ED Announces Upcoming Negotiated Rulemaking Committee to Review Federal Student Loans
Published July 10, 2023
By AACOM Government Relations
Advocacy Federal Policy Financial Aid Higher Education OME Advocate
- On July 6, 2023, ED published a Federal Register notice detailing its intent to establish a negotiated rulemaking committee and hold a public hearing to prepare proposed regulations for federal student loan programs.
- ED plans to review proposed regulations regarding Section 432(a) of the Higher Education Act. This section provides ED with legal authority to broadly cancel student debt, stating that the secretary of education has the authority to modify a loan, and "...compromise, waive, or release any right, title, claim, lien, or demand, however acquired, including any equity or any right of redemption." Given the recent SCOTUS decision, this is likely part of the Biden administration's alternative plan to provide student debt relief.
- ED will also hold a virtual public comment hearing on July 18 from 10:00 AM – noon and 1:00 PM – 4:00 PM ET. Written public comments are due on July 20 via the regulations.gov portal.
- AACOM is closely tracking the rulemaking process and will share more information about the negotiated rulemaking committee and any associated proposed rules.