness for Responsible Borrowers Act . 2. Findings Congress finds the following: (1) The executive branch does not have the statutory authority to cancel student loans on a large scale. (2) Student loan forgiveness is unfair to those who have already paid off their loans and to those who did not attend college. (3) Student loan forgiveness is inherently regressive and would disproportionately benefit upper-class Americans. (4) An undergraduate degree is by no means the only option for a successful career path. (5) Community and technical colleges are a fantastic way for students to learn a valuable skill set without taking on a large debt burden. 3. Prohibition on mass cancellation of student loans (a) Prohibition (1) In general Notwithstanding any other provision of law, the Secretary of Education, the Secretary of the Treasury, or the Attorney General shall not take any action to cancel or forgive the outstanding balances, or portion of balances, of covered loans, except as provided in paragraph (2). (2) Exemption The prohibition described in paragraph (1) shall not apply to targeted Federal student loan forgiveness, cancellation, or repayment programs carried out under the Higher Education Act of 1965 ( 20 U.S.C. 1001 et seq. ). (b) Definitions In this section, the term covered loan means— (1) a loan made, insured, or guaranteed under part B, D, or E of title IV of the Higher Education Act of 1965 ( 20 U.S.C. 1071 et seq. ; 1087a et seq.; 1087aa et seq.) before, on, or after the date of enactment of this Act; or (2) a loan under the Health Education Assistance Loan Program under title VII of the Public Health Service Act ( 42 U.S.C. 292 et seq. ) made before, on, or after the date of enactment of this Act. (c) Limitation The Secretary of Education, the Secretary of the Treasury, or the Attorney General may not implement, or publish in any form, any regulation, or take any action, that modifies, alters, amends, cancels, discharges, forgives, or defers the repayment of any student debt not expressly permitted within statute or regulation, regarding covered loans, except to the extent that such regulation or action reflects the clear and unequivocal intent of Congress in legislation.