St. Louis-area Congresswoman Cori Bush wants Attorney General Andrew Bailey to force the Missouri Higher Education Loan Authority to pay back money owed the state. The Democratic U.S. House member is criticizing Bailey, a Republican, for his role in blocking President Biden’s student loan forgiveness program.
“Federal student debt relief efforts were halted due to unfounded concerns that if MOHELA lost revenue, the state of Missouri would be financially harmed. As you most certainly know, MOHELA owes nearly $107 million debt to the state of Missouri,” wrote Congresswoman Bush. “MOHELA has since recovered financially and remained more profitable than ever, particularly since its acquisition of the Public Service Loan Forgiveness (PSLF) accounts, which represent a huge increase in business. I would like information about how [the Office of the Attorney General is] working to ensure MOHELA plans to pay back its own debts to the state and continue to make financial contributions to the higher education system in Missouri.”
Last year, the U.S. Supreme Court blocked the Biden Administration from forgiving $400 billion in student loan debt. Part of the ruling found that MOHELA would have lost $44 million a year if the debt had been erased.
Bush called that concern “unfounded,” and said MOHELA should repay the state $107 million dollars it owes. There’s been no comment yet from Bailey’s office.
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