Democratic attorneys general from more than 20 states and Washington, D.C., filed a federal lawsuit Tuesday challenging new Education Department caps on graduate student borrowing, arguing the restrictions will damage the nation’s healthcare workforce.
The suit was filed in U.S. District Court in Maryland. Plaintiffs contend that limiting loan access for graduate students will deter individuals from pursuing careers in medicine and other healthcare fields, placing additional strain on an already tight labor market for medical professionals.
The new borrowing limits are set to take effect under rules the Education Department put in place under the Trump administration. Attorneys general from the coalition of states argue the caps exceed the department’s legal authority and carry significant public health consequences.
The lawsuit is among several state-level legal challenges mounted by Democratic officials against federal agency actions in recent months. No court date has been scheduled, and the Education Department has not issued a public response to the filing.