22 Republican Governors Blast Biden’s Student Loan Forgiveness Plan

WASHINGTON, D.C. – Today, 22 Republican governors, led by Governor Kim Reynolds (IA), issued a joint letter to President Joe Biden expressing their disagreement with his Student Loan Forgiveness Plan that is estimated to cost the average taxpayer more than $2,000, a price that Americans cannot afford amid record high costs of living.

The governors expressed grave concern that this plan disproportionately affects lower income families and identified that the top 20% of earning households hold three times as much student debt as those in the bottom quintile. President Biden’s plan, which Democrat governors are complacent in their support of, would force hourly workers to pay for the advanced degrees of high-salaried workers, shifting the burden from the rich to the poor. This comes at a time when inflation has skyrocketed due to Democrats’ failed economic policies and Americans are struggling to make ends meet. Now, they will be met with the extra burden of further incentivized borrowing and even higher inflation.

The governors disapproved of the plan because Americans who did not take out loans should not be forced to pay the loans of those who did. Under Biden’s plan, people who are mechanics or welders are being forced to pay off the loans of lawyers and other such professionals who willingly pursued advanced degrees. Americans who chose to work instead of going to school should not be forced to carry the burden of those who chose a different path. Hard work and personal responsibility are cornerstones of the American dream, not high-cost degrees.

Signatories to the letter include: Governors Kim Reynolds (IA), Kay Ivey (AL), Mike Dunleavy (AK), Doug Ducey (AZ), Asa Hutchinson (AR), Ron DeSantis (FL), Brian Kemp (GA), Brad Little (ID), Larry Hogan (MD), Mike Parson (MO), Greg Gianforte (MT), Pete Ricketts (NE), Chris Sununu (NH), Doug Burgum (ND), Mike DeWine (OH), Kevin Stitt (OK), Henry McMaster (SC), Kristi Noem (SD), Bill Lee (TN), Greg Abbott (TX), Spencer Cox (UT), and Mark Gordon (WY).

Portions of the letter included below: 

“Only 16-17 percent of Americans have federal student loan debt, and yet, your plan will require their debts be redistributed and paid by the vast majority of taxpayers.  Shifting the burden of debt from the wealthy to working Americans has a regressive impact that harms lower income families.  Borrowers with the most debt, such as $50,000 or more, almost exclusively have graduate degrees, meaning hourly workers will pay off the master’s and doctorate degrees of high salaried lawyers, doctors, and professors.
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“A high-cost degree is not the key to unlocking the American Dream—hard work and personal responsibility is.  For many borrowers, they worked hard, made sacrifices, and paid off their debt.  For many others, they chose hard work and a paycheck rather than more school and a loan. Americans who did not choose to take out student loans themselves should certainly not be forced to pay for the student loans of others.  

“At a time when inflation is sky high due to your unprecedented tax-and-spend agenda, your plan will encourage more student borrowing, incentivize higher tuition rates, and drive-up inflation even further, negatively impacting every American.  Even economists from your own party oppose your plan for raising demand and increasing inflation.
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“Bipartisan opposition to your plan includes more than economic objections but process problems as well.  As president, you lack the authority to wield unilateral action to usher in a sweeping student loan cancellation plan, a position shared by leaders of your party.”

View the signed joint letter here.