A federal court has granted physician assistant students temporary relief from new borrowing restrictions tied to federal legislation, but national advocacy groups warn the victory is not permanent and are pressing Congress for a lasting fix that could affect healthcare access in communities across Colorado and the country.

Last month, a federal judge blocked the Education Department from implementing new caps on certain types of student loans — a provision tied to the "One Big Beautiful Bill." Some programs, including law, veterinary medicine, and theology, were spared and could borrow the maximum amount, while physician assistant programs were not.

Most PAs rely on federal loan dollars to fund their education. The Physician Assistant Education Association, known as PAEA, was one of the plaintiffs in the suit challenging the department's restrictions. The organization's chief policy officer described the ruling as a significant win, stating it "provides important preliminary relief for PA students who are facing significant confusion over whether or not they'll have the ability to be able to fund their education."

The core of the legal challenge centered on extra requirements the Department of Education sought to impose beyond what the law outlined. Under the One Big Beautiful Bill Act, students were supposed to qualify for professional student loans if they completed a post-baccalaureate program, held a license, and enrolled in a program that prepared them for academic practice. PAEA's chief policy officer said the department went further, attempting to require doctoral-level status and restricting students in supervised clinical practice — conditions the court agreed "departed from what Congress required" and "would have a devastating impact on the workforce."

The stakes extend beyond individual students. The U.S. is facing growing healthcare workforce shortages, particularly in rural and underserved communities — areas where PAs often serve as primary care providers. The profession has grown substantially in recent decades, with more than 200,000 PAs now practicing across the country. Advocates warned that "anything in the form of loan caps or restrictions on PA students' ability to access and finance their programs would have a devastating impact on the workforce."

While the ruling gives students flexibility to cover tuition and housing, PAEA's chief policy officer emphasized that work remains, noting that "Congress can provide long-term certainty to students so that they're able to actually get through their programs and then enter the workforce and really fill the gaps in care we're seeing across the country."

With litigation still ongoing, PAEA and the American Academy of Physician Associates are pushing Congress to pass the Professional Student Degree Act, which would explicitly designate PA students as professional students and guarantee long-term access to federal aid.

The federal case remains active, and it is unclear when a final ruling on the loan restrictions will be issued or whether Congress will take up the Professional Student Degree Act before the current legislative session concludes.