December 22, 2020

Rep. Lawson: New Federal Budget Forgives $111 Million in FAMU Federal Loans

WASHINGTON, DC - U.S. Rep. Al Lawson (FL-05), today announced that the FY 2020-21 federal spending deal that Congress passed on Monday includes good news for Florida A&M University, as it also cancels more than $111 million in FAMU federal debt held by the U.S. government.

In 2019, FAMU borrowed $126 million from the Historically Black Colleges and Universities (HBCU) Capital Finance Program to construct new dorms, and refinance the debt on its residence halls. The HBCU Capital Finance Debt Relief Act, which discharges over $1.3 billion in debt held by HBCUs, was included in the omnibus spending deal.

“I’m proud to have worked with my colleagues in the House and the Senate to eliminate the federal debt, not only at FAMU, but all HBCUs that have been hard hit by the coronavirus pandemic,” said Rep. Lawson.  “As COVID-19 has severely impacted the higher education community, particularly low-resourced HBCUs, we felt cancelling their debt would give them a fresh start and allow them to focus more resources on educating students.” 

"This will mean a brighter future for thousands of young people as our communities will also benefit from their knowledge, skills and expertise for years to come,” Rep. Lawson added.