Texas Qualifying Agent Guide: Master Electrician, ACR License Holder and RMP

Texas has no statewide general contractor license, so there is no single "qualifier" for a Texas construction company. Instead, each licensed trade names its own qualifying person: an electrical contractor needs a master electrician of record, an air conditioning and refrigeration (ACR) contracting company needs an ACR contractor license holder assigned to each permanent office, and a plumbing company works under a Responsible Master Plumber (RMP). For the full state overview see our Texas contractor license requirements, and for every other state see how to get a contractor license in each state.

At a glance Who issues it: TDLR licenses electrical and ACR contractors; the Texas State Board of Plumbing Examiners (TSBPE) licenses plumbers. Electrical: the contractor must be a master electrician or employ one; a master needs 12,000 hours of supervised training. ACR: 48 months of supervised experience in the past 72 months, a PSI exam and a $115 application fee. Plumbing: the RMP holds a Master Plumber license, carries $300,000 in liability coverage and serves one company at a time. Cities: Houston, Dallas, San Antonio, Austin and Fort Worth run their own contractor registration.

How Texas Contractor Licensing Works

Texas licensing is a hybrid: the state licenses specific trades, and cities control permits and contractor registration.

• State trade licensing. The Texas Department of Licensing and Regulation (TDLR) licenses electricians and electrical contractors under Occupations Code Chapter 1305 and 16 TAC Chapter 73. TDLR licenses ACR contractors under Occupations Code Chapter 1302 and 16 TAC Chapter 75. The TSBPE, a separate board, licenses plumbers and grants the RMP designation.
• Local registration. Large Texas cities require contractors to register with the city before a permit is issued, and the city asks for the state trade license at that desk.
• No statewide GC license. A general contractor or remodeler is not licensed by the state, but the electrical, HVAC and plumbing work on the job still has to run through a state licensed contractor.

That is why a Texas qualifier is always tied to a trade: one licensed individual stands behind the company as the person the board holds responsible.

The Three Qualifier Roles Side by Side

Notes

• Electrical: the applicant must be a master electrician or employ one (TDLR Form ELC-LIC-003).
• ACR: the company must employ an ACR contractor in each permanent location (TDLR ACR at a Glance).
• Plumbing: the RMP is a designation on a Master Plumber license (TSBPE Responsible Master Plumber).

Electrical: The Master Electrician of Record

Anyone who performs or offers to perform non exempt electrical work in Texas must be licensed and must perform that work through a licensed electrical contractor, according to TDLR's Electricians at a Glance. The contractor license belongs to the business. The master electrician's license is assigned to it, and TDLR calls that person the "Master Electrician of Record."

To hold a master electrician license, a person needs 12,000 hours of on the job training under a master electrician, must have held a journeyman electrician license for at least two years, and must pass the master electrician examination. TDLR gives electrician exams through its vendor, PSI. Journeyman lineman and journeyman industrial electrician licenses do not count toward this path.

The rule that matters most to an owner is how many companies one master can serve. TDLR's compliance guide says a master electrician's license may be assigned to more than one company only if the master owns more than 50 percent of each of those businesses. A master who does not own more than 50 percent may be assigned to one electrical contractor only, and must be an employee of that company.

Two more rules shape the arrangement:

• An electrical contractor may not display or use a license number TDLR did not assign to it, and a license is not transferable (16 TAC 73.22).
• Licenses under Chapter 73 run one year from issuance and renew annually, and a master electrician completes four hours of continuing education for each renewal (16 TAC 73.22 and 73.25).

The electrical contractor application fee is $110, and TDLR terminates an application if the company does not meet every requirement within twelve months of filing. The master electrician license fee on TDLR's schedule is $45.

Air Conditioning and Refrigeration: The Assigned ACR License Holder

An ACR contractor license is issued to an individual, and the company operates through that license holder. TDLR's ACR at a Glance puts the stakes plainly: if the company does not employ an ACR contractor as required at the time a contract for ACR services is signed, it cannot collect a fee or enforce the contract.

TDLR issues two classes:

• Class A covers units of any size.
• Class B covers cooling systems of 25 tons and under and heating systems of 1.5 million BTUs per hour and under.

Each license carries an environmental air conditioning endorsement, a commercial refrigeration and process cooling or heating endorsement, or both.

To qualify, the individual must be at least 18 and show 48 months of practical ACR experience under a licensed ACR contractor within the past 72 months. The alternative is 36 months of supervised experience in the preceding 48 months plus a TDLR technician certification held for the preceding 12 months. Every 2,000 hours of apprenticeship training counts as 12 months of experience. The exam is scheduled with PSI after TDLR approves the application.

The employment rules for the license holder are written into 16 TAC 75.70 and 75.71:

• The license holder assigns the license to one company or one permanent office of the company; the statute says the same (Occupations Code 1302.251(c)).
• The license holder must be an employee or owner of that company and work full time at the company or that permanent office.
• The company keeps payroll records showing taxes reported to the Texas Workforce Commission, and either daily hours or proof the license holder is salaried and full time.
• The company must have a license holder employed full time for each permanent office, and all licensed work must be under that person's direct supervision.
• The company may not operate under a license that is not assigned to it.

The ACR contractor application fee is $115. Contractor licenses are good for one year and are not transferable. Texas accepts ACR contractor licenses by reciprocity from Georgia and South Carolina only, per TDLR's application instructions.

Plumbing: The Responsible Master Plumber

In plumbing, Texas uses the term Responsible Master Plumber where other states say qualifying agent. The RMP is not a separate license. TSBPE's rules define the RMP as a licensed Master Plumber who is authorized to obtain permits, assumes responsibility for plumbing work performed under that license and has a certificate of insurance on file (22 TAC 361.1(47)), and Occupations Code 1301.3576 requires that certificate before a master plumber works as an RMP. The RMP is responsible for the general supervision and management of plumbing work performed under contracts secured under his or her license, whether the people doing the work are employees or subcontractors.

The TSBPE lists what that supervision includes:

• keeping at least $300,000 of general commercial liability insurance;
• obtaining permits and requesting inspections required by plumbing or building codes;
• making sure everyone doing plumbing work holds a current license or registration;
• making sure a licensee is present and directly supervising at job sites where registrants are working; and
• making sure service vehicles show the company name and the RMP's license number.

An RMP may act as the RMP of record for only one company at a time (22 TAC 367.5(a)). The applicant must hold a current Texas Master Plumber license in good standing, file the TSBPE Certificate of Insurance (ACORD forms are not accepted), and not hold a Plumbing Inspector license.

Reaching master plumber takes a journeyman plumber license held for at least two years, or one year plus a U.S. Department of Labor approved training program. The master exam is given by Pearson VUE. TSBPE's consumer page tells homeowners to ask for the company's RMP and check that the RMP's license number begins with the letter M.

Insurance Each Qualifier Role Requires

Notes

• Electrical: amounts from TDLR Form ELC-LIC-003, which also asks how the business handles workers' compensation.
• ACR: amounts from 16 TAC 75.40. A holder who does not contract with the public may request a waiver, but then cannot contract with the public.
• RMP: the TSBPE policy must cover at least $300,000 for all claims arising in a one year period and cover every type of plumbing done under the license.

Board Fees for the Company and the Qualifier

Notes

• ACR: TDLR's ACR at a Glance lists the contractor fee schedule; the exam fee is paid directly to PSI.
• RMP: a master plumber who adds the designation during the renewal window, which opens 90 days before expiration, pays the $300 renewal fee instead of a separate application fee. Dropping the designation takes a notarized request and a $10 fee.
• First RMP designation and master plumber exam: confirm the current fee on the TSBPE Responsible Master Plumber and TSBPE Master Plumber pages before filing.

City Registration on Top of the State License

The state license lets a company do the work; the city decides whether it can pull a permit there.

• Houston: an electrical contractor registers with the Houston Permitting Center by filing copies of the state master electrician license and the state contractor license with notarized form CE-1189.
• Dallas: Building Inspection publishes separate registration forms for plumbing and medical gas, mechanical, and irrigation contractors.
• San Antonio: all city and state licensed contractors must be registered with Development Services before permits are issued.
• Austin: trade contractors, general contractors and homeowners acting as contractors register with Building and Trade Contractor Services before construction on a permit, and trade contractors bring their trade contractor or master license in person.
• Fort Worth: anyone obtaining a building, mechanical, plumbing or electrical permit must have a valid contractor registration on file, and mechanical, electrical and plumbing registrants show the matching state license.

Looking for a Texas mechanical contractor bond? The TDLR rules cited above set insurance minimums, not a bond; when a bond is asked for, it comes from a city's registration rules or the project contract, so confirm it with that city's permit office. Dallas, for example, lists a bond agreement form beside its plumbing and mechanical contractor registration forms.

What Happens When the Qualifier Leaves

• ACR: the company must notify TDLR within thirty calendar days when an assigned license holder leaves its employ (16 TAC 75.71). Without an ACR contractor employed when a contract is signed, the company cannot collect a fee or enforce that contract.
• Electrical: the company files TDLR's Contractor Notice of Change form (ELC-LIC-004-E) to delete the departing master and add the new one, with the new master and the owner of record both signing.
• Plumbing: an RMP who is removed or added as RMP of record notifies TSBPE in writing within ten business days of the change (22 TAC 367.5(a)); dropping the designation uses the notarized Request to Relinquish RMP Designation. Because the RMP answers for work under contracts secured under his or her license, the company needs a new RMP in place to keep contracting plumbing work.

Planning for a replacement before the current qualifier gives notice keeps vehicles, advertising and invoices accurate, since the ACR and plumbing rules tie them to the qualifier's license number (16 TAC 75.71 and 22 TAC 367.10).

The Licensing Steps in Order

1. Pick the trade and the license. Electrical contractor, electrical sign contractor, ACR contractor (Class A or B, with endorsements), or plumbing under an RMP.
2. Identify the qualifying individual. An owner who holds the master or ACR license, or a full time employee who does.
3. Confirm the qualifier's eligibility. 12,000 hours and two years as a journeyman for a master electrician; 48 months in 72 for ACR; a current Master Plumber license for an RMP.
4. Buy the insurance. Match the table above, then get the certificate on the board's accepted form.
5. File the company or designation application. TDLR Form ELC-LIC-003 for electrical, Form ACR002 for ACR, the TSBPE RMP Designation Application for plumbing.
6. Pass the exam if the qualifier is new. PSI for TDLR trades, Pearson VUE for the master plumber exam.
7. Mark vehicles and invoices. Electrical contractors letter vehicles with "TECL" and the license number; ACR and plumbing vehicles show the qualifier's license number.
8. Register with each city where you will pull permits.

Where a Qualifying Agent Fits in Texas

Texas writes the qualifier's job into its rules: the ACR license holder works full time for the company, a master electrician who is not a majority owner is the contractor's employee, and the RMP answers for permits, inspections and supervision.

That is the model The Licensing Company follows. Founders Marshall Schofield and Jeremiah Jaskulski built the practice around one principle: a qualifying agent qualifies a company by joining it as a full time W-2 employee who actually supervises the work. Read what a qualifying agent is for the full picture, or hire a qualifying agent when you are ready to add a licensed master electrician, ACR license holder or RMP to your team.

Frequently Asked Questions

Does Texas have a general contractor license?

No. The state licenses trades such as electrical, ACR and plumbing, and cities such as San Antonio, Austin and Fort Worth require contractor registration before they issue permits.

Can one master electrician qualify two electrical companies in Texas?

Only if the master owns more than 50 percent of each company, per TDLR's compliance guide. Otherwise the master is assigned to one electrical contractor and must be its employee.

Can an ACR license holder qualify more than one company?

No. Under 16 TAC 75.70 the license holder assigns the license to one company or one permanent office and works full time there. A company with several permanent offices needs a full time license holder at each one.

Is the Responsible Master Plumber a separate license?

No. The RMP is a designation added to a Texas Master Plumber license. It requires good standing and a TSBPE Certificate of Insurance with at least $300,000 in coverage, and one RMP serves one company at a time (22 TAC 367.5(a)).

What does the company risk if its ACR qualifier leaves?

It must report the departure to TDLR within thirty calendar days, and a contract signed while no ACR contractor is employed cannot be enforced or collected on.

Talk to Our Team About Your Texas Qualifier

Opening a Texas electrical, HVAC or plumbing company, or losing your current master or RMP? Call 615-219-2110 to talk through which role you need. You can also start at hire a qualifying agent and we will follow up.

Sources

All sources retrieved 2026-09-28.

• TDLR Electricians at a Glance
• TDLR Electrical or Electrical Sign Contractor License Application, Form ELC-LIC-003
• TDLR Electricians Compliance Guide
• TDLR Electrician Exam Information
• 16 TAC 73.22, Licensing Requirements, General
• 16 TAC 73.25, Continuing Education
• TDLR Air Conditioning and Refrigeration Contractors at a Glance
• TDLR ACR Contractor License Application, Form ACR002
• 16 TAC 75.40, Contractor Insurance Requirements
• 16 TAC 75.70, Responsibilities of the Contractor or Licensee
• 16 TAC 75.71, Responsibilities of the Contracting Company
• TSBPE Responsible Master Plumber
• TSBPE Responsible Master Plumber Designation Application
• TSBPE Master Plumber
• TSBPE Consumer Information
• TSBPE Administrative Rules, 22 TAC Chapters 361 to 367 (March 2026 compilation)
• 22 TAC 361.1, Definitions
• 22 TAC 361.6, Fees
• 22 TAC 367.5, Responsibilities of RMP, General
• Texas Occupations Code 1301.3576, Certificate of Insurance for Responsible Master Plumber
• Texas Occupations Code 1301.552, Certificate of Insurance for Plumbing Permit
• Texas Occupations Code 1302.251, ACR License Required
• TDLR ACR Licensing Reciprocity
• TDLR Electricians Continuing Education
• Houston Permitting Center, Electrical Contractor Registration
• City of Dallas Building Inspection, Commercial Permitting
• City of San Antonio Development Services, Contractor Registration
• City of Austin Development Services, Contractor Registration
• City of Fort Worth Development Services, Contractor Registration