JA_22072.1_RADA_Sole_Source_FE_REDACTED.pdf

UNITED STATES MARINE CORPS

MARINE CORPS SYSTEMS COMMAND

2200 LESTER STREET

QUANTICO, VIRGINIA 22134-5050

IN REPLY REFER TO

CT Code: 028 J&A Number: 22,072.1

04 November 2024

JUSTIFICATION AND APPROVAL (J&A)

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Marine Corps Systems Command (MARCORSYSCOM) Program Executive Officer Land Systems (PEO LS) Program Manager Ground Based Air Defense (PM GBAD) 2200 Lester Street Quantico, VA 22134-50

2. Description of the Action Being Approved.

The proposed amendment to J&A 22,072, approved on 02 February 2022, seeks to increase the five-year contract M67854-22-C-0025 ceiling amount from with RADA Technologies, LLC (hereafter referred to as RADA), 20511 Seneca Meadows Parkway Suite 100, Germantown, MD 20876. The current cost-plus-fixed-fee contract covers the use of other than full and open competition to procure RADA’s Multi-Mission Hemispheric Radar (MHR) and Enhanced Compact Hemispheric Radar (eCHR) software, hardware, software maintenance and modification services. The increase will fund additional requirements resulting from Marine Air Defense Integrated System (MADIS) testing. The anticipated contract action will procure RADA Maintenance Test Kits and several research, development, test, and evaluation efforts that will increase the operational readiness and reliability of the Enhanced Compact Hemispheric Radar (eCHR).

3. Description of Supplies/Services.

Contract M67854-22-C-0025 was awarded 21 March 2022 to procure MHR and eCHR hardware and support services. These are small form-fit tactical pulse-Doppler Active Electronically Scanned Array (AESA) radars that can detect, classify, and track a variety of targets, including aerial objects (e.g., fighter aircraft, helicopters, Unmanned Aerial Systems [UASs]), fires (e.g., mortars, short-range rockets and missiles, anti-tank guided missiles), and surface movers (e.g., humans, ground vehicles).

The MHR and eCHR are advanced software-defined radar systems that are entirely solid-state and digital, compact, and mobile with no moving components. The operator configures, operates, controls, and monitors the radar system through the different computer software applications provided with each radar system. This includes the Radar Array Operating Software, Array Firmware, Radar Configuration mode files and the Radar utility configuration application.

The eCHR is a radar system modified to meet the Marine Corps MADIS requirements. Contract M67854-22-C-0025 is a follow-on to services and supplies previously performed under contract M67854-20-C-0001, which was awarded on a sole source basis under approved J&A 20,021, dated 25 November 2019.

The required supplies and services include the continued software lifecycle management support activities needed to test and sustain the eCHR radars and associated software applications within the MADIS software baseline, such as firmware updates and radar mode file development; continued procurement of necessary licenses; software maintenance; and providing updates and modifications to the core radar software for integration, test, and evaluation program activities. Additionally, the requirement includes services for the repair and maintenance of radar component hardware in support of the MADIS Family of Systems as well as options to procure spare radar trays and additional radar systems if existing program approved acquisition objective quantities increase.

Additional requirements have been identified since the award of Contract M67854-22-C-0025 and include the procurement of RADA Maintenance Test Kits to enhance the maintenance and testing capabilities of the eCHR systems and thereby improve operational readiness and reliability. Increasing the inventory levels of critical repair hardware required for Return Merchandise Authorizations (RMAs) is another added requirement that will expedite repair processes, reduce Repair Turn-Around Time (RTAT), and minimize downtime.

Several research and development efforts aimed at enhancing eCHR capabilities are also included, such as an analysis of eCHR failures that occurred during testing to inform design improvements. Research, analysis, and testing of eCHR maintainability issues to develop a comprehensive list of Built-In Test (BIT) fault isolation codes and a troubleshooting guide is another identified requirement. Other planned research and development efforts include analysis and testing of power requirements, enhancements to the Mobile Connection Box Processor for artificial intelligence capabilities and simplified software updates, and a feasibility study of integrating a X-Band radar with MADIS.

To advance and refine system capabilities, future engineering studies will be conducted to evaluate and implement innovative solutions, address emerging requirements, and ensure system optimization. These studies will leverage RADA’s expertise to enhance performance, integrate new technologies, and maintain alignment with operation objectives. This proactive approach will ensure that the systems remain effective and responsive to evolving needs and technology advancements.

This comprehensive approach aims to ensure higher reliability, reduce downtime, and enhance capabilities for the radar systems to meet the evolving operational needs of the Marine Corps.

Estimated Dollar Value

The new estimated dollar value, inclusive of prior and new requirements is . The dollar value for new requirements was based on an Independent Government Cost Estimate (IGCE). The funding profile, by Fiscal Year (FY), is in Table 1. Research Development Test and Evaluation (RDT&E), Procurement Marine Corps (PMC) and Operations and Maintenance Marine Corps (OMMC) funding are planned for this effort.

maintain interoperability with all the associated information systems, which are also currently integrated into the overall MADIS structure, as these systems continue to upgrade and refresh over time. Furthermore, the radar must continue to maintain operational relevance, which will necessitate integration of new interfaces, features, and capabilities within the applications. Due to these activities, the program will require contractual arrangements with RADA to provide the products and services needed to support and sustain the operational relevance of MADIS.

The alternative to a sole source effort would require the program office to competitively develop, integrate, and test an alternative radar solution while concurrently sustaining existing systems.

The development of an alternative radar solution would require approximately four years to develop a requirement, develop and release a solicitation, conduct a competitive source selection with evaluation, discussions, and award, and then contractor performance through the development and delivery of the updated system, followed by Government integration, testing, engineering change proposal development to modify the MADIS design, and technical manual and training material updates.

In addition to limited technical data rights and the extent to which the current RADA software is highly integrated into the MADIS framework, there are significant duplication of costs associated with re-procurement. Table 2 represents a breakdown of the duplication of costs anticipated if the Government chose another vendor to develop a new radar system. The costs were derived by the cost estimating team from historical data on the current radar system, with adjustments for inflation by year. These are the costs for re-procurement, and do not include costs associated with personnel resources necessary to conduct a full and open competition for a new system.

Table 2 – Duplication of Costs through Inclusion of a New Source

Category Assumptions / Calculations Cost

Vendor Development, Integration and Testing of a new Radar System

Cost to develop replacement radars and integrate into MADIS

Government Integration, Test and Test Support

Cost to fund functional team and testing to evaluate performance during Government test and analyze data deliverables.

Procurement of replacement radars for fielded systems

Low-Rate Initial Production and FRP Lot 1 – 4 systems would require replacement radar after fielding

Total Duplication of Costs

Based on the aforementioned reasons, award to any source other than RADA would result in a substantial duplication of costs that are not expected to be recovered through competition. The Government would also incur additional program risks and lifecycle costs associated with the development and sustainment of numerous radars with unique configurations until all fielded systems are updated to the replacement radar.

Without the continuation of these services and supplies from RADA, there will be no additional radar updates and modifications. There will also be a lack of maintenance of the physical radar and software.

Lack of these services will critically endanger the ability of the system to identify existing and emerging threats during operation of Counter Unmanned Aircraft Systems(C-UAS), thereby adversely affecting the overall system and increasing the risk to deployed Marines in UAS threat environments.

Critical actions specific to this effort will not take place, including updating the software baseline;

updating product documentation (operator and maintenance manuals); training operators and maintainers on use of RADA software; updating and delivering system and software engineering artifacts; updating cybersecurity requirements; and delivering the associated software releases. The RADA software will require modification to meet several external factors (e.g., cybersecurity updates, enhancements, and defect corrections).

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

In accordance with FAR 5.201, the Government posted a Notice of Sources Sought via a Request for Information (RFI) on 27 October 2021 to SAM.gov (M67854-22-I-0010) with a closing date of 27 November 2021. Two responses were received: one from Novetta and the other from RADA. Based upon the responses to the RFI, additional information was sought from Novetta and questions were provided to the organization. Novetta submitted responses on 8 December 2021. An initial notice of Intent to Sole Source was posted on SAM.gov on 12 January 2022, with a closing date of 27 January 2022. No responses were received. The requirements for the ceiling increase were synopsized on 17 September 2024; no responses were received.

The Product Manager Fixed Site signed a market research assessment report on 6 January 2022. PM GBAD’s analysis of the responses found that Novetta did not possess the necessary capabilities or experience to successfully support the current RADA software and hardware. The review found that Novetta was not a viable source. As discussed in the market research assessment report, Novetta was unable to show how they intended to maintain proprietary radar software and hardware and lacked sufficient knowledge to perform the requirements of the contract.

Based on the Government’s assessment of industry capabilities, the Government determined that RADA is the only known source able to provide services and supplies for the continued support of the radar requirements of the MADIS.

7. Determination of Fair and Reasonable Cost.

In accordance with FAR 15.402(a), the Contracting Officer will ensure that the services and supplies procured as a result of this J&A are at fair and reasonable prices. The Contractor will be required to submit a formal proposal with certified cost and pricing data and sufficient information to support the accuracy and reliability of their estimates. The technical analysts from the MADIS Program Management Office and contract specialists, with the assistance of Defense Contract Management Agency (DCMA) and Defense Contract Audit Agency (DCAA) auditors as needed, will perform an analysis of the proposal. The Contracting Officer will also consider other sources of data related to prices, relying first on data available within the Government and secondarily on data obtained from sources other than the offeror. Sources for all such data include but are not limited to the IGCE, cost and price analysis, historical pricing data, and DCMA. Furthermore, the Government will also use the Program Management Office’s independent cost estimate as part of the evaluation of the proposal to validate that the overall price is fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

J&A 20,021 for Contract M67854-20-C-0001 states, “if another potential source emerges, PEO LS will assess whether competition for future requirements is feasible.” Based upon the market research conducted for Contract M67854-22-C-0025, no other sources emerged with the capabilities to perform the requirement. For the reasons set forth in paragraph 5, PEO LS has no plans to compete the radar system hardware and software lifecycle management support.

A TDP for the radar system is not currently available to facilitate competition. If future procurements of the supplies and services described herein are necessary beyond the current procurement, and if another potential source emerges, then PEO LS will assess whether competition for future requirements is feasible.