Update on Student Loan Proposals

A joint resolution to block Biden's student loan relief proposal likely marks the end of legislative efforts to scrap the initiative. That's because the White House has said President Biden will veto the measure (H J Res 45), which cleared the Senate by a vote of 52 to 46.  Sens. Manchin (D-WV) and Tester (D-MT), along with independent Sen. Sinema, supported the measure, as did every Republican. The resolution passed the House last week, but neither vote drew enough support to override a veto. Despite the legislative wrangling, the ultimate test for the proposal is whether it survives challenges before the Supreme Court, which heard arguments in February.  Justices are expected to issue a ruling before the end of June. Republicans say the President’s student loan relief proposal would spur inflation, do nothing to reduce college costs and is not fair to those who did not incur college debt, but Senate Appropriations Chair Murray said student debt is a drag on the economy because it prevents millions of borrowers from buying homes, starting families, and launching businesses. Ninety percent of the relief will go to borrowers earning less than $75,000 annually, she said.