Kentucky businesses will see a new set of state laws take effect on Wednesday, July 15, including legislation focused on workplace safety and civil liability, workforce development, and talent recruitment. Kentucky’s Constitution requires new laws to take effect 90 days after the General Assembly adjourns, and this year’s 90-day window closes July 14.
New bills that take effect:
Workplace Safety
House Bill 521, which includes provisions from House Bill 306, expands Kentucky’s criminal trespassing law to cover individuals who engage in threatening behavior in a workplace after being given notice against trespass, and increases penalties for repeat offenders. For employers, the update provides a clearer legal tool to address escalating conflicts before they escalate into safety incidents.
Civil Liability
Senate Bill 195 clarifies civil liability standards for public road and bridge construction, giving contractors a rebuttable presumption that their work was properly completed when they followed government-approved plans. Kentucky’s civil litigation climate continues to rank among the worst in the nation, and greater predictability in this area helps address those costs for businesses and families alike.
Behavioral Health Diversion
Senate Bill 90 extends Kentucky’s Behavioral Health Conditional Dismissal Program, which offers eligible defendants treatment as an alternative to prosecution. Keeping this option in place supports Kentuckians on a path toward recovery and ultimately back into the workforce.
Medical Licensure
Senate Bill 137 creates a three-year provisional medical license for physicians trained abroad who have practiced for at least five years and have a job offer from a Kentucky health care provider in an underserved area. After three years of good standing, the license converts to a full, unrestricted one. The law gives Kentucky employers and communities another tool to close persistent gaps in health care access.
Workforce and Talent Recruitment
House Bill 576 creates the Kentucky Talent Recruitment Grant Program, giving cities, counties, and regional development districts funding to recruit new households to Kentucky. As employers across the state continue to compete for skilled workers, the program gives local communities another tool to bring in talent.
Student-Based Enterprises
House Bill 555 allows local school boards to authorize student-run enterprises to give students real, hands-on experience running a business before they enter the workforce.
Alternative High School Diplomas
House Bill 562 creates a new alternate and modified diploma track for students with intellectual disabilities and directs the Kentucky Department of Workforce Development to compile and publish a list of employers willing to hire graduates who hold the diplomas. The law gives businesses a direct, practical way to connect with this talent pool.
Nuclear Energy Development
Senate Bill 57 creates the Nuclear Reactor Site Readiness Pilot Program, providing grant funding to help utilities and developers cover the cost of securing federal permits for new nuclear energy projects in Kentucky. This program helps the state to compete for investment.
Bills already in effect:
Child Care
House Bill 6 took effect immediately following the legislative session. The comprehensive child care reform package reduces barriers to opening and operating child care centers, strengthens quality and accountability standards, and expands affordability options for working families. Chamber research has found that between 16,000 and 28,000 Kentucky parents could join or return to the workforce with better access to affordable child care.
Metals Recycling
Senate Bill 291 establishes new licensing requirements for secondary metals recyclers and updates motor vehicle dealer regulations to help curb copper theft targeting critical infrastructure. Copper theft has become a costly, disruptive problem for utilities, telecommunications providers, and construction sites statewide, and this law gives law enforcement stronger tools to hold offenders accountable.
Second Chance Employment
House Bill 185 requires public employers and occupational licensing boards to create a process that allows individuals with a past conviction find out upfront whether that conviction would disqualify them from a job or license, rather than discovering it only after applying or completing training. With Kentucky employers continuing to report difficulty filling open positions, the law gives businesses a clearer path to reach a segment of the workforce that’s often overlooked.
State Budget
Kentucky’s biennial budget bills take effect at the start of the new fiscal year rather than 90 days after session. House Bill 500, the Commonwealth’s two-year executive branch budget, took effect July 1.
See more bills passed during the 2026 legislative session by reading the Kentucky Chamber’s 2026 Results for Business publication.