Tab A_MQ-25 LRIP CJA (Final)_Redacted.pdf
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- Attached to
- MQ-25 Stingray LRIP Lot 1 & Lot 2 AAC
- Solicitation number
- N00019-26-RFPREQ-WPM268-0139
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CLASS JUSTIFICATION AND APPROVAL (CJ&A) for MQ-25 Aircraft Low-Rate Initial Production
This Class Justification and Approval document authorizes the sole source award of an Advance Acquisition Contract (AAC) and Production Contract for Low-Rate Initial Production (LRIP) Lots 1, 2, and 3 to The Boeing Company for MQ-25 production aircraft and related support. The contracting activity is Naval Air Systems Command (NAVAIR) Headquarters. The contract covers production and delivery of MQ-25 aircraft and associated supplies and services for the United States Navy, including production support, special/rate tooling, test/support equipment, systems engineering, production management, parts obsolescence, engineering change proposals, Integrated Logistics Support (ILS), spares, and technical/administrative data. LRIP Lot 1 covers Fiscal Year (FY) 23 requirements, LRIP Lot 2 covers FY24 requirements, and LRIP Lot 3 covers FY25 requirements. The planned quantity consists of three (3) lots of four (4) aircraft per lot, totaling 12 aircraft. The estimated contract value is $1,747 million, with authority to act under this CJ&A expiring on 30 September 2027. Additional aircraft may be procured within Lots 1-3 as subsequently authorized and appropriated by Congress.
The justification for sole source procurement under 10 U.S.C. 3204(a)(1) is based on unacceptable delays that would result from competitive procurement. Boeing is identified as the sole designer, developer, and manufacturer of the MQ-25 aircraft, with awarding the contract to any other source resulting in an estimated delay exceeding 4.5 years—the time already spent since the August 2018 Engineering and Manufacturing Development (EMD) contract award plus at least one additional year for a competitive procurement. The Navy requires MQ-25 capability by 2025 to increase Carrier Air Wing Strike Fighter assets and preserve F/A-18E/F fatigue life. The MQ-25 was designated as a Maritime Accelerated Acquisition (MAA) program by the Chief of Naval Operations and Assistant Secretary of the Navy to significantly reduce development timelines for mission-critical capabilities. A presolicitation notice was synopsized on SAM.gov on 18 March 2022 with no responses received to date; a waiver of the DFARS sources sought requirement was approved, and no market survey was performed. The Contracting Officer has determined the anticipated cost to be fair and reasonable, with no plans to compete future contracts for these supplies and services unless another potential source emerges.
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CJ&A 21-0318
4. Statutory Authority Permitting Other Than Full and Open Competition.
10 U.S.C. 3204(a)(1) (formerly known as 10 U.S.C. 2304(c)(1)1), Only one responsible source and no other supplies or services will satisfy agency requirements.
5. Rationale Justifying Use of Cited Statutory Authority.
Unacceptable delays in fulfilling the agency’s follow-on requirements would occur if the MQ-25 aircraft LRIP efforts were procured through another source. In August 2018, NAVAIR awarded Boeing the MQ-25 Engineering and Manufacturing Development (EMD) contract under a limited sources competition. The USN requires the MQ-25 capability by 2025 in order to increase the number of available Carrier Air Wing (CVW)
Strike Fighter assets, preserve F/A-18E/F Fatigue Life Expenditure (FLE) and help mitigate expected Strike Fighter shortfalls in the mid-2020s. In support, the MQ-25 was one of the few Chief of Naval Operations (CNO) and Assistant Secretary of the Navy (Research, Development, and Acquisition) (ASN(RDA)) designated Maritime Accelerated Acquisition (MAA) programs, focused on significantly reducing development timelines in order to deliver mission-critical capabilities to the Fleet to meet warfighter needs. Awarding any of the efforts required for this contract to a source other than Boeing would result in an unacceptable delay of over 4.5 years. This estimate is derived from the time spent since original EMD contract award (in 2018) to design, integrate, test an aircraft, as well as at least one year to award a competitive contract. Repeating the timeline to develop another source is prohibitive and does not support the Navy’s Master Aviation Plan to procure the MQ-25 capability for the Fleet by 2025. Only Boeing, as the sole designer, developer, and manufacturer of the MQ-25 aircraft, can successfully deliver the system without delay in fulfilling the USN’s requirement.
6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.
Based on the aforementioned sole source rationale set forth in Paragraph 5, a waiver of DFARS PGI 206.302- 1 “Request for Information/Sources Sought” requirement was approved. In accordance with FAR 5.201, a Presolicitation Notice for the LRIP Lot 1 AAC was synopsized on the SAM.gov website on 18 March 2022 for informational and subcontracting opportunities; to date, no responses to this announcement have been received. A Presolicitation Notice for the LRIP Lot 1-3 Definitization Modification will be released in advance of award to comply with all applicable FAR Subpart 5.2 timelines; any responses received by the Contracting Officer will be evaluated prior to award. For reasons set forth in Paragraph 5 above, a market survey was not performed.
7. Determination of Fair and Reasonable Cost.
The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this CJ&A will be fair and reasonable.
8. Actions to Remove Barriers to Future Competition.
For the reasons set forth in Paragraph 5, NAVAIR has no plans at this time to compete future contracts for the types of supplies/services covered by this document. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible.
1 10 U.S.C. 2304 was transferred to 10 U.S.C. 3204 effective January 1, 2022. This document uses the new statutory numbers.
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