P00005_47QFPA24F0011_LSJ_ExtensionofServices_2025_08_29_Redacted.pdf

CUI//SP-SSEL

The General Services Administration (GSA) Assisted Acquisition Services (AAS) makes this Sole Source Justification for an order pursuant to FAR 8.405-6(a)(1)(i)(a).

i.) Identification of Agency and Contracting Activity:

Agency:

GSA AAS acting in support of Department of Housing and Urban Development (HUD) Contracting Activity:

GSA AAS Contracting Office (QFCE) 1800 F Street, NW Washington, D.C. 20405 ii.) Nature and/or Description of Action Being Approved:

This sole source justification supports a contract modification to add one (1) month or 30 days of performance.

This procurement is categorized under North American Industry Classification System (NAICS) 541512 - Computer Systems Design Services, and Product Service Code (PSC) DH01 - IT and Telecom - Platform Support Services: Database, Mainframe, Middleware (Labor).

Current Contract Information Task order 47QFPA20F0113 was issued through a competitive process, and not issued under a sole-source or limited-source justification ordering procedures. Task order 47QFPA24F0011 was issued as a sole source order under then FAR 8.405-6 Limited Sources to 47QFPA20F0113, as the government undertook the competitive procurement process for a follow on task order.

Task Orders 47QFPA24F0011 and 47QFPA20F0113 were issued and administered by GSA Region 9. However, the regional structure no longer exists, and the responsibility for this requirement has since been transferred to the Civilian Business Unit, Sector 3.

The current task order, 47QFPA24F0011, is in the six-month extension, with a total contract value of $ including the six-month extension. The six month contract extension, was executed under FAR clause 52.217-8, ends on August 31, 2025.

However, this 30 day contract extension will extend 47QFPA24F001’s period of performance from September 1, 2025 to September 30, 2025.

The contract extension is needed so the Government would have transition services following the GAO protests, dated July 21, 2025 and July 28, 2025, of 47QFDA25F0010.

This sole-source contractual extension of the existing order is authorized under FAR 8.405- 6(a)(1)(i)(a) due to the urgent need for commercial IT services for system operations, functionality, and continuity, where providing a fair opportunity would cause unacceptable delays. These commercial IT services are vital for HUD’s core grants management

Current Total Funded Value $

New Total Funded Value (Including this modification) iv.) The Authority and Supporting Rationale:

The acquisition is conducted under the authority of the Multiple-Award Schedule (MAS) Program. Consideration of schedule contractors will be restricted in accordance with:

a. FAR 8.405-6(a)(1)(i)(a)

Supporting Rationale

This contract extension is necessary because the competitive follow-on task order (47QFDA25F0010), awarded in July of 2025, was under GAO protest and could not be executed. Both GAO protests were resolved as of August 25, 2025; however, the Government requires additional time to complete an orderly transition from the incumbent contractor to the follow-on awardee. To avoid a lapse in critical services, the current task order must be extended for an additional 30 days to serve as the transition-out period.

The existing task order is 17 months in length, inclusive of a six-month extension. The proposed modification would add an additional month, resulting in a total period of performance of 18 months, which is under three years. FAR 17.204 allows the Government to award a single contract to acquire services for more than one but not more than five years, including the base year/period and all contract options.

Contract options and contract extensions, while seemingly similar, represent distinct mechanisms for prolonging a contractual relationship. An option is a unilateral right reserved by the Government in a contract that allows them, for a specified period, to acquire additional supplies or services already outlined in the contract, or to extend the contract's term.

The Government has the sole discretion to exercise or not exercise the option. If the Government decides not to exercise the option, the contractor typically has no recourse, as it's not considered a contract termination.

A contract extension, as commonly used, refers to the act of extending the term or period of performance of an existing contract beyond its initial completion date. Unlike an option, which is a right built into the original contract, an extension often requires a modification to the contract, and may necessitate negotiation between the Government and the contractor, particularly if the extension involves changes to scope, cost, or other terms and conditions not already addressed in the original contract.

Extensions are typically used to address unforeseen delays or situations beyond the control of the contracting office, like GAO protests. Options provide the Government with the unilateral right to extend or acquire additional items or services. Extensions, on the other hand, frequently involve a bilateral agreement through a contract modification.

Since the Government can award single contract actions up to five years, and contract 47QFPA24F0011 has completed just 17 months of total performance, the Government will bilaterally modify the contract to add another month to its period of performance. The additional month of performance included per the modification will not cause contract 47QFPA24F0011 to exceed five (5) years outlined in FAR 17.204. By extending the contract duration, the Government will also increase the contract value in the amount of

The Government will neither issue a new sole source contract award in accordance with FAR 8.405-6 nor use a new Procurement Instrument Identifier for a new contractual action to keep the systems operational. Awarding a sole source contract to another vendor is not feasible due to the time constraint.

The Government will negotiate with the incumbent contractor to bilaterally modify and extend its contract period for a total of one month. The modifications will also include incorporating the revised PWS and new pricing for the contractor to provide commercial IT services to keep the systems operational; thus, HUD can continue its mission and progress to preventing homelessness, helping homeowners refinance and avoid foreclosure; and provide assistance to tenants for affordable and suitable rental properties, and creating healthier home environments.

v.) Determination by the Ordering Activity Contracting Officer that the Order Represents the Best Value:

The anticipated cost to the Government is $ The basis for the IGCE is based on labor rates and hours from the most recent contract period of the active task order 47QFPA24F0011 (issued off the Multiple Award Schedule (MAS)).

Overall Price Reasonableness was determined by considering the Contractor’s mix of labor and level of effort. HUD determined that the labor mix and level of effort were sufficient and consistent with the labor mix and level of effort on the current task order. The contractor’s quote was evaluated against its current published price list, and the labor rates quoted were the same as the rates in the Contractors published price list.

The quote submitted by for this modification to add a one-month option period has been determined to be the best value for the Government.

vi.) Description of the Market Research Conducted Among Schedule Holders and the Results of the Research:

The market research conducted for this modification to add a one month option period included contacts with the HUD representative who is knowledgeable of the requirement.

Also, a review of the prior acquisition market research findings confirmed that there are available GWACs and the MAS Schedule 70 contractors that could provide the commercial IT services. However, the expedited nature of the needed commercial IT services and the familiarity with the impacted systems limited consideration to just

The CALC tool provides pricing information drawn from rates awarded under GSA Multiple Award Schedule contracts. The CALC tool was utilized as part of the market research. rates on their quote were reviewed and found to be consistent with the rates reflected in the CALC tool.

The imminent August 31, 2025 expiration of the current task order leaves insufficient time to conduct an orderly transition-out to the new awardee. Therefore, a 30 day contract extension is required to allow for the necessary transition of services to ensure continuity of operations.

vii.) Any Other Facts Supporting the Justification:

The Contracting Officer (CO) determined that although the GAO protests have been resolved, the Government still requires additional time to complete an orderly transition from the incumbent contractor to the new awardee.

To mitigate a break in service for this mission critical requirement, a 30 day contract extension to the current task order is necessary to serve as the transition period. has been performing satisfactorily based on the most recent contractor performance assessment completed in November of 2024, and there are no active exclusion records for in the System for Award Management (SAM).

viii.) 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:

The competitive follow-on contract for the work under the awarded task order had been under two GAO protests, dated July 21, 2025 and July 28, 2025. As of August 25, 2025, the GAO protests were withdrawn following the strength of the Government’s response and supporting documentation, and the acquisition has been awarded. Although the protests have been withdrawn and the award of 47QFDA250010 finalized, the Government still requires a short extension to the current task order to provide transition from the incumbent contractor to the new awardee, ensuring continuity of services.