47QFDA26K0011_HUD_SFH_JandA_Single_Source_2026-08-25 - Redacted.pdf

This is a Justification and Approval for Other Than Full and Open Competition (Sole Source Bridge Contract).

GSA Assisted Acquisition Services (AAS) is awarding a firm-fixed-price sole-source bridge contract to Pyramid Systems, Inc. (PSI) under Solicitation 47QF DA26K0011 to provide Single Family Housing (SFH) Information Technology Operations and Maintenance Support for the Department of Housing and Urban Development (HUD), Office of the Chief Information Officer (OCIO). The contract is being awarded under GSAR 538.7104-3(b)(ii) authority (Only One Responsible Source) and will span a base period from September 24, 2026, through September 23, 2028, with an optional six-month extension. The current task order supporting this requirement (47QF DA21F0008) expires September 23, 2026, and the new competitive acquisition cannot be completed in time to prevent service disruption. PSI is the incumbent contractor and the only viable source capable of maintaining continuity of critical mission-essential SFH IT operations during the interim period while a full and open competitive multiple award blanket purchase agreement (BPA) is conducted.

The bridge contract covers Operations and Maintenance (O&M) of 19 SFH information systems, including AFOCS, CHUMS, CAIVRS, DSRS, EDIS, FHAC, Housing Counseling System, LEAP, LAMS, and others. PSI possesses embedded operational knowledge, cleared and credentialed workforce, system access, technical environment familiarity, and established processes necessary to sustain uninterrupted support without acceptable disruption. The justification documents that transition to another contractor would incur substantial, largely non-recoverable costs estimated between $10.36 million and $15.54 million, plus direct agency overhead of approximately $15,000 to $40,000 per cleared FTE. Market research conducted on August 18, 2026, surveyed nine BPA holders; six expressed interest, but PSI was uniquely capable of meeting sole-source requirements within the required timeframe on a firm-fixed-price basis. HUD plans to conduct a competitive recompete under new BPAs in the fourth quarter of FY27 with updated technical requirements emphasizing AI-enabled modernization capabilities.