Texas HVAC / Mechanical Contractor License Cost & Requirements (2026)
Texas licenses air conditioning and refrigeration businesses through TDLR as ACR Contractors, and the license is built differently from most contractor licenses in other states. There is no surety bond anywhere in the scheme, no separate license issuance fee, and the exam fee depends on which class you take. What actually gates the license, after the exam, is liability insurance.
The license also comes in classes and endorsements, which is where applicants get confused. One license carries one endorsement, the class decides how big a system you can touch, and the two routes into the experience requirement are not the same length. This page works through the structure before the costs, because the costs only make sense once the structure does.
Texas HVAC / Mechanical Contractor Fee Estimator
Regulatory fee breakdown for Air Conditioning and Refrigeration (ACR) Contractor
Itemized Fee Schedule
Texas Department of Licensing & Regulation (TDLR)
All applications and exams must be registered directly with this board.
Fee figures on this page were checked against Texas Department of Licensing and Regulation (TDLR) on October 29, 2026. View the official source
Regulatory & Licensing Requirements Summary
| Official License Classification | Air Conditioning and Refrigeration (ACR) Contractor |
| Minimum Experience | 4 Years (Journeyman / Field Supervisor) |
| Mandatory State Surety Bond | Not required at state level (Local permits may apply) |
| General Liability Insurance | Licensed trades only: $300,000 per occurrence minimum (electrical contractors $300k/$600k/$300k; ACR Class B $100k/$200k/$100k). No state GL requirement for general contractors. |
| Estimated Application Processing Time | Not published by the board |
| Renewal Cycle & CE Requirement | Every 1 year(s) with 8 hours of Continuing Education |
Warning: Unlicensed Contracting Penalties in Texas
Texas has no state general-contractor license, so there is no single state penalty. In the licensed trades, unlicensed electrical or plumbing work is a Class C misdemeanor, and TDLR or the TSBPE can add administrative penalties of up to $5,000 per violation (each day counts separately) and issue cease-and-desist orders.
Note: In many states, unlicensed contractors also lose the ability to file mechanic's liens or sue for non-payment in civil courts.
Special Statutory Notes for Texas
Licensed by the Texas Department of Licensing and Regulation (TDLR). A Class A license covers work on any size unit. Class B is limited to cooling systems of 25 tons and under and heating systems of 1,500,000 BTU/hour and under.
You need 48 months of practical air conditioning and refrigeration experience under a licensed ACR contractor within the past 72 months - or, if you have held a TDLR technician certification for the past 12 months, 36 months of experience within the past 48 months.
The exam is administered by PSI and is charged per endorsement exam: $74 for Class A, $60 for Class B (endorsements: Environmental Air Conditioning, and Commercial Refrigeration / Process Cooling or Heating).
There is no separate license issuance fee and no surety bond: after passing the exam you must file a certificate of commercial general liability insurance - at least $300,000 per occurrence / $600,000 aggregate / $300,000 products and completed operations for Class A, or $100,000 / $200,000 / $100,000 for Class B. The license renews every year for $65 with 8 hours of continuing education.
Texas licenses specific trades at state level through TDLR (electrical, HVAC) and the TSBPE (plumbing). There is no state general contractor license; general contractors register or pull permits at municipal level (e.g., Austin, Dallas, Houston).
Classes and endorsements: what the license actually looks like
A Class A license covers work on any size unit. A Class B license is limited to cooling systems of 25 tons and under and heating systems of 1,500,000 BTU per hour and under. Older websites still circulate a 50,000 BTU figure for Class B heating; that understates the real limit thirty-fold, and TDLR's current figure is the one on this page.
On top of the class sits an endorsement: Environmental Air Conditioning, Commercial Refrigeration, or Process Cooling or Heating. A license carries one endorsement, and the PSI exam is charged per endorsement exam, $74 for Class A and $60 for Class B. A contractor who wants both classes can hold them together: one document, two license numbers, the same business affiliation.
Two ways to meet the experience rule, and insurance instead of a bond
The standard route asks for 48 months of practical air conditioning and refrigeration experience, gained under a licensed ACR contractor, within the past 72 months. There is a shorter second route for people already inside TDLR's system: hold a TDLR technician certification for the past 12 months and show 36 months of practical experience within the past 48 months. Statutory exceptions also exist for relevant degrees and certifications, licensed engineers, and military ACR training.
Once the exam is passed, the financial requirement is a certificate of commercial general liability insurance, filed with TDLR and kept in force: at least $300,000 per occurrence, $600,000 aggregate and $300,000 products and completed operations for Class A, or $100,000 / $200,000 / $100,000 for Class B. One policy can cover both classes if it meets the Class A minimums. Any website telling you a Texas ACR contractor needs a $25,000 surety bond is describing a different state's rules; no bond exists in the Texas scheme.
Mistakes that delay a Texas HVAC application
- Budgeting for a surety bond. There is none. The financial gate for this license is liability insurance, filed after you pass the exam.
- Quoting the $74 exam fee as universal. It is the Class A price, per endorsement exam; Class B exams cost $60.
- Using the old 50,000 BTU Class B heating limit. TDLR's figure is 1,500,000 BTU per hour and under.
- Paying the $50 Certified Technician application fee thinking it is the contractor fee. The contractor application is $115; $50 belongs to a different credential.
- Letting the one-year clock run out. Every requirement, including passing the exam, must be completed within one year of filing the application.
Texas HVAC Licensing FAQ
What is the difference between a Class A and Class B ACR license?
Class A covers work on any size unit. Class B is limited to cooling systems of 25 tons and under and heating systems of 1,500,000 BTU per hour and under. The classes also set your exam fee ($74 Class A, $60 Class B, per endorsement exam) and your minimum liability insurance limits, which are three times higher for Class A.
Does a Texas ACR contractor need a surety bond?
No. No bond appears anywhere in TDLR's ACR requirements: not on the application page, not in the fee list, not in the Occupations Code chapter as TDLR publishes it. The financial requirement is commercial general liability insurance, certificated to TDLR after the exam and maintained for as long as you hold the license.
Can technician certification shorten the experience requirement?
Yes. The standard route is 48 months of practical experience under a licensed ACR contractor within the past 72 months. If you have held a TDLR technician certification for the past 12 months, the requirement drops to 36 months of practical experience within the past 48 months. The certification is an on-ramp, not a prerequisite: the 48-month route needs no certification at all.
How many exams do I take for an ACR license?
One per endorsement, in your class. A license carries a single endorsement (Environmental Air Conditioning, Commercial Refrigeration, or Process Cooling or Heating), and PSI charges per endorsement exam: $74 for Class A, $60 for Class B. Contractors who later add an endorsement or a second class sit and pay for that exam separately.
How much does a HVAC / Mechanical Contractor license cost in Texas?
The filing and licensing fees on the Texas HVAC / Mechanical Contractor schedule total approximately $189. This consists of a $115 application fee, a $74 examination fee, and a $0 initial license fee.
How long does it take to get a HVAC / Mechanical Contractor license in Texas?
Texas Department of Licensing & Regulation (TDLR) does not publish a fixed end-to-end processing time for this license. TDLR does not publish a processing timeframe. Applicants have one year from the date the application is filed to meet all requirements, including passing the exam.
What are the penalties for working as an unlicensed HVAC in Texas?
Texas has no state general-contractor license, so there is no single state penalty. In the licensed trades, unlicensed electrical or plumbing work is a Class C misdemeanor, and TDLR or the TSBPE can add administrative penalties of up to $5,000 per violation (each day counts separately) and issue cease-and-desist orders.
How often do you need to renew a HVAC license in Texas?
Licenses must be renewed every 1 year(s) with a renewal fee of $65. You must also complete 8 hours of approved Continuing Education (CE).