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Home»Finance News»Student loan forgiveness program in Rhode Island faces DOJ lawsuit
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Student loan forgiveness program in Rhode Island faces DOJ lawsuit

September 18, 2025No Comments2 Mins Read
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Student loan forgiveness program in Rhode Island faces DOJ lawsuit
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The exterior of the Providence School Department headquarters in Providence, RI on April 25, 2019.

Lane Turner | Boston Globe | Getty Images

The U.S. Department of Justice has filed a lawsuit alleging that Rhode Island’s student loan forgiveness program for teachers of color discriminates on the basis of race.

Under the Providence Public School District initiative, “new teachers can receive student-loan repayments,” the complaint filed on Tuesday said. “The catch: white teachers are not eligible.”

The move is the latest in the Trump administration’s efforts to get rid of diversity, equity and inclusion, or DEI, policies across the country.

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The Rhode Island student loan forgiveness program offers up to $25,000 in education debt relief for teachers of color working in the Providence Public School District for three years. Eligible teachers include those who identify as Black, Hispanic, Asian and American Indian, according to the DOJ complaint.

Around 80% of public school elementary and secondary teachers identify as non-Hispanic white, according to a Pew Research Center report from last year.

Asked to confirm program details, the Providence Public School District and Rhode Island Department of Education did not provide an answer. The district and department sent CNBC a joint statement, saying they had worked with the DOJ to reach a resolution over the student loan forgiveness program.

“PPSD and RIDE officials have not been served, and we were not informed by federal representatives that they would proceed with a lawsuit,” according to the statement. “Since there is active litigation, PPSD and RIDE will not be commenting further.”

See also  Student Loan Borrowers May Get $2.25 Million In Compensation For Alleged Improper Collections

The DOJ is seeking an injunction to halt the loan program’s use of race in its application, and an “award of equitable relief” to nonminority teachers who were not eligible for the program based on their race.

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