US Department of Education Issues Proposed Rule on Student Loan Programs

The Department of Education announced significant changes to federal student loan eligibility on January 29th. A Notice of Proposed Rulemaking, would reclassify several graduate degrees, including social work and some counseling degrees, so that they are no longer considered “professional” degree programs. The proposal would limit the annual amount of public loans an individual can obtain for these graduate degrees to $20,500 per year and $100,000 over the course of one’s lifetime. Medicine, osteopathic medicine, podiatry, chiropractic, optometry, pharmacy, dentistry, veterinary medicine, law, theology and clinical psychology would still be considered professional degrees, for which students can receive up to $50,000 per year and $200,000 total in public loans. The notice does not differ meaningfully from a previously released proposal highlighting the potential changes. If also allows academic institutions to set loan caps based on the cost of an academic program to prevent overborrowing in programs with lower earnings and created tiered, standard repayment plan and an income-driven repayment plan.  If finalized, this rule would become effective July 1, 2026.  Comments on the proposed rules can be submitted through the Federal eRulemaking Portal at www.regulations.gov on or before March 2, 2026.

Trump Issues Executive Order Announcing the Great American Recovery Initiative; HHS Announces $100M Investment

On January 29th, President Trump signed an executive order creating the “Great American Recovery Initiative” to coordinate the federal government response to the substance use and addiction crisis.  According to a  fact sheet, the initiative will advise federal agencies on how to integrate programs on drug prevention, early intervention, treatment, recovery support and reentry. The initiative is also tasked with consulting states, Tribal nations, local governments, community and faith-based organizations, the private sector and philanthropic partners to identify effective recovery strategies to ensure more Americans receive lifesaving care and support. The “Great American Recovery Initiative” will be chaired by HHS Secretary Robert F. Kennedy Jr. and Senior Advisor for Addiction and Recovery Kathryn Burgum, a substance use and recovery advocate and former first lady of North Dakota.

On February 2nd, HHS Secretary Robert F. Kennedy, Jr. announced a comprehensive plan to strengthen prevention, expand treatment, and carry out the President’s executive order.  The centerpiece of this plan is a $100 million investment to solve long-standing homelessness issues, fight opioid addiction, and improve public safety by expanding treatment that emphasizes recovery and self-sufficiency.  The Safety Through Recovery, Engagement, and Evidence-based Treatment and Supports (STREETS)  Initiative will fund targeted outreach, psychiatric care, medical stabilization and crisis intervention, while connecting Americans experiencing homelessness and addiction to stable housing with a clear focus on long-term recovery and independence.  Additionally, Secretary Kennedy announced a $10 million Assisted Outpatient Treatment (AOT) grant program to support adults with serious mental illness. AOT is a civil court-ordered, community-based outpatient mental health treatment program for adults with serious mental illness who are unable to engage with conventional outpatient treatment and are unlikely to be able to live safely in their community. The program is designed to work within the civil court system that supports engagement with community-based treatment as an alternative to more costly restrictive levels of care, homelessness, and interactions with the criminal justice system.  Finally, HHS’ Administration for Children and Families today under Secretary Kennedy’s plan added three Medications for Opioid Use Disorder (MOUD) as prevention services eligible for federal funding. States and tribes can now receive a 50% federal match, respectively, to provide buprenorphine, methadone, and naltrexone to parents when children are at imminent risk of entering foster care but can remain safely in the home or in a kinship placement with access to these treatments.

President Signs $1.2tn Funding Bill, Ending Partial Government Shutdown

President Trump on Tuesday signed legislation to end a government shutdown hours after it was approved by the House of Representatives. The Republican-controlled House approved the $1.2tn appropriations measure by a narrow 217-214 vote, with all but 21 Republicans voting in favor and all but 21 Democrats against. The president signed it later in the afternoon at the White House, bringing to an end the shutdown that began after midnight last Friday, which had halted many operations at departments including defense, health and human services, labor, and transportation.

The funding lapse occurred after Democrats refused to approve continued funding for DHS following the killings by federal agents of US citizens Renee Good and Alex Pretti in Minneapolis, and demanded new restrictions on immigration enforcement.

View SAMHSA funding levels document here. 

Petition to Kill Ohio Intoxicating Hemp Ban, Other Marijuana Law Changes Approved for Signature Gathering

Attorney General Dave Yost on Tuesday certified a referendum petition seeking to block portions of Ohio’s marijuana and hemp regulations from taking effect.

The certification allows Ohioans for Cannabis Choice to begin gathering signatures to place the measure on the November ballot. The proposed referendum seeks to repeal much of Senate Bill 56, which Gov. Mike DeWine signed in December. The petition would repeal provisions related to the regulation, criminalization, and taxation of cannabis products. Under Ohio law, the attorney general must determine whether a petition’s title and summary are fair and truthful representations of the proposed referendum. Yost determined that the summary and title did indeed meet that standard.

The campaign is up against a tight schedule and only has until the law takes effect in mid-March to collect and submit signatures equal to 6% of the votes cast in the most recent gubernatorial election, or roughly 250,000. Those signatures must come from at least 44 of Ohio’s 88 counties.