Gonna be interesting. A lot of trailers ain't gonna pass without spending big bucks. Inspection stations are required to have a truck capable of towing all trailers. That is gonna cost them big bucks.
Here is what is to be inspected. Note no break a way switch.

05.06 Inspect All Trailers, Semitrailers, Pole Trailers, or Mobile Homes Exceeding 4,500 Pounds Actual Gross Weight or Registered Weight For: (Listed in suggested order of inspection) Refer to Federal Motor Carrier Safety Regulations, if required.

* Check for evidence of Financial Responsibility on towing vehicle

1. Brakes (system) (If gross weight exceeds 4,500 pounds)
2. Tires
3. Wheel Assembly
4. Safety Guards or Flaps (if four tires or more on rearmost axle) Pole trailers exempt.
5. Tail Lamps (2)
6. Stop Lamps (2)
7. License Plate Lamp (1)
8. Rear Red Reflectors (2)
9. Turn Signal Lamps
10. Clearance Lamps
11. Side Marker Lamps
12. Side Reflectors
13. Side Marker Lamps and Reflectors (30 feet or more in overall length)
(Refer to Reference Section as per lighting diagrams and as applicable to the particular trailer being inspected.)
14. Serial or Vehicle Identification Number
15. Window Tint.

The brake system is all the components. And yes, a break a way switch is required as part of the system.

Texas
Size limitations: Height, 14'; Width, 8'6"; Trailer length, not stated'; Motorhome length, 45'; Combined length, 65'.

Required Equipment: Safety chain, breakaway switch required on trailers over 3,000 pounds, flares or reflective signs, brakes on trailers with unladen weight of 4500 pounds.

Triple towing is permitted if combined length does not exceed 65'. Passengers are permitted to ride in pickup camper only. Overnight parking is as posted in state rest areas with a 24 hour limit.

So which one is it?

And I really don't know, I may be wrong on this, but doesn't the break free system function as part of the trailer brakes? If you don't have to have brakes on a trailer that weighs 3000 lbs, then how can you have a break free system on it? I don't have any experience with the break free systems, I know our TT and gooseneck have them, but we never hook them up.

I want to add to the confusion. I did some research and this is what I found. In Texas all trailers that are rated for 3000 lbs. must have trailer brakes and break away switches, but the law does not say that these trailers must be inspected. Trailers that weigh 4000 gvw or are rated to carry 4500 gvwr must be inspected. This law is not new, it has been around for a while, Texas just realized how much money they might be missing out on by not enforcing. Also a quick note; kwik kar says they ____do not___ inspect trailer brakes at this time, mainly because of liability. I hope that this is the right info, be sure to check for yourself!

My trailer sticker states Gross Weight of 4500 lbs. Am I exempt? The way I read it states exceeding 4500 lbs. Mine is a tandem trailer.

I want to add to the confusion. I did some research and this is what I found. In Texas all trailers that are rated for 3000 lbs. must have trailer brakes and break away switches,

Do you have a link for that?

I think the info you provided is incorrect.

"Brakes Required

A motor vehicle, trailer, semitrailer, pole trailer, or combination of those vehicles shall be equipped with brakes.

A trailer, semitrailer, or pole trailer is not required to have brakes if:

its gross weight is 4,500 pounds or less; or
its gross weight is heavier than 4,500 pounds but not heavier than 15,000 pounds, and it is drawn at a speed of not more than 30 miles per hour.

Each power unit must be equipped with a parking brake

A motor vehicle used to tow a trailer, semitrailer, or pole trailer equipped with brakes shall be equipped with service brakes arranged so that, in case of a breakaway of the towed vehicle, the towing vehicle is capable of stopping by use of its service brakes"

http://www.txdps.state.tx.us/cve/brakes.htm