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Navy plan to modernize its shipyards could end up costing billions of dollars more than first thought

Government Accountability Office says Navy has not developed a full cost and schedule estimate, says actions are needed.
Credit: dvidshub.net
Navy is in midst of 20-year, $21 billion Shipyard Infrastructure Optimization Program.

NORFOLK, Va. — Lawmakers have long lamented about conditions at America's four Naval shipyards being poor with much of the equipment being outdated.

"And the concern that many of us have is the constant lack of attention that our shipyards have suffered through, not just in the recent history but over the past three decades," said Rep. Rob Wittman (R-Virginia, 1st District). "It's pretty amazing how things have atrophied within the realm of our public shipyards."

Back in February, ground was broken on a $300 million modernization of Norfolk Naval Shipyard's Drydock 8.

The improvements will accommodate Ford Class aircraft carriers--which are 4 feet wider and displace 3,000 tons more than their Nimitz Class predecessors.

"This is an incredibly wise investment, long overdue  One of the most limiting factors in getting ships out in time is drydock capacity," said ADM Daryle Caudle, Commander, U.S. Fleet Forces.

Then, in April, officials cut the ribbon on the three-year, $191 million renovation of Norfolk Naval Shpyard's Drydock 4.

"It's really important for our national security that we're able to bring in those ships, do the maintenance as quickly as we can and get those ships back out to sea so they're ready to be there for what the nation needs those ships to do," said Rear Admiral Maria Aguayo, Commander, Naval Facilities Engineering Systems Command Atlantic.

Both projects are part of the Navy's 20-year, $21 billion Shipyard Infrastructure Optimization Plan. (SIOP).

But now, the Government Accountability Office reports that the Navy has not developed a full cost and schedule estimate for its Shipyard Infrastructure Optimization Program, and "the Navy lacks a full and reliable cost and schedule estimate for implementing this decades-long program." 

The report states the gaps "could add billions to the ultimate price." 

The GAO makes three recommendations, including that for all key SIOP projects, the Navy update its risk analyses associated with its cost estimates throughout the design process and improve its use of best practices for schedule estimates. The Navy concurred with the recommendations.

On Thursday, Capt. James “Jip” Mosman, previously stationed as Shipyard Commander at Puget Sound Naval Shipyard and Immediate Maintenance Facility (PSNS&IMF), assumed command as the 111th Shipyard Commander of Norfolk Naval Shipyard,(NNSY) He relieved Capt. Dianna Wolfson, the 110th Shipyard Commander of NNSY and the first woman to lead a U.S. public naval shipyard.

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