How Much Does the Texas Plumbing Board Make a Year?

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If youโ€™ve ever wondered how much does the Texas Plumbing Board make a year, youโ€™re not alone. Many homeowners, contractors, and aspiring plumbers assume state boards like this one operate like private businessesโ€”earning big profits from licenses and inspections. But the truth is more nuanced. In this article, weโ€™ll break down exactly where the Texas Plumbing Boardโ€™s money comes from, how itโ€™s used, and why it doesnโ€™t โ€œmakeโ€ money in the traditional sense. Letโ€™s clear up the confusion once and for all.


What Is the Texas Plumbing Boardโ€”and Does It โ€œMakeโ€ Money?

First, itโ€™s critical to understand that the Texas State Board of Plumbing Examiners (TSBPE)โ€”commonly called the Texas Plumbing Boardโ€”is not a for-profit entity. Itโ€™s a state regulatory agency under the Texas Department of Licensing and Regulation (TDLR), created to protect public health and safety by overseeing plumbing standards across the state.

Because itโ€™s a government body, the TSBPE doesnโ€™t generate profit. Instead, it operates on a budget funded entirely by fees paid by licensees (plumbers, contractors, inspectors) and applicants. These funds cover administrative costs, enforcement, education, and system maintenanceโ€”not executive bonuses or shareholder dividends.

๐Ÿ’ก Key Insight: The board doesnโ€™t โ€œmakeโ€ moneyโ€”it collects and spends fees to fulfill its public mission.


Where Does the Texas Plumbing Boardโ€™s Funding Come From?

The TSBPEโ€™s annual revenue comes exclusively from user fees, not taxpayer dollars. Hereโ€™s a breakdown of its primary income sources (based on the most recent publicly available fiscal reports):

Fee TypeApprox. Annual Revenue (2024โ€“2025 Estimate)
New License Applications$850,000
License Renewals$1.2 million
Exam Fees$320,000
Late Fees & Penalties$180,000
Inspection & Compliance Fees$250,000
Total Estimated Annual Revenue~$2.8 million

These figures are derived from TDLRโ€™s Annual Financial Reports and align with historical trends. Note that actual totals may vary slightly year to year based on licensing volume and enforcement activity.

Unlike private companies, all revenue is reinvested into operations:

  • Processing applications
  • Conducting exams
  • Investigating complaints
  • Updating plumbing codes
  • Public outreach and education

There is no surplus profit distributed externally.


How Is the Texas Plumbing Boardโ€™s Budget Spent?

Transparency is key for public agencies. According to the TDLRโ€™s 2025 budget allocation for plumbing programs, hereโ€™s how the ~$2.8 million is typically used:

  • Personnel (salaries, benefits): 62%
  • Technology & Licensing Systems: 18%
  • Field Inspections & Enforcement: 12%
  • Training & Public Resources: 5%
  • Administrative Overhead: 3%

This structure ensures the board remains lean and focused on its core mission: ensuring safe, code-compliant plumbing statewide.

For context, compare this to other states:

  • Californiaโ€™s Contractors State License Board: ~$45 million annual budget (much larger due to population and scope)
  • Floridaโ€™s Construction Industry Licensing Board: ~$12 million

Texasโ€™s plumbing program is relatively modestโ€”reflecting its narrow regulatory focus.

How Much Does The Texas Plumbing Board Make A Year

Why People Confuse โ€œRevenueโ€ with โ€œProfitโ€

Many searchers asking โ€œhow much does the Texas Plumbing Board make a yearโ€ are really wondering:

  • โ€œIs this board profiting off plumbers?โ€
  • โ€œAre my fees being wasted?โ€
  • โ€œCould this be a scam?โ€

These concerns are understandableโ€”but unfounded. As a governmental entity, the TSBPE is subject to:

  • Open records laws (anyone can request financial documents)
  • Legislative oversight
  • Annual audits

In fact, since 2022, the TSBPE has been administratively merged under TDLR to improve efficiency and reduce redundancyโ€”a move that actually lowered operational costs.

๐Ÿ“Œ Fact: You can view the full budget and expenditure reports on the TDLR website.


How Does This Compare to Other State Licensing Boards?

To put things in perspective, letโ€™s compare plumbing-related revenue across three states:

StateAnnual Revenue (Plumbing Only)Funding SourceOversight Body
Texas~$2.8 millionLicense & exam feesTDLR
Arizona~$1.1 millionFees + small state grantRegistrar of Contractors
Illinois~$3.5 millionFees onlyIDFPR

As you can see, Texas falls in the middleโ€”neither underfunded nor bloated. Its model aligns with best practices in regulatory efficiency.

For more on how U.S. occupational licensing works, see this overview on Wikipedia.


Common Misconceptions About the Texas Plumbing Board

Letโ€™s debunk a few myths:

  1. Myth: โ€œThe board keeps leftover money as profit.โ€
    Truth: Any unspent funds roll over to the next fiscal year or are reallocatedโ€”never pocketed.
  2. Myth: โ€œHigh fees mean the board is greedy.โ€
    Truth: Texas plumbing license renewal fees ($70โ€“$150) are below the national average ($120โ€“$200).
  3. Myth: โ€œThe board sets its own budget without oversight.โ€
    Truth: All budgets require approval from TDLR leadership and the Texas Legislature.

FAQ Section

Q1: Does the Texas Plumbing Board receive tax dollars?

No. The board is 100% funded by fees from licensees and applicants. It receives zero general revenue from state taxes.

Q2: How much does a Texas plumbing license cost?

Initial application fees range from $115 to $155, depending on license type (journeyman, tradesman, contractor). Renewals cost $70โ€“$110 every two years.

Q3: Who oversees the Texas Plumbing Board?

Since 2022, the TSBPE has been administratively housed under the Texas Department of Licensing and Regulation (TDLR), which provides centralized support and accountability.

Q4: Can I access the boardโ€™s financial reports?

Yes! All financial data is public. Visit TDLRโ€™s Reports & Data page for annual budgets, audits, and performance metrics.

Q5: Has the boardโ€™s budget increased recently?

Slightlyโ€”due to inflation and increased licensing volume. However, per-licensee costs have remained stable since 2020.

Q6: What happens if the board collects more than it spends?

Excess funds are either carried forward to cover future shortfalls or used to enhance services (e.g., faster application processing or online portal upgrades).


Conclusion

So, how much does the Texas Plumbing Board make a year? While it collects around $2.8 million annually, it doesnโ€™t โ€œmakeโ€ a profitโ€”it reinvests every dollar into protecting Texans through fair, efficient, and transparent plumbing regulation.

Understanding this distinction helps plumbers, contractors, and consumers appreciate the boardโ€™s role not as a revenue generator, but as a public safeguard. If you found this breakdown helpful, please share it with fellow tradespeople or on social mediaโ€”clarity benefits everyone in the industry!

๐Ÿ”ง Stay informed. Stay compliant. Keep Texas plumbing safe.

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