Yes, it's been a bit of a shock to many of us who started out with a very different notion of the work involved. What people don't understand going in is that a PTO is a type of business if it's an independent entity with more than token financial transactions. So there's a lot involved in "doing it right".
Over the years, I've corresponded with dozens, if not hundreds, of PTOs. My personal first choice would be a PTO that is not a separate entity of the school. One that is an extension of the school and the moneys are managed by the school (with very firm understanding of who's deciding what and how funds are to be used).
A few schools do run theirs this way, but the dangers are that 1) the school district doesn't want to assume the treasurer's role due to workload and liability reasons or 2) they take control of the group far more than the orginal agreement intended.
Setting up a PTO as a legal, independent entity can be done and there are many here on the forum who will help you. Good luck!
JHB- Thanks! Wow who knew aceepting this position would be so complicated! How long till May 1st? Thanks for all your help. Will check into state stuff on Monday.