President Trump’s Latest Executive Order is a Political Attack on Public Servants
(Washington, DC) – Friday, President Trump signed an executive order to exclude eligible borrowers from Public Service Loan Forgiveness (PSLF) working for organizations “whose activities have a substantial illegal purpose.” This comes days after the Department of Education pulled down all Income Driven Repayment (IDR) applications, posing significant challenges for borrowers as they enter repayment on their student loans.This executive order broadly defines illegal activities as it relates to “illegal immigration, human smuggling, child trafficking, pervasive damage to public property, and disruption of the public order.” As a result, borrowers who work for organizations designated as a “threat to the security and stability of the United States” will no longer be eligible for PSLF. This furthers the Trump Administration’s “promise to halt taxpayer funding of radical agendas.”This executive order will likely be challenged in the courts.In response, Kristin McGuire, Executive Director of Young Invincibles said:
Public Service Loan Forgiveness (PSLF) is a vital pathway to forgiveness that has provided relief for over one million borrowers. This executive order is a political attack on nonprofits with 501c3 status that support or engage in activities falling within the administration’s flawed and intentionally vague definition of “illegal.” This deliberately unclear and expansive definition creates an ambiguous catch-all, targeting advocacy organizations whose work doesn’t align with the Trump administration’s ideological agenda.This action is unconstitutional and illegal, Trump can not make major modifications to a program that was written into law by Congress. He is abusing his power to punish borrowers for ideological reasons and blocking necessary relief that has been mandated for all 501c3 employees by law since 2007. Trump is weaponizing loan forgiveness under the guise of morality, toying with the hopes of borrowers who are working towards relief from crushing debt. Loan forgiveness is a necessary pathway to economic justice. PSLF was designed to support borrowers who dedicate their careers to public service, often in low paying jobs, by ensuring the health, education, and safety of our nation. Millions of borrowers, including rural teachers, some health care workers, employees of charities, and congressional staffers, have been working towards relief under PSLF for years; this is yet another repulsive attempt to prioritize the administration’s agenda over the well-being of Americans.