(CUI) FA220426CB006 Justification and Approval_Redacted_.pdf

This is a Justification and Approval (J&A) document for Other Than Full and Open Competition supporting a sole-source contract award to Continental Electronics Corporation (CEC) for development and delivery of a sub-scale transmit subsystem for the Homeland Defense Over-the-Horizon Radar (HLD-OTHR) weapon system.

The contracting office is the Air Force Materiel Command, Air Force Life Cycle Management Center, Ground-Based Air Defense Sensors Division (AFLCMC/ESGK) at Hanscom Air Force Base, Massachusetts. The estimated contract value is $200 million with a Period of Performance of approximately 24 months for initial contract support, followed by Contractor Logistics Support (CLS). The contract will utilize Firm Fixed Price (FFP) and Cost-Plus-Fixed-Fee (CPFF) contract types and will be funded with 3600 Research, Development, Test & Evaluation (RDT&E) funds. CEC, located in Dallas, Texas (CAGE Code 52151), is the sole source awardee based on statutory authority under 10 U.S.C. 2304(c)(1) and FAR 6.302-1(a)(2)(ii). The J&A justifies the sole-source award based on CEC's unique qualifications as the only US-based contractor capable of delivering the required transmit subsystem within the Program Decision Memorandum (PDM)-directed fielding timeline. Key justifications include: CEC's demonstrated expertise in OTHR transmitter technology from previous classified JEON program work; unacceptable schedule delays that would result from competition with alternative suppliers lacking necessary manufacturing capabilities and classified communication clearances; data access and rights concerns that have historically caused multi-month delays in negotiations; and supply chain risks identified with the only other potentially viable contractor. Market research conducted since 2022, including an initial RFI in Fall 2022 and follow-up Industry Day in December 2022, confirmed that only CEC and one other contractor were identified as potentially feasible vendors; however, the alternate contractor has been unable to respond to subsequent RFIs due to export control and data sharing agreement complications. The transmit subsystem will include transmitters, RF amplifier modules, transmission line, High Frequency (HF) antennas, signal distribution, program and engineering services, installation/site integration/testing/commissioning, and initial operational spares. The Government plans to pursue future competition for the receive subsystem, sensor C2 software, and full-system integration efforts.