Medina Praises Student Loan Debt Relief Plan

For immediate release:
  • Julianne Cravotto
  • (916) 319-2061

SACRAMENTO- Assemblymember Jose Medina (D-Riverside) released the following statement in response to President Biden’s student loan debt relief plan:

“In the same year that California has made financial aid reform a reality, I am proud that the United States is moving forward on its promise for student loan debt relief. As millions of Californians and Americans know, there are many barriers to higher education—most especially the cost of tuition, housing, books, and much more.

“Not only does the federal plan reflect many of our goals for Debt Free College, it also emulates elements from my legislation, Assembly Joint Resolution 26, to reduce the monthly student loan payment plan for all borrowers.

“Today’s announcement is monumental first step, and I look forward to our state working with the federal government to reform access to higher education, especially for our low and middle-income families.”

President Biden unveiled the federal student loan debt relief plan, cancelling student loan debt for millions of Americans. Under this plan, borrowers earning less than $125,000 a year are eligible to be forgiven for up to $10,000 and $20,000 if they have received Pell Grants. Moreover, the federal government will cap income-based payments for undergraduate loans at 5% of the borrower’s monthly income.

This plan follows the historic, 2022-2023 California State Budget agreement which included expansion of the Middle Scholarship, ongoing investments in student housing, college savings programs for families, and state financial aid reform, as envisioned in Assembly Bill 1746.