Florida retainage

Who and what this applies to

Public progress retention under Fla. Stat. §255.078 for construction services costing more than $200,000; separately, private written, lien-authorized contracts within §715.12(2). The 2020 public-retention amendments exclude chapter 337 contracts.

The rules

• Section 255.078 limits a public entity’s retainage to 5% of each progress payment and does not require retention. Subsection (1) excepts federally funded work subject to contrary federal grant requirements. The section preserves withholding for a good-faith dispute or a payment-bond claim; contracts costing $200,000 or less are excluded. Source
• Under §715.12(7)(a), the owner’s balance including retainage is payable within 14 days after the relevant architect/engineer substantial-completion certification, certificate of occupancy, or owner/tenant possession, together with substantial completion of a timely written punchlist. A contract may specify a shorter disbursement period. Source
• If the contract does not set the owner’s punchlist period, it is 15 days after the earliest listed trigger. If no timely punchlist is given, interest begins 14 days after that earliest trigger. Phased projects use the rule phase by phase. Source
• Other downstream retention under §715.12(7)(b) bears interest 14 days after it is contractually due and the conditions in (4) are satisfied; that is not an unconditional 14-day release deadline. Source

Primary sources

• 2026 Fla. Stat. §255.078
• 2026 Fla. Stat. §715.12(2), (7)(a)–(b)

Sources reviewed 2026-09-30. This guide covers the projects and rules stated above.

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