Currently in the plugin of the Testimonial Widget, for the selection of categories or tags, the entry is accomplished by text entry. This can lead to problems if something is mistyped. I know, I’ve seen it. It looks like it renders the current page into the sidebar. How about minimizing that happening.
I invision the new input working similar to the tags widget in the WordPress Post area. As a user types, the widget starts offering suggestions. They can select the suggestion or continue typing. A comma starts the process a new since a comma signifies a new tag.
I imagine you have access to a list of available tags or categories; read and store them.
Now is Appearance>>Widgets>>Testimonial Widget>>Selection Options or in Plugin>>Testimonial Widget>>Selection, build an entry similar to the WordPress Post>>Tags widget.
As a user types, potential matches, build above, can be offered as suggestions. This would help to insure a match and minimize weird widget rendering because of weird cases.
I hope that clarifies.