What do Florida's competitive-bid sections say?

For condominiums, F.S. § 718.3026 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association on behalf of any condominium operated by the association in the aggregate that exceeds 5 percent of the total annual budget of the association, including reserves, the association shall obtain competitive bids for the materials, equipment, or services." For HOAs, F.S. § 720.3055 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association that exceeds 10 percent of the total annual budget of the association, including reserves, the association must obtain competitive bids for the materials, equipment, or services." For cooperatives, F.S. § 719.3026 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association in an amount which in the aggregate exceeds 5 percent of the association’s budget, including reserves, the association shall obtain competitive bids for the materials, equipment, or services." The statute has other provisions that can change the answer, including opt-outs, renewals, franchise and sole-source rules, and governing-document bidding procedures. Confirm with your manager or association counsel before relying on this result.

How does this tool compare my contract?

It multiplies the total annual budget you enter, including reserves, by the percentage named in the section for your association type (5 percent for condominiums and cooperatives, 10 percent for HOAs) and shows whether the contract amount is above or at or below that figure. It does not decide whether bids are legally required.

Confirm the answer with your manager or association counsel. Then build a complete Request for Proposals so every vendor bids on the same scope, or start with a clean scope of work. The RFP Builder and Scope of Work Generator on Common Elements pick up where this aid leaves off.

Tool · Florida competitive-bid sections

Do I need to competitively bid this?

A pre-RFP step for Florida boards. Enter a contract amount and your annual budget to compare the contract with the percentage named in F.S. § 718.3026 (condos), § 719.3026 (co-ops) or § 720.3055 (HOAs), with the statute text quoted. Educational, not legal advice; confirm with your manager or association counsel.

Association

Association type

Condominiums: F.S. § 718.3026 (5 percent of the total annual budget, including reserves). Cooperatives: F.S. § 719.3026 (5 percent). HOAs: F.S. § 720.3055 (10 percent). The result quotes the section.

Contract and budget

Contract amount ($) *

Total annual budget ($), including reserves *

Exceptions

The competitive-bid requirement does not apply, even above the threshold, in these cases.

Professional services or employees: Notwithstanding the foregoing, contracts with employees of the association, and contracts for attorney, accountant, architect, community association manager, timeshare management firm, engineering, and landscape architect services are not subject to the provisions of this section.Emergency: Nothing contained herein is intended to limit the ability of an association to obtain needed products and services in an emergency.

Enter a contract amount and total annual budget to check the requirement.

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Florida competitive-bid FAQ

What do Florida's competitive-bid sections say?: For condominiums, F.S. § 718.3026 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association on behalf of any condominium operated by the association in the aggregate that exceeds 5 percent of the total annual budget of the association, including reserves, the association shall obtain competitive bids for the materials, equipment, or services." For HOAs, F.S. § 720.3055 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association that exceeds 10 percent of the total annual budget of the association, including reserves, the association must obtain competitive bids for the materials, equipment, or services." For cooperatives, F.S. § 719.3026 says: "If a contract for the purchase, lease, or renting of materials or equipment, or for the provision of services, requires payment by the association in an amount which in the aggregate exceeds 5 percent of the association’s budget, including reserves, the association shall obtain competitive bids for the materials, equipment, or services." The statute has other provisions that can change the answer, including opt-outs, renewals, franchise and sole-source rules, and governing-document bidding procedures. Confirm with your manager or association counsel before relying on this result.
How does this tool compare my contract?: It multiplies the total annual budget you enter, including reserves, by the percentage named in the section for your association type (5 percent for condominiums and cooperatives, 10 percent for HOAs) and shows whether the contract amount is above or at or below that figure. It does not decide whether bids are legally required.
Which contracts do the sections exclude?: F.S. § 718.3026 says: "Notwithstanding the foregoing, contracts with employees of the association, and contracts for attorney, accountant, architect, community association manager, timeshare management firm, engineering, and landscape architect services are not subject to the provisions of this section." F.S. § 720.3055 says: "Notwithstanding the foregoing, contracts with employees of the association, and contracts for attorney, accountant, architect, community association manager, engineering, and landscape architect services are not subject to the provisions of this section." Each section also addresses emergencies, sole sources and other situations; read the full section and ask counsel.
What do I do next?: Confirm the answer with your manager or association counsel. Then build a complete Request for Proposals so every vendor bids on the same scope, or start with a clean scope of work. The RFP Builder and Scope of Work Generator on Common Elements pick up where this aid leaves off.