How do we plan an elevator modernization for our HOA building?

By OurHOA · General information · Revised October 18, 2026

How an HOA board plans an elevator modernization: condition assessment, consultant specs, TX, FL and CO permits, bids, reserve funding and the outage plan.

Part of the HOA board handbook: vendors, projects and upkeep.

The short answer

Treat a modernization as a construction project with an elevator in the middle of it. Hire an independent elevator consultant to assess the equipment and write the specifications, so every contractor bids the same job and the association has someone on its side who does not sell parts. Fund it from reserves you started building years ahead. Expect a state permit, plan review and acceptance inspection before the car carries anyone again. And plan the weeks when the building has no elevator, because that part decides how owners remember the project. Modernization usually means replacing the controller and some combination of the machine or hydraulic power unit, door equipment, fixtures, wiring and cab. It is a different job from routine service, which our guide on hiring an elevator maintenance contractor covers. Rules vary by state, by city and by your governing documents, and this guide is general education, not legal advice.

Decide whether it is time

The reserve study gives you a year, but it is a guess made from the machine room door. Three things tell you more. Pull two years of callback records from the maintenance company and count shutdowns and entrapments. Ask the maintenance company in writing whether parts for your controller are still made, and by whom. And read the last two annual inspection reports for findings that keep coming back. Then pay an elevator consultant for a condition assessment. Ask for a report that rates each major component, says which ones can stay, gives a budget range for full and partial modernization, and lists the code work a modernization would trigger. A consultant who also sells maintenance or installs equipment is not independent, so ask before you hire one. One caution on timing. The company that maintains the car has a stake either way: it may want to sell you the modernization, or it may earn well on service calls for an old car and say it has years left. The consultant's report settles the argument with evidence the board can show owners.

Know what the permit will pull in

A modernization is an alteration under state elevator law, and an alteration brings code requirements with it. Get those into the budget before bids, not after. In Texas, Health and Safety Code 754.011 defines an alteration as a change in existing equipment, excluding repair, replacement and cosmetic work. Altered equipment has to be inspected, tested and recertified before it goes back in service. TDLR says every alteration needs an approved plan review before work starts, that only a licensed elevator contractor may submit it, and that standard reviews generally take 4 to 8 weeks. TDLR's penalty schedule lists fines of $1,000 to $5,000 per unit for putting altered equipment back in service without the inspection and recertification. In Florida, Statutes 399.03 says a conveyance may not be altered until a permit has been obtained from the state, and a material alteration must meet the Florida Building Code. Only a registered elevator company can apply. The permit expires if work does not start within 6 months or stops for 60 days, and a certified inspector must inspect before the car is used. In Colorado, the conveyance regulations at 7 CCR 1101-8, effective January 1, 2026, require an alteration permit application and a $150 fee per conveyance at least 30 days before construction. Installing a new controller is a substantial alteration, and that permit must include any work needed to meet ASME A17.3, the code for existing elevators. That is the clause that turns a controller job into firefighter service, door protection and other upgrades, so ask the consultant to list them by name.

Write the specification and bid it

Have the consultant turn the assessment into a written specification: the equipment to replace and keep, performance targets such as door times and leveling accuracy, the code items, the schedule, cab finishes, and the warranty and maintenance period that follows. The most expensive choice in the specification is the controller. A proprietary controller can only be adjusted or diagnosed with the manufacturer's own tools, which ties you to one service company for the life of the equipment. A nonproprietary controller lets any licensed contractor service it. Require the winning bidder to deliver wiring diagrams, software and any diagnostic tool needed to maintain the system, and to leave them at the building. Send the specification to at least three licensed elevator contractors and hold one site walk. Florida condominiums must use competitive bids under 718.3026 once a contract exceeds 5 percent of the total annual budget including reserves. Our guide on planning a major HOA project covers the bid sheet, retainage and lien waivers. Add three elevator items to the bid form: equipment lead time from signed contract, the number of weeks each car will be out of service, and the price of one year of maintenance after turnover.

Fund it

Get real bid numbers before you set the funding plan, then add a contingency for what the crew finds once the old equipment comes out, plus the consultant's construction-phase fee and permits. Florida condominium budgets must carry reserve accounts for roof, painting and pavement and, under 718.112(2)(f), for any other item with a replacement cost over $25,000 or the state's inflation-adjusted figure. An elevator modernization clears that bar easily. Elevators are not on the structural integrity reserve study list in 718.112(2)(g), so this money sits in the regular reserve schedule. Texas and Colorado have no statute that sets the elevator reserve amount; the reserve study and your declaration do that work. If reserves fall short, the choices are to borrow, levy a special assessment within the limits your documents set, or phase the work. Phasing makes sense in a building with two cars: modernize one while the other runs, then swap. In a one-car building, phasing usually just means two outages.

Plan the outage

A one-elevator building with residents who use wheelchairs, walkers or oxygen has a real problem during construction, and the board should plan for it months ahead. Survey residents early and privately about who will need help and what kind. Under the federal Fair Housing Act, 42 U.S.C. 3604(f)(3)(B), refusing reasonable accommodations in rules, policies, practices or services can be discrimination. In practice that means the board should be ready to consider requests such as a temporary parking space by the lobby, a relaxed move-out rule, or a help-with-groceries schedule. Each request turns on its facts, so take them in writing and ask the attorney about any you plan to deny. Line up the practical items too: a carry-up service for deliveries, chairs on each landing for long stair climbs, and a published schedule for each week of work. Ask the contractor to keep the car out of service only on the days it is actually torn apart and to commit to a return-to-service date in the contract, with a weekly update to the board.

Sample timeline and wording

A sample sequence for one car, to adjust with your consultant: month 1, condition assessment ordered; month 3, report to the board and a funding decision; months 4 and 5, specification written and bid; month 6, contract signed and the contractor files the permit or plan review; then a wait for state approval and equipment fabrication; then the outage itself; then the acceptance inspection, a new certificate, and a 30-day punch list walk. Sample motion: 'Motion to approve the elevator modernization contract with [company], license number [number], for $[amount] per the specification dated [date], with a [percent] contingency, funded from the elevator reserve, and to authorize [director] to sign.' Sample owner notice: 'The elevator at [building] will be out of service from about [date] to [date] while it is replaced. If you need help with stairs, deliveries or parking during that time, tell [contact] in writing by [date] so we can plan with you.'

Mistakes boards make

Letting the maintenance company write the scope and then asking it for a price. Buying a proprietary controller without asking how it will be serviced in ten years. Budgeting the equipment and forgetting the code upgrades the permit brings in. Announcing the outage two weeks ahead. Releasing final payment before the acceptance inspection passes and the new certificate is posted. And forgetting the paperwork after turnover: in Florida, report the new maintenance company to the state, and in every state, update the board's elevator sheet with the new contractor, certificate date and warranty end date.

Sources

These guides are general education for HOA boards and residents, not legal, tax, or financial advice. Rules vary by state and by your community's governing documents - check with a professional for your situation.

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