Trump Targets Loan Forgiveness for Groups Supporting Undocumented Immigrants, Diversity, and Gender

President Trump signed an executive order instructing administration officials to modify the Public Service Loan Forgiveness program. This program provides loan forgiveness to public servants who work for qualifying employers. The order aims to exclude nonprofit organizations that engage in activities deemed to have a "substantial illegal purpose."

The order appears to target groups supporting undocumented immigrants, diversity initiatives, and gender-affirming care for children. These are areas that have drawn criticism from the right wing, and the Trump administration has sought to eliminate federal support for such efforts.

This is the latest attempt to overhaul the Public Service Loan Forgiveness program, which has been subject to frequent rule changes and bureaucratic obstacles. The program was created by Congress in 2007 and cannot be eliminated without congressional action. However, the Education Department has some leeway in determining how it operates.

Mr. Trump's executive order directs the secretaries of education and the Treasury to amend the program to exclude workers for organizations supporting illegal actions. The order lists several categories of examples, including "aiding or abetting" violations of federal immigration law.