Josh Hawley, a Republican Missouri Senator, will introduce legislation Wednesday to make colleges and universities responsible for student loan debt.
The Daily Caller first obtained the bill, which is called the Make the Universities Pay Act. This legislation would require higher education institutions to pay half of student loan defaults if they are enrolled in the Federal Direct Student Loan Program.
The Make the Universities Pay Act would allow student loan debts to be forgiven in bankruptcy. Undergraduate student loan debt can be paid off within five years of the due date, and graduate student loans can be paid off 15 years after the due date. The bill also requires institutions of higher education that participate in federal financial aid programs, to publish postgraduate outcomes. This includes median earnings and default rates for students and mean earnings.
Biden’s administration has taken executive action to forgo $10,000 per borrower. CNBC reports that the move would erase $321 billion in federal student loans and eliminate student debt for nearly 12 million people.
Biden will also cancel Pell Grant recipients up to $20,000
Hawley intends to introduce the legislation Wednesday afternoon.