Obama's Costly Forgiveness
Latest GAO report on the student loan forgiveness program.
The Government Accountability Office released a report on the federalized student loan program. When ObamaCare was being crafted, Democrats projected cost savings by tying the student loan program into the costly health care law. Then came the bait and switch by creating the student loan forgiveness program, which is now estimated to cost taxpayers $108 billion. But it doesn’t stop there. Originally, the loan forgiveness program was meant to be available only for those students who applied for loans in 2014 and after, but then Barack Obama retroactively extended the benefit.
As the bill is coming due, the mess will be dumped into the lap of Donald Trump. The Democrats have positioned this situation to play well for them with Millennials, as Trump will be forced into making changes to an insolvent problem, potentially ending a program to which many millennials have already been conditioned to expect not only loan forgiveness but even free college. The political game for the Left is to create a problem through government policy, blame conservatives for the failures of those policies and promise new policy solutions that will in turn only amount to even more problems. This DC swamp can’t be drained fast enough.