Trump Administration Calls on Congress to Support ED’s Interagency Agreements
By Maria Carrasco, NASFAA Staff Reporter
Several members of the Trump administration, including Education Secretary Linda McMahon, sent a letter to Congressional leadership calling on them to support the administration’s efforts to dismantle the Department of Education (ED) through interagency agreements (IAAs).
The letter was sent by McMahon, Acting Secretary of Labor Keith Sonderling, Secretary of Health and Human Services Robert F. Kennedy, Jr., Secretary of the Treasury Scott Bessent, and other leadership, and meant to address “misconceptions” that have circulated about ED’s 14 IAAs.
“Since these agreements were signed, however, they have demonstrated measurable results by driving stronger grant competitions, streamlining government operations, and producing better outcomes for Americans,” the letter reads. “We write today to request your continued support and to highlight the progress critics often overlook.”
For example, the administration highlighted that under the IAA between Federal Student Aid (FSA) and the Treasury Department, the two agencies are working to automate the loan rehabilitation process through a new electronic application.
Additionally, under this IAA, the administration claimed that it was able to resolve system issues that made it difficult for borrowers to use loan consolidation to exit default. ED is also working to improve the process for defaulted borrowers to transition to an income-driven repayment plan by allowing these borrowers to import their financial information from the Internal Revenue Service.
In recent weeks, congressional committees have taken different approaches to the Trump administration's effort to transfer ED’s responsibilities to other agencies. Earlier in July, the House Education & Workforce Committee advanced legislation that would transfer several of the department’s responsibilities to other agencies. Meanwhile, the Senate Health, Education, Labor and Pensions (HELP) Committee advanced legislation that would prohibit the transfer of certain offices – including the Office of Postsecondary Education – from ED to other federal agencies.
“We want to reiterate the President's promise to wind down the Department of Education and return authority over education to the States, including by transferring its programs to other agencies that can deliver better results,” the letter reads. “Through these partnerships the Administration has done what it can under current law to make good on this promise. The Administration expects Congress to take its own action to make permanent changes to reduce federal bureaucracy, ease administrative burdens, and ensure these programs better serve students and families.”
Publication Date: 8/3/2026
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