Negotiators Continue Discussions On Regulatory Language Changes To Implement Student Loan Amendments Enacted In the One Big Beautiful Bill Law As The Federal Government Is Closed For A Second Day
Overview
Greetings from San Diego, California and the California Association of Private Postsecondary Schools (CAPPS) Annual Conference. While the federal government officially shutdown at midnight ET on Tuesday, the U.S. Department of Education and the negotiators on the Reimagining and Improving Student Education (RISE) Committee worked for their third consecutive day on proposed revisions, additions, and deletions to the existing student loan regulations.
Here is a very brief summary of the latest on both the RISE Committee’s first three days of negotiations and the latest on the government shutdown and its impact on higher education.
RISE Committee Negotiations
Entering day four of week one, the crucial negotiations are primarily focused upon efforts to define graduate and professional students – a key determinate regarding the amount of loan eligibility that each defined group of students will be eligible for under the new OBBB statute. CSPEN was not able to view yesterday’s negotiations as we made our way across the country, but we are monitoring the negotiations from a distance and will provide a full update on the negotiations and a potential agreement which was the focus of several caucus meetings yesterday on the professional definition issue and will share an update tomorrow on where the negotiations stand heading into the final day of the first session.
Other key topics being negotiated relate more specifically to the changes in statute regarding the student loan limits, caps on overall student loan eligibility and major revisions to the student loan repayment system. Key components of these issues which are a major focus include the transition to the two forms or repayment plans that the OBBB statute requires by 2028 and more. Once again, CSPEN will provide a thorough summary of the negotiations heading into the final day tomorrow.
Government Shutdown Day 2
The government shutdown enters its second day with little signs that the government will return any time soon. Official sources on Capitol Hill have stated that they believe that the federal government will stay shuttered for at least two-three more days and likely longer, while individuals within the Department shared that they are planning to be out until October 8th or longer. The facts are that nobody knows how long the shutdown will continue.
Among many key issues that is topping the headlines this morning are the “imminent” firing of more federal employees, which President Trump has indicated he has stated will be forthcoming within the next twenty-four to forty-eight hours. The President intends to fire federal employees in conjunction with the elimination of federal programs that are without federal funding.
CSPEN continues to monitor the potential impact that these actions would have on the Department of Education, Labor, Veterans Affairs and others and will share more information if, and likely when, the Administration takes action.
