A clash has erupted between Congresswoman Virginia Foxx and Education Secretary Miguel Cardona, with accusations flying over the Education Department’s handling of subpoenas issued to student loan servicers.
Foxx alleges that the department is obstructing Congress’s oversight responsibilities by failing to comply with requests for documents tied to student loan forgiveness plans, as Just the News reports.
A North Carolina lawmaker seeking an 11th term, Foxx has voiced serious concerns about the Education Department’s behavior. The House Committee on Education & the Workforce, which Foxx chairs, is seeking records from five student loan servicers as part of an ongoing investigation into student debt relief programs. In response, the Education Department has insisted on reviewing and approving any materials before they are shared with the committee, igniting a dispute over compliance.
Foxx expressed her frustration with Education Secretary Miguel Cardona’s approach, accusing the department of intentionally delaying the release of critical information. She pointed to what she describes as ongoing interference by the administration. “The department has repeatedly sought to interfere with the committee’s efforts to obtain documents and communications in a timely manner from the loan servicers,” Foxx wrote in a letter addressed to the department.
On Aug. 29, subpoenas were issued to five key student loan servicers: Missouri Higher Education Loan Authority, Nelnet Servicing, LLC, Maximus dba Aidvantage, Edfinancial Services, and Central Research, Inc. These companies manage millions of federal student loans and are essential to the committee’s investigation. The subpoenas are part of a broader effort to understand the Biden administration's handling of student debt relief regulations.
Foxx is also questioning the timing of a regulation from the Education Department promoting additional student loan forgiveness. On Aug. 14, the committee sought specific information on this matter, but the department has yet to fully respond. The congresswoman sees the lack of transparency as a barrier to the committee’s ability to perform its oversight duties.
The Education Department, represented by legal counsel Lisa Brown, has maintained that loan servicers must seek prior approval before responding to congressional subpoenas. In a letter dated September 5, Brown emphasized that the department’s review is necessary before any materials can be shared with Congress. However, Foxx contends that this procedure undermines the U.S. Constitution and impedes the committee’s authority to gather crucial information.
Foxx is not alone in her criticism of the administration. She has previously questioned the Biden administration’s handling of student loan communications, particularly an email campaign directed at student loan borrowers about debt relief. Foxx asserts that no previous administration, Republican or Democrat, has auto-enrolled the public in such a program without it being fully established.
Despite the ongoing tension, the committee has managed to receive some documents and has held three conference calls between its staff and the Education Department. However, Foxx remains unsatisfied, accusing the administration of obstructing the committee's mission. She issued a stern warning, giving the department a deadline to release the remaining documents by noon on Tuesday.
Foxx’s final letter reiterated the committee’s demand for timely cooperation from the Education Department. She made it clear that the subpoenas issued must be honored without further delay. The congresswoman's firm stance reflects her broader concerns about the department’s role in shaping student debt relief policy and ensuring the constitutional rights of Congress.
The Education Department’s resistance has raised questions about how much authority it can assert over federal contractors when faced with a direct congressional subpoena. Foxx emphasized that the contractual obligations of loan servicers do not override the constitutional authority of the legislative branch. She stated, “This letter serves as a final warning—the department must release the loan servicers’ documents to the committee.”
As the September deadline approaches, the committee continues to press for full compliance. If the documents are not delivered as requested, it is unclear what further actions Foxx and her colleagues will take. However, the congresswoman has signaled that she is prepared to escalate the matter if necessary.
For Foxx, the battle over student loan transparency is about more than just the current subpoenas—it is part of a larger effort to ensure that the executive branch does not overreach its authority. As she seeks reelection for her 11th term, she is doubling down on her message of accountability and oversight, a message that resonates with many of her constituents.