U.S. Sens. Rob Portman (R-OH) and Susan Collins (R-ME) last week helped lead a bipartisan, bicameral contingent in seeking the immediate discharge of any outstanding federal student loan debt held by totally and permanently disabled Americans, including U.S. military veterans.
“These Americans should no longer face costly delays or bureaucratic barriers to receiving a benefit that they are entitled to receive under the law,” wrote the lawmakers in an Oct. 9 letter sent to U.S. Secretary of Education Betsy DeVos, U.S. Secretary of Veterans Affairs Robert Wilkie, and Commissioner of Social Security Andrew Saul.
Among the nine other members who joined Sens. Portman and Collins in signing the letter were U.S. Sens. Cory Gardner (R-CO) and Chris Coons (D-DE), as well as U.S. Reps. Brian Fitzpatrick (R-PA) and Tammy Duckworth (D-IL).
Under the 2017 Tax Cuts and Jobs Act, Congress removed the requirement that federal student loans discharged by the Department of Education due to the death or total and permanent disability of a borrower or the death of a borrower’s child no longer be included in the gross income of the borrower, the members wrote, noting that since then, they have urged the Education Department to automatically discharge outstanding federal student loans for totally and permanently disabled Americans, including veterans.
In August, President Donald Trump signed a Presidential Memorandum directing the Secretary of Education and Secretary of Veterans Affairs to discharge federal student loan debt for totally and permanently disabled veterans, but it does not apply to totally and permanently disabled individuals, according to the lawmakers’ letter.
“On this issue, the bottom line is simple: Now that Congress has removed the tax consequence associated with loan forgiveness, the U.S. Department of Education should automatically discharge outstanding federal student loans for all totally and permanently disabled Americans,” wrote the congressional members.