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Education Secretary Reverses Cuts, Hires 334, Caps Loans

5/16/2026

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Summary

Story summary

Education Secretary Linda McMahon announced hiring 334 staff in the Office of Federal Student Aid, reversing cuts.
She testified before the House Education and Workforce Committee, unveiling loan caps that limit borrowers to $100,000 and $200,000 for professional fields.
The Office for Civil Rights will run on a $91 million budget, 35% cut, with staff reduced to 271.
Department of Education employment fell from 4,200 in 2024 to 2,300 in 2026.

History

Historical Context

In 2008 President George W. Bush signed the Higher Education Opportunity Act, reauthorizing the 1965 Higher Education Act that first created FAFSA and expanding loan discharges for disabled borrowers. The law continued a pattern of periodic reforms—such as the 1992 reauthorization and the 2002 HEROES Act—that sought broader aid access, a year when Federal Student Aid programs distributed $16.4 billion to students.

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Story summary

Education Secretary Linda McMahon announced hiring 334 staff in the Office of Federal Student Aid, reversing cuts.
She testified before the House Education and Workforce Committee, unveiling loan caps that limit borrowers to $100,000 and $200,000 for professional fields.
The Office for Civil Rights will run on a $91 million budget, 35% cut, with staff reduced to 271.
Department of Education employment fell from 4,200 in 2024 to 2,300 in 2026.

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