DeVos proposes spinning off federal student loans from Education Department into independent agency

RENO, Nev. — The Trump administration proposed Tuesday to break off the nearly $1.5 trillion federal student loan portfolio from the Education Department and have it instead be managed by a new independent federal agency. Education Secretary Betsy DeVos pitched the proposal for federal student loans to be operated by “a stand-alone government corporation, run by a professional, expert and apolitical board of governors,” instead of by the department’s Office of Federal Student Aid.