With the passage of the Budget Control Act (BCA) in 2011, Congress and the President set up a series of mechanisms meant to compel consensus on a roadmap for the nation’s long-term fiscal stability. But instead of compromise, bickering and discontent among the nation’s political leadership led to successive fiscal showdowns and short-term budgetary patches, the latest of which expires in just a few weeks. The effects of the budgetary stalemate have been particularly acute in the Department of Defense (DOD), and the threat to the nation’s armed forces is growing every day.
The Chinese navy intrudes on the maritime rights of its neighbors, bullies other nations and is determined to build a force strong enough to counter the U.S. Pacific Fleet, a U.S. Navy intelligence officer told an audience at the WEST 2013 convention in San Diego on Thursday.
China’s navy, said Capt. Jim Fannell, deputy chief of staff for intelligence and operations at the U.S. Pacific Fleet headquarters in Hawaii, is a force that “is focused on war at sea.”
The commander of the U.S. Pacific Fleet told a morning audience at the WEST 2013 convention that the Pentagon’s decision to rebalance its focus to Asia and the Pacific is strategically sound militarily and is vital in helping to ensure a stable world economy.
Adm. Cecil D. Haney noted that 15 of the world’s 20 largest seaports are in Asia and the Pacific, and $5.3 trillion in global trade passes through the South China Sea alone. “Clearly, we, the United States of America, have an interest in that area,” Haney said.
The Yuri Dolgoruky, Russia’s newest ballistic-missile submarine, officially entered service in the Northern Fleet on 17 January, completing a long and arduous journey into Russia’s navy. While the submarine is often lumped in with Russia’s aggressive new armaments program, construction actually started back in 1996, when Vladimir Putin was not the Kremlin’s overlord but an obscure bureaucrat serving as deputy chief of the Presidential Property Management Department, and Russia was not an oil-fueled “energy superpower” but a bankrupt economic disaster. A great deal has happened to Russia’s navy since construction of the Dolgoruky began, very little of it good. So while the submarine’s newness has been highly touted—by, among others, a Russian government intent on promoting “modernization”—when viewed in context it’s not nearly so impressive.
The following is an excerpt from a January interview with Sean Stackley on shipbuilding, which will appear in the February 2013 issue of Proceedings.
The U.S. Navy has released few details of its planned Ohio-class replacement program. The class of 12 nuclear ballistic missile submarines (SSBNs) will replace the 14 Ohio-class SSBNs currently on patrol starting in the early 2030s and continue in service into the 2080s. The boat is among the most expensive Navy shipbuilding programs and has been part of a larger Pentagon drive to reduce cost by scaling down the capability of the boat.
The reductions scale back from the initial Analysis of Alternatives (AoA) for the program, then dubbed SSBN(X), conducted by NAVSEA in 2009. The initial AoA called for a boat that would have cost $6 to $7 billion but with the reduction in capability the Ohio Replacement (OR) drove costs down to $5.6 billion a copy. The scope of reductions from the AoA is unclear as the Navy never publically disclosed the initial capability goals of the program. The eventual goal of the reductions is to produce the boats at $4.9 billion each.
Mike Petters has been the chief executive officer of Huntington Ingalls Industries since the shipbuilder was spun off from Northrop Grumman in 2011. On Thursday, Petters briefed reporters in the state of the company almost 18 months after the spin-off.
It was our first full year as a public company. We spun off in 2011 from Northrop and we did that in the end of March. We really had three quarters in 2011, but last year was the first full calendar year. As a public company there are lots of things you are doing that you weren’t doing before that you do for the very first time. There are lots of things that were done by other people before you became public. And our team did a very credible job working its way through that and we’re at the point where we’re doing it again. . . . We did that in an environment where there’s more than usual uncertainty in the economy, the business environment, and politically. . . . You couldn’t go a day without hearing someone talk about the level of uncertainty in the business climate.
For businesses in that environment it was a turbulent year. Usually aerospace and defense companies tend to be a little bit insulated from that kind of discussion. But I think the Budget Control Act of 2011 put defense contractors front-and-center in that conversation in a way that we were not before. I think as the year played out you saw different companies react to that in different ways. For us the issues were to pay close attention to our own knitting. When we spun the business from Northrop Grumman we said we have five contracts that we have to negotiate. We have five ships that we have to deliver that are troubled ships. It’s going to take us a couple of years to get those ships out of the way.
I’m happy to tell you that three of those five ships have been delivered. In 2012 we delivered LPD-23 and -24. LPD-22 was delivered at the very end of 2011. We still have two ships to deliver this year, LPD-25 and LHA-6. . . . Getting those ships delivered has been our focus. . . . We have to finish those two ships and get them delivered. In that regard execution and operations have been continuing to steadily improve. On LPD-25 and LHA-6 we had quality launches last year.
Naval History Magazine, January 2013
The shipyard in Portsmouth, New Hampshire, turned out boats at a torrid pace, setting the gold standard for submarine construction during World War II.
On 27 January 1944, the Portsmouth Navy Yard achieved two things no shipyard had ever done—launching three submarines simultaneously and a fourth on the same day. The Ronquil , Redfish , and Razorback lifted off their blocks in Dry Dock #1 at 1300, and a few hours later the Scabbardfish , slid down Building Way #4 into the Piscataqua River. 1 Secretary of the Navy Frank Knox sent a congratulatory message to the yard: “In the launching of four submarines in a single day, the Portsmouth Navy Yard sets another record in the submarine program.” 2 Before 1945 arrived the yard would complete a record-setting 32 submarines. No U.S. shipyard before or since has built so many submarines in a single year. 3
After averaging the completion of less than two submarines a year in the 1930s, the Portsmouth Navy Yard built 79 submarines between 1 July 1940 and 1 July 1945. 4 The average construction time for those boats was much shorter than those of the same class built at other yards. Shipyard employment also reached unprecedented heights during that time. After providing jobs for an average of about 2,000 people annually in the 1930s, in November 1943 employment peaked at 23,465.5
To examine the yard’s wartime success it is necessary to first review events in the interwar years that set the stage for the remarkable wartime production record.
Proceedings, January 2013
A close observer of defense-spending trends takes a look at dollars and sense and the looming budget challenges in the Pentagon.
Defense-budget headlines of late have concentrated on sequestration, as hand-wringing increased about the so-called fiscal cliff. Most coverage has focused on defense officials predicting dire consequences for the Department of Defense (DOD), or industry officials warning of job losses and collapse of certain technology sectors and associated businesses. The U.S. Naval Institute recently hosted Defense Forum Washington with a program titled “The Fiscal Cliff: What Does This Mean for Defense and National Security?” The conference focused on sequestration and its impacts. Speakers and panelists offered different perspectives on impact, ranging from disaster to a mere “pothole,” and on occurrence from irresponsible to a fait accompli that should happen to provoke fundamental changes in DOD.