U.S. Education Secretary Betsy DeVos proposed creating a new, stand-alone government corporation to manage the Education Department's $1.5 trillion student loan portfolio during remarks Tuesday at the annual Federal Student Aid (FSA) conference.
 
Arguing Congress never set up the Education Department to be a bank, DeVos called on Congress to create a new organization that would operate like a "world-class financial firm," with professional management and an apolitical governing board. 
 
"Just look at today's parade of repayment options, forgiveness plans, unlimited lending and complex rules that FSA -- and you -- have been asked to implement, and then explain to students and their families," Secretary DeVos said. "Congress asked FSA to implement each new program and each new plan, with the same old infrastructure, and no common-sense governance model."
 
The Education Secretary’s full remarks can be found here:  Secretary DeVos Shares Vision for a Better, Stronger Federal Student Aid at Annual Training Conference
 
Below is coverage of the Education Secretary’s proposal from media across the country:
 
DeVos Wants to Spin Off Student Loan Office
Inside Higher Ed (December 4, 2019)
 
DeVos Proposes Department Spinoff to Handle Student Loans
Politico (December 4, 2019)
 
DeVos Proposes New Agency, Run by Someone Else, for Student Loans
The New York Times (December 4, 2019)
 
Education Secretary Betsy DeVos Wants to Spin Off Federal Student Aid Office Into New Agency
The Washington Post (December 4, 2019)
 
The Education Department Wants to Streamline Student-Loan Repayments. It Might Not Fix What Ails the Debt-Collection System.
The Chronicle of Higher Education (December 4, 2019)
 
Betsy DeVos: Here’s My New Plan For Your Student Loans – Opinion
Forbes (December 4, 2019)