Biden to talk about student debt relief in Wisconsin visit
WASHINGTON — President Joe Biden is traveling to Wisconsin on Monday to announce details of a new plan to ease student loan debt for more than 30 million borrowers, the latest attempt by the Democratic president to make good on a campaign promise that could buoy his standing with young voters.
The trip comes less than a week after primary voting in Wisconsin, a critical battleground, highlighted political weaknesses for Biden as he prepares for a general election rematch with Donald Trump, his Republican predecessor.
More than 48,000 Democratic voters chose “uninstructed” instead of Biden during the primary, more than double his narrow margin of victory in the state in 2020.
Trump also saw a significant number of defections during the state’s primary, with nearly 119,000 Republicans voting for a different candidate than their party’s presumptive nominee.
But Biden’s results, which echoed similar protest votes in states like Michigan and Minnesota, have rattled Democrats who are eager to solidify the coalition that catapulted him into the White House in the first place.
A critical fracture has been the war in the Middle East. Young voters are more likely to disapprove of Biden’s enduring support for Israel’s military operation in Gaza, which has caused heavy casualties among Palestinian civilians.
Some have also been impatient with Biden’s attempts to wipe away student loan debt. The U.S. Supreme Court last year foiled his first attempt to forgive hundreds of billions of dollars in loans, a decision that Biden called a “mistake.”
The Department of Education has been working on a replacement plan since then. Although the new federal rule is unlikely to be issued by the time that Biden speaks, he’s expected to highlight details on who could benefit. A fresh announcement on student loan relief could help energize young voters whose support Biden will need to defeat Trump in November.
Biden will make the announcement on Monday in Madison, the state’s liberal capital and home of the University of Wisconsin’s flagship campus. The president is scheduled to speak at a nearby technical college.
Nearly 15 percent of Democrats in Dane County, home to Madison, voted “uninstructed.” That is nearly double the statewide total of 8 percent.
Democratic U.S. Rep. Mark Pocan, who represents Madison, said he was struck that concerns about Israel’s war against Hamas in Gaza were top of mind among voters at five town halls over the past two weeks in more rural parts of his district.
Biden’s new debt plan would expand federal student loan relief to new categories of borrowers through the Higher Education Act, which administration officials believe puts it on a stronger legal footing than the sweeping proposal that was killed by a 6-3 court majority last year.
The plan is expected to be smaller and more targeted than Biden’s original plan, which would have canceled up to $20,000 in loans for more than 40 million borrowers. The new plan would cancel some or all federal student loans for more than 30 million Americans, the White House said.
The Education Department plans to issue a formal proposal in the coming months, with plans to start implementing parts of the plan as early as this fall.
Details the White House released on Monday largely mirror a plan drafted by the Education Department. It lays out five categories of borrowers who would be eligible to get at least some of their federal student loans canceled if the rule is approved.
The plan’s widest-reaching benefit would cancel up to $20,000 in interest for borrowers who have seen their balance grow beyond its original amount because of unpaid interest. Borrowers could get the entirety of their interest erased, with no limit, if they are enrolled in an income-driven repayment plan and have annual incomes of less than $120,000 or couples making less than $240,000.
That part of the plan would forgive at least some unpaid interest for an estimated 25 million borrowers, with 23 million getting all their interest erased, according to the White House.