The Employee Ownership Assistance Program Act establishes the Office of Employee Ownership within the Department of Community and Economic Development, along with the Employee Ownership Advisory Board and the Main Street Employee Ownership Grant Program. This Office is responsible for promoting employee ownership, raising awareness of its benefits, and providing technical and financial assistance to employee-owned enterprises. The Act defines key terms such as "employee-owned enterprise" and "employee-ownership group," and outlines the Office's responsibilities, which include outreach, education, and collecting statistics on employee-owned businesses. It also creates a framework for assisting employee-ownership groups, particularly those at risk of layoffs or closures, by allowing funds to be allocated to local agencies for grants and loans.

Additionally, the Act mandates the submission of an annual report by the employee ownership advocate detailing the impact of the programs, including the number of groups assisted and jobs created or retained. It includes a nondiscrimination clause to ensure that assistance is not granted to recipients who discriminate based on race, religion, color, national origin, sex, or age. The bill allows for the creation of temporary guidelines for a one-year period without the usual review processes, which will later be replaced by formal regulations. It also specifies various funding sources for the Office, including state and federal appropriations, interagency agreements, and private contributions, and is set to take effect 60 days after passage.