KentuckyHB 5762026 Regular SessionHouse

AN ACT relating to workforce investment.

Sponsored By: Robert Duvall (Republican)

Signed by Governor

AppropriationsArea Development DistrictsCitiesCountiesEconomic DevelopmentEffective Dates, EmergencyFundsLocal GovernmentState AgenciesWorkforce

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 2 benefits, 1 costs, 1 mixed.

Fund created with set spending splits

The law creates the Kentucky Talent Recruitment Grant Program fund in the State Treasury. Money can come from General Assembly appropriations, gifts, grants, federal funds, and other sources to the cabinet. The cabinet uses the fund to pay awards and sets grant terms and rules, and can hire staff and contract for services. The fund must spend 50% on relocation, 25% on student retention, and 25% on marketing. Up to 5% may be used each year for administration. Unspent money carries forward to the next year.

New grants to recruit workers and students

The law creates the Kentucky Talent Recruitment Grant Program. The Cabinet for Economic Development runs the program and sends applications to the Kentucky Economic Development Finance Authority for approval. Eligible applicants are county or city governments, Kentucky public‑service entities, and 501(c)(3) or 501(c)(6) nonprofits in economic, workforce, talent, or community development. Eligible projects include relocating workers or households to Kentucky, keeping Kentucky students in state, and targeted marketing to attract new residents.

Tough reporting and repayment rules

Grant recipients must report every six months. Reports include recruitment targets, interest and engagement, student placements and retention, grant amount per household, and estimated tax and economic impact. Recipients must also summarize awards and balances and suggest policy changes. If a recipient fails to report or uses funds for non‑eligible purposes, they must repay the full award to the cabinet.

Grant cap, 20% match, phased payments

An eligible applicant can receive up to $500,000. Applicants must cover 20% of total project costs; regional projects can combine matches. For relocation or student‑retention projects, the cabinet pays 50% at grant signing. The other 50% is paid only after the applicant shows 50% of the household or student‑retention goal is met and the authority approves.

Sponsors & Cosponsors

Sponsor

Robert Duvall
Republican • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 200 • No: 13

House vote • 3/31/2026

passed

Yes: 79 • No: 10

Senate vote • 3/25/2026

3rd reading, passed

Yes: 38 • No: 0

House vote • 3/12/2026