Debt forgiveness

Richmond says debt forgiveness offers many benefits

“America is a country about the common good,” he said.

By DAVID COHEN

President Joe Biden’s forgiveness of some federal student loan debt was neither unfair nor unsound, Democratic National Committee senior adviser Cedric Richmond said Sunday.

Speaking on “Fox News Sunday,” Richmond said, “This country is not a zero-sum game where somebody has to fail for others to succeed, and so we have historic tax credits, we have business tax credits to help those who own businesses, and not everyone in America owns a business, but we help business owners because we want to promote it.”

He added later: “America is a country about the common good.”

Richmond, who previously served as a congressman from Louisiana and in the Biden White House, addressed criticism of Biden’s move last week to forgive up to $10,000 of student loan debt (up to $20,000 for recipients of Pell Grants), subject to income restrictions.

Biden also extended a moratorium on payments, but said they will restart at the beginning of 2023. “It’s time for the payments to resume,” the president said.

Biden’s education policies, Richmond said, would help “working-class people.”

“What the president is saying for those people who fight and search and go gain an education, that we are going to help you, because education is the best way out of poverty,” Richmond said. “And you shouldn’t be saddled with that debt.”

Speaking to host Jennifer Griffin, Richmond pushed back on attacks from conservatives — and even some Democrats — who said the policy unfairly benefits a select group of people. Rep. Jim Jordan (R-Ohio) tweeted: “Why should a machinist in Ohio pay for the student loans of a jobless philosophy major in Los Angeles?”

Richmond countered that characterization.

“We have business deductions everywhere and all day long,” he said. “We just gave, in 2017, $2 trillion to the top 1 percent and businesses — 99 percent of the country did not benefit from the 2017 $2 trillion tax cut. People all across the country are going to benefit from this debt relief. And so look, we are not picking winners and losers.”

Richmond also said the loan forgiveness program would stand up to challenges in court.

“Yes it will hold up in court, just like the 2020 election, which the president won by over 7 million votes,” he said.