Wednesday, July 1, 2015

Navy Won't Commit to Proposed Congressional Cost Cap for Second Ford-Class Carrier - USNI News

Navy Won't Commit to Proposed Congressional Cost Cap for Second Ford-Class Carrier - USNI News: Lawmakers are considering lowering the congressional cost cap for the second Ford-class aircraft carrier, John F. Kennedy (CVN-79), to a dollar figure the Navy says it cannot commit to.

The Senate Armed Services Committee proposed lowering the cost cap by $100 million in its version of the National Defense Authorization Act for Fiscal Year 2016. The committee did so based on a new, lower “total ship estimate” the Navy submitted in its budget request documents in February – $11.348 billion, compared to the current congressional cost cap of $11.498 billion.

The Senate committee chose to lower its cost cap by $100 million rather than the full $150 million to hold the Navy accountable for some cost reduction while still leaving some margin for the second-in-class ship, USNI News understands.

The Navy, however, will only commit to meet the higher figure, not the lower estimate from February, Naval Sea Systems Command officials told USNI News.

The program office requested the full $11.498 billion in last year’s FY 2015 budget submission, NAVSEA spokeswoman Colleen O’Rourke said. This year, however, “the FY 2016 president’s budget request reflects $80.5 million in congressional reductions.