U.S. Secretary of Education Betsy DeVos has elected Wayne A. Johnson, who is the CEO of a private student loan company, as the new head of the Office of Federal Student Aid.
Johnson is the CEO of Reunion Student Loan Services and will now be managing over $1.3 trillion in outstanding student loan debt from about 42 million borrowers.
“Wayne is the right person to modernize Federal Student Aid for the 21st Century,” DeVos remarked. “He actually wrote the book on student loan debt and will bring a unique combination of CEO-level operating skills and an in-depth understanding of the needs and issues associated with student loan borrowers and their families.”
This comes as no surprise after the former student aid COO James Runice suddenly resigned last month. It is said he stepped down due to a disagreement between him and DeVos over his refusal to testify before the House Oversight Committee over the department’s rising improper payment rate for federal student Loans programs.
Prior to Johnson’s start at FSA, he is expected to step down from the private sector. He will step right in as his appointment does not require a Senate confirmation.