Printable Format60-1111. Public works bond. (a) Bond by contractor. Except as provided in this section, whenever any public official, under the laws of the state, enters into contract in any sum exceeding $100,000 with any person or persons for the purpose of making any public improvements, or constructing any public building or making repairs on the same, such officer shall take, from the party contracted with, a bond to the state of Kansas with good and sufficient sureties in a sum not less than the sum total in the contract, conditioned that such contractor or the subcontractor of such contractor shall pay all indebtedness incurred for labor furnished, materials, equipment or supplies, used or consumed in connection with or in or about the construction of such public building or in making such public improvements.
A contract which requires a contractor or subcontractor to obtain a payment bond or any other bond shall not require that such bond be obtained from a specific surety, agent, broker or producer. A public official entering into a contract which requires a contractor or subcontractor to obtain a payment bond or any other bond shall not require that such bond be obtained from a specific surety, agent, broker or producer.
(b) Filing and limitations. The bond required under subsection (a) shall be filed with the clerk of the district court of the county in which such public improvement is to be made. When such bond is filed, no lien shall attach under this article. Any liens which have been filed prior to the filing of such bond shall be discharged. Any person to whom there is due any sum for labor or material furnished, as stated in subsection (a), or such person's assigns, may bring an action on such bond for the recovery of such indebtedness but no action shall be brought on such bond after six months from the completion of such public improvements or public buildings.
(c) In any case of a contract for construction, repairs or improvements for the state or a state agency under K.S.A. 75-3739 or 75-3741, and amendments thereto, a certificate of deposit payable to the state may be accepted in accordance with and subject to K.S.A. 60-1112, and amendments thereto. When such certificate of deposit is so accepted, no lien shall attach under this article. Any liens which have been filed prior to the acceptance of such certificate of deposit shall be discharged. Any person to whom there is due any sum for labor furnished, materials, equipment or supplies used or consumed in connection with or for such contract for construction, repairs or improvements shall make a claim therefor with the director of purchases under K.S.A. 60-1112, and amendments thereto.
History: L. 1963, ch. 303, § 60-1111; L. 1980, ch. 174, § 1; L. 1983, ch. 290, § 2; L. 1992, ch. 314, § 13; L. 1998, ch. 69, § 1; L. 2002, ch. 73, § 1; L. 2004, ch. 131, § 1; July 1.
Source or prior law:
(a). L. 1887, ch. 179, § 1; L. 1909, ch. 182, § 661; R.S. 1923, 60-1413; L. 1925, ch. 198, § 1; L. 1931, ch. 227, § 1.
(b). L. 1887, ch. 179, § 2; L. 1909, ch. 182, § 662; L. 1913, ch. 242, § 1; R.S. 1923, 60-1414.
Law Review and Bar Journal References:
Survey of debtor-creditor law, Robert B. Morton, 12 K.L.R. 211, 226 (1963).
1963-65 survey of debtor-creditor law, Robert B. Morton, 14 K.L.R. 251, 258 (1965).
"The Scope of the Kansas Public Works Bond Statute; Nailing Down the Subcontractor-Materialman Distinction [J.W. Thompson Co. v. Welles Product Corp., 243 Kan. 503, 758 P.2d 738 (1988)]," Michael D. Strong, 28 W.L.J. 413 (1989).
Attorney General's Opinions:
Unified school district, authority to contract; incurring liability; securing payment of obligations. 96-36.
Bonds for faithful performance of contract and bonds to insure payment of indebtedness incurred for labor, materials, equipment and supplies distinguished. 96-43.
County district hospital; awarding construction contracts; section inapplicable. 97-33.
Cited in opinion discussing procedures and public works bonds in construction manager at risk school projects. 2008-9.
CASE ANNOTATIONS
Prior law cases, see G.S. 1949, 60-1413, 60-1414 and the 1961 Supp. thereto.
1. General contractor's statutory bond covered claim for materials furnished to subcontractor. Leidigh & Havens Lumber Co. v. Bollinger, 193 K. 600, 601, 602, 604, 396 P.2d 320.
2. General contractor's statutory bond covered claim for materials furnished to subcontractor. Leidigh & Havens Lumber Co. v. Bollinger, 193 K. 600, 601, 396 P.2d 320.
3. Stipulation by parties that bond's coverage meets statutory requirements; appellants cannot later withdraw even though alleged erroneous admissions of law had been made. Arrowhead Constr. Co. v. Essex Corp., 233 K. 241, 244, 246, 247, 662 P.2d 1195 (1983).
4. Purpose of section considered; application of rule of presumptive use. Cedar Vale Co-op Exch., Inc. v. Allen Utilities, Inc., 10 K.A.2d 129, 131, 133, 694 P.2d 903 (1985).
5. Cited; contractors' public works bonds as substitutes for mechanics' liens examined; subcontractors and suppliers distinguished. J.W. Thompson Co. v. Welles Products Corp., 243 K. 503, 758 P.2d 738 (1988).
6. Contractors' bonds are substitutes for mechanics' liens for the use of all persons in whose favor liens might accrue. Wichita Sheet Metal Supply, Inc. v. Dahlstrom & Ferrell Constr. Co., 14 K.A.2d 111, 115, 783 P.2d 353 (1989).
7. Purpose of section; coverage of bond considered in action by subcontractor against general contractor's bond. Blinne Contracting v. Bobby Goins Enterprises, 715 F.Supp. 1044, 1046 (1989).
8. Generally, rules applicable to mechanics' liens are analogous to public works bonds. Wichita Sheet Metal Supply, Inc. v. Dahlstrom & Ferrell Constr. Co., 246 K. 557, 561, 792 P.2d 1043 (1990).
9. Public works bond not liable for materials not incorporated in project. Hope's Architectural Products v. Lundy's Const., 762 F.Supp. 1430, 1432, 1433 (1991).
10. Firms with different names sufficiently related to form single first tier subcontractor and thus were protected under public works bond. Vanguard Products Corp. v. American States Ins. Co., 19 K.A.2d 63, 65, 863 P.2d 991 (1993).
11. Issue concerning whether subcontractor was joint venturer with company it hired for liability purposes precluded summary judgment. BRB Contractors, Inc. v. Akkerman Equipment, Inc., 935 F.Supp. 1156, 1159 (1996).