CTCM Texas Procurement Laws and Regulations 2 — Questions and Answers
Question 1: Which procurement method is required by Texas law when purchasing information technology commodities and services through cooperative contracts managed by DIR?
- Invitation for Bids (IFB)
- DIR cooperative contracts (Correct answer)
- Request for Proposals (RFP)
- Sole source justification
Correct answer: DIR cooperative contracts
Texas law requires most state agencies to use DIR cooperative contracts for IT commodities and services rather than conducting separate competitive solicitations.
Question 2: Under the Texas Government Code, what is the general competitive bidding threshold that triggers formal solicitation requirements for most state agencies?
- $5,000
- $10,000
- $25,000 (Correct answer)
- $50,000
Correct answer: $25,000
Texas state agencies generally must conduct formal competitive solicitation for purchases exceeding $25,000, requiring ESBD posting and structured bidding.
Question 3: A Texas state agency contract manager discovers a vendor is not HUB-certified but the solicitation required HUB subcontracting participation. What is the correct action?
- Waive the requirement if the vendor is the lowest bidder
- Verify whether the vendor submitted a HUB Subcontracting Plan as required (Correct answer)
- Immediately cancel the award
- Request the vendor self-certify as HUB
Correct answer: Verify whether the vendor submitted a HUB Subcontracting Plan as required
When HUB subcontracting participation is required, the contract manager must verify the vendor submitted an acceptable HUB Subcontracting Plan — the prime vendor need not itself be HUB-certified.
Question 4: Texas state agencies are required to report contract award information to the Comptroller within how many days of execution for contracts over $1 million?
- 10 days
- 30 days (Correct answer)
- 45 days
- 60 days
Correct answer: 30 days
Texas agencies must report contract awards exceeding $1 million to the Comptroller's Statewide Procurement Division within 30 days of contract execution.
Question 5: Which Texas law specifically prohibits state agencies from entering contracts with companies that boycott Israel?
- Texas Government Code §2270 (Correct answer)
- Texas Business & Commerce Code §17
- Texas Penal Code §31
- Texas Education Code §44
Correct answer: Texas Government Code §2270
Texas Government Code §2270 requires state agencies to include a certification that the contracting company does not boycott Israel as a condition of contract award.
Question 6: Under Texas law, a 'sole source' procurement justification is appropriate when which condition is documented?
- The vendor offers the lowest price in the market
- Only one vendor is capable of providing the required goods or services (Correct answer)
- The agency has previously worked with the vendor
- The procurement is under the formal bidding threshold
Correct answer: Only one vendor is capable of providing the required goods or services
Sole source justification is only valid when documented evidence shows that only one vendor is capable of meeting the agency's requirements, making competition impractical.
Which procurement method is required by Texas law when purchasing information technology commodities and services through cooperative contracts managed by DIR?