What Dismantling the Department of Education Could Mean for Colleges, Student Loans, and College Access
As an agency authorized by Congress, the Department of Education cannot be eliminated without congressional approval. However, the Trump administration, Elon Musk, and his Department of Government Efficiency (DOGE) can slowly cripple it. While some of the department’s programs may be transferred to other agencies, that transition could cause major disruptions to the nation’s $1.6 trillion student loan program, experts say.
Deep Cuts Already Underway
The Institute of Education Sciences, the research arm of the Education Department, was scaled down significantly by Musk’s DOGE team. In a statement, the American Educational Research Association and the Council of Professional Associations on Federal Statistics said 169 contracts were canceled, including some related to the collection and reporting of education statistics.
“Sensible public policy for education depends on strong research and basic collection and availability of data on institutional performance and student outcomes,” said Sameer Gadkaree, president and CEO of The Institute for College Access & Success. “Without it, Americans will be in the dark on shifts in debt, student success, and how public dollars should be invested to increase effectiveness.”
Student Loans Could be Administered by Treasury
Even if the Education Department no longer existed, another government agency would likely administer the task of distributing student financial aid funds, experts say. Some experts have speculated that the Treasury Department would be the next most logical agency to administer student debt. However, it’s uncertain whether Treasury would be as focused on students as the Education Department.
“People take out student loans at a very young age, and Congress created all these benefits that are available on student loans that aren’t available on other types of credit,” said former U.S. Under Secretary of Education James Kvaal. “There’s a question if the Treasury would have the same ethic of prioritizing students.”
Potential Disruptions to College Access and Student Loans
If the Education Department were dismantled, the transition could potentially cause major disruptions to the nation’s student loan program. “It wouldn’t be an easy process to make that transfer,” said Karen McCarthy, vice president of public policy and federal relations at the National Association of Student Financial Aid Administrators. “Our biggest concern is that if something like that were to happen, it wouldn’t go smoothly.”
The process could potentially unsettle millions of current college students, as well as the more than 42 million borrowers with federal student loan debt.
Conclusion
The potential dismantling of the Department of Education could have significant implications for colleges, student loans, and college access. While some experts believe that transferring some programs to other agencies could improve learning, others are concerned about the potential disruptions to the nation’s student loan program. As the debate continues, it’s essential to consider the potential consequences for students, colleges, and the education system as a whole.
FAQs
* Can the Department of Education be dismantled without congressional approval?
+ No, the Department of Education cannot be eliminated without congressional approval.
* What would happen to student loans if the Department of Education were dismantled?
+ Another government agency, such as the Treasury Department, would likely administer the task of distributing student financial aid funds.
* Could the transition to a new agency cause disruptions to the nation’s student loan program?
+ Yes, the transition could potentially cause major disruptions to the nation’s student loan program, potentially unsettling millions of current college students and borrowers with federal student loan debt.
* Would the Treasury Department prioritize students in administering student loans?
+ It’s uncertain whether the Treasury Department would prioritize students in administering student loans, as they may focus more on loan collection and less on student success.
