This article is part of a partnership between The Mendocino Voice and nonprofit newsroom EdSource to bring relevant education-related news to Mendocino County readers. Learn more about EdSource here.
WASHINGTON, D.C., 3/22/25 – President Donald Trump announced Friday that his administration is moving federal student loans from the Department of Education to Small Business Administration and programs for students with disabilities and nutrition programs to Health and Human Services.
“It’ll be serviced much better than it has been in the past,” Trump said of the student loan program. “It’s been a mess.”
The announcement comes a day after the president signed an executive order calling to eliminate the Department of Education. By law, the department would need to be eliminated by an act of Congress.
The American Federation of Teachers announced Wednesday the union is suing the Trump administration over changes to student loan applications and processing.
“By effectively freezing the nation’s student loan system, the new administration seems intent on making life harder for working people, including for millions of borrowers who have taken on student debt so they can go to college,” said AFT President Randi Weingarten in a press release.