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Courtney Statement on CBO Analysis Showing Lower Submarine Repair Costs at Private Shipyards

September 12, 2018
Press Release

(Washington, DC) – Today, Congressman Joe Courtney (CT-02), ranking member of the House Seapower and Projection Forces Subcommittee, issued a statement after the Congressional Budget Office (CBO) released an analysis titled Comparing the Costs of Submarine Maintenance at Public and Private Shipyards. The analysis requested by Courtney and other members shows that between 1993 and 2017, after adjusting for missing or incomplete overhead costs, the average costs of submarine repair availabilities at private shipyards were 38 percent lower than at public shipyards. 

"Over the last several years, I have consistently raised concerns about the lack of submarine repair work being assigned to private sector shipyards,” said Courtney. “We have seen increasing delays and shortfalls in capacity in the public shipyards that have kept submarines from their most important function, being at sea to support the needs of our nation. Unfortunately, the Navy has often pushed back on assigning more availabilities to private shipyards claiming that the cost of conducting maintenance in the private yards comes at an unaffordable ‘premium’. This analysis makes clear that these arguments do not hold up under objective scrutiny.  

“As ranking member of the Seapower subcommittee, I have worked with my colleagues and the Navy to ensure that we get the maximum value out of our limited number of submarines. With the looming shortfall in the undersea fleet in the coming decade, we need to use every tool we have to build and sustain the submarines we have. With this analysis now in hand, I hope that the Navy will take advantage of every possible opportunity to leverage the private shipyards to maintain and modernize our undersea fleet.” 

In March, Courtney joined Representatives Rob Wittman(VA-01), Joe Wilson (SC-02) and Madeline Bordallo (GU) in asking the CBO to conduct a thorough comparison of the costs of submarine repair availabilities in the public and private shipyards.