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Support for Employee-Owned Businesses and Right of First Refusal for Plant Closings.

This act establishes a new loan and guarantee program for businesses with significant employee ownership to help them grow or acquire the company. Additionally, employees gain a right of first refusal to purchase a plant in the event of its closure, which can help preserve jobs and the local economy.
Key points
An Office of Employee Ownership will be established within the Department of Labor to support employee-owned businesses.
Loans and loan guarantees up to $500 million will be available for companies that are or will become at least 51% employee-owned.
Employees gain the right to make an offer to purchase a plant or company in the event of a permanent shutdown, before it is sold to other entities.
Companies seeking support must demonstrate employee involvement in decision-making and financial transparency.
article Official text account_balance Process page
Introduced
Citizen Poll
No votes cast
Additional Information
Print number: 119_S_2458
Sponsor: Sen. Sanders, Bernard [I-VT]
Process start date: 2025-07-24
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Employee Ownership Financing Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_S_2458.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2025-07-24.

What are the main provisions?

Key points include:

  • An Office of Employee Ownership will be established within the Department of Labor to support employee-owned businesses.
  • Loans and loan guarantees up to $500 million will be available for companies that are or will become at least 51% employee-owned.
  • Employees gain the right to make an offer to purchase a plant or company in the event of a permanent shutdown, before it is sold to other entities.
  • Companies seeking support must demonstrate employee involvement in decision-making and financial transparency.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Sanders, Bernard [I-VT].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-23.

CATEGORIES

Labor Economy Public Investments