Hampton Roads economy: Senate panel approves USS George Washington refueling, overhaul
Work critical to Newport News Shipbuilding's nearly 24,000 workers, and the thousands more on the Peninsula whose jobs depend on the yard, passed through two key Capitol Hill gateways Thursday, as both the full House of Representatives and the Senate Armed Services Committee approved a complex overhaul and refueling of the USS George Washington.
The overhaul is at risk if Congress doesn't formally approve, since across-the-board spending cuts scheduled to go into effect next year likely mean the Defense Department could only afford to retire the carrier.
The House and Senate committee votes also signal strong support for keeping the nation's carrier fleet at 11 ships, also critical to Newport News Shipbuilding, the only yard that builds nuclear carriers for the Navy.
"The Administration has been a little bit fuzzy about this," said Sen. Tim Kaine, D-Va. "They said: 'Well we need a signal from the Congress that we want to fund this 11th carrier.' So I put in amendments to make sure they got the signal loud and clear."
The Obama administration had not sought any funds for the refueling and overhaul in its budget proposal.
Instead, it set aside funds to retire the ship, a project that would also have meant work for the yard but less than an overhaul.
Kaine's amendments to the National Defense Authorization Act redirect funds the money meant to retire the carrier and instead aside up to $696 million for the overhaul.
The House of Representative's version of the authorization act sets aside $483 million for the overhaul work.
"The funding authorized within this bill provides a modest pay increase for our men and women in uniform and maintains our carrier presence, which is welcome news in coastal Virginia," said Re. Scott Rigell, R-Virginia Beach.
The shipyard's parent firm, Huntington Ingalls Industries, won approval for several key projects in the House bill, including the overhaul, said Beci Brenton, corporate director of public affairs.
But, she cautioned, there was still a long way to go before the support is certain.
The full Senate must vote on the Senate committee bill, and then both the House and Senate Appropriations committees have to formally agree to spend money.
If they do, and the full House and Senate agreement, and the President agrees, the yard would be on track to refuel and overhaul the George Washington beginning in 2016.
The work, done mid-way through a carrier's 50 year life, is among the most complex engineering tasks around and provides years of employment for shipyard workers and employees of the yard's suppliers and contractors.
On top of that, though, maintaining an 11 carrier fleet helps keep a steady flow of new construction work at the yard. Once in service, when carriers are based in Hampton Roads, they support thousands more families.
The House bill, which passed by 325 to 98 vote, totals $601 billion and included a pay increase of 1.8 percent for most uniformed personnel, which is more than the Administration asked. It also rejected Navy proposals to mothball 11 cruisers and authorized spending for five more "Growler" electronic warfare aircraft than the Pentagon requested.
The Senate committee bill rejects Defense Department proposals to reduce subsidies for commissaries and to open a new Base Realignment and Closure round. Kaine won support for a proposal to make it easier for men and women on active duty to earn professional credentials for work once they leave the service.
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