Attorney General Kwame Raoul has joined a coalition of states in submitting a comment letter opposing a proposed rule by the U.S. Department of Education that would limit federal student loans for graduate students in nursing, physician assistance, and other health-related fields. The coalition argues that this change could worsen shortages of health care workers across the United States.
“This proposed rule will cut off access for many qualified students and will worsen nationwide labor shortages in vital fields, including nursing and education. Students may also turn to riskier and higher-interest borrowing,” Raoul said. “I join my fellow attorneys general in opposing this rule, and I remain committed to advocating for student borrowers in Illinois and across the country.”
The recent federal budget reconciliation set new limits on how much graduate students can borrow through federal student loans: $20,500 per year and $100,000 total. However, those pursuing “professional” degrees are allowed to borrow up to $50,000 annually and $200,000 overall. Congress defined “professional degree” broadly as any degree required for beginning practice in a profession that needs skills beyond those required for a bachelor’s degree.
Congress provided ten examples of such degrees—like medical or law degrees—but stated these were not exhaustive. The Department of Education’s proposed rule would make this list exclusive (adding only clinical psychology), so only students pursuing these specific degrees could borrow at the higher amounts.
Raoul and the coalition state that this change would exclude nurse practitioners, physician assistants, physical therapists, and others who are essential to health systems. For programs costing more than the capped amount, many students would have to seek private loans with less favorable terms or might be unable to pursue advanced education at all.
In their comments, the coalition claims that making Congress’s illustrative list into an exclusive one violates federal law because it ignores congressional intent. They note that some professions now requiring graduate degrees were not common when Congress first created its list decades ago; thus freezing eligibility based on outdated examples leaves out important modern health professionals.
Raoul emphasized that limiting loan access for future nurses, physician assistants, and physical therapists could reduce the number of expert healthcare workers available during ongoing workforce shortages in Illinois and other states. The letter urges the Department of Education to broaden its definition of “professional degree” so it matches what Congress intended.
The comment letter was submitted by Raoul along with attorneys general from Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Hawaii, Maine, Massachusetts, Maryland, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina,Oregon,Rhode Island,Vermont,V irginia ,Washington,Wisconsin,and governors from Kansas and Kentucky.
The Illinois Attorney General’s office has worked on behalf of vulnerable groups such as workers and seniors (official website), handled thousands of consumer complaints each year (official website), promoted safer communities while protecting consumers’ rights (official website), extended advocacy efforts statewide (official website), partnered with law enforcement to support crime victims (official website), and offered services like complaint filing related to consumer fraud or civil rights issues (official website).