Lawmakers Introduce Resolution to Rescind OBBBA Student Loan Rule
By Maria Carrasco, NASFAA Staff Reporter
A group of Democratic lawmakers introduced a bicameral resolution to rescind the Department of Education’s (ED) recent final rule governing student loan provisions enacted by the One Big Beautiful Bill Act (OBBBA).
Just over a week ago, ED published the final regulations implementing the student loan provisions enacted under OBBBA, which make several changes to the federal student loan programs, including new loan limits for graduate, professional, and parent borrowing. The rule also implements statutory changes establishing a new Tiered Standard Plan and Repayment Assistance Plan (RAP), while eliminating other repayment plans, including the Saving on a Valuable Education (SAVE) program. These changes have a July 1 implementation date.
Since the negotiated rulemaking session, many Democratic lawmakers have voiced concerns specifically over the new loan limits set in OBBBA, warning that some students will have to turn to the private loan market, while others will be completely shut out of higher education. Additionally, lawmakers have warned that eliminating SAVE could harm many students seeking an affordable student loan repayment plan.
In response, several Democratic lawmakers on Thursday introduced a bicameral Joint Resolution under the Congressional Review Act (CRA) to rescind the rule, which includes Sens. Jeff Merkley (D-Ore.) and Angela Alsobrooks (D-Md.), and Reps. Suzanne Bonamici (D-Ore.), John Mannion (D-N.Y.), and Lauren Underwood (D-Ill.)
Both Bonamici and Merkley expressed concern that this new rule will prevent many potential students from entering critical public service jobs.
“It is also absurd to take away more affordable student loan repayment plans at a time when families are struggling to cover costs as prices skyrocket for gas and other basic needs as a direct result of Trump’s reckless economic policy,” Bonamici said in a statement. “These changes to the federal loan system are unacceptable, and I will do everything I can to oppose them.”
Merkley said that ED’s final rule would cause particular harm to public service jobs.
“By failing to classify nurses, teachers, firefighters, social workers, accountants, architects, and others as pursuing ‘professional’ degrees for student loans, the Trump administration is undermining the future of critical professions,” Merkley said in a statement. “At the same time, this is driving up the cost of student loans for all professions by establishing costlier student loan repayment plans.”
As a reminder, a CRA resolution is a legislative tool that allows Congress to overturn recently approved agency rules (issued in the preceding six months) and only requires a simple majority in each chamber. If passed, the agency cannot issue a similar rule without congressional authorization. If both the House and the Senate pass the joint resolution, it would then go to the President for his signature; otherwise, it would require a two-thirds majority vote in each chamber to override a presidential veto.
Just last month, a group of Congressional Democrats introduced another resolution under the CRA to rescind ED’s Public Service Loan Forgiveness (PSLF) rule, which was finalized last year and will become effective July 1.
Publication Date: 5/11/2026
Peter G | 5/11/2026 12:39:23 PM
The Dems are the minority party - while perhaps notable, the actual odds of this CRA passing seem basically zero.
I also think the article - while it mentions it - glosses over the tradeoff of barring future regulation in this space if it were to pass. That becomes an issue for not just this administration but down the road.
And above all else, the CRA glosses over that most of the issues with the RISE regulatory bundle stem not from the regs but the statute (the elimination of PLUS, loan limits, etc.). Which suggests the maneuver is political signaling more than serious policy, even if one may agree with the broad-strokes sentiment of it.
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