Supreme Court Rules Biden Doesn’t Have Authority to Impose His $400 Billion Student Loan Forgiveness Program on Taxpayers

Craig Bannister | June 30, 2023
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The Biden Administration cannot use the COVID-relief HEROES Act to implement its $400 billion student loan forgiveness program, which would have provided $10-20,000 in debt relief to people earning less than $125,000 annually, the Supreme Court ruled on Friday.

In its 6-3 decision, the Supreme Court ruled in Biden, President of the United States, Et Al. v. Nebraska Et Al that the HEROES Act does not authorize, and cannot be expanded by the Biden Administration to authorize, the cancellation of student debt:

“The text of the HEROES Act does not authorize the Secretary’s loan forgiveness program. The Secretary’s power under the Act to ‘modify’ does not permit ‘basic and fundamental changes in the scheme’ designed by Congress.”

Thus, the Biden Administration would have to rely on clear authority provided by an act of Congress to administer such a massive student loan forgiveness scheme, the Court finds:

“All this leads the Court to conclude that ‘[t]he basic and consequential tradeoffs’ inherent in a mass debt cancellation program “are ones that Congress would likely have intended for itself.” West Virginia, 597 U. S., at ___. In such circumstances, the Court has required the Secretary to “point to ‘clear congressional authorization’ ” to justify the challenged program. Id., at ___, ___ (quoting Utility Air Regulatory Group v. EPA, 573 U. S. 302, 324). And as explained, the HEROES Act provides no authorization for the Secretary’s plan when examined using the ordinary tools of statutory interpretation—let alone “clear congressional authorization” for such a program.”

“Huge loss for Joe Biden's flagrant disregard for the law,” Media Research Center President Brent Bozell tweeted, praising the decision. “This is a lesson to all. Make good choices and don't expect the government to bail you out!”

“This turned out to be Pride in the Constitution month,” Bozell added, cheering the Supreme Court’s landmark First Amendment ruling, made earlier Friday, that the government cannot force a website designer to create websites that violate her beliefs and opinions.

Republican National Committee (RNC) Chairwoman Ronna McDaniel also commended the decision, issuing a statement commending the Supreme Court for striking down Biden's bailout program:

“Biden's student loan bailout unfairly punished Americans who already paid off their loans, saved for college, or made a different career choice. Americans saw right through this desperate vote grab, and we are thankful that the Supreme Court did as well. We applaud the highest court’s decision to overturn this unconstitutional bailout for the wealthy."