Higher Ed Policy Roundup: Vol. 8 - Issue 36

On Thursday, the Education Department (ED) released a Notice of Proposed Rulemaking (NPRM) that, if finalized, would waive the student debt of borrowers experiencing financial hardship. Specifically, the NPRM would allow the Secretary of Education to waive, in full or in part, the student loans of a borrower under two pathways: the “predictive assessment” and the “holistic assessment.”

Under the “predictive assessment,” if after examining information in ED’s possession a determination is made that a borrower’s loans are at least 80% likely to be in default within the next two years, ED may waive a borrower’s student loans. No application is necessary for this pathway. Under the “holistic assessment,” ED may waive the student loans of a borrower who doesn’t qualify for a waiver under the “predictive assessment” and who ED determines is highly likely to be in default or “experience similarly severe negative and persistent circumstances.” This pathway only applies if there are no other sufficient options for relief and an application from the borrower is necessary.

The public comment period is open for 30 days until December 2, 2024.

A survey of over 1,000 college students found that the issues driving most students’ voting decisions this fall are the economy and cost of living. Meanwhile, “student loan debt/reform” was a top priority for only 13% of respondents.

After a rocky rollout of the 2024-25 Free Application for Federal Student Aid (FAFSA), college freshman enrollment is down five percent this year compared to fall 2023.

The number of Black men enrolled at Historically Black Colleges and Universities (HBCUs) is the lowest since 1976, currently accounting for only 26% of students at HBCUs.

There were no relevant student-aid related bills recently introduced for consideration by the 118th Congress (2023-24).