A coalition of 25 states and the District of Columbia filed suit against the U.S. Department of Education over a new regulatory definition that would exclude graduate nursing and other healthcare fields from the “professional” degree category. The case, brought in federal court, centers on how the rule interacts with federal graduate loan caps effective July 1. Under the Education Department’s approach, most graduate borrowers would be limited to $100,000 in federal student loans, while students in programs classified as professional degrees could borrow up to $200,000. The states argue the agency added requirements not found in statute and that the change will reduce enrollment in critical workforce areas. Maryland Attorney General Anthony Brown said the rule would force aspiring nurses, physician assistants, and physical therapists toward more expensive private loans or push some candidates out of the pipeline. The plaintiffs also contend the change could reduce revenue for public colleges, citing University of Maryland’s master of science in nursing program as an example where borrowing limits would be nearly $30,000 lower annually under the regulation. The Education Department defended the policy by saying loan caps are pushing institutions to lower tuition and cited examples of colleges cutting graduate tuition in response. The litigation could force the department to revise its regulatory framework for “professional” degrees or delay implementation depending on court outcomes.