AOC says there's still hope for Biden's student-loan forgiveness plan if the Supreme Court rules against it
Tom Williams/CQ Roll Call
- AOC said Biden "should be prepared to respond" to whatever the Supreme Court rules on student-debt relief.
- She said "there may still be an opportunity" for relief even if the court strikes it down.
- The White House has maintained it does not have a backup plan and is confident Biden's relief will prevail.
Rep. Alexandria Ocasio-Cortez says a backup plan for student-loan forgiveness might not be bad idea.
On Wednesday, the New York progressive lawmaker answered questions from followers on her Instagram story, one day after the Supreme Court heard oral arguments on the two cases that paused President Joe Biden's plan to cancel up to $20,000 in student debt for federal borrowers.
Rep. Alexandria Ocasio-Cortez
When asked if Biden will extend the student-loan payment pause again if the Supreme Court strikes down his debt relief, Ocasio-Cortez wrote that she thinks "the response really depends on the grounds of any potential ruling."
"The story is deeper than just if SCOTUS preserves or overturns," she wrote. "If SCOTUS overturns, the *grounds* they'd overturn it on matters, and can determine what Biden can or can't do in response."
Ocasio-Cortez was likely referring to the issue of standing in both of the cases. If the Supreme Court finds that the cases do not have standing — meaning the plaintiff would be injured by the policy, that the injury can be directly traced back to the defendant, and that the relief they're seeking would address those injuries — the court doesn't even have the authority to take on the other questions challenging the case, like whether the relief was an overreach of authority.
She added that "Biden administration should be prepared to respond executively - depending on the grounds of any potential ruling, there may still be an opportunity." That could likely be in the form of another payment pause extension, or going another legal route to cancel student debt.
In light of the legal challenges to his plan, Biden in November extended the student-loan payment pause through 60 days after June 30, or 60 days after the Supreme Court issues a decision on the plan, whichever happens first. The Education Department reiterated after oral arguments on Tuesday that payments will resume this year and did not comment on whether it will consider additional relief for borrowers should the ruling not go in its favor.
Some other Democratic lawmakers have also said the focus right now should be on voicing the legality of Biden's current debt relief plan. Massachusetts Rep. Ayanna Pressley, for example, told Insider on Tuesday that she's "not there yet."
"I'm ceding nothing," she said. "We are still in this."
Insider has previously reported that there could be another legal path to cancel student debt. Biden used the HEROES Act of 2003 in his plan, which gives the Education Secretary to waive or modify student-loan balances in connection with a national emergency, like COVID-19. But the Higher Education Act — which Sens. Elizabeth Warren and Chuck Schumer had previously touted — would allow for loan forgiveness without the existence of a national emergency.
Still, the White House has previously said that it is not deliberating a backup plan right now if the Supreme Court strikes down the relief. Bharat Ramamurti, the deputy director of the National Economic Council, told Marketwatch on Wednesday that "we have one plan. It's the plan that we've announced. It's the plan where 26 million people have already submitted information showing that they qualify for relief. "It's the plan that has allowed us already to approve 16 million people for relief."
"That's the plan we're going with," he continued. "We think it's legal. We think it's the right approach. And there is no current backup plan, or anything like that. We believe that we've done the right thing, and it was legal and that we're going to win."
Contributer : Business Insider https://ift.tt/cJXdI3R
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Friday, March 03, 2023
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