Bill · S. 1645· Senate(119-S-1645)
American Ownership and Resilience Act
- Introduced
- 5/7/2025
- Last activity
- 5/7/2025 — Read twice and referred to the Committee on Finance.
- Sponsored by
- Chris Van Hollen
- Cosponsors
- - 4 - 4
- Introduced
- In Committee
What this bill would do
The American Ownership and Resilience Act creates a facility managed by the Secretary of Commerce to provide leverage to licensed ownership investment companies. These companies must invest 100 percent of their managed capital into covered business concerns, with at least 50 percent going toward employee stock ownership plans (ESOPs) or worker-owned cooperatives. The bill establishes strict requirements for independent trustees and financial advisors to protect ESOPs during transactions. It also introduces a Protege OIC Program to help new managers enter the field. The government may guarantee debentures issued by these companies to encourage their growth.
Yes· 3 of 32
Does this make it easier to run a small business?+7
Provides a structured mechanism for small businesses to transition to employee ownership and access capital.
Would households on low incomes be better off under this?+6
Increases potential for wealth accumulation for low-wage workers through company ownership.
Would middle-income households be better off under this?+6
Allows middle-class employees to acquire equity in their companies.
The opposite
Does this reduce what the federal government owes?-3
Pledges the full faith and credit of the US for guaranteed debentures, potentially increasing federal liability.
Does this reduce what the federal government spends?-2
Creates a new investment facility and government guarantees that may require public funding.
Does this make the government pay for what it commits to?-2
Increases government financial risk by guaranteeing private investment debentures.
Who it would affect, and how
Potential Positive Impacts for People
- Increased Employee Ownership: The bill encourages the sale of businesses to employee stock ownership plans or eligible worker-owned cooperatives, allowing workers to hold a majority interest in their companies (Section 2(6)(A)).
- Worker Protections in Sales: For ESOP transactions, the bill requires an independent trustee and a fairness opinion from an independent financial advisor to ensure the price and terms are financially fair to the employees (Section 3(d)).
- Fair Distribution of Proceeds: In the event a covered business is sold to a third party, the bill requires that proceeds be distributed to ESOP participants based on their compensation (Section 3(f)).
- Support for New Investment Managers: The Protege OIC Program provides guidance and assistance to new managers, allowing them to be licensed based on the track record of experienced mentors (Section 5).
- National Security and Tech Support: The bill provides special leverage calculations for companies that conduct R&D, engineering, or production in critical industries vital to U.S. national or economic security (Section 7(b)(6)(B)(iv)).
Potential Negative Impacts for People
- Restrictions on Employee Financing: Employees of a covered business are generally prohibited from providing personal financing for a covered investment, including through wage concessions or retirement plan rollovers (Section 3(e)(1)(A)).
- Government Financial Risk: The bill pledges the full faith and credit of the United States to the payment of guaranteed debentures and trust certificates, meaning taxpayers may bear the burden of losses (Section 7(b)(3) and Section 21(c)).
- Cost to Licensees: Applicants must pay fees for licensing examinations (Section 4(c)(3)(D)), and licensees may be charged for the cost of government examinations (Section 14(b)(1)).
- Strict Management Penalties: Management officials can be removed or suspended from their positions by the Secretary for violations of the Act or breaches of fiduciary duty involving personal dishonesty (Section 17).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Low Income Households+6Good For Middle Class Households+6Good For Business Owners+5Good For Middle Aged+5Good For Union Workers+5Good For African Americans+4Good For Asian Americans+4Good For Billionaires+4Good For High Net Worth Individuals+4Good For Hispanic Americans+4Good For Men+4Good For Native Americans+4Good For Retirees+4Good For Seniors+4Good For Ultra High Net Worth Individuals+4Good For White Americans+4Good For Women+4Good For Young Adults+4Good For Rural Residents+3Good For Urban Residents+3Good For Farmers+2Good For High Income Households+2
- Social Issues And Justice
- Improves Poverty Reduction+4Improves Gender Equality+3Improves Racial Equity+3
- Economy And Finance
- Improves Small Business Support+7Increases Job Creation+5Improves Economic Growth+4Reduces National Debt-3Improves Fiscal Responsibility-2Reduces Government Spending-2
- Governance And Ideology
- Increases Federal Power+4Improves Government Transparency+2
- Education And Technology
- Increases Scientific Research Funding+3
- Environment Energy And Infrastructure
- Improves Rural Development+2
- 5/21/2026
- 2 Cosponsors added.
- 5/7/2025
- Read twice and referred to the Committee on Finance.
- 6 Cosponsors added.
- Introduced in Senate
One bill Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Tammy BaldwinDemocrat · Wisconsin
Marsha BlackburnRepublican · Tennessee
Timothy KaineDemocrat · Virginia
Jerry MoranRepublican · Kansas
Jeanne ShaheenDemocrat · New Hampshire
Eric SchmittRepublican · Missouri
Peter WelchDemocrat · Vermont
Todd YoungRepublican · Indiana