Friday, July 27, 2012

USN Shipbuilding Cost Estimates Disputed

The Navy is buying 33 Virginia-class submarines through 2025. Here, the Minneapolis is under construction at Newport News Shipbuilding in Virginia.
The Navy is buying 33 Virginia-class submarines through 2025. Here, the Minneapolis is under construction at Newport News Shipbuilding in Virginia. (U.S. Navy)

The yearly price tag to carry out the U.S. Navy’s latest 30-year shipbuilding plan comes to about $20 billion, a new congressional report said, more than $3 billion a year above the Navy’s projections.
Overall, even though the latest plan features seven fewer ships than the previous year, the price tag for the future fleet has risen, reported the Congressional Budget Office (CBO) in its annual assessment of the Navy’s shipbuilding plan.
In the 30-year plan sent to Congress in late March, covering the years from 2013 to 2042, the Navy estimates it needs an annual shipbuilding budget of $16.8 billion, up from $16 billion a year ago.


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