USA’s $128 billion next-generation submarine program at risk of cost overruns
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Next-Generation U.S. Nuclear Sub Facing Cost Overruns, Delays, Bloomberg, Anthony Capaccio December 24 2020, — The U.S. Navy’s plan to deliver the first vessel in its $128 billion next-generation submarine program on time is at risk by a dependence on inexperienced contractors with spotty quality control track records, according to a congressional watchdog.
The Government Accountability Office, in a restricted Nov. 6 report to the Pentagon and congressional defense committees, said the design contract for the first vessel in the Columbia-class sub fleet being built by General Dynamics Corp. could have a cost overrun of as much as 14%, or $384 million.
The GAO report outlines in detail the myriad challenges facing contractors and the Navy in the design and construction of a 12-vessel program that advocates say is most survivable leg of the U.S. nuclear triad, comprising land, air and sea-based warheads. Trump’s 5-Year Budget Plan for Navy Would Add 82 New Vessels (2) As an example, the report says that General Dynamics “continues to identify problems with non-destructive testing and welding across the supplier base, including suppliers responsible for piping, valves and large mechanical equipment.” More broadly, the report signals the difficulties the Navy will face in trying to carry out the Trump administration’s vision for a 355-to-500 vessel fleet by 2045 up from 297 today.
Those difficulties will be one of the first defense-procurement challenges confronting the Biden administration when it takes office next month amid a U.S. economy hobbled by the Covid-19 pandemic. The Columbia’s five-year plan envisions $30 billion being spent on the program through 2026, increasing from $4.7 billion planned for next year to $8.2 billion in 2026.
But first, several quality-control issues have to be addressed………….. https://www.bloombergquint.com/business/next-generation-u-s-nuclear-sub-facing-cost-overruns-delays : https://www.bloombergquint.com/business/next-generation-u-s-nuclear-sub-facing-cost-overruns-delays
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