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

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Question: 1 / 400

In what circumstance must a vendor be reviewed by CAT-RAD?

For any service contract

If the anticipated contract value is $100,000 or greater

A vendor must be reviewed by CAT-RAD if the anticipated contract value is $100,000 or greater because this threshold is established to ensure that higher-value contracts undergo a more thorough assessment. This review process helps mitigate risks associated with significant expenditures and ensures compliance with applicable laws and regulations. The assessment aids in determining the vendor's qualifications, evaluating their past performance, and ensuring they are capable of fulfilling the contract obligations in a satisfactory manner.

In this context, contracts valued below this amount often have less stringent review requirements, as they are considered lower-risk agreements. As a result, options related to service contracts in general or those below specific monetary thresholds do not necessitate the same level of scrutiny as high-value contracts. Moreover, a case-by-case evaluation may be applicable under certain scenarios but does not establish a definitive guideline like the $100,000 threshold does. This clear financial benchmark ensures consistency and transparency in the review process for larger transactions.

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For contracts under $50,000

On a case-by-case basis only

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