Lockheed Martin and Fincantieri Marinette Marine Awarded Contract to Build LCS 27

The U.S. Navy awarded the Lockheed Martin and Fincantieri Marinette Marine team a contract to build an additional LCS. The contract value is under the 2017 congressional cost cap of $584 million per ship. LCS 27 will be built at Fincantieri Marinette Marine, the Midwest’s only naval shipyard, and is the 14th Freedom-variant LCS ordered by the U.S. Navy to date. “We are excited to continue our partnership with the U.S. Navy to build and deliver these capable ships to the fleet,” said Joe DePietro, vice president of small surface…

Read More

Navy to Christen Littoral Combat Ship Charleston

The Navy will christen its newest Independence-variant littoral combat ship, the future USS Charleston (LCS 18), during a 10 a.m. CDT ceremony Saturday, August 26, in Mobile, Alabama. The future USS Charleston, designated LCS 18, honors Charleston, the second-largest city in South Carolina. She will be the sixth ship to be named for Charleston. The Honorable Richard V. Spencer, Secretary of the Navy, will deliver the ceremony’s principal address. Charlotte Riley, the wife of ten-term, former Mayor of Charleston Joe Riley, serves as the ship’s sponsor. The ceremony will be…

Read More

USS Montgomery Completes Final Contract Trials

March 22, 2017 – Littoral combat ship USS Montgomery (LCS 8) completed final contract trials, March 17, marking the completion of the construction and initial operating testing of the Navy’s eighth LCS. The trials, administered by the Navy’s Board of Inspection and Survey, are part of a series of post-delivery test and trial events through which the ship and its major systems are exercised. The five-day trials began with pre-underway and material condition checks followed by at-sea demonstrations. Trial highlights included combat systems air and surface detect-to-engage scenarios, 57mm gun firing…

Read More

Need to Document Rationale for the Use of Fixed-Price Incentive Contracts and Study Effectiveness of Added Incentives

March 1, 2017 – The Navy buys ships using a certain contract type that outlines how it will share the burden of unexpected costs with shipbuilders, while also giving them additional money for constructing ships efficiently. However, in the 6 contracts we reviewed, we found the Navy bore the majority of additional costs. Plus, the contracts included $700 million in extra incentives for things that shipbuilders should have been doing anyway. Shipbuilders could get these incentives even if they delivered ships late and above cost. We made recommendations to help the Navy…

Read More