Embattled U.S. Democrats riled over Biden's student loan forgiveness
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[August 26, 2022]
By Richard Cowan and Joseph Ax
WASHINGTON (Reuters) - U.S. President Joe
Biden's move to waive college loan payments for millions of Americans
drew criticism from some of his fellow Democrats, especially members of
Congress facing the toughest re-election contests on Nov. 8.
The White House may have thought the plan would provide a nice
election-year gift to those grappling with monthly loan payments while
also boosting the prospects for Democrats in November, when Republicans
are favored to win back control of the U.S. House of Representatives.
Senate control also is at stake.
Many Democrats embraced the $10,000 loan forgiveness plan, including
some in close races, such as Senator Raphael Warnock of Georgia.
Yet Biden has managed to anger some of his party's most embattled
lawmakers.
"We should focus on making higher education and technical schools more
affordable in the first place and expose students to trades and
apprenticeships that help them get good-paying jobs... without a
mountain of debt," Representative Sharice Davids, the lone Democrat in
Kansas' congressional delegation and one of the most endangered of this
election season, said in a statement to Reuters.
![](http://archives.lincolndailynews.com/2022/Aug/26/images/ads/current/peasley_sda_FAIR_2022.png)
That was one in an unusual series of rebukes to a president from
lawmakers in his own party, complaining that Biden's program is both
poorly targeted and plays into Republican accusations of being a
"big-spending" party.
The White House has dodged questions about the cost, citing unknowns
like how many borrowers would take advantage of the program.
Some non-governmental groups, however, have placed the total price tag
at $300 billion to $600 billion.
"We should be focusing on passing my legislation to expand Pell Grants
for lower income students, target loan forgiveness to those in need, and
actually make college more affordable for working families," said
Democratic Senator Catherine Cortez Masto, a first-term senator from
Nevada, one of a handful of battleground states that will decide the
Senate's fate for the next two years.
'BAND-AID' SOLUTION
"I'm happy for the folks who will get relief from this policy," said
Representative Elissa Slotkin, of Michigan. "But this is a one-time
Band-Aid that doesn't get to the root of the problem."
Instead, Slotkin said, the administration should pursue reforms such as
including a cap on interest rates on student loans.
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![](../images/082622PIX/news_x16.jpg)
U.S. Rep. Sharice Davids (D-KS),
vice chair of the House Transportation and Infrastructure Committee,
attends a meeting on administration plans for infrastructure between
U.S. President Joe Biden and members of Congress in the Oval Office
at the White House in Washington, U.S., March 4, 2021. REUTERS/Tom
Brenner
![](http://archives.lincolndailynews.com/2022/Aug/26/images/ads/current/hartsburggrain_sda_FAIR_2022.png)
Those on the left wing of the Democratic party applauded Biden's
move while calling for even more robust initiatives, such as free
higher education.
Congressional Progressive Caucus Chair Pramila Jayapal had urged
Biden to cancel $50,000 in student loan debt per borrower, though
she said his move was a step in the right direction.
In recent weeks, Democrats have been energized by a series of
legislative wins, including a bill addressing climate change and
lowering some prescription drug costs for senior citizens, allowing
them to claim progress in the war against inflation.
The non-governmental Committee for a Responsible Federal Budget,
which describes itself as non-partisan, said that its initial review
suggested Biden's student loan plan was likely to increase
inflation.
The plan, which will have to withstand a likely court challenge,
gave Republicans a new opening as they argued it would stoke
inflation while helping many wealthy borrowers.
"Thanks to Tim Ryan and Joe Biden, Ohio workers are paying off the
loans of Harvard Law students. If this seems unfair and illegal,
it's because it is," Republican U.S. Senate candidate J.D. Vance
said on Twitter.
But Ryan, a Democrat who is running against Vance, was similarly
critical. "Instead of forgiving student loans for six-figure
earners, we should be working to level the playing field for all
Americans, including an across-the-board tax cut for working- and
middle-class families," Ryan said.
Larry Sabato, the director of the University of Virginia's Center
for Politics, saw a silver lining for the Democratic party, however.
![](http://archives.lincolndailynews.com/2022/Aug/26/images/ads/current/goodman_sda_FAIR_2022.png)
In an interview, he said Biden's move could motivate young Democrats
to show up at the polls in November, adding to the energy created by
the U.S. Supreme Court's June decision to eliminate a nationwide
right to abortion.
"The abortion decision is 10 times more important than student
loans, but student loans may augment the level of enthusiasm among
young people," he said.
(Reporting by Joseph Ax and Richard Cowan, additional reporting by
Jarrett Renshaw, Alexandra Alper and David Lawder; Editing by Scott
Malone and Rosalba O'Brien)
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