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The $1 Trillion Problem: The Supreme Court Weighs Limits of Executive Reach in Biden’s Student Loan Bailout

The Foundation for Government Accountability authored new research and amicus brief in support of the lawsuit to stop executive overreach that sidesteps Congress.

Naples, FL—Today, the Foundation for Government Accountability (FGA) released a new research paper quantifying the estimated total cost of the Biden administration’s student loan bailout and providing solutions for Congress to prevent this type of expensive executive overreach in the future. This new research is released as the Supreme Court of the United States hears oral arguments in the Biden v. Nebraska case challenging the statutory and constitutional authority of the Biden administration’s student loan forgiveness plan. 

“The Biden administration is attempting to use a press release to push a $1 trillion dollar bailout onto American taxpayers,” said Haley Holik, FGA senior fellow. “It is an outrageous overreach of executive authority and a preposterously high cost for working families to bear without Congress getting a say in the process.”

“The Supreme Court should shut down this student loan bailout scheme, and Congress should pass the REINS Act to ensure this never happens again,” add Holik.

The Biden administration has claimed authority to unilaterally cancel several student debts based on provisions of the Higher Education Relief Opportunities for Students (HEROES) Act of 2003, a law designed to protect members of the military who find themselves facing economic hardship related to their student loans due to sudden mobilization for war. However, the statute makes clear that Congress never intended to delegate such sweeping power to the president.

“President Biden’s handout appears to have been motivated less by a desire to alleviate the pandemic-caused economic hardships of affected individuals than it was about fulfilling a campaign promise, paid for on the backs of federal taxpayers,” said Stewart Whitson, FGA legal director. “But, as FGA argues, the president lacks the authority needed to fulfill this promise, rendering this action illegal. The Supreme Court will surely check this abuse of executive power and stop this unprecedented effort.”


The Foundation for Government Accountability (FGA) is a non-profit, multi-state think tank that promotes public policy solutions to create opportunities for every American to experience the American Dream. To learn more, visit

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