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Friday, January 8, 2010

Navy Attack Submarine Procurement: Background and Issues for Congress

Ronald O'Rourke
Specialist in Naval Affairs

The Navy has been procuring Virginia (SSN-774) class nuclear-powered attack submarines (SSNs) at a rate of one per year for the past several years. The procurement rate is scheduled to increase to two boats per year starting in FY2011. A total of 11 boats have been procured through FY2009. The eight Virginia-class submarines to be procured in the five-year period FY2009- FY2013 (boats 11 through 18) are being procured under a multiyear procurement (MYP) arrangement. 

The Navy's proposed FY2010 budget requests $1,964.3 million in procurement funding to complete the procurement cost of a 12th Virginia-class boat. The FY2010 budget estimates the procurement cost of this boat at $2,756.7 million, and the ship has received a total of $792.4 million in prior-year funding. The Navy's proposed FY2010 budget also requests $1,346.4 million in advance procurement (AP) funding for Virginia-class boats to be procured in future years, and $613.3 million in additional AP funding for Economic Order Quantity (EOQ) purchases of long-leadtime items for Virginia-class boats to be procured under the FY2009- FY2013 MYP arrangement. 

The explanatory statement on the FY2010 DOD appropriations act (H.R. 3326/P.L. 111-118 of December 19, 2009) approves the Administration's FY2010 request for procurement and advance procurement funding for the Virginia-class program.

Date of Report: December 22, 2009
Number of Pages: 28
Order Number: RL32418
Price: $29.95

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