I'm aware that there is a very set format for what producers and festivals look for in screenplays, but I'm curious if there is a way that you can dedicate it to someone.  Like "For Bob" or "For My (insert relative)".

Is there any way that this can be done or should it be avoided?

If the dedication is important to you, you can put it on the title page. If you want it at the beginning of the film, you just do a SUPER for it. It is probably (for spec purposes) placed on the title page though under your name.