Understanding Texas ACR contractor license requirements is the first step toward working legally as an air conditioning and refrigeration contractor in Texas. The Texas Department of Licensing and Regulation (TDLR) regulates this license for contractors who install, repair, or maintain systems related to air conditioning, refrigeration, or heating systems. TDLR also states that ACR companies must employ an ACR contractor in each permanent location.
For technicians who are ready to move into contracting, the process includes meeting experience rules, submitting the correct application, passing the Texas ACR contractor exam, carrying proper insurance, and completing renewal requirements each year. Prep at Home – The Contractors School helps applicants prepare through Texas Licensing Programs designed for real-world tradespeople.
A Texas ACR contractor license allows a qualified person to offer air conditioning and refrigeration contracting services within the license class and endorsement approved by TDLR. This license is required for many contractors who work on HVAC, refrigeration, heating, and related systems in Texas.
The license is not one-size-fits-all. TDLR separates ACR contractor licenses into classes and endorsements. The class controls the size of systems you may work on, while the endorsement controls the type of work you may perform. Class A allows work on any size unit, while Class B is limited to cooling systems of 25 tons or less and heating systems of 1.5 million BTUs per hour or less.
The environmental air conditioning endorsement covers work related to treating air for human comfort. This includes controlling temperature, humidity, cleanliness, ventilation, and air circulation in homes, offices, and other occupied spaces. It is the endorsement many HVAC professionals need when their primary work involves comfort cooling and heating systems.
Commercial refrigeration is different. TDLR describes this endorsement as work involving mechanical or absorption equipment used to control temperature or humidity for the intended use of a specific space. Process cooling or heating focuses on production requirements or the proper operation of equipment. TDLR notes that commercial refrigeration and process cooling or heating are limited to coolers, freezers, ice machines, and equipment that provides temperature and humidity controls.
Some applicants choose a combined path because they want broader authority to work. Prep at Home offers Texas ACR Environmental Air Conditioning Contractor Exam Prep and Texas ACR Combined Endorsement Contractor Exam Prep for applicants preparing for the endorsement that fits their career goals.
The main Texas ACR license requirements include being old enough to apply, documenting practical experience, completing the application process, passing the correct exam, and meeting insurance requirements after passing. Your chosen class and endorsement will determine the exam you take, the type of work you can perform, and the insurance coverage you must carry.
Applicants should review the rules carefully before applying. A strong application starts with accurate experience records and a clear understanding of the license type you need.
You must be at least 18 years old to apply for a Texas ACR contractor license. TDLR lists two main ways to meet the ACR contractor experience requirements. You may qualify with at least 48 months of practical air conditioning and refrigeration-related work under the supervision of a licensed ACR contractor within the past 72 months. You may also qualify if you have held a technician certification for the past 12 months and have at least 36 months of practical experience under a licensed ACR contractor within the past 48 months.
Experience must be documented on an Experience Verification Form completed by the person or people who supervised your work. TDLR specifically says applicants should not complete this form themselves. Multiple forms may be used when more than one supervisor needs to verify experience.
TDLR also lists possible exceptions for certain applicants, including those with education in air conditioning and refrigeration, a mechanical engineering degree, military training, or specific industrial process cooling or heating experience.
Once you confirm that you meet the experience requirements, the next step is filing your ACR license application. This part of the process should be handled carefully because incomplete forms, missing experience verification, or incorrect license selections can delay approval.
TDLR must approve your application and qualifications before you are eligible to schedule the licensing exam. That means the application is not just a formality. It is the step that opens the door to exam eligibility.
To apply, submit the Air Conditioning and Refrigeration Contractor License Application and include your supporting documentation. Your experience verification form should be included with the application materials. If you have a criminal history beyond a minor traffic violation, TDLR requires a Criminal History Questionnaire with the application materials. Criminal history reviews are handled case by case and may take one to six weeks, depending on the circumstances.
After you pass the exam, TDLR requires a Certificate of Insurance that includes the license holder’s name and business name. Contractors must maintain commercial general liability insurance while the license is active. Class A requires minimum coverage of $300,000 per occurrence, $600,000 aggregate for property damage and bodily injury, and $300,000 aggregate for products and completed operations. Class B requires $100,000, $200,000, and $100,000 in those same categories.
TDLR lists the new contractor license application fee as $115, and the license is valid for one year from the date of issue. The exam fee is paid separately to PSI after TDLR approves your eligibility.
Applicants should use the current TDLR application and follow the payment instructions on the form. Keep copies of the application, fee record, experience forms, and any correspondence from TDLR or PSI.
Passing the Texas ACR contractor exam is a major step in becoming licensed. The exam you take depends on your selected license class and endorsement. That is why it is important to choose the right license type before you apply.
Exam preparation should focus on code knowledge, trade calculations, HVAC and refrigeration concepts, safety, system sizing, and the reference materials allowed by PSI. Prep at Home – The Contractors School offers focused support through its Texas Licensing Programs for applicants who want structured guidance before test day.
TDLR states that all people seeking to become licensed as an air conditioning and refrigeration contractor or certified technician must pass a licensing examination. The exam is administered by PSI, and applicants must file an application before becoming eligible to sit for the exam.
The exact number of questions, time limit, fee, and content outline can vary based on the class and endorsement selected. Applicants should review the current ACR Candidate Information Bulletin before testing because it contains detailed exam rules, scheduling instructions, and exam-specific information. TDLR describes this document as vital to understanding the examination process.
Allowed reference materials are listed in the PSI Candidate Information Bulletin. Do not assume that every book, note, tab, or printed resource is allowed. PSI testing rules may limit how materials are marked, labeled, or brought into the testing center.
Strong preparation means studying with the same approved references you expect to use on exam day. Texas ACR Environmental Air Conditioning Contractor Exam Prep can help applicants learn how to navigate those references efficiently. Texas ACR Combined Endorsement Contractor Exam Prep can help applicants prepare for broader endorsement coverage.
For PSI exam scheduling in Texas, you must first submit your completed license application, required documents, and fees to TDLR. After TDLR approves exam eligibility, PSI sends scheduling instructions by email. If no email address is provided, PSI mails a postcard.
Do not schedule too early in your preparation. Choose a date after you have reviewed the content outline, practiced reference lookup, and completed timed practice sessions. If you do not pass, TDLR says you may schedule a retake with PSI within 24 to 48 hours, and you may continue retaking the written exam until your application expires one year from the date submitted.
ACR license renewal is required to keep your license active and avoid penalties or delays. TDLR recommends beginning the renewal process approximately 30 to 60 days before the license expires. Expired licenses may lead to additional fees and delays, and you may not perform air conditioning and refrigeration contracting with an expired license.
The renewal process includes completing continuing education, submitting the renewal application, and paying the renewal fee. TDLR lists the contractor renewal fee as $65.
For continuing education in Texas ACR, TDLR requires air conditioning and refrigeration contractors to complete 8 hours of approved continuing education each year. The 8 hours must include one hour of instruction on Texas state law and rules that regulate licensee conduct. Courses must be completed before the license expires, and only TDLR-approved courses count toward renewal.
Understanding Texas ACR contractor license requirements can help you move from field experience to licensed contracting with fewer delays. Whether you are preparing for the environmental air conditioning endorsement, a combined endorsement, the application process, exam scheduling, or continuing education requirements, Prep at Home – The Contractors School can help. To learn more about Prep at Home and available Texas Licensing Programs, contact Prep at Home today and take the next step toward your Texas ACR contractor license.
