PA Sues USDE Over Student Loan Caps that Raise Costs for Future Educators and Health Care Workers (May 21, 2026)

Governor Josh Shapiro has filed a lawsuit, along with 24 other states and the District of Columbia, against the U.S. Department of Education (USDE) to block a restrictive new federal regulation capping the total amount of loans a student can borrow for certain degrees, including nursing and teaching. 

The federal government’s new, narrow definition of a “professional student” will limit access to essential student loans, making education less affordable and accessible; worsening deep workforce shortages; and directly harming Pennsylvania families’ access to health care – especially those in rural and underserved areas.

The new federal rule lowers financial aid limits for students pursuing advanced degrees in critical fields such as health care and education, leaving Pennsylvania students with insufficient funding to cover the high costs of post-undergrad training.

Unnecessarily Limiting Loans for Crucial Professions

The lawsuit argues that the USDE’s decision to restrict access to loans ignores real-world educational and licensing requirements. 

By redefining vital advanced-degree paths and restricting them to lower “graduate” borrowing caps, the federal policy directly targets:

-Nurses & Advanced Practitioners: Covers certified registered nurse practitioners, clinical nurse specialists, nurse anesthetists, and nurse midwives. This restriction hits at a time when Pennsylvania hospitals are battling a 19% vacancy rate for nurses. It also runs counter to the Trump Administration’s own Rural Health Transformation Plan, which aims to increase health care providers in rural areas.

-Physician Assistants (PAs): Over one-third of PAs say they would have abandoned the career entirely if their loans were capped. This cap heavily compromises rural primary care access.

-Mental Health & Rehabilitation Specialists: Restricts the pipeline for clinical social workers required to address the state’s expanding mental health and substance abuse crises, as well as occupational and physical therapists essential to caring for Pennsylvania’s aging population.

-Teachers & Collegiate Instructors: The downstream impact will stunt the supply of bachelor-level licensees, who depend directly on these advanced-degree professionals to serve as faculty, educators, and clinical instructors.

Hurting Pennsylvania’s Communities and Progress

The federal government’s narrow interpretation of Congressional Republicans’ budget bill that President Trump signed into law last year violates clear congressional intent to align financial aid with labor-market demands. 

Furthermore, it threatens to undermine the actions taken by the Shapiro Administration to build Pennsylvania’s workforce, including the recent implementation of three interstate licensing compacts to cut red tape and attract more health care professionals to the Commonwealth and significant work to strengthen the pipeline of highly-qualified teachers ready to enter Pennsylvania classrooms. The lawsuit asks the court to compel the USDE to adopt a functional, commonsense definition of “professional student” that includes the high-demand advanced degrees, keeping Pennsylvania’s health care and education systems running.

Source: pa.gov

FAFSA 2026 Sees Record Completion Rate (May 19, 2026)

According to a May 13th report by the National College Attainment Network (NCAN), the rate of high school seniors completing the Free Application for Federal Student Aid (FAFSA) hit an all-time high with the class of 2026.   

That record rate of 54.7%, set as of May 1, 2026, came well before the June 30th cutoff date NCAN has historically used to measure each class’s final completion rate. 

NCAN attributed this year’s strong completion to an early launch of the FAFSA in September 2025, processing improvements, requirements in nine states for graduating high school students to complete FAFSAs, and stakeholders having adjusted to an updated version of the form.

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USDE Closes Office of English Language Acquisition (May 17, 2026)

On May 14, 2026, the U.S. Department of Education (USDE) closed the Office of English Language Acquisition (OELA), over a year after gutting its staff to just one. The office reportedly had around 15 employees.

In doing so, the agency is compromising school districts’ ability to provide instruction to English learners, according to public education advocates who oppose the move. The Trump administration, however, defends the action as one that will cut red tape and ultimately provide more focus on the topic.

The OELA was the only arm of the federal agency dedicated to ensuring that English learners and immigrant students gained English proficiency and academic success, that schools preserved students’ heritage languages and cultures, and that all students had the chance to develop biliteracy or multiliteracy skills.

Congress appropriated $890 million in Title III funding in fiscal year 2026 for the office to support over 5 million English language learners in U.S. schools, including through professional development grants and other resources to help educators support these students. While the funding will remain, its administrative responsibilities will be to the Office of Elementary and Secondary Education (OESE) which, as per an interagency agreement, places many OESE functions within the U.S. Department of Labor (DOL). The USDE did not provide information on whether DOL will also administer Title III or English learner supports going forward.

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Greg Moyer’s Law Becomes Act 17 of 2026 (May 16, 2026)

On May 13, 2026, Senate Bill 375, also known as Greg Moyer’s Law, became Act 17 of 2026 when it was signed into law by Governor Josh Shapiro. This comes after over a decade of advocacy by Senator Rosemary Brown alongside the Moyer family, who tragically lost their 15-year-old son, Greg, to sudden cardiac arrest during a high school basketball game.

The new legislation requires AEDs to be present at all PIAA-sanctioned athletic events and practices and ensures schools have emergency action plans in place for sudden cardiac arrest situations. The bill, sponsored by Sen. Brown, was due to the efforts of Greg’s parents, Rachel and John Moyer, and his sisters, Abbie and Katie Moyer, whose advocacy, strength, and dedication were the driving force behind this legislation.

Click here to view Act 17 of 2026.

USDE to Release $144M for Special Ed., Early Intervention (May 14, 2026)

According to a May 13, 2026 announcement by the U.S. Department of Education (USDE), states and school districts will receive an additional $144 million this year for services to infants, toddlers, children and young adults with disabilities,.

In the same announcement, the USDE released guidance on how states can use funds from the Individuals with Disabilities Education Act (IDEA) to help expectant parents of children with disabilities prepare for their child’s birth and plan for services after the birth. This represents a major departure from traditionally allocated early intervention funding, which supports children with disabilities and their families after a child’s birth.

Language included in the fiscal year 2026 appropriations legislation allows states to expand IDEA Part C services to people expecting to become a parent to a child with disabilities. The appropriations language did not, however, create any new requirements for Part C programs.

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