The Hidden Costs of Poor Scopes — Why HOAs Can’t Afford to Skip This Step

HOA project planning meeting with documents and blueprintsHOA project planning meeting with documents and blueprints
Date
March 29, 2023
Written By
Paul Reeves
Category
Scope Development

Introduction

Every HOA board knows the stress of launching a major project: pressure from homeowners, tight budgets, and the risk of getting it wrong. One of the easiest mistakes to make is approving a vague or incomplete scope of work. Without clarity, contractors fill in the blanks — and your community ends up paying the price.

At Reeves Construction Advisors, we’ve seen how accurate scopes save HOAs thousands of dollars and months of frustration. Here’s how to spot the risks, what a strong scope should include, and how your board can start projects with confidence.

Why Incomplete Scopes Cost HOAs Big

When scopes are vague, boards face three common problems:

  1. Unclear Bids → Contractors interpret work differently, producing bids that can’t be compared.
  2. Change Orders → Missing details nearly guarantee mid-project add-ons that bust the budget.
  3. Delays & Disputes → Misunderstandings between boards and contractors slow projects down.

What a Strong Scope Should Include

Think of a scope as your HOA’s protection plan. A professional scope spells out:

  • Project area and boundaries
  • Materials, specifications, and warranties
  • Timelines and phasing
  • Insurance, safety, and compliance requirements

✅ Result: apples-to-apples bids you can actually compare.

Framework: 3 Questions to Test Your Scope

  1. Would three different contractors interpret this scope the same way?
  2. Could a board member with no construction background understand it?
  3. Does it reduce—not create—room for “surprises”?

If you can’t say yes to all three, your scope needs more work.

Case Example: HOA Roof Replacement

A Sacramento HOA planned a $750K roof replacement. Initial bids varied by $250K due to missing underlayment and flashing specs. After Reeves rewrote the scope, new bids were within 5% of each other — saving $80K in avoided change orders.

Conclusion + Call to Action

A strong scope isn’t paperwork — it’s your community’s insurance policy against wasted money. Boards that invest in scope development protect reserves, reduce risk, and win homeowner trust.

👉 Ready to start your next project with clarity and confidence? Contact Reeves Construction Advisors today and let us help your board get it right the first time.

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