Title
Approve a recommendation from the Legislative Committee to support and request that Congressman Jimmy Panetta cosponsor H.R. 4725, No Student Loan Interest Act.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors approve a recommendation from the Legislative Committee to support and request that Congressman Jimmy Panetta cosponsor H.R. 4725, No Student Loan Interest Act.
SUMMARY:
On April 11, 2022, the Legislative Committee recommended that the Board of Supervisors support federal legislative efforts to lessen the burden of student load debt and make a college education more accessible and affordable for current and former students in Monterey County and across the country. With the Board's approval the attached letter will be sent to Congressman Jimmy Panetta requesting support and that he cosponsor H.R. 4725, No Student Loan Interest Act.
DISCUSSION:
The student loan debt burden in the United States is a growing crisis. Currently, almost 45 million Americans hold over $1.7 trillion in student loan debt, and nearly 7.2 million of these borrowers are in default, with more and more borrowers defaulting by the day. Black and Latino Americans face the worst effects of this crisis - with many Black borrowers still owing more than 100% of their loan balance even 12 years after graduating. Stagnant wages, labor market discrimination, and rising costs of living have made it nearly impossible for many individuals to ever fully repay their loans. As millions of American families continue to struggle, the country's massive student debt burden is placing a drag on our entire economy by depressing home ownership rates, preventing people from starting businesses, and making it harder for people to finish college.
The Department of Education found that nation-wide federal borrowers have saved $5 billion each month since they stopped accruing interest on their federal student loans from the federal student loan payment pause. The current intere...
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