The $400 billion in student loan forgiveness proposed by President Joe Biden has been a flop.
States are now opposing the President’s proposal, allowing students to default on their loans without legal repercussions after federal judges had already halted its implementation.
The states of Nebraska, Iowa, Kansas, Missouri, Arkansas, and South Carolina have petitioned the Supreme Court to rule against the federal government’s effort to revive President Biden’s plan to reduce student debt.
The states contend that Biden’s use of the Higher Education Relief Opportunities for Students (HEROES) Act of 2003 in an “unlawful” manner by falsely claiming that a “Covid-related emergency” exists to justify stopping student loan payments.
There must be an actual national emergency to comply with the Act. However, the states argue that the Department’s focus on the COVID-19 outbreak is a distraction from the President’s fundamental objective, which is to make good on his campaign pledge to cancel all outstanding student loans.
According to the state’s rebuttal, Biden gave no evidence linking the forgiveness of student loans to a national emergency.
To cover up the actual reasoning for the Cancellation, the agency is making excuses about the economy that they say is due to the COVID-19 outbreak. The states argued that the Department “had failed to convincingly relate the Cancellation to a national emergency” since the ailments they listed could not have been caused by the epidemic.
The six states also allege that the Biden administration seeks to “assert power much beyond what Congress could have envisaged.”
The government under Biden can now submit a rebuttal brief. The next step is for the court to deliver a ruling.
The Democrat has justified its policy because its injunction will disrupt the lives of millions of people.