Texas Private Security Board Qualified Manager
Examination | Latest Verified Questions and
Detailed Answers
OVERVIEW DESCRIPTION:
The Texas Private Security Board Qualified Manager Examination assesses an applicant’s
knowledge of the Texas Occupations Code Chapter 1702 and the administrative rules
under Title 37 of the Texas Administrative Code, which govern the private security and
private investigation industries in Texas. The exam covers key areas such as board
structure and member qualifications, licensing requirements for guard, locksmith, alarm,
and armored car companies, insurance and bond mandates, grounds for license denial or
revocation, penal provisions including impersonation offenses, and the duties of a qualified
manager. Successful completion is required for individuals seeking to serve as the
designated company representative whose qualifications form the basis for a private
security company license.
QUESTION 1
What is the primary function of the Texas Private Security Board as described in the
Texas Occupations Code?
A) To employ all security officers in the state
B) To license and regulate the private security and private investigation industry
C) To provide security services to state agencies
D) To set local curfews for security guards
CORRECT ANSWER: B) To license and regulate the private security and private
investigation industry
EXPERT RATIONALE: The board's primary duty is to license investigations companies,
security services contractors, and regulate license holders under Chapter 1702 .
QUESTION 2
Under which governmental entity does the Texas Private Security Board operate?
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A) Texas Municipal League
B) Texas Department of Public Safety
C) Texas Attorney General’s Office
D) Texas Department of Licensing and Regulation
CORRECT ANSWER: B) Texas Department of Public Safety
EXPERT RATIONALE: The board is a part of the Texas Department of Public Safety,
which administers Chapter 1702 through the board .
QUESTION 3
How many members serve on the Texas Private Security Board?
A) Five
B) Seven
C) Nine
D) Eleven
CORRECT ANSWER: B) Seven
EXPERT RATIONALE: The board consists of seven members appointed by the governor
with the advice and consent of the senate .
QUESTION 4
How long is the term for a member of the Texas Private Security Board?
A) Two years
B) Four years
C) Six years
D) Eight years
CORRECT ANSWER: C) Six years
EXPERT RATIONALE: Board members serve staggered six-year terms, with the terms of
two or three members expiring on January 31 of each odd-numbered year .
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QUESTION 5
A person may not be a public member of the board if they own more than what
percentage interest in a regulated business?
A) 5%
B) 10%
C) 15%
D) 20%
CORRECT ANSWER: B) 10%
EXPERT RATIONALE: To maintain impartiality, a public member cannot own or control,
directly or indirectly, more than a 10 percent interest in a business entity regulated by
the board .
QUESTION 6
Who appoints the members of the Texas Private Security Board?
A) The Lieutenant Governor
B) The Speaker of the House
C) The Governor
D) The Director of DPS
CORRECT ANSWER: C) The Governor
EXPERT RATIONALE: The governor appoints all seven board members, with the advice
and consent of the senate .
QUESTION 7
Which of the following is a ground for removal of a board member?
A) Missing one meeting per year
B) Failure to maintain qualifications required at the time of appointment
C) Voting against a proposed rule
D) Owning less than 10% of a security company
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CORRECT ANSWER: B) Failure to maintain qualifications required at the time of
appointment
EXPERT RATIONALE: It is a specific ground for removal if a member does not maintain
the qualifications required by Section 1702.021 during service on the board .
QUESTION 8
According to the Occupations Code, a "Texas trade association" refers to:
A) Any labor union in Texas
B) A voluntary association of business competitors designed to assist in dealing with
mutual problems
C) The Texas Chamber of Commerce
D) A state-run regulatory body
CORRECT ANSWER: B) A voluntary association of business competitors designed to
assist in dealing with mutual problems
EXPERT RATIONALE: The code specifically defines a Texas trade association as a
cooperative and voluntarily joined association of business or professional competitors in
this state .
QUESTION 9
What type of license is required for a business that sells, installs, or services deadbolts
and locks?
A) Alarm Systems Company
B) Guard Company
C) Locksmith Company
D) Investigations Company
CORRECT ANSWER: C) Locksmith Company
EXPERT RATIONALE: A person acts as a locksmith company if they sell, install, service,
or maintain mechanical security devices, including deadbolts and locks .