Attorney General Ellison blocks weaponization of Public Service Loan Forgiveness Program

June 30, 2026 (SAINT PAUL) — Attorney General Ellison today released the following statement after a judge permanently blocked the Trump administration from denying loan forgiveness to teachers, nurses, and other public servants whose employers are not aligned with the administration’s ideology:

"I’m pleased to have stopped Donald Trump from weaponizing the federal government against people trying to serve their fellow Americans. Congress passed this program to help folks like nurses, firefighters, law enforcement officers, childcare workers, and more pay off their loans while still working in public service. When the Trump administration tried to unlawfully seize the power to unilaterally disqualify employers from the program, I had to act. I could not allow the financial futures of public servants to become yet another means for Trump to attack his political rivals and punish causes he dislikes. This is a great outcome, but it is a tremendous shame that we have to expend so much time and energy to protect the American people from our own president.”

In November 2025, Attorney General Ellison joined a coalition of 22 other attorneys general in challenging a new rule from the U.S. Department of Education that unlawfully restricted eligibility for the Public Service Loan Forgiveness (PSLF) program, which allows government and nonprofit employees to have their federal student loans forgiven after ten years of qualifying public service. The rule, set to take effect tomorrow, would have given the administration the power to deem state governments, hospitals, schools, and nonprofit organizations ineligible for PSLF based on their support for immigrants, gender-affirming health care, or diversity programs.

Today, the U.S. District Court for the District of Massachusetts granted the coalition’s motion for summary judgment, declaring the rule illegal and permanently blocking it from taking effect.

Background

Congress established the PSLF program in 2007 to provide financial incentives to those who dedicate their careers to the service of others. The program forgives borrowers’ remaining federal student loan debt after ten years of qualifying public service and consistent payments. Over the years, PSLF has enabled more than one million public servants to pursue careers that might have otherwise been out of reach. For state governments, PSLF is a critical tool to recruit and retain qualified professionals in vital fields like education, health care, and law enforcement. 

As of May 2024, 20,490 Minnesota borrowers had earned discharge of their student loans based on 10 years of public service. This relieved over $1.26 billion in student debt for Minnesotans, which rewarded and incentivized those borrowers’ public service to Minnesota. That relief helped secure those families’ financial futures and boosted Minnesota’s economy. Many or most of these borrowers serve agencies and towns and counties across Minnesota, including police and fire fighters, librarians, probation officers, city administrators, and municipal workers that Minnesotans rely on every day. It also includes Minnesota’s military members and federal workers, nurses and hospital workers, and childcare workers.