ENROLLED ORIGINAL
A RESOLUTION
24-118
IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
June 1, 2021
To declare the sense of the Council to call upon the federal government to urgently address the
student loan crisis and enact a plan to cancel student loan debt and begin the transition to
education as a public good.
RESOLVED, BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this
resolution may be cited as the Sense of the Council Student Loan Debt Cancellation Resolution
of 2021.
Sec. 2. The Council finds that:
(1) The student loan crisis is impacting nearly 1 in 5 Americans, with Black,
Latinx, American Indian and Alaska Native, Asian and Pacific Islander, and other communities
of color, low-income residents, and young adults most impacted by student loan debt.
Collectively, Americans hold over $1.6 trillion in student debt and growing.
(2) The District of Columbias economy is strong, in large part due to its highly
educated workforce, but this comes at a significant cost to District residents. District residents
have the nations highest average student loan debt at $55,400 per borrower, resulting in over
$6.4 billion in debt within the District alone. Over 115,000 individuals, or 16.4% of District
residents, have student loan debt that affects their ability to save for retirement, buy a home, pay
for childcare, or meet other essential needs and contribute further to the local economy.
(3) The segment of the population with the fastest growing student debt balances
are people over age 60. The number of individuals age 60 and older with student loan debt has
quadrupled since 2005, and the average amount they owe has also dramatically increased. This is
due to both borrowers carrying their own student debt later in life and parents, grandparents, and
other caregivers helping to finance their relatives higher education. This impacts seniors ability
to save for retirement and maintain financial security and may lead to delinquent or defaulted
student loans late in life, as nearly 40% of federal student loan borrowers aged 65 and older are
in default.
(4) Younger adults carry the largest student loan burden, at precisely the time that
many are attempting to save for buying a home, starting a family, or paying for childcare. An
estimated one-third of all adults ages 25 to 34 have student loan debt. Many of these adults are in
1
 ENROLLED ORIGINAL
the sandwich generation, caring for both children and elder relatives. Over half of student loan
borrowers report that their debt has a considerable impact on restricting their choice of career.
(5) College is more expensive and more essential than ever before.
Advancements in technology are making it harder to earn a living wage without an advanced
degree, and college graduates earn on average 80% more than those with a high school diploma.
While college attendance is higher than ever before, the cost of college education has more than
doubled over the past generation. Further, many students who take out loans do not ultimately
complete a college degree; two-thirds of those who default on their student loans are borrowers
who either did not finish college or earned only a certificate.
(6) The student loan crisis is an issue of racial equity. On average, Black students
are more likely to take out student loans; Black borrowers owe more than White borrowers; and
Black borrowers pay down their debt more slowly, in part due to the racial wealth gap, the racial
pay gap, and racial discrimination in hiring. Black students who earned a bachelors degree had a
default rate nearly 4 times higher than similarly situated White peers due to complex facets of
wealth and wage disparities and structural racism. Black and Latinx students are 3 times more
likely to attend a for-profit college than White students, which are often predatory and result in
much higher rates of default. On average, American Indian and Alaska Native student borrowers
owe the highest monthly payments. Student debt exacerbates the existing racial wealth gaps and
holds many people of color back from building intergenerational wealth.
(7) The student loan crisis is an issue of gender equity. While a slight majority of
college students are women, women hold roughly two thirds of the nations student loan debt.
Black women, on average, accrue more debt than other women. Because of the gender pay gap,
women have a harder time paying off their debt and struggle more financially to do so. A
disproportionate number of single mothers attending college attend for-profit colleges and accrue
higher levels of debt than students at non-profit colleges. The intersection of racial and gender
wage and wealth gaps make it even harder for women of color to afford college, pay down their
student debt, and accrue intergenerational wealth.
(8) The student loan crisis is an issue of socioeconomic equity. Low-income
students and families are more likely to need to borrow loans and to default on loans. First-
generation college students accrue more debt on average than other students and are more likely
to default on their loans. Students who are veterans, parents, or caregivers also face higher risk of
default. While higher-income communities are more likely to have loan balances due to higher
rates of college attendance, there are far higher rates of economic hardship and delinquency
resulting from student loans in low-income communities.
(9) In the District, loan balances are high across the city, particularly in Wards 1,
2, 3, 4, 5, and 6. Yet the burden of student debt is highest in areas with fewer job opportunities
and lower pay and where the average loan balance is higher, resulting in a more significant debt
burden in Wards 5, 7, and 8.
(10) Cancelling student loan debt and eliminating debt in higher education
represents a significant economic opportunity for the District to increase spending in our local
2
 ENROLLED ORIGINAL
community, support residents wealth-building and social mobility, and provide a deeply needed
stimulus during the pandemic.
(11) Cancelling student loan debt and eliminating debt in higher education will
have a considerable positive impact on the thousands of students that attend any of the dozens of
colleges and universities that are based or operate in the District and will help advance an
equitable, accessible higher education system for all our residents.
(12) Cancelling student loan debt and eliminating debt in higher education will
improve a range of health outcomes by alleviating debt-associated stress and mental health
impacts and improving investments in residents health services and health outcomes.
(13) Cancelling student loan debt is a moral issue, as it will help address racial
and gender wage and wealth gaps, support improved educational, health, and housing outcomes,
and improve economic opportunities for District residents.
(14) Over 90% of student loans are provided through the federal government.
Federal student loan debt is held by the United States government, and the Higher Education Act
of 1965 gives the President and Secretary of Education the authority to cancel it.
Sec. 3. It is the sense of the Council that the federal government should leverage its
authority to urgently address the student loan crisis by enacting a plan to cancel student loan debt
and begin the transition to education as a public good.
Sec. 4. The Council shall transmit a copy of this resolution, upon its adoption, to the
Mayor.
Sec. 5. This resolution shall take effect immediately.
3