• Sunday, February 19, 2012
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House Republicans Elect as New Leader a Strong Friend of Lending Industry

The student-loan industry may be nervous about the impact on its priorities of the incoming Democratic majority in Congress, but at least the lenders will have one of their strongest advocates in a position of power on the Republican side of the aisle. Rep. John A. Boehner of Ohio, the current majority leader in the House of Representatives, was elected today by his Republican colleagues as the minority leader when the next session of Congress convenes, in January.

Mr. Boehner, who was chairman of the House education committee before ascending to majority leader, has long looked after student-aid legislation that would affect the lenders’ bottom line. He has also been a champion of for-profit colleges and their interests in Congress.

As part of his campaign to become majority leader, Mr. Boehner vowed to reform earmarking, a practice in which lawmakers provide noncompetitive grants to specific constituents, including colleges. The result was legislation, passed this fall, to make the earmarking process more open to public view. It’s unclear, though, if the measure will actually reduce the practice of earmarking.