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The Brief

The most important stories for you to know today
  • Tire particles are a pollution factor
    A photo illustration displays an EV car icon enclosed within a worn tire.

    Topline:

    As gas-guzzling cars are replaced by their electric counterparts, tailpipe emissions are on the decline. But cars have other negative impacts on environmental health, beyond what comes out of their exhaust pipes. One of the bigger, and lesser known, problems is tire pollution — or “tire and road wear particles,” in industry terminology.

    For perspective: Emissions Analytics found that a single car sheds almost nine pounds of tire weight per year, on average. Globally, that amounts to 6 million metric tons of tire pollution annually, with most of it coming from wealthier countries where personal car use is more prevalent.

    Why it matters: The amount of tire pollution emitted per vehicle is increasing as more electric cars hit the road around the world — some 14 million of them this year, according to the International Energy Agency. EVs tend to be significantly heavier than gas-powered or hybrid cars due to their larger, heftier batteries. The average battery for an EV on the market today is roughly 1,000 pounds, with some outliers approaching 3,000 pounds — as much as an entire gasoline-powered compact car. Emissions Analytics has found that adding 1,000 pounds to a midsize vehicle increased tire wear by about 20%, and also that Tesla’s Model Y generated 26% more tire pollution than a similar Kia hybrid.

    As gas-guzzling cars are replaced by their electric counterparts, tailpipe emissions are on the decline. But cars have other negative impacts on environmental health, beyond what comes out of their exhaust pipes.

    One of the bigger, and lesser known, problems is tire pollution — or “tire and road wear particles,” in industry terminology.

    Tires shed tiny particles with every rotation. Tire wear happens most dramatically during rapid acceleration, braking, and sharp turns, but even with the most conservative driving, particulate pollution is an unavoidable consequence of car use. And it’s a problem that’s poised to get worse as drivers transition to EVs.

    “We’re pushing for decarbonization by going to battery electric vehicles, and in doing so we’re pushing up tire wear emissions … which is going to prove difficult to solve,” said Nick Molden, founder and CEO of Emissions Analytics, a London-based company that performs independent tests on cars’ real-world tailpipe and tire emissions. Molden pointed out that tailpipe exhaust is dramatically reduced by filters and catalytic converters, which use chemical reactions to reduce pollution. Meanwhile, tires are a fundamentally open system, so there is no viable way to capture the polluting particles that fly off of them.

    Emissions Analytics found that a single car sheds almost nine pounds of tire weight per year, on average. Globally, that amounts to six million metric tons of tire pollution annually, with most of it coming from wealthier countries where personal car use is more prevalent.

    The amount of tire pollution emitted per vehicle is increasing as more electric cars hit the road around the world — some 14 million of them this year, according to the International Energy Agency. EVs tend to be significantly heavier than gas-powered or hybrid cars due to their larger, heftier batteries. The average battery for an EV on the market today is roughly 1,000 pounds, with some outliers approaching 3,000 pounds — as much as an entire gasoline-powered compact car. Emissions Analytics has found that adding 1,000 pounds to a midsize vehicle increased tire wear by about 20%, and also that Tesla’s Model Y generated 26% more tire pollution than a similar Kia hybrid. EVs’ more aggressive torque, which translates into faster acceleration, is another factor that creates more tire particulate mile for mile, compared to similar internal combustion engine cars.

    A white Tesla Model Y sits prominently in the foreground in front of a warehouse with the Tesla logo at the top.
    Due to its heavier battery and more aggressive torque, Tesla’s Model Y generated 26% more tire pollution than a similar Kia hybrid.
    (
    Brandon Bell
    /
    Getty Images
    )

    Tire particulate is a toxic slurry of microplastics, volatile organic compounds, and other chemical additives that enter the air, soil, and water around trafficked areas. The rubber, metals, and other compounds coming off tires settle along roads where rain washes them into waterways. Smaller bits of tire particulate linger in the air, where they can be inhaled, and the smallest of this particulate matter — known as PM 2.5, because each particle is 2.5 micrometers or less — can directly enter the bloodstream. A 2017 study estimated that tire wear is responsible for 5 to 10 percent of oceanic microplastic pollution, and 3 to 7 percent of airborne PM 2.5 pollution.

    One particularly concerning chemical in tires is 6PPD, which is added to virtually all tires to prevent rubber from cracking. But in the environment, 6PPD reacts with ozone to become 6PPD-quinone, a substance that has been linked to salmon die-offs in the Pacific Northwest. A 2022 study confirmed the compound is also lethal to rainbow trout and brook trout.

    Further research has shown that the chemical is absorbed by edible plants like lettuce and has the potential to accumulate in them. A study in South China found both 6PPD and 6PPD-quinone in human urine samples. The human health effects of the chemical are not yet understood, but other chemicals found in tires have been linked to problems ranging from skin irritation to respiratory problems to brain damage.

    A collection of tires stacked on top of each other.
    6PPD is added to virtually all tires to prevent rubber from cracking.
    (
    Jakub Porzycki
    /
    NurPhoto via Getty Images
    )

    Given the intensifying realities of climate change, phasing out gas-powered vehicles rapidly is a must. But experts say the U.S. and other wealthy countries can accomplish this while also mitigating the environmental and health problems caused by EVs’ increased tire wear — namely by curbing car use overall.

    Foremost, local policymakers can take steps to make U.S. cities less cripplingly car-dependent. Although that might sound like a daunting task, there’s historical precedent: The Netherlands used to be dominated by cars and experienced a higher rate of traffic fatalities than the U.S., until activist groups like Stop de Kindermoord (“Stop Child Murder”) mobilized in the 1970s to let policymakers know that they wanted less traffic on their streets. According to Chris Bruntlett, the co-author of Building the Cycling City, policymakers created the low-traffic, bike-friendly Dutch cities we know today by instituting traffic-calming measures. “Officials started with speed-limit reductions, parking restrictions, through-traffic limitations, and lane narrowings and removals,” Bruntlett told Grist.

    David Zipper, a mobility expert and a visiting fellow at the Harvard Kennedy School, says that city leaders can also remove subsidies for car ownership, such as free residential parking on public streets. “Once car subsidies are removed, fewer people in cities will choose to buy and own them,” Zipper said.

    Of course, measures to reduce car use only work in tandem with investments in alternative transportation. The Infrastructure Investment and Jobs Act of 2021 provided some federal funding for transit and pedestrian and bike infrastructure, but making the most of these funds will require political will from state and local lawmakers. Zipper said that policymakers in some U.S. cities have begun to take positive actions — like Boston Mayor Michelle Wu, who has committed to expanding her city’s bike lane network until 50 percent of the population lives within a three-minute walk of a bike lane.

    Another way to reduce tire pollution is to trade big, heavy cars for smaller and lighter ones. Especially in the U.S., cars have grown significantly in size and weight in recent decades. Automakers began promoting SUVs in the 1980s, because a legal loophole allowed vehicles designated as “light trucks” to skirt fuel-efficiency regulations. Nine out of the 10 best-selling cars in the U.S. last year were trucks or SUVs, and the International Energy Agency has found that SUVs were the second largest cause of the global rise in CO2 emissions between 2010 and 2018.

    An air gauge is applied to a tire on an elevated vehicle.
    Trading big, heavy cars for smaller and lighter ones could help reduce tire pollution.
    (
    Marijan Murat
    /
    picture alliance via Getty Images
    )

    One legislative solution to car bloat is introducing weight-based vehicle taxes, which encourage consumer interest in lighter cars and can be used to offset the cost of increased wear on roads caused by heavier vehicles. France implemented a weight-based car tax in 2021, charging consumers a penalty of 10 euros (about $10) for every kilogram above 1,800 (about 4,000 pounds) that their car weighs. This year, Norway also extended its weight-based vehicle tax to include EVs at a rate of a little more than a euro per kilogram above the first 500 kilograms (about 1,100 pounds) for EVs. Norway also taxes vehicles on their carbon dioxide and nitrogen oxides emissions. Taken together, these three taxes have the combined effect of dramatically incentivizing small electric vehicles.

    In the U.S., some states already prorate vehicle registration fees based on weight, and Washington, D.C. recently overhauled its registration system to more heavily penalize larger cars. In D.C., owners of cars heavier than 6,000 pounds now have to pay $500 in annual fees. New York state lawmakers also recently introduced legislation that would similarly incentivize smaller cars.

    Regulators can also take steps to minimize the harm caused by tire pollution — and in California, the process has already begun. In October, a new regulation implemented by the state’s Department of Toxic Substances Control, or DTSC, will require manufacturers of tires on the California market to research safer alternatives to 6PPD. Manufacturers that sell tires in the state are obligated to notify DTSC about products containing 6PPD by the end of November.

    Karl Palmer, deputy director of safer consumer products at DTSC, believes that making tire makers conduct an “alternatives analysis” will ultimately result in products that are safer for the environment.

    “We’re using California’s market strength to say, ‘If you want to park here, you’ve got to comply with our rules,’” Palmer told Grist.

  • Airbnb says more will boost LA's budget
    The skyline showing skyscrapers in the distance with large and small buildings around it, and more buildings in the foreground of various sizes next to trees. Silhouettes of palm trees are in the foreground.
    The Los Angeles skyline.

    Topline:

    As Los Angeles gears up for a surge of tourists for this year’s FIFA World Cup and the 2028 Olympics, vacation rental giant Airbnb is urging the city of Los Angeles to legalize thousands of new short-term rentals. The company promises that the expansion will add more than $100 million in tax revenue to city coffers amid a severe budget crisis. But opponents say more short-term rentals will further strain an already limited housing supply.

    Why now: In a report issued this month, Better Neighbors LA, a coalition of housing activists and labor groups that monitor short-term rentals, countered the Airbnb proposal with its own revenue generating idea: Enforce the city’s existing home sharing law, cite violators and bring in tens of millions of dollars in fines that the group says the city has simply failed to collect.

    The backstory: Airbnb wants the city to revive an idea that city councilmembers, including former councilmember Herb Wesson, the father of current Airbnb spokesperson Justin Wesson, first proposed eight years ago. The proposal would have allowed property owners to list second homes on platforms like Airbnb, Vrbo or booking.com. The current proposal would add up to about 31,000 units to the city’s short-term rental market. Under L.A.’s Home-Sharing Ordinance, which took effect in 2019, short-term rental hosts are allowed to list only their primary residences on vacation booking platforms. Neither Vrbo nor booking.com responded to Capital & Main’s request for comment about the proposal.

    Read on... for more about what this means for short-term rentals.

    As Los Angeles gears up for a surge of tourists for this year’s FIFA World Cup and the 2028 Olympics, vacation rental giant Airbnb is urging the city of Los Angeles to legalize thousands of new short-term rentals.

    The company promises that the expansion will add more than $100 million in tax revenue to city coffers amid a severe budget crisis. But opponents say more short-term rentals will further strain an already limited housing supply.

    In a report issued this month, Better Neighbors LA, a coalition of housing activists and labor groups that monitor short-term rentals, countered the Airbnb proposal with its own revenue generating idea: Enforce the city’s existing home sharing law, cite violators and bring in tens of millions of dollars in fines that the group says the city has simply failed to collect.

    Beefed-up enforcement is a “simple fix for the city” that would “raise enormous amounts of money,” said Randy Renick, Better Neighbors LA executive director. “It’s also going to return thousands of affordable housing units to the market for long-term renters,” he said. (Disclosure: Renick’s law firm, Hadsell Stormer Renick & Dai, is a financial supporter of Capital & Main.)

    Better Neighbors’ coalition includes the hotel workers union UNITE HERE Local 11, along with local organizations like Venice Community Housing and Strategic Actions for a Just Economy. (Disclosure: UNITE HERE is a financial supporter of Capital & Main.)

    Last year, as Airbnb rolled out its “Save Our Services” campaign for short-term rental expansion, it poured $19 million into lobbying and political contributions at the state level, according to the California Secretary of State’s online database.

    Also in 2025, the company spent $360,000 on lobbying at Los Angeles City Hall and made hefty donations to charity at the request of L.A. city councilmembers, Los Angeles Ethics Commission records show. The company donated $570,000 to the nonprofit Salvadoran American Leadership and Educational Fund at the request of L.A. City Councilmember Traci Park and $25,000 to the North Valley Family YMCA at the request of Councilmember John Lee.

    California law places no limits on such donations, known as behested payments, but requires them to be disclosed to help the public identify attempts to influence public officials.

    Airbnb wants the city to revive an idea that city councilmembers, including former councilmember Herb Wesson, the father of current Airbnb spokesperson Justin Wesson, first proposed eight years ago. The proposal would have allowed property owners to list second homes on platforms like Airbnb, Vrbo or booking.com. The current proposal would add up to about 31,000 units to the city’s short-term rental market. Under L.A.’s Home-Sharing Ordinance, which took effect in 2019, short-term rental hosts are allowed to list only their primary residences on vacation booking platforms. Neither Vrbo nor booking.com responded to Capital & Main’s request for comment about the proposal.

    The Airbnb-backed coalition, Save Our Services, says on its website that the additional vacation rentals could generate more than $100 million for the city in “bed taxes,” a 14% levy on overnight stays paid by hotel and short-term rental guests, as well as $100 million in sales tax revenue from tourist spending.

    Labor unions like the Teamsters Joint Council 42, the Los Angeles/Orange Counties Building and Construction Trades Council and the International Association of Theatrical Stage Employees, along with the Central City Association of Los Angeles and community groups like the Brotherhood Crusade and the Koreatown Youth and Community Center, back the effort.

    Airbnb spokesperson Justin Wesson said in a statement, “By allowing a limited, regulated number of vacation rentals in the City of Los Angeles we can help stabilize funding for essential services, support neighborhood-based tourism, and prepare the city for upcoming global events in a way that benefits residents, visitors, and local businesses alike.”

    Airbnb supports stronger enforcement of the city’s Home-Sharing Ordinance, Wesson wrote in a January 2026 letter to the L.A. City Council. The letter also urges the city to require all vacation rental platforms to share data with the city and remove illegal listings. Airbnb is the only company that currently does so voluntarily.

    The Better Neighbors LA report dismisses Airbnb’s claim that expanding short-term rentals would generate more than $100 million in new hotel taxes as “fanciful” because the proposal wouldn’t necessarily bring additional tourists to the city. In 2020, as the City Council first considered an expansion of the short-term rental market, Los Angeles Director of City Planning Vince Bertoni was also skeptical that expanding vacation rentals would draw visitors to Los Angeles.

    Still, the World Cup and the Olympics will bring an influx of visitors to L.A., and groups like Better Neighbors LA fear that the city will lose much needed housing to tourist rentals, especially if city officials permit additional vacation rentals.

    This concern is heightened by the fact that the city has long struggled to enforce its existing Home-Sharing Ordinance.

    Fully half of the Los Angeles vacation rentals listed on booking sites are illegal, according to data included in the Better Neighbors LA report. But only a tiny fraction of violators are cited; the city has collected a total of about $667,000 in fines under the 2019 home sharing law, Better Neighbors LA reports. The group estimates the city could immediately rake in $95 million in two months if it stepped up enforcement.

    City Councilmembers Katy Yaroslavsky and Hugo Soto-Martinez, whose Hollywood-Silver Lake district has among the highest concentration of the city’s short-term rentals, support Better Neighbors’ plan to increase enforcement of the city’s current law.

    “This report makes clear that the path forward is enforcing the home-sharing laws already on the books,” Soto-Martinez said in a statement. “If we fully implement the rules we passed, we can protect tenants and generate additional revenue for the city without sacrificing housing.”

    L.A.’s Home-Sharing Ordinance generally allows individuals to list only their primary residences on sites like Airbnb and Vrbo for up to four months, although the city also makes exceptions, allowing year-round “extended home sharing” in many cases. Home sharing is not permitted in dwellings covered by the city’s rent control law or in affordable housing units, including those built with public funds.

    But property owners have easily evaded the existing home sharing law, even amid a severe housing and homelessness crisis. In 2024, a Capital & Main and ProPublica investigation found that tourists could rent apartments in dozens of rent controlled buildings in apparent violation of the law. Owners of some of these buildings openly listed fabricated or nonexistent city registration numbers and were never cited.

    For years, residents complained about loud parties in short-term rentals, parking problems and the loss of permanent housing in their neighborhoods. Last March, the City Council finally voted to pursue reforms, including requiring short-term rental platforms to use a computer system that would automatically block illegal transactions and giving individuals the right to sue suspected short-term rental law violators. But the reform effort hasn’t moved forward.

    Last year as the City Council considered stricter oversight of short-term rentals, Los Angeles Housing Department officials said they lacked the staffing and resources to effectively enforce the ordinance. This month, Sharon Sandow, a spokesperson for the housing department, which is one of several city agencies overseeing the Home-Sharing Ordinance, said in an email that all of the departments would have to assess their “resources and capacity” for a coordinated enforcement effort.

    Meanwhile, the Airbnb proposal has caught the attention of at least one city councilmember, Heather Hutt, who represents Koreatown and Mid-City. In January, Hutt requested that the chief legislative analyst and other city department staff brief the City Council’s budget and finance and planning and land use committees on the status of the ordinance.

    Support for the Airbnb plan would represent a distinct shift for most members of the City Council: Last year, councilmembers put themselves squarely on the side of limiting short-term rentals in the city, voting 12-0 to strengthen oversight of the program. Three members — John Lee, Monica Rodriguez and Bob Blumenfield — were absent.

    Copyright 2026 Capital & Main

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  • Iran's sports minister says team won't compete
    Six people stand on a dark stage lit by graphics that read "Iran" and the flag colors green, white and red.
    Iran is illuminated on the screen during the FIFA World Cup 2026 Official Draw at John F. Kennedy Center for the Performing Arts.

    Topline:

    Iran's sports minister said Wednesday that the team won't compete in the World Cup, citing the U.S. war on Iran, the Associated Press and other news outlets reported. Iran is scheduled to play two matches in Los Angeles in June against New Zealand and Belgium.

    What we know: On Wednesday, the country's sports minister Ahmad Donyamali told state television the country's team would not participate in the tournament in the U.S. “considering this corrupt regime has assassinated our leader,” according to the New York Times. A joint U.S.-Israeli operation killed Iran's Supreme Leader Ayatollah Ali Khamenei on the first day of the war.

    What is FIFA saying: The remarks came after FIFA president Gianni Infantino said Tuesday he had met with President Donald Trump and that Iran continued to be welcome to attend the World Cup. A FIFA spokesperson told LAist that Iran has not formally pulled out of the tournament.

    What happens if Iran withdraws? FIFA's regulations say it has sole discretion to determine next steps if a team pulls out, including replacing the team.

    Read on... for more on the latest for the World Cup in Los Angeles.

    Iran's sports minister said Wednesday that the team will not compete in the World Cup, citing the U.S. war on Iran, the Associated Press and other news outlets reported.

    Iran is scheduled to play two matches in Los Angeles in June against New Zealand and Belgium.

    Iran's participation in the global tournament has been in question since the U.S. and Israel launched a bombing campaign against the country in late February.

    On Wednesday, the country's sports minister, Ahmad Donyamali, told state television that the country's team would not participate in the tournament in the U.S. “considering this corrupt regime has assassinated our leader,” according to the New York Times. A joint U.S.-Israeli attack killed Iran's Supreme Leader Ayatollah Ali Khamenei on the first day of the war.

    The remarks came after FIFA president Gianni Infantino said Tuesday that he had met with President Donald Trump and that Iran continued to be welcome to attend the World Cup.

    "We also spoke about the current situation in Iran, and the fact that the Iranian team has qualified to participate in the FIFA World Cup 2026," Infantino said in an Instagram post. "During the discussions, President Trump reiterated that the Iranian team is, of course, welcome to compete in the tournament in the United States."

    Infantino has faced heavy criticism for awarding Trump the first-ever "FIFA Peace Prize" last year.

    A FIFA spokesperson told LAist that Iran has not formally pulled out of the tournament. The local host committee for Los Angeles declined to comment, directing LAist to FIFA.

    According to FIFA's regulations, any participating team that withdraws from the World Cup will be required to repay FIFA "preparation money as well as any other tournament‑related contribution payments."

    The regulations also say FIFA has sole discretion to determine next steps if a team pulls out, including replacing the team.

  • Residents asked to weigh in on LA County's efforts
    A large indoor hallway filled with elders sitting near walkers and wheelchairs.
    Residents who were forced to use disaster shelters are being asked to share their experiences in a new post fire community survey.

    Topline:

    L.A. County wants to hear from residents affected by the Eaton and Palisades fires.

    About the survey: The county is looking for people who were evacuated, experienced property damage, used disaster shelters, became unhoused, attempted to volunteer, or went through other fire related recovery processes. Residents who weren’t directly affected by the fires can also share their observations of the county’s response to the fires.

    The context: The survey is a part of the Independent After Action Review that looked at the county’s emergency response to the fires.

    How to participate: The survey will be open through April 24. You can find the survey here.

  • Reviews of loan servicers has stopped amid cuts

    Topline:

    Just over a year ago, the U.S. Department of Education abandoned key oversight of the companies that run the federal student loan program, according to a new report from the nonpartisan U.S. Government Accountability Office (GAO).

    Key findings: GAO investigators found that, in February 2025, the Office of Federal Student Aid (FSA) stopped reviewing the accuracy of loan servicers' records. FSA also stopped reviewing recordings of calls with borrowers to make sure they're being given accurate information.

    Why now: The Office of Federal Student Aid is supposed to conduct quarterly reviews, according to its contracts with loan servicers. These reviews include comparing loan servicers' borrower records with FSA's own records, to screen for gaps or discrepancies, as well as "targeted reviews" of borrowers in specific situations, including those who request temporary relief from their payments.

    Why it matters: For borrowers, servicer mistakes can lead to very real problems, said Rep. Scott in a statement to NPR. "Borrowers can either overpay or be placed in the wrong student loan repayment program. [The Education Department's] refusal to conduct oversight of student loan servicers is a dereliction of duty." These cutbacks in staff and oversight come as millions of federal student loan borrowers will need help transitioning into new repayment plans.

    Just over a year ago, the U.S. Department of Education abandoned key oversight of the companies that run the federal student loan program, according to a new report from the nonpartisan U.S. Government Accountability Office (GAO).

    GAO investigators found that, in February 2025, the Office of Federal Student Aid (FSA) stopped reviewing the accuracy of loan servicers' records. FSA also stopped reviewing recordings of calls with borrowers to make sure they're being given accurate information.

    Without this oversight, the report warns, borrowers could feel the consequences.

    "If servicers' records are inaccurate, borrowers could, for instance, be placed in the wrong loan repayment status, billed for incorrect amounts, or not have a refund processed in time," the report says. "Similarly, FSA has not monitored calls since February 2025, so there is a risk that borrowers have received or will receive incorrect information and poor customer service."

    The investigation was requested by the ranking members of the House and Senate education committees, Rep. Bobby Scott, D-Va., and Sen. Bernie Sanders, I-Vt.

    "Instead of providing relief to 43 million Americans who are drowning in student debt," Sanders said in a statement to NPR, "the Trump administration has made it harder for them to understand how much they owe and how long it will take to pay back."

    What the administration has to say about GAO's findings

    The Office of Federal Student Aid is supposed to conduct quarterly reviews, according to its contracts with loan servicers.

    These reviews include comparing loan servicers' borrower records with FSA's own records, to screen for gaps or discrepancies, as well as "targeted reviews" of borrowers in specific situations, including those who request temporary relief from their payments.

    The assessments that were stopped are more labor-intensive than other types of oversight that have been automated, GAO says. According to the report, agency officials told the government watchdog they stopped these reviews in early 2025 "due to lack of FSA staff capacity." That's around the same time the Trump administration began dramatically reducing staffing levels at the Education Department.

    According to the report, FSA began 2025 with 1,433 staffers; by December, it had 777 — a 46% reduction.

    In a written response accompanying the report, Richard Lucas, FSA's acting chief operating officer, disagreed with GAO's recommendation that FSA resume the reviews. While he confirmed that FSA had, indeed, stopped the oversight in question, Lucas wrote, "FSA determined that a better approach is to provide substantial oversight through additional activities that measure the accuracy of servicer data and the quality of their performance." Those activities include regular reviews of borrower satisfaction surveys.

    Melissa Emrey-Arras, who led the GAO study, says FSA's "better approach" isn't better.

    "While reviewing those satisfaction surveys may be helpful, they don't directly assess the quality of the information given to borrowers. A borrower may indicate they were satisfied with a call, not realizing they were given completely wrong information by their servicer," she says.

    The last FSA review found problems with loan servicer accuracy

    Scott Buchanan, the executive director of the Student Loan Servicing Alliance, which represents the servicers working on the federal student loan program, says servicers also police themselves.

    "[Servicers] internally are monitoring far more than any of our regulators ever could or would. Because it is in our best interest to make sure those errors are fixed. And because we have contracts, and if we have major issues that have become clearly apparent, then people will say, 'We'll find someone else to do it.'"

    At the end of 2024, before the Trump administration cut oversight, GAO's review of servicer recordkeeping found that "four of the five servicers did not meet the accuracy performance standard and faced associated financial penalties."

    In fact, recordkeeping at two servicers was troubled enough to merit the maximum financial penalty allowed.

    And GAO notes that the Education Department's independent financial auditor reported as recently as January 2026 that the department "continued to have a material weakness related to the reliability of its student loan data."

    What's more, Emrey-Arras says, scaling back oversight at FSA has also meant scaling back efforts to hold servicers financially accountable for their performance. This accountability, she says, "is critical. Without it, the government risks overpaying for poor performance."

    For borrowers, servicer mistakes can lead to very real problems, said Rep. Scott in a statement to NPR. "Borrowers can either overpay or be placed in the wrong student loan repayment program. [The Education Department's] refusal to conduct oversight of student loan servicers is a dereliction of duty."

    Scaled-back oversight of big student loan changes

    These cutbacks in staff and oversight come as millions of federal student loan borrowers will need help transitioning into new repayment plans. The Biden-era SAVE plan is in turmoil, with borrowers now being charged interest and the plan due to be closed by 2028 at the latest. Another 12 million borrowers are either in default on their loans or on their way there.

    What's more, in July, a raft of new, potentially challenging changes to the student loan program will begin — courtesy of Republicans' One Big Beautiful Bill Act — including the introduction of two brand-new repayment plans and the phasing out of others.

    GAO warns that these changes will affect millions of borrowers who "will need accurate and complete information when they call for help," yet, for the time being, the Education Department can't be certain that's what borrowers are actually getting.

    Copyright 2026 NPR