Attorney General Tong Sues U.S. Department of Education Over Student Loan Rule Limiting Access to Student Loans for Professional Degree Programs

05/19/2026

Coalition challenges unlawful rule that could restrict access to advanced education and worsen workforce shortages

(Hartford, CT) — Attorney General William Tong today joined a coalition of attorneys general in filing a lawsuit against the U.S. Department of Education over a new rule that unlawfully limits access to federal student loans for students pursuing professional degree programs, including many healthcare and other critical workforce fields.

The lawsuit challenges a recently finalized Department of Education rule that narrows the federal definition of “professional degree” and imposes restrictions Congress did not authorize. The coalition argues the rule unlawfully excludes many degree programs that qualify under the standards established by federal law, potentially reducing access to financial aid for students pursuing advanced education.

“We need more nurses, therapists and social workers, and our federal government should be supporting their studies, not defunding them. The Trump/McMahon plan to magically drive down education costs by barring student loans defies Congress, defies the law, defies reality, and will do real damage to Connecticut students and workers. We are suing to restore common sense and to force Trump and McMahon to follow the law,” said Attorney General Tong.

In July 2025, Congress passed legislation imposing new limits on federal student loans for graduate and professional students. The new limits are lower for graduate students than for professional degree students; to distinguish the two, Congress incorporated an existing federal definition of “professional degree” into law. The lawsuit alleges that the Department of Education unlawfully altered that definition by adding new requirements and narrowing eligibility in ways Congress never authorized.

The coalition argues the rule could harm states by reducing support for public institutions of higher education, creating barriers for students pursuing advanced training, and worsening workforce shortages in critical professions. The complaint notes that these impacts could be particularly significant in fields such as healthcare, where states already face ongoing workforce challenges.

The lawsuit also challenges provisions that limit protections for students already enrolled in programs. The statute includes a grandfathering provision that delays implementation of the loan caps for currently enrolled students. Under the rule, however, some students who transfer institutions or temporarily withdraw and later return to their programs could lose eligibility for grandfathering, creating additional financial barriers.

The coalition filed the lawsuit in the U.S. District Court for the District of Maryland.

The lawsuit is being co-led by Colorado Attorney General Phil Weiser, Maryland Attorney General Anthony G. Brown, Nevada Attorney General Aaron D. Ford and New York Attorney General Letitia James, and is joined by the attorneys general of Arizona, California, Connecticut, Delaware, the District of Columbia, Hawai‘i, Illinois, Maine, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, North Carolina, Oregon, Rhode Island, Vermont, Virginia, Washington and Wisconsin, as well as the governors of Kentucky and Pennsylvania.

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