Physician Associate Groups Sue Education Department Over New Federal Student Loan Limits

U.S. District Court for the District of Columbia against the Education Department over new federal student loan limits that apply to physician associate programs. The complaint alleges the rule violates the Administrative Procedure Act by adding requirements to the definition of a professional degree that Congress did not authorize and exceeds the department’s statutory jurisdiction.

Under the rule published in the Federal Register last month, graduate students may borrow up to $100,000 total and $20,500 annually, while professional-degree students may borrow up to $200,000 total and $50,000 annually. Eleven programs qualify as professional degrees, including chiropractic, dentistry, medicine, optometry, osteopathy, pharmacy, podiatry and veterinary medicine.

Physician associate programs are classified under the graduate category and therefore face the lower limits.

The median tuition for in-state PA students is nearly $97,000 and more than $101,200 for out-of-state students, according to the AAPA. When housing, fees, supplies and other required expenses are included, the total cost of attendance for PA students often exceeds $200,000.

Lisa Gables, CEO of the AAPA, said the rule will have “devastating consequences” for PA students, the PA workforce and their patients.

“PA programs meet every element of the professional degree definition that Congress established in law; they award entry-level master’s degrees, require rigorous clinical training, and lead to professional licensure in all 50 states,” Gables said. The groups are seeking a preliminary injunction to block the rule from taking effect for PA students on July 1.

The Education Department stated that it does not interpret the existence of a master’s-level entry credential, national examination or formal licensure structure as sufficient to consider a program a professional degree.

Filed a similar suit last month. S. District Court for Massachusetts challenging the same limits on which programs count as professional degrees.