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I am in a services contracting office that made a decision to exercise two Option-Year periods concurrently. The contract's base-year period ends June 21, 2019, and Option-Period 1 starts on June 22, 2019; However, the program office has made the [questionable/potentially illegal] decision to also exercise Option-Period 2, which is not scheduled to commence until June 22, 2020, with an end-date of June 21, 2021. The intent is to exercise Option-Periods 1 and 2 by rolling the CLIN ceiling values of Option-Periods 1 and 2 into their respective base-period CLIN ceiling values. The contracting office cited the following advantages to the methodology of rolling the option-year CLINs into their respective base-period CLINs: 1) Programs can use unexpended funds on the base CLINs immediately, 2) Reduction in the number of CLINs for contract close-out, and 3) Reduction in contract administration overhead. The concern at hand is not whether or not it is okay to exercise the contract's Option-Period 1, as the base-year is coming to an end, but is it legal to exercise Option-Period 2 concurrently with Option-Period 1. Are there statutory regulations (FAR 17 or 37) to support exercising two option-year periods concurrently for service contracts. Please advise. Thank you much.