The last of 300 odd QF4 Phantom's was delivered to the US Airforce at the beginning of the year, with newer missiles in development the need for a more modern target drone has led to the selection of F16's for conversion to the QF standard. They are the older models that the US government can't sell off especially as the late model F16's are much more capable for more or less the same price of the early versions.
The Drones are fully capable of flying defensively and deploying counter measures including chaff and flares depending of what the test requires. As far as I'm aware the aircraft are remote controlled from the ground during live fire tests but for other missions a pilot flew in the aircraft as an observer only, at least in the QF4. I'm not sure this applies to the QF16 it may depend on whether they've used an A or B model F16 as the basis of the conversion.