Redacted JA 24-0094.pdf

This is a Justification and Approval (J&A) document authorizing a sole-source contract award for BQM-177A Subsonic Aerial Target (SSAT) system components and support services.

The Naval Air Warfare Center Weapons Division (NAWCWD) in China Lake, California is awarding a sole-source contract to Kratos Unmanned Aerial Systems, Inc. (KUAS), located at 5381 Raley Boulevard, Sacramento, California. KUAS will provide Pre-Expended Bin (PEB) replenishment components and post-flight consumable hardware required to maintain the BQM-177A target system for flight testing conducted by the Threat Target Systems Department at NAWCWD in support of PMA-208 aerial targets program. The estimated contract value is $13.2 million for FY24-28. The sole-source justification is based on 10 U.S.C. Section 3204(c)(1), citing that only one responsible source can satisfy agency requirements. KUAS is identified as the sole designer, developer, and manufacturer of the BQM-177A SSAT with exclusive technical data rights and mission kits, special tooling, software, and support equipment. A competitive award would result in substantial cost duplication that cannot be recovered through competition. NAWCWD issued Sources Sought Synopses on August 14, 2023 and March 13, 2024 with no responses received, and the Program Management Office has identified no alternative sources capable of meeting requirements. The Contracting Officer has determined the anticipated cost to be fair and reasonable. No additional market research or plans to remove future competition barriers are identified at this time.