Bill > B26-0569

Introduced Session

a bill to create a public lending institution in Washington, D.C. to issue student loans and help D.C. residents refinance existing education debt. This statement is written for the public and designed to be clear for the average reader. The District has expanded borrower protections, but many residents still depend on private student loans that can include high interest, surprise fees, and limited flexibility when financial circumstances change. Those costs make it harder to complete school, switch careers, or work in public service roles without fear of falling behind. This bill creates a public alternative built around fairness and affordability. This bill builds on work first advanced by former Councilmember Elissa Silverman, who championed the creation of a public, mission-driven alternative to private student lending in the District. The bill establishes the District of Columbia Student Loan Authority as an independent part of the District government, overseen by a 7-member board, including 5 voting members appointed by the Mayor and approved by the Council, plus 2 ex-officio members. The Authority can provide new loans for accredited college or vocational training programs and refinance education debt for current D.C. residents. The bill improves loan terms in a way most residents have never had access to. The Authority may not charge application or origination fees. The first $5,000 of any loan will carry 0% interest, adjusted annually for inflation. Monthly payments are capped at 10% of a borrower’s discretionary income, keeping payments tied to what someone can afford. Repayment begins 6 months after completion or withdrawal and may extend up to 30 years. Borrowers who complete 10 cumulative years of full-time public service work, including education sector roles, may be eligible for discharge of remaining loan balances, and qualifying hours may include paid leave and Family and Medical Leave Act time. This bill is about expanding opportunity, giving residents financial breathing room to learn, work, build businesses, and explore new industries without being weighed down by fast-growing interest or unexpected fees. The Authority must publish regular financial and activity reports, and a certified public accountant will audit its finances each year, sending those audits to the Mayor and Council. Loan servicing must remain in-house and may not be outsourced, ensuring accountability stays public. I look forward to working with my colleagues, advocates, and borrowers to move this proposal through the legislative process. Councilmember Brooke Pinto Counc Councilmember Brianne K. Nadeau Council A BILL IN THE COUNCIL OF THE DISTRICT OF COLUMBIA To establish a finance authority in the District of Columbia to provide new student loans and refinance existing student loans.

AI Summary

Janeese George (D)*,  Brianne Nadeau (D)*,  Brooke Pinto (D)*,  Robert White (D)*, 

Referred to Committee on Committee of the Whole (on 02/03/2026)

Official Document