JOFOC HHM402-21-D-0150 CEILING INCREASE FINAL.pdf

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DIA JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION
Solicitation number
J-FY27-0004
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Justification for Other Than Full and Open Competition

This document is a justification for non-competitive contracting action J-FY27-0008 issued by the Defense Intelligence Agency (DIA), Virginia Contracting Activity on October 5, 2026.

The contracting action seeks approval to increase the ceiling for an Indefinite Delivery/Indefinite Quantity (IDIQ) contract HIM402-21-D-0150 titled "Threat System Support" with KBR Wyle Services LLC (referred to as "KBR"). The current ceiling is $79,467,840.00, and the agency is requesting an increase to $145,000,000.00—an increase of $65,532,160.00. The IDIQ contract was originally awarded on May 22, 2021, with a five-year base period and five-year option period expiring May 21, 2031. To date, MSIC has awarded 22 task orders totaling $69,427,546.85 against the current ceiling, with an additional $1 million in pending obligations expected to reach the current ceiling by fiscal year 2027.

The services involve contractor support to the Missile and Space Intelligence Center (MSIC) Test & Evaluation Resource Activity (TETRA) in providing threat intelligence analysis and threat resource analysis to the Director, Operational Test and Evaluation (DOT&E) and supporting various directorates including Land and Expeditionary Warfare, Air Warfare, Space and Strategic Warfare, Live Fire T&E, and the Cyber Assessment Program. The ceiling increase is justified under FAR 6.103-1 (Only One Responsible Source) because KBR possesses unique qualifications developed through over five years of continuous support to MSIC, including specialized expertise in threat intelligence analysis, electronic warfare, cyber operations, and artificial intelligence/machine learning across multiple organizational frameworks. The contracting officer determined anticipated prices are fair and reasonable based on historical costs and verified labor category rates against Bureau of Labor Statistics data. Market research concluded that re-competing a replacement IDIQ would require approximately 350 days, creating unacceptable service gaps and mission delays, making continuation with the current contractor the most advantageous option to leverage five remaining ordering periods expiring May 2031.

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