President Trump signed an executive order instructing administration officials to alter a student loan forgiveness program for public servants to exclude nonprofit organizations that engage in activities that have what he called a “substantial illegal purpose.”
His order to restrict the program appears to target groups supporting undocumented immigrants, diversity initiatives or gender-affirming care for children, among others, as the Trump administration has sought to eliminate federal support for efforts that have drawn right-wing ire.
The order, made public on Friday, is the latest of many attempts to overhaul the loan forgiveness program, which has often whipsawed borrowers with rule changes and bureaucratic obstacles.
The program, known as Public Service Loan Forgiveness, was created by Congress in 2007 and cannot be eliminated without congressional action, but the Education Department has some leeway to determine how it operates. Mr. Trump’s executive order directed the secretaries of education and the Treasury to amend the program to exclude workers for organizations supporting illegal actions, listing several categories of examples, including “aiding or abetting” violations of federal immigration law.
The Trump administration has taken a broad view of what it considers to be support of illegal activities. The order cited as examples organizations that support “illegal discrimination,” which the administration has previously said includes diversity and inclusion initiatives.
The order appeared to target groups supporting gender-affirming care. It said it would exclude from the loan forgiveness program any organization supporting “child abuse, including the chemical and surgical castration or mutilation of children.”