Kentucky

  • Project Labor Agreements

    No state policy, although some local government entities have implemented PLA mandates.

  • Prevailing Wage

    No.

  • Right to Work

    Yes.

  • Public-Private Partnerships

    State may solicit proposals for and enter into build-to-suit leases with an option to purchase on vertical projects. State may enter into P3s for transportation or other infrastructure projects. The state has also established the Local Government Public-Private Partnership Board to  oversee the establishment and maintenance of P3 agreements.

  • Workforce Development Incentives

    Bluegrass State Skills Corporation Grant-in-Aid Program – Intended to improve and promote employment opportunities for the residents of Kentucky through training grants with business and industry. The program provides up to 50% reimbursement of eligible costs to companies/consortia for approved training activities. Consortia projects, which promote collaborative training initiatives for companies that have common training needs, must be industry driven and be a partnership between business/industry, education, and government working together to maximize the effectiveness of the current and future workforce. Construction companies are likely ineligible for this program.

  • Career and Technical Education

    80% of CTE high school graduates are placed in colleges or careers.

    Kentucky recognizes NCCER as an approved curriculum for CTE programs.

  • 5-Year Average Job Growth Rate (2011-16)

    1.7%.

Monthly Unemployment Rate in Kentucky

Industry Overview

Prompt Pay

Private: Owner must pay sub within 30 days of invoice.
Public: Owner must pay sub within 30 days of invoice.
Subs: For both public and private, the contractor must pay subs within 15 days of being paid by owner. Subs must pay lower tiers within 15 days.

Immigration/E-Verify Mandate

No law in place.

Percentage of State GDP From Nonresidential Construction

4.0%.

Incidence Rate in Construction (2013)

3.2.

Occupational Safety & Health Oversight (State vs. Federal)

State plan covers private workplaces and state and local government workplaces.

Percentage of Union Membership in Private Construction

20.4%.

Marijuana Legalization Status

Fully illegal.

Business Facts

Minimum Wage (2016)

$7.25

Percentage of Pensions Funded

31%

Effective Real-Estate Tax Rate

0.74%

Corporate Income Tax Rate(s)

4% - 6%

Capital Spending % As Share of Total State Spending (2013)

6.8%