[Pages S2191-S2193]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

By Mr. THUNE (for himself, Mr. Burr, Mr. Braun, Mr. Cassidy, and
Mr. Marshall):
S. 4094. A bill to amend the Higher Education Relief Opportunities
for Students Act of 2003 to strike the Secretary's unilateral authority
during a national emergency, and for other purposes; to the Committee
on Health, Education, Labor, and Pensions.
Mr. THUNE. Mr. President, the Biden administration can't quite seem
to decide on the status of the pandemic or the status of the economy.
On the one hand, we are being told that we no longer need pandemic-
era border restrictions intended to help limit illegal immigration and
prevent the spread of COVID. On the other hand, the administration is
still fighting to require Americans to wear masks on public transit and
airplanes and is urging Congress to pass additional COVID spending to
fight the pandemic the administration seems to believe is over at the
border.
It is a confusing message, to say the least. Americans know the
pandemic can't simultaneously be over for migrants at the border but
make it too dangerous for a South Dakotan to fly from Sioux Falls to
Minneapolis without a mask.
The administration's messaging is similarly muddled on the economy
and student loans. On the one hand, the President is proudly touting
``record'' job creation and ``record'' economic growth even though most
of what he is taking credit for is the natural consequence of an
economic recovery from the pandemic. On the other hand, the President
recently announced that he is extending the moratorium on Federal
student loan payments, interest, and collections for another 4 months,
until August 31, because Americans are still suffering economically as
a result of the pandemic.
Well, which is it? Is our economy thriving or are Americans
economically distressed?
The student loan repayment moratorium and interest freeze included in
the CARES Act at the beginning of the pandemic made sense. Our economy
was starting to shut down, and Americans' jobs were in jeopardy, but it
made sense as a temporary measure for a genuine emergency. We are no
longer having double-digit unemployment as we did during some of the
worst moments of the pandemic. In fact, our current unemployment rate
is a low 3.6 percent. For college graduates, the unemployment rate is a
staggeringly low 2 percent.
To paraphrase the Wall Street Journal's editorial board on the
subject, if student loan borrowers aren't ready to return to making
payments now, they will never be.
Even the Washington Post editorialized against the President's latest
extension, noting:

What was a needed emergency measure at the start of the
pandemic is no longer justified. It is hard to make an
argument that college graduates are struggling right now. The
unemployment rate for Americans with a bachelor's degree or
higher is a mere 2 percent. There is a near-record number of
job openings.

That was from the Washington Post.
It is true that Americans are facing economic challenges as a result
of the inflation that President Biden and Democrats helped to create
with their ill-considered American Rescue Plan Act, but, if anything,
President Biden's latest student loan pause could help prolong our
inflation problems, and, importantly, it will have the biggest benefits
for those who are most able to deal with price hikes from inflation.
This clearly regressive policy benefits high-debt, high-income
borrowers significantly more than low-debt, low-income borrowers.
Again, to quote the Washington Post once more:

Rising prices of gas, rent, food and cars are a hardship,
but forgiving interest on student loans for four more months
offers the biggest benefits to people who have earned degrees
in medicine and law. These people go on to have lucrative
careers. Meanwhile, the 64 percent of Americans who do not
have a college degree don't benefit at all from Biden's pause
on loan repayments.

That was again from the Washington Post.
And subsidizing all of those doctors and lawyers ends up being pretty
expensive. The student loan repayment moratorium has already cost the
Federal Government more than $100 billion. By the time the President's
latest extension of the moratorium is up, it will have cost the Federal
Government billions more.
After a huge increase in our national debt, thanks to the pandemic
and reckless Democratic spending, the government does not need to be
forgoing billions of dollars by providing student loan relief to
Americans with some of the highest earning potential, which is why,
this morning, I introduced legislation--the Stop Reckless Student Loan
Actions Act--to end the current deferment on student loan repayments
and limit a President's authority to pause student loan repayments in
the future.
My legislation, which I introduced with my colleague Senator Richard
Burr and Senators Braun, Cassidy, and Marshall, would continue to allow
a President to temporarily suspend student loan payments during a
future national emergency, but it would limit those suspensions to a
period of 90 days and subject them to congressional disapproval.
It would also ensure that relief is targeted to those who need it
most by preventing Presidents from suspending

[[Page S2192]]

payments for higher income individuals; and, importantly, it would
prevent a President or a Secretary of Education from using a national
emergency to cancel student loan debt, which leads me to, perhaps, my
biggest concern in all of this.
Deferring student loan payments is a bad policy that is costing the
Federal Government money it doesn't have, but it pales in comparison to
the ultimate goal for many Democrats--and that is canceling student
loan debt entirely.
Days ago, the President's Press Secretary, in referring to the
payment deferment, said:

Between now and August 31, it's either going to be extended
again or we're going to make a decision . . . about canceling
student debt.

That was from the President's Press Secretary.
Her statement made it alarmingly clear that the President isn't just
temporarily deferring loan payments but is seriously considering
canceling--canceling--a significant portion of Federal student loan
debt.
She doubled down on that idea on Monday, noting:

What I would tell you is that not a single person in this
country has paid a dime on Federal student loans since the
President took office.

My gosh, canceling student loan debt is a bad idea for so many
reasons.
In the first place, it is money the Federal Government simply doesn't
have. Democrats often speak as if the Federal Government were able to
draw from an unlimited pot of money, but, of course, we know that is
not true. Government funds aren't anywhere close to being unlimited,
and government coffers aren't filled from a pot of gold at the end of
the rainbow. They are filled by taxpayer dollars, and sooner or later,
it will be taxpayers who foot the bill for any loan forgiveness
program, including the many taxpayers who opted not to attend college
or who chose a debt-free way of doing so.
I can scarcely think of anything more unfair than forcing Americans
who incurred no college debt to shoulder the bill for those who did,
especially when a substantial portion of that debt is incurred by those
with the greatest earning potential.
Canceling student debt would also be grossly unfair to the Americans
who worked hard for years to pay off their loans. An American who has
just finished paying off his or her higher education debt would get
nothing--nothing--from such a cancellation while a recent graduate who
had made just a month or two of payments could see his or her debt
disappear entirely.
And canceling student debt would do nothing to address the real
problem, which is the out-of-control cost of higher education. In fact,
it would likely make that problem worse, not to mention the fact that
student loan cancellation would take an already bad inflation situation
and, almost undoubtedly, make it much worse. We think 8.5-percent
inflation is bad, and it is, but canceling student loan debt this fall
could take inflation to new and even more painful heights.
Now, I strongly support finding ways to drive down the cost of higher
education and educate students about the dangers of excessive debt. I
also support measures to help students pay off their student loans
without putting taxpayers on the hook for hundreds of billions of
dollars or more. I would note the measure that I got included in the
CARES Act and extended later that year to allow employers to make tax-
free payments on their employees' student loans; but unnecessarily
deferring student loan payments--or worse, the canceling of a
significant portion of student loan debt entirely--is a terrible idea
for many reasons.
I hope that colleagues from both sides of the aisle will join the
student loan bill that I introduced earlier today to end these endless
and unnecessary loan deferment extensions.
I hope at least some of my Democratic colleagues will recognize the
unwisdom of canceling student loan debt, its blatant unfairness to
individuals who have already paid off their student loans or who never
went to college and the negative effect it would have on our inflation-
ridden economy.
Mr. THUNE. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:

S. 4094

Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Stop Reckless Student Loan
Actions Act of 2022''.

SEC. 2. FINDINGS.

Congress finds the following:
(1) The Higher Education Relief Opportunities for Students
Act of 2003 (20 U.S.C. 1098aa et seq.) was intended to
provide relief opportunities for members of the armed
services.
(2) The authority provided under the Higher Education
Relief Opportunities for Students Act of 2003 has been abused
by the Executive Branch during the COVID-19 national
emergency regarding the payment of Federal student loans.
(3) The unilateral payment pause on Federal student loans
has cost $100,000,000,000.
(4) The individuals benefitting the most from the payment
pause continued by the Executive Branch are doctors, who
receive 11 times the benefit of bachelor's degree recipients
and 14 times the benefit of associate's degree recipients.

SEC. 3. AMENDMENTS TO THE HIGHER EDUCATION RELIEF
OPPORTUNITIES FOR STUDENTS ACT OF 2003.

Section 5(2) of the Higher Education Relief Opportunities
for Students Act of 2003 (20 U.S.C. 1098ee) is amended--
(1) in the matter preceding subparagraph (A), by inserting
``(or the spouse or dependent of the parent, as that term is
used in section 480 of the Higher Education Act of 1965 (20
U.S.C. 1087vv))'' after ``an individual'';
(2) in subparagraph (A), by inserting ``and'' after the
semicolon;
(3) in subparagraph (B), by striking the semicolon and
inserting a period; and
(4) by striking subparagraphs (C) and (D).

SEC. 4. HIGHER EDUCATION RELIEF OPPORTUNITIES FOR CIVILIANS
IN THE CASE OF A NATIONAL EMERGENCY AND
LIMITATIONS ON COVERED LOANS.

(a) Temporary Authority for Higher Education Relief.--
(1) In general.--Subject to the limitation provided in
subsection (c), during the 90 day period after a declaration
of a national emergency under section 201 of the National
Emergencies Act (50 U.S.C. 1621), the Secretary of Education
may suspend or defer Federal student loan payments or the
accrual of interest for loans 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.) or loans under the Health Education Assistance Loan
Program.
(2) Limitation.--The Secretary of Education may not use the
temporary authority provided under paragraph (1) in
consecutive 90 day periods.
(b) Recommendations for Higher Education Relief From the
Secretary of Education.-- In the case of a national emergency
declared by the President under section 201 of the National
Emergencies Act (50 U.S.C. 1621), the Secretary of Education
shall submit to the Committee on Health, Education, Labor,
and Pensions of the Senate and the Committee on Education and
Labor of the House of Representatives, not later than 60 days
after the date of such declaration, a report that includes
any recommendations on relief necessary for recipients of
student financial assistance under title IV of the Higher
Education Act of 1965 (20 U.S.C. 1070 et seq.).
(c) Limits on Executive Authority to Suspend or Defer
Federal Student Loan Payments or Interest.--
(1) In general.--Notwithstanding any other provision of
law, the President or the Secretary of Education may not
suspend or defer Federal student loan payments on covered
loans or the accrual of interest on covered loans of
borrowers with annual household incomes over 400 percent of
the poverty line (as determined under the poverty guidelines
updated periodically in the Federal Register by the
Department of Health and Human Services under the authority
of section 673(2) of the Community Services Block Grant Act
(42 U.S.C. 9902(2))).
(2) Application of congressional review act.--In any case
where the President or the Secretary of Education suspends or
defers Federal student loan payments on covered loans or the
accrual of interest on covered loans through any type of
executive or regulatory action, the suspension or deferral
shall be--
(A) deemed to be a major rule for purposes of chapter 8 of
title 5, United States Code (commonly known as the
``Congressional Review Act''); and
(B) subject to congressional disapproval in accordance with
such chapter.
(d) Limits on Executive Authority to Cancel Student
Loans.--
(1) In general.--Notwithstanding any other provisions of
law, the President or the Secretary of Education may not
cancel the outstanding balances, or a portion of the
balances, on covered loans due to the COVID-19 national
emergency or any other national emergency.
(2) Application of congressional review act.--In any case
where the President or the Secretary of Education cancels the
outstanding balances, or portion of the balances, on covered
loans through any type of executive or regulatory action, the
cancellation shall be--
(A) deemed to be a major rule for purposes of chapter 8 of
title 5, United States Code

[[Page S2193]]

(commonly known as the ``Congressional Review Act''); and
(B) subject to congressional disapproval in accordance with
such chapter.
(e) Implementation.--
(1) Regarding suspensions or deferments of federal student
loan payments ongoing at the time of enactment.--Not later
than the effective date of this Act, any suspension or
deferment of Federal student loan payments on covered loans
due to the COVID-19 national emergency shall terminate.
Notwithstanding any other provision of law, a subsequent
suspension or deferment of Federal student loan payments on
covered loans for the COVID-19 national emergency shall be
prohibited.
(2) Regarding cancellation of student loans prior to
effective date.--Any cancellation of the outstanding balance,
or portion of a balance, on a covered loan made by the
President or Secretary of Education through any type of
executive or regulatory action in the 30 days before the
effective date of this Act shall be--
(A) deemed to be a major rule for purposes of chapter 8 of
title 5, United States Code (commonly known as the
``Congressional Review Act''); and
(B) subject to congressional disapproval in accordance with
such chapter.
(f) Definition of Covered Loan.--In this subsection, the
term ``covered loan'' means 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.) or a loan under the Health Education
Assistance Loan Program.

SEC. 5. EFFECTIVE DATE.

This Act, and the amendments made by this Act, shall take
effect on the date that is 30 days after the date of
enactment of this Act.
______