UNCLASSIFIED

SOLE SOURCE JUSTIFICATION

PURSUANT TO FAR 8.401(b) AND GSAR 538.7104-3(b)(2) FOR ORDERS OR BPAS UNDER THE FEDERAL

SUPPLY SCHEDULE WITH AN ESTIMATED VALUE EXCEEDING THE SIMPLIFIED ACQUISITION THRESHOLD

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THIS ACQUISITION IS CONDUCTED UNDER THE AUTHORITY OF THE FEDERAL SUPPLY SCHEDULE (FSS) PROGRAM. IN

ACCORDANCE WITH FAR 8.401(b), ORDERS PLACED UNDER THE FSS MUST FOLLOW THE ORDERING PROCEDURES

DOCUMENTED IN THE GENERAL SERVICES ACQUISITION REGULATION (GSAR) AT SUBPART 538.71.

CONTROL NUMBER: JA-FY26-113

1. IDENTIFICATION OF THE AGENCY AND THE CONTRACTING ACTIVITY.

National Geospatial-Intelligence Agency / Office of Contract Services

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED.

The nature of this action being approved is to execute and extension to the HYDRA 2 Firm-Fixed Price (FFP) & Labor Hour (LH) contract, GSA Number GS35F239BA, Contract number HM047623F0008, to extend the period of performance for two years 31 Oct 2026 – 30 Oct 2028) and increase the contract value. The scope for the HYDRA 2 contract was determined to be necessary to support national security and safety of navigation to protect life and property, both in the continental United States and overseas.

The current contract is set to expire on 30 October 2026 and a bridge contract is required until a follow-on competitive contract can be awarded.

In accordance with FAR 8.405-6(a)(1)(i)(C), the required scope to represents a logical follow-on to the original order in the interest of economy and efficiency. This requirement will have a Period of Performance (POP) that consistent of a 12-month Base Period and two (2) 6-month Optional Periods.

Total POP will be for 24 months.

3. ESTIMATED VALUE AND PERIOD OF PERFORMANCE OR PROJECTED DELIVERY SCHEDULE.

a. ESTIMATED VALUE ($M): 16M

b. PERIOD OF PERFORMANCE, INCLUDING ALL OPTION PERIODS, OR PROJECTED DELIVERY SCHEDULE:

Base Period: 31 October 2026 – 30 October 2027 (12 Months)

Option Period 1: 31 October 2027 – 30 April 2028 (6 Months)

Option Period 2: 1 May 2028 - 30 October 2028 (6 Months)

4. IDENTIFICATION OF THE AUTHORITY AND CIRCUMSTANCE UNDER GENERAL SERVICES ACQUISITION

REGULATION (GSAR) 538.7104-3(b)(1) OR 538.7104-4(b)(2)(ii) THAT JUSTIFIES AWARD ON A

SOLE SOURCE BASIS.

GSAR 538.7104-3(b)(iii) -- The order should be issued on a sole source basis in the interest of economy and efficiency because it is a logical follow-on to an FSS order already issued on a competitive basis.

5. DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS.

FSS Sole Source Justification exceeding SAT

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The agency requires continued access to supplies and services necessary to operate, maintain, support, enhance, and modernize the Hydra environment, which provides mission-essential functionality for Intelligence Dissemination and Safety of Navigation Dissemination in support of Title 10 and Title 50 requirements. Hydra supports critical operational and national security missions; therefore, the agency’s need is for comprehensive contractor support capable of sustaining current operations while implementing capability improvements required to address evolving mission, technical, and security requirements. The required supplies and services encompass the full range of activities necessary to ensure continuity of operations, system availability, cybersecurity, interoperability, lifecycle sustainment, and the orderly development, integration, testing, deployment, and support of new and enhanced capabilities.

The agency’s requirement includes support for military operations associated with planned and contingency missions. Specifically, the agency requires contractor support for activities that enable operational execution; sustain safety of navigation maritime; and perform basic watch functions necessary to maintain mission continuity and operational responsiveness. The requirement further includes support necessary to enable the agency’s response to national emergencies and to sustain the command-and-control systems, communications networks, and situational awareness capabilities upon which operational mission performance depends. In addition, the agency requires support for intelligence, surveillance, and reconnaissance operations through the maintenance and enhancement of mission systems, applications, infrastructure, and data flows necessary to provide timely, reliable, and secure operational support. The services are also required to maintain the integrity, availability, and operational reliability of national security systems and associated data essential to mission accomplishment.

The agency also requires services necessary to sustain critical systems and infrastructure supporting national security functions. This includes maintaining, protecting, and enhancing the technical environment that supports intelligence dissemination, mission coordination, and mission assurance activities. The required support must ensure the continued integrity, confidentiality, availability, and resilience of classified information, classified systems, and related supporting infrastructure. Because interruption, degradation, or loss of Hydra capabilities would adversely affect the agency’s ability to execute assigned missions, the requested supplies and services are necessary to preserve operational readiness, support statutory and mission requirements, and ensure the agency can continue to execute its responsibilities in a secure, reliable, and effective manner.

6. DEMONSTRATION OF THE CONTRACTOR’S UNIQUE QUALIFICATIONS TO PROVIDE THE REQUIRED

SUPPLY OR SERVICE THAT REQUIRES USE OF THE AUTHORITY CITED.

The present Contractor is the only vendor with knowledge and hands on experience for the Hydra program’s mission critical national security systems currently being used to support intelligence and maritime dissemination during recent combat operations. Additionally, this Contractor is modernizing applications, deploying capabilities across NGA networks, and implementing artificial intelligence in support of current operations. The two-year duration of this extension contract is to enable NGA’s warfighter support right now and prepare for future consolidation with other NGA contracts by FY28.

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This is an extension for the continued provision of highly specialized services, and it is likely that award to any other source would result in substantial duplication of cost or unacceptable delays. The current vendor, CACI, Inc., is a known entity with satisfactory performance that has shown the flexibility to adapt to fast-changing requirements based on Agency needs. A new vendor would require time in order to ramp up and transition to be capable of performing the HYDRA 2 requirements. At minimum, the Government would suffer a delay in performance because a new vendor would have to get up to speed and the transition of assets and resources would need to be addressed.

7. CONTRACTING OFFICER DETERMINATION THAT THE ORDER REPRESENTS THE BEST VALUE.

The Contracting Officer (CO) will evaluate the proposed pricing to verify proposed rates are at or below approved GSA schedule rates and that the total proposed price is fair and reasonable. The CO will confirm that the addition of work to the order represents the best value to meet the Government’s needs.

8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED.

Market Research was originally conducted in March 2023, for the initial contract. This order was originally awarded from a competitive solicitation which sought to obtain competition through standard FAR Subpart 8.4 acquisition practices. The Government intends to conduct thorough market research as part of the complete acquisition planning cycle to achieve a competitive environment for the follow-on contract in the FY28 timeframe. No additional market research has been conducted as the intent is to maintain continuity of services through the extension of the current contractual relationship.

9. ANY OTHER FACTS SUPPORTING THE JUSTIFICATION.

This contract extension is not yet in place as the Government is in the process of an acquisition to award a future contract designed to bundle services from other contracts and adjust to Agency direction. This extension will be divided into one 12-month, followed by two 6-month POPs, allowing flexibility to align with the other program’s contracts and enter the acquisition process with merged contract services. A 2-year extension is based on the anticipation of the next full and open acquisition taking 18 to 24 months to complete. The extension can be stopped before entering either of the 6-month POPs if the follow-on acquisition is awarded before 2-years.

As program requirements evolve, and the availability of competitive offerings change, program options for future purchases will be examined. The requirements office will continue to strive to promote competition to the maximum extent possible. This will be the opportunity for other providers to participate in market research and potential competitive acquisitions.

Prior to the conclusion of this extension, NGA plans to gain a better understanding of industries current ability to meet NGA’s requirements by issuing a Request for Information (RFI), holding an industry day, and schedule one-on-one discussions with vendors in order to conduct solid market research.

10. STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME ANY

BARRIERS THAT LED TO THE RESTRICTED CONSIDERATION BEFORE ANY SUBSEQUENT ACQUISITION

FOR THE SUPPLIES OR SERVICES IS MADE.

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We are proceeding with an extension of the current contract to maintain essential services while simultaneously conducting a comprehensive assessment of our evolving requirements. This extension period will provide the necessary time to thoroughly define and align future contractual specifications with NGA strategic objectives

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CERTIFICATIONS, REVIEWS AND APPROVAL

FSS ORDER OR BPA WITH AN ESTIMATED VALUE EXCEEDING $900,000 BUT NOT EXCEEDING $20 MILLION

PM/COR CERTIFICATION:

I certify that any supporting facts and data under my responsibility which form a basis for this Sole Source Justification are accurate and complete to the best of my knowledge and belief.

SIGNATURE: DATE:

Annette J Diebold Deputy PM/COR, PGA

PM/COR’S FIRST LINE SUPERVISOR CERTIFICATION:

I certify that the facts and data which are included in this Sole Source Justification are accurate and complete to the best of my knowledge and belief.

SIGNATURE: DATE:

Karen Delgado Supervisory Program Manager

CONTRACTING OFFICER’S CERTIFICATION:

I certify that this Sole Source Justification is accurate and complete to the best of my knowledge and belief.

SIGNATURE: DATE:

Erika S. Hessler Contracting Officer

OCSG

PROCURING ACTIVITY COMPETITION ADVOCATE APPROVAL:

I have reviewed this Sole Source Justification and find it accurate and complete to the best of my knowledge and belief.

SIGNATURE: DATE:

Lloyd W. Johnson Procuring Activity Competition Advocate OCSG Division Chief

9/21/2026

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