• The contractor compliance program of the Kentucky Finance and Administration Department oversees Kentucky Revised Statue 45.560--45.650 governing the requirements for building contracts in the state. These rules reflect Equal Employment Opportunity Act provisions for contracts and subcontracts valued at more than $500,000. The legislation includes compliance standards, reporting requirements and grounds for breach of contract.
  
  

Kentucky Non-Discrimination Act

• Kentucky Revised Statute 45.560, reinstated on July 15, 2010, defines the terms of equal employment opportunity to which all building vendors must agree before accepting contracts for goods or services in the state of Kentucky. The statute mandates that the contracted vendor certify it is in compliance with the national Equal Employment Opportunity (EEO) standard, which states that in all matters of employment including hiring, termination and opportunity for advancement, the contracting vendor "does not discriminate against any employee or applicant because of race, color, religion, sex, age forty (40) and over, disability, veteran status or national origin."
  
  

Compliance Publication

• The chosen bidder for a building contract in the state of Kentucky must also agree to post a written statement of EEO compliance in all public advertising and solicitations and to post notices regarding the details of EEO compliance conspicuously in the workplace. The contracting organization must contact all labor unions, worker representatives and collective bargaining agreement partners to inform them of its commitment to the nondiscrimination clause.
  
  

Forms and Documentation

• After receiving a notice of bid acceptance from the Kentucky Finance and Administration Cabinet, the proposed building contract vendor must submit a statement of its intent to comply with the Kentucky Non-Discrimination Act. The contractor must accompany this notice with a full breakdown of the vendor company workforce by gender, race, ethnicity and equal employment job category. Contractors must also provide workforce breakdowns for all subcontracts valued more than $500,000. Required reporting forms are available on the Kentucky Finance and Administration Cabinet website (see link in Resources section).
  
  

Exemption

• Compliance and reporting for building contracts in Kentucky are not required for bids valued at $500,000 or less, or for contract in which the vendor or subvendor will employ fewer than eight employees. These rules also do not apply to companies that employ only family members or relatives, or whose employees are genuinely direct owners of the business.
  
  

Compliance Term Limits

• Following a satisfactory evaluation of workforce diversity, the Kentucky Finance Cabinet will consider the applicant contractor in legal compliance for bid acceptance for one year.
  
  

Breach of Contract

• The state of Kentucky will deem any building contract vendor whose workforce breakdown does not comply with Kentucky Non-discrimination Act statutes to be in breach of contract. The vendor can undergo a formal process for remediation receiving a rejection of the bid.