10/07/2026
For HOA boards, adopting the annual budget is about more than numbers. Decisions made during the process can lead to assessment disputes, records requests, owner challenges, or questions about compliance with Florida law.
Before approving the 2027 budget, boards should consider:
⚖️ 1. Are assessments authorized and allocated correctly?
The declaration, bylaws, and governing documents may dictate how expenses are allocated among owners.
💰 2. Are reserves being handled properly?
Florida law has specific requirements regarding reserve calculations, funding, use, and any reduction or waiver.
📋 3. Is the adoption process compliant?
Proper notices, agendas, and meeting procedures are just as important as the budget itself.
🤝 4. Do major contracts require competitive bids or legal review?
Florida law generally requires competitive bids for certain contracts exceeding 10% of the association’s total annual budget, including reserves, subject to statutory exceptions.
📁 5. Is the board prepared for what comes next?
Consider potential collections, records requests, covenant enforcement, vendor issues, and other disputes before they arise.
The best time to address these issues is before the board votes—not after a dispute develops.
Before finalizing your 2027 budget, consider having association counsel review the process, governing documents, and proposed actions.
Southern Atlantic Law Group advises Florida HOA boards on governance, compliance, collections, contracts, covenant enforcement, and dispute prevention.
📞 Contact our office to discuss your association’s legal needs.