Oregon — Oregon’s congressional delegation is part of an effort to repeal new federal student loan caps they say would raise borrowing costs for nurses, teachers, and other public service professionals.
Rep. Suzanne Bonamici and Sen. Jeff Merkley are joining Democratic lawmakers in Congress to introduce a Congressional Review Act resolution aimed at overturning a newly finalized U.S. Department of Education rule that would significantly reshape federal student lending.
The proposed repeal targets a federal rule backed by the Trump administration that would cap student borrowing for many graduate and professional degree programs, eliminate the Grad PLUS loan program, and revise repayment structures in ways critics say would increase monthly costs for millions of borrowers.
The finalized federal rule would eliminate Grad PLUS loans and cap borrowing for many graduate students unless their degree is classified among a limited set of designated professional programs. Critics say students in fields such as nursing, teaching, and social work could face higher out-of-pocket or private loan costs if their programs exceed new federal borrowing limits.
Supporters of the rule argue it is designed to reduce excessive student borrowing, limit taxpayer exposure to large federal graduate loan balances, and encourage colleges to control tuition growth by reducing access to effectively unlimited federal lending through Grad PLUS. Proponents also say targeting higher borrowing limits to specific professions could focus federal aid on fields with clearer licensure requirements while discouraging students from taking on debt levels that may be difficult to repay relative to expected earnings.
Bonamici said the rule would create new financial barriers for students pursuing careers in essential public service fields such as nursing, teaching, social work, firefighting, and physical or occupational therapy. She argued that limiting access to federal loans could push students toward higher-interest private lending options.
Merkley echoed those concerns, calling the rule a threat to workforce development in critical professions and saying it would make higher education less accessible while increasing repayment burdens. He framed the proposal as particularly harmful to low- and middle-income Americans seeking careers that communities rely on.
Under the finalized rule, only 11 designated professional degree categories would qualify for up to $200,000 in aggregate federal borrowing. Students outside those categories would face a $20,500 annual cap and a $100,000 lifetime borrowing cap, potentially affecting many graduate students in healthcare, education, and public safety sectors.
Supporters of the repeal say the policy could worsen existing workforce shortages in healthcare, education, and rural services by making advanced degrees less financially attainable. They also warn that repayment changes—including a required $50 minimum monthly payment under the new Tiered Standard Repayment Plan—could sharply raise monthly obligations for current borrowers.
Bonamici and Merkley’s effort has drawn support from national nursing, education, and social work organizations, including the American Nurses Association, National Education Association, and National Association of Social Workers.
The Congressional Review Act allows Congress to overturn recently finalized federal regulations with a simple majority vote, though any repeal would also require presidential approval or enough votes to override a veto. The Oregon lawmakers’ move positions them among the leading voices opposing the administration’s education finance overhaul, with supporters framing the issue as both a workforce and affordability challenge.
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