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Friday, February 17, 2012

Navy Virginia (SSN-774) Class 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) since FY1998. Sixteen have been procured through FY2012, and another two are to be requested for FY2013. The eight boats to be procured in the five-year period FY2009-FY2013 (boats 11 through 18, in annual quantities of 1-1-2-2-2) are being procured under a multiyear procurement (MYP) arrangement.

The Navy’s proposed FY2012 budget requested $3,232.2 million in procurement funding to complete the procurement cost of the 15th and 16th Virginia-class boats. The FY2012 budget estimated the combined procurement cost of these two boats at $5,142.8 million, and under Navy FY2012 budget plans the boats were to receive a total of $1,910.5 million in prior-year advance procurement (AP) and Economic Order Quantity (EOQ) funding. The Navy’s proposed FY2012 budget also requested $1,524.8 million in AP funding for Virginia-class boats to be procured in future years.

The Navy’s FY2012 30-year SSN procurement plan, if implemented, would not be sufficient to maintain a force of 48 SSNs consistently over the long run. The Navy projects under that plan that the SSN force will fall below 48 boats starting in 2024, reach a minimum of 39 boats in 2030, and remain below 48 boats through 2041.

Potential issues for Congress regarding the Virginia-class program include the following: 

         the Virginia-class procurement rate in coming years, particularly in the context of the projected SSN shortfall and the larger debate over future U.S. defense strategy and defense spending; 
         the Navy’s plans for inserting new technologies into the Virginia-class design; 
         whether the Navy should build at least some Virginia-class boats in future years with the Virginia Payload Module (VPM)—an additional mid-body section equipped with large-diameter vertical launch tubes suitable for cruise missiles, unmanned underwater vehicles (UUVs), and other payloads; and 
         Virginia-class program issues raised in a December 2011 report from the Department of Defense’s (DOD’s) Director, Operational Test and Evaluation (DOT&E). 
The Navy’s Ohio Replacement (SSBN[X]) ballistic missile submarine program is discussed in CRS Report R41129, Navy Ohio Replacement (SSBN[X]) Ballistic Missile Submarine Program: Background and Issues for Congress, by Ronald O'Rourke.


Date of Report: February 9, 2012
Number of Pages: 26
Order Number: RL32418
Price: $29.95

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