Temporary ACR License - When You Need One and How to Get It

We’ve received several calls recently about what to do when the owner/license holder leaves the company or passes away and the HVACR company needs to continue to do business. We spoke with Bill Weatherly, Chief Inspector-Program Specialist for Air Conditioning and Refrigeration, at Texas Department of Licensing and Regulation (TDLR) to get some answers.

Q: When a license holder leaves the company or passes away, what is the process/timeline for the company to obtain a new license holder, whether by hiring someone or a son, daughter, or other heir getting licensed? Can they continue to do business as usual until the change is processed by TDLR? Is there a grace period for continuing to do HVAC work?

A: If the new license holder is working full time at the business, the company should be good to operate “business as usual”. The new license holder will need to add the business to their license by completing this Notice of Change Form, or submitting the change online here.

ACR003 Air Conditioning and Refrigeration Notice of Change and Duplicate License Request

If there is not another license holder at the company, there is a provision to obtain a temporary license in the Air Conditioning and Refrigeration Rules.

75.23. Contractor Licensing Requirements--Temporary Licenses.

(a) A company owner or officer whose only license holder is no longer available due to death or disability may request a temporary license.

(b) The temporary license request shall be made by an owner or partner who was affiliated with the firm at the time the license holder became unavailable. The person who will hold the temporary license shall be an owner, partner, or employee already associated with the firm.

(c) The request for a temporary license must:

(1) be made within fifteen (15) calendar days from the date the license holder became unavailable;

(2) be in writing;

(3) state the reason for the request including the circumstances involved;

(4) include a completed application with all applicable fees; and

(5) include a new certificate of insurance covering the company and the temporary license holder.

(d) A non-renewable temporary license shall be valid for a period of 30 calendar days from date of issuance.

(e) A temporary license number assigned by the department must be shown on company vehicles, and must appear on invoices and proposals. The number may be taped to vehicles or applied by any other temporary methods. The temporary license shall be numbered by the department as follows: Title/Class/Number/Endorsement code/Temporary Designation.

ACR004 Contractor Temporary License Application

It is also important to remember that the Texas Occupations Code states:

Sec. 1302.252.  REQUIREMENT FOR AIR CONDITIONING AND REFRIGERATION CONTRACTING COMPANY

(a)  An air conditioning and refrigeration contracting company must employ full-time in each permanent office a license holder who holds an appropriate license assigned to that company.

(b)  A company that does not employ a license holder as required by Subsection (a) at the time a contract for air conditioning and refrigeration contracting services is signed and at the time the services are performed may not collect a fee or otherwise enforce the contract.

If you have any questions about how to handle a situation where your company has lost its license holder, you can contact the TACCA office or Bill Weatherly,  at (512) 937-7223 or William.Weatherly@tdlr.texas.gov.