Bill Overview
Title: Teacher Debt Relief Act
Description: This bill allows an eligible teacher to use the same teaching service to qualify for both the Teacher Loan Forgiveness program and the Public Service Loan Forgiveness program.
Sponsors: Rep. Hayes, Jahana [D-CT-5]
Target Audience
Population: Teachers with student loans
Estimated Size: 3000000
- The bill targets teachers who have student loans.
- Eligible teachers can use teaching service to qualify for both Teacher Loan Forgiveness and Public Service Loan Forgiveness.
- Teachers working in public schools or equivalent institutions are most likely to be impacted.
Reasoning
- The policy targets a specific subset of the population: teachers with student loan debt. These teachers are primarily employed in public schools.
- The estimated number of affected teachers is approximately 3 million in the United States, assuming similar rates of debt among teachers as with the general college-educated population.
- Teachers who are already on track to receive forgiveness from one program may now apply the same service years towards a second program, providing them greater financial relief.
- Some teachers may not qualify due to specific eligibility nuances, and therefore, not all will be directly impacted.
- The budget constraints of $175 million in the first year indicate that while significant, not all 3 million teachers can be immediately accommodated.
- We must also consider teachers who have already completed their service period under one program and may not derive much benefit from the overlap.
Simulated Interviews
High School Math Teacher (Austin, TX)
Age: 30 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 15/20
Statement of Opinion:
- This policy would be a game changer for me. Paying off loans faster means I can start saving for a house.
- It really alleviates the financial stress I've been under.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 9 | 8 |
University Lecturer (Boston, MA)
Age: 45 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 0.0 years
Commonness: 5/20
Statement of Opinion:
- This policy won't affect me as I'm ineligible due to being in a private institution.
- It's great for public school teachers though.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 5 | 5 |
| Year 5 | 5 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Middle School Science Teacher (Chicago, IL)
Age: 28 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 12/20
Statement of Opinion:
- As a charter school teacher, I qualify for these programs. This would really help lower my overall debt.
- It's a big relief to know my service doubles the benefits.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 9 | 8 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 9 |
High School History Teacher (Jackson, MS)
Age: 52 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 2.0 years
Commonness: 10/20
Statement of Opinion:
- I've already benefited from one forgiveness program. This probably won't add much for me.
- It's still a good policy for those early in their teaching career.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 9 | 9 |
Elementary School Teacher (Los Angeles, CA)
Age: 36 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 8/20
Statement of Opinion:
- As a permanent resident, I need to check my eligibility for these programs.
- If I'm eligible, this could dramatically improve my loan situation.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
Kindergarten Teacher (Orlando, FL)
Age: 29 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 15.0 years
Commonness: 14/20
Statement of Opinion:
- This policy will be such a relief as it allows overlap on loan forgiveness.
- I hope this encourages more people to join and remain in teaching.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 8 |
| Year 20 | 10 | 9 |
Special Education Teacher (Seattle, WA)
Age: 41 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 8.0 years
Commonness: 10/20
Statement of Opinion:
- I've been teaching for so long, my loans feel like a mountain I'll never climb.
- If this policy can alleviate some of that, it'll mean I can focus more on my students.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 4 |
| Year 2 | 6 | 4 |
| Year 3 | 7 | 5 |
| Year 5 | 8 | 6 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Assistant Principal (Miami, FL)
Age: 50 | Gender: female
Wellbeing Before Policy: 9
Duration of Impact: 0.0 years
Commonness: 6/20
Statement of Opinion:
- This policy won't affect me as my loans are paid off.
- But I see how it could assist new teachers, which is good for the morale in the profession.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 9 | 9 |
| Year 2 | 9 | 9 |
| Year 3 | 9 | 9 |
| Year 5 | 9 | 9 |
| Year 10 | 9 | 9 |
| Year 20 | 9 | 9 |
High School English Teacher (Denver, CO)
Age: 25 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 12.0 years
Commonness: 13/20
Statement of Opinion:
- This could reduce my debt significantly as a new teacher.
- It's an encouraging start to the profession knowing there's support.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 6 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Substitute Teacher (San Francisco, CA)
Age: 27 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 7.0 years
Commonness: 11/20
Statement of Opinion:
- Once I secure a permanent post, this policy could be very helpful.
- I hope it encourages more schools to hire full-time if subs can benefit too.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 8 |
| Year 20 | 9 | 8 |
Cost Estimates
Year 1: $175000000 (Low: $100000000, High: $250000000)
Year 2: $180000000 (Low: $105000000, High: $260000000)
Year 3: $185000000 (Low: $110000000, High: $270000000)
Year 5: $190000000 (Low: $120000000, High: $280000000)
Year 10: $200000000 (Low: $130000000, High: $290000000)
Year 100: $250000000 (Low: $200000000, High: $350000000)
Key Considerations
- Understanding the cumulative debt relief impact on teachers is crucial, as it affects overall cost estimates.
- Variability in teachers' student loan amounts and their eligibility affects the projection of impacted individuals and cost.
- The administrative framework needs to address how qualification for both programs can be tracked and monitored effectively.