Certified Texas Contract Manager Practice Exam 2025 – The Complete All-in-One Guide to Exam Success!

The correct choice indicates that procurement contracts over $1 million are subject to review by the Contract Advisory Team (CAT). This review process is significant because it helps ensure that large contracts follow appropriate guidelines, legal standards, and policies, which ultimately enhances accountability and transparency in government contracting. The involvement of the CAT provides an additional checkpoint, ensuring that contracts are favorable to the state and taxpayers, and that they comply with all relevant regulations.

The process ensures that large procurement contracts are well vetted before implementation, which is essential given the size of the expenditure and the potential impact on public resources. This aligns with the best practices in public administration, where oversight is necessary to maintain integrity and trust in the procurement process.

The other choices do not accurately reflect the requirements or practices surrounding procurement contracts over $1 million. Local governments do not manage these contracts exclusively; instead, various state agencies or departments may handle them. A formal solicitation process is required for contracts of this size to ensure competitive bidding, and bypassing the Centralized Master Bidders List (CMBL) requirements would undermine the principles of fair competition and vendor diversity that are essential in public procurement.