Supreme Court asked to BLOCK Biden’s student loan relief

The Supreme Court has been asked to block President Joe Biden’s massive student loan forgiveness plan before it is officially rolled out.

The Brown County Taxpayers Association (BCTA) and the Wisconsin Institute for Law & Liberty (WILL) sent their request to Judge Amy Coney Barrett, who handles such cases on behalf of the District Court for that region, requesting that the provision be discontinued before applications will be processed this Sunday.

By filing for an emergency injunction, they claim the Biden administration’s move is unconstitutional, exceeds its executive powers and affects US taxpayers.

The groups filed charges earlier this month against Biden and Education Secretary Miguel Cardona.

Their forgiveness program allows 40 million Americans earning less than $125,000 to receive up to $10,000, or Pell Grant recipients up to $20,000 to cover their debts.

The Congressional Budget Office said last month that Biden’s debt-wiping ploy will cost the government $400 billion in 30 years and Republicans have said it is unfairly hitting Americans who haven’t gone to college.

WILL President and General Counsel, Rick Esenberg, said: “It is critical that the U.S. Supreme Court rules on the president’s unconstitutional student loan plan before Sunday, when loan forgiveness could begin.

WILL is proud to represent US taxpayers and file the first claim with SCOTUS.

BCTA President Rich Heidel added, “What constitutional power does Biden have to take John Q. Public’s money and pay Jane Q. Public’s school loans? Why not her mortgage, why not her car loan?

How did the highly educated caste become the lucky ones? When and how does this stop? This nonsense doesn’t just defy the US Constitution – it defies common sense! And if President Biden does this under the auspices of the federal government, what story does John Q. Public have but to fight the federal judiciary?’

The Biden administration has been attacked from all sides over its debt cancellation plan. Seven GOP-led states and a number of conservative legal groups have filed lawsuits across the country.

Over the weekend, the White House rolled out a beta version of the debt forgiveness application, and more than eight million people filed for forgiveness requests. The official application was launched on Monday.

A federal judge dismissed the BCTA lawsuit earlier this month and found that the taxpayer’s group lacked the standing to meet its legal challenge.

The biggest challenge for those who want to cancel the policy is finding a claimant who can prove they suffered damage because of it.

The Wisconsin groups claim in their filing that they are aware that the plaintiff should be able to claim direct damages, but the debt added to their bill as a taxpayer should be sufficient.

“We are witnessing a massive increase in public debt achieved by a complete disregard for the constraints of the constitutional spending authority. Applicant and those in the same situation are being asked to take on perhaps more than a trillion dollars in debt,” the file read.

The GOP-led states argue that Biden does not have the authority to act on student loans without Congress and claim the policy would harm private companies by reducing their operations.

Frank Garrison, an attorney who works for a conservative legal group, raised the plan’s initial challenge, arguing that he had the status to claim injury because the debt forgiveness in his state would count as taxable income.

While borrowers don’t have to pay federal income taxes on their canceled student debt, some states, including Indiana, where Garrison lives, can tax the exemption, thanks to a provision of Biden’s 2021 American Rescue Plan.

Garrison has already sought tax-free debt forgiveness through a government program, Public Service Loan Forgiveness, but says Biden’s plan now earns him a $1,000 tax bill.