Department of Education Secretary Linda McMahon on Sunday addressed many of the changes facing the ED as President Donald Trump delivers on a key campaign promise to shutter the department.
Why It Matters
Trump repeatedly promised during his 2024 presidential campaign that he would shut down the ED—a long-standing and much-desired goal for many Republicans. Former GOP Senator Mitt Romney in his 2012 presidential campaign supported either outright ending the department or at least drastically reducing its size, for example.
Reports as early as mid-February indicated that the ED faced drastic reduction as part of Elon Musk and the Department of Government Efficiency (DOGE)’s mission to significantly cut down the scope and spending at the federal level.
What To Know
McMahon during an appearance on CNN‘s State of the Union discussed the changes that the department faces, including what will happen to student loans. As of January, Americans owe around $1.77 trillion in student loans, according to NerdWallet, which translates to an average of $29,300 per borrower.
This week, Trump kicked off the direct effort to cut down the department, with many worried about what happens to student loans, but McMahon clarified that the Small Business Administration (SBA) will head up the handling of those loans while programs for students with disabilities will become the purview of the Department of Health and Human Services (HHS).
“I think we’re looking at putting things in different departments, where they can operate very efficiently, as we look at how we can shut down the Department of Education,” McMahon said. “The Department of Education does not educate one child; it does not establish any curriculum in any states. It doesn’t hire teachers; it doesn’t establish programs.”
She continued: “What it is, is more of a pass through of funding, which is appropriated by Congress, and so we want to make sure that that funding continues in departments where it needs to be, but at the same time, give states the opportunities to be innovative and creative with their teaching.”
McMahon stressed that Trump will “move things in accordance with the law and cooperation with Congress” when CNN host Dana Bash asked her on whether the president has the authority to make such radical changes to funding that is dictated by “law of Congress.”
“He certainly knows that if there are statutes or laws that are governing where they need to be, we’ll have to abide by the law,” McMahon said. “We will work with Congress. We’ll partner with Congress.”
“If we have to change the law, if we need to work with Congress, if Congress doesn’t agree, then we’ll find out,” she added.
Roberto Schmidt/AFP via Getty Images
What People Are Saying
President Donald Trump in the Oval Office on Thursday: “I do want to say that I’ve decided that the SBA, the Small Business Administration, headed by Kelly Loeffler, a terrific person, will handle all of the student loan portfolio. We have a portfolio that’s very large. Lots of loans. Tens of thousands of loans. Pretty complicated deal. That’s coming out of the Department of Education immediately.”
Administrator of the Small Business Administration Kelly Loeffler on X, formerly Twitter, wrote on Friday: “Thank you, Mr. President. The SBA stands ready to take the lead on restoring accountability and integrity to America’s student loan portfolio.”
Senator Ed Markey, a Massachusetts Democrat, wrote on X on Friday: “Borrowers deserve better than having billionaires like Musk and McMahon creating chaos with their student loans just to aid Donald Trump’s unconstitutional dismantling of the Department of Education.”
Representative Gil Cisneros, a California Democrat, wrote on X on Friday: “President Trump’s decision to make the SBA handle student federal loans makes no sense. And Sec. Loeffler just announced her intention to downsize the SBA by 40%. This is not only a disservice to our students, but it will negatively impact countless small businesses.”
What Happens Next?
The Trump administration will start to shift various ED duties to other departments as it continues to wind down the organization.