# K.S.A. § 44-1706: 44-1706 - Financial statements; positive working capital and surety requirements

> Kansas · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1706

## Section

- **Citation:** K.S.A. § 44-1706
- **Heading:** 44-1706 - Financial statements; positive working capital and surety requirements
- **Jurisdiction:** Kansas
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** KS Code / Chapter 44 / Article 17 / Section 44-1706

## Text

44-1706. Financial statements; positive working capital and surety requirements. Except as provided by K.S.A. 44-1704(g) and (j), and amendments thereto, each professional employer organization, or collectively each professional employer group shall either:

(a) Maintain positive working capital upon registration as reflected in the financial statements submitted to the secretary with the initial registration application and each renewal application; or

(b) for a professional employer organization or professional employer group that does not have sufficient positive working capital as required in subsection (a), submit a bond with a minimum value in an amount equal to the sum of the amount that would be necessary for such professional employer organization or professional employer group to comply with subsection (a) plus $100,000 to the secretary at such time as the professional employer organization or professional employer group does not have sufficient working capital. Such bond shall be held by a depository designated by the secretary securing payment by the professional employer organization of all taxes, wages, benefits or other entitlement due to or with respect to covered employees, if the professional employer organization does not make such payments when due.

## Nearby sections

- [K.S.A. § 44-1701 44-1701 - Citation of act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1701.md)
- [K.S.A. § 44-1702 44-1702 - Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1702.md)
- [K.S.A. § 44-1703 44-1703 - Limitations of act; rights, obligations and requirements under the professional employer organization registration act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1703.md)
- [K.S.A. § 44-1704 44-1704 - Registration; requirements; application requirements; initial registration; expiration and renewal of registration; limited registration; audits; compliance through assurance organization.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1704.md)
- [K.S.A. § 44-1705 44-1705 - Registration fees; fee fund.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1705.md)
- [K.S.A. § 44-1706 44-1706 - Financial statements; positive working capital and surety requirements.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1706.md)
- [K.S.A. § 44-1707 44-1707 - Co-employment relationships; covered employees; duties of client and employer organization; state, county, municipality and political subdivisions.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1707.md)
- [K.S.A. § 44-1708 44-1708 - Retirement and benefit plan liability; treatment under law.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1708.md)
- [K.S.A. § 44-1709 44-1709 - Violations of the act; review; penalties.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1709.md)
- [K.S.A. § 44-1710 44-1710 - Rules and regulations.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1710.md)
- [K.S.A. § 44-1711 44-1711 - Severability of act.](https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1711.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_KS_C44_A17_S44-1706. Check the current official text before relying on it. Not legal advice.