A--AEGIS Ballistic Missile Defense (BMD) SM-3 Continued Development

PMS 452 intends to continue its acquisition strategy of awarding the continued development of the STANDARD Missile-3 portion of the AEGIS BMD System to Raytheon Company. This requirement shall be awarded based on other than full and open competition, as cited under FAR 6.302. Award to, and thus an introduction of, a different contractor would introduce delays in the Navy's ability to develop this capability to meet the established requirements. Raytheon is the only contractor with the engineering background and technical expertise capable of performing in a cost effective manner within an acceptable time frame as cited under FAR 6.302-1. The procurement to Raytheon will be CPAF. The award fee structure will evaluate performance as it relates to meeting defined technical, schedule and cost effectiveness. Technical management aspects of the program will be accomplished through a series of schedule program reviews. The achievement of management, technical and quality goals will be the basis of evaluation of performance under the contract. CPR reporting will be used to measure contractor performance. The contract to Raytheon will be a CPAF contract for development, flight test rounds, and flight test support of the SM-3 component of Aegis BMD Blocks 2004, 2006, 2008 and Japan Cooperative Research. The Award Fee boards will consist of the Program Manager, respective branch head, the Procuring Contracting Officer and various field activities approved by the Fee Determining Official. All major systems development contracts will have on-site Government technical representatives (TECHREPs). NAVSEA 02 and the DCMA Administrative Contracting Officer will execute contract administration. The proposed allocation of RDT&E funds for this contract modifica tion is consistent with RDT&E appropriation incremental funding policies.