Reserves (SIRS)

Under the Florida SIRS law, funding begins with the first annual budget adopted in 2025.

For most communities on a calendar year:

• Your 2025 budget meeting (held in fall 2025) is when the 2026 budget is voted on.

• That 2026 budget must be the first budget that includes full SIRS reserve funding.

So while the law doesn’t say “start in 2026,” the effect is the same for most associations: the budget you adopt in 2025, for the 2026 fiscal year, must include SIRS funding.

📌 Bottom line: If your board meets in 2025 to adopt the 2026 budget, that’s when you must begin funding SIRS reserves.

At Stone Building Solutions, we help associations prepare reserve studies ahead of time so that by your 2025 budget meeting, you’ll have compliant funding plans ready to adopt.

Yes. The 2023 and 2024 updates clarified that “fully funded” now means baseline funding. In simple terms, your reserves must be funded so that when major repairs or replacements come due, the money is in the account — even if the balance dips low, it can’t go negative.

Stone helps associations understand the difference between baseline funding (minimum legal standard) and threshold funding (more conservative, stronger for resale and bank reviews).

Under the Updated Florida SIRS law, associations must contribute enough so that the reserve account never projects below $0 during the 30-year funding plan. This is called baseline funding, and it’s now the legal definition of being “fully funded.”

At Stone Building Solutions, we provide both baseline funding plans (minimum compliance) and threshold funding plans (a safer model that keeps a higher cushion). Your board can choose the option that best fits your community’s needs.

• Baseline funding: Keeps the reserve balance at or above $0. This meets the legal requirement.
• Threshold funding: Keeps a higher reserve balance as a safety cushion, reducing risk of special assessments.

Owner Notice:  Within 45 days of receiving the final SIRS, a notice must be send to the unit owners that the SIRS is part of the official records. 

The owners can then access as they would all official records website or by request. You are not required to mail or email the full report to all the owners.

Division Notice: By October 1, 2025, all condominiums and Co-OPs  are required to create an online account with the Division of Condominiums.  From this online account, you are able to inform the division your association as completed the study. 

DPBR SIRS Upload/Login Link: https://www.myfloridalicense.com/datamart/mainMenuFLDBPR.do;jsessionid=nSFl384sdUu5F1EwuL7Lc4ZMzsHkGsBX96YDYK31.DBPR-WPAP100:VO-server-02

When do we have to start funding SIRS?

All condominium and cooperative buildings that are 3 or more stories (measured from the lowest habitable floor) must have a SIRS performed every 10 years.

Older condos/co-ops (CO before July 1, 2022): Must have a SIRS by 12/31/25.

Newer condos/co-ops (CO after July 1, 2022): First SIRS due 10 years after CO..

Key Revisions in 2023–2024

• SB 154 (2023) clarified that the 10-year clock starts from the date of the CO, not from July 1, 2022.

HB 1021 (2024) kept the December 31, 2025 hard deadline in place for existing older buildings but added detail to the inspection/notice process.

• The term “habitable floor” comes directly from Florida Statute §718.112(2)(g) 
• A habitable floor is any occupied floor that is above grade (not underground or parking level).
• That includes residential units, lobbies, amenity floors, offices, clubhouses, fitness centers, or any other enclosed space designed for people to live in or use daily.
• It does not include: open parking garages, mechanical floors, crawlspaces, or roof decks that aren’t designed for occupancy

All structural items must be included in SIRS, including:

1. Roofing
2. Load-Bearing Walls and Primary Structural Support Members
3. Fireproofing and Fire Protection Systems
4. Plumbing - Drain lines and pressured plumbing systems
5. Electrical systems owned by the association
6. Exterior Facade, Waterproofing, and Exterior Paint
7. Association-owned Windows and Doors
8. Any other repair over $25,000 that affects the structural integrity of the building.

Required by FL Statutes 718.112, a Structural Integrity Reserve Study (SIRS) is a study of reserve funds required for major future repairs and replacement of common areas. It’s based on a visual inspection that must be conducted by a licensed engineer or architect, determining the life expectancy of 8 structural items. The study outlines the cost of maintenance and replacement of those items, so the association can budget correctly.

All residential condos in FL with 3 or more habitable floors.

Yes, the association can pool the items in the Structural Integrity Reserve study together but they can not be pooled with traditional reserve items. They must be in a separate, protected account.

The licensed PE, architect or RS that determined the lifespan of the items is the only person that can make changes to the life expectancy of SIRS items. The Board of Directors can not go in and adjust the numbers. The BOD is expected to follow the Structural Integrity Reserve Study to the cent. Banks will review it when asked to finance condo units.

The first one must be completed by December 31st, 2024, then updated every 10 years. Given that this account must be funded, we suggest the SIRS be updated every 3 years to make sure the numbers are accurate.

Such failure’s a breach of a director’s and an officer’s fiduciary relationship to the unit owners under 718.111(1). Disclosure requirements now mandate this report for all buyers. It would be highly unlikely for a buyer to secure financing for a unit when the association is not compliant with the law. Failure to be able to finance will negatively impact the values of the units in an association.

The price depends on the size of the association. Stone Reserve Studies aims to reduce this cost by having one site inspection that can be used for multiple reports.

They allow for accurate budgeting for condominiums, HOAs and townhomes; keeping properties appealable and avoiding unexpected large assessments.

A Structural integrity Reserve Study is only required for all residential condos that are 3+ stories. No other Florida statutes exist for traditional reserve studies; however, many association documents require them every 3 years.

The market is changing dramatically due to inflation, political changes and supply chain issues. To maintain correct reserves most economically, is to get a yearly reserve study update. The SIRS is required to be updated every 10 years.

Associations and developers can no longer waive reserve on items in the Structural Integrity Reserve Studies. Boards can still waive the funds in the traditional reserve study but it now requires a majority membership vote.

Condos/Co-ops that require a Structural Integrity Reserve Study must be funded by January 1st, 2026.

There are no statutory regulations on who can complete a traditional reserve study. Florida law mandates a visual inspection to determine the age and useful life of the 8 structural items that must be completed by a licensed engineer, architect or certified Reserve Specialist for a Structural Integrity Reserve Study.

Reserve Specialist is a certification by Community Association Institute (CAI). To achieve this designation, one must have a degree in engineering, architecture, or construction management (or similar work experience); have completed at least 30 reserve studies, apply and be confirmed by CAI.

The SIRS report is an official record of the association, open to inspection by membership & authorized representatives. It must be kept on file for 15 years.

1. SIRS is required for Condos & Co-ops that are 3+ stories and 10+ years old. There are no Florida requirements for HOAs, Townhomes, or 2 and 1-story condos for any reserve study; however, many bylaws require reserve studies every 3-5 years.

2. A traditional reserve study includes all community items that require budgeting, like roofs, paint, landscaping, pools, mail stations, garage holders, elevators and walkways. The SIRS only requires 8 critical structural components.

3. A licensed architect, engineer or certified Reserve Specialist must complete a site inspection to determine the items’ lifespan for a SIRS. A traditional reserve study can be completed by anyone, including homeowners; however, it is recommended to be completed by a professional who is experienced in community reserve studies.

4. Items listed in the SIRS report are required to be fully funded, and are not allowed to be waived or pooled. There are no funding requirements for a traditional reserve study.

5. There are no timelines for traditional reserve studies. A SIRS must be completed every 10 years for 3+ story condos and co-ops in Florida.