Senate panel OKs defense bill; some good news for Huntington Ingalls
The Senate blueprint for a new defense budget cleared committee Thursday, and some provisions are good news for shipbuilding giant Huntington Ingalls Industries.
It would fund the mid-life overhaul of aircraft carrier USS George Washington, due to arrive at Newport News Shipbuilding in 2017. It would also allow advance funding for the next scheduled overhaul, the USS John C. Stennis.
The Senate Armed Services Committee approved the bill, known as the National Defense Authorization Act for 2016. It now goes to the Senate floor. The authorization bill provides a template for congressional budget writers who put together the actual defense budget.
Details were released by Sen. Tim Kaine, a committee member, who said the legislation contained several "wins" for Virginia.
Known as a refueling and complex overhaul, or RCOH, these multi-billion-dollar refurbishments give an aircraft carrier another 25 years of service. Business-wise, it creates income not only for the shipyard, but hundreds of contractors. It also brings sailors and subcontractors into downtown Newport News during the three-plus years the ship is undergoing work.
Two years ago, the Navy delayed Washington's overhaul for lack of funds. That led to a larger debate over whether it should be retired instead of refueled, and whether the nation's carrier fleet should go from 11 to 10.
By funding the Washington and authorizing advance money for Stennis, the Senate bill seeks to avoid that dilemma again. The House version of the NDAA goes even further. It allows for advance funding for all Nimitz-class carrier RCOHs, up to the USS George H.W. Bush, which won't require mid-life service until the 2030s.
The House NDAA is already on the House floor for consideration and final passage. There is no timetable yet for the Senate version to come to the floor. Differences between the two will have to be ironed out before it goes to President Barack Obama.
Other highlights noted by Kaine include funding for two Virginia-class submarines per year. The nuclear-powered subs are built under a teaming agreement between the Newport News shipyard, a division of HII, and General Dynamics Electric Boat of Groton, Conn.
The bill also provides initial funding for a new class of ballistic missile submarine to replace the aging Ohio-class fleet. The Navy has started the process of designing the new submarine, and the shipyard is working as a subcontractor to Electric Boat in that regard.
Like the House version, the Senate does not authorize another round of military-base closings under the process called BRAC, which stands for Base Realignment and Closure commission.
Another BRAC round "would have caused anxiety and inflicted harm on communities connected to any affected bases while costing billions of dollars to implement up front," Kaine said in a news release.
The bill also authorizes 17 military construction projects around Virginia, including Hampton Roads.
The text of the bill was not released as of late Thursday afternoon, and some details were still not clear. Unlike its House counterpart, the Senate Armed Services Committee did not open its deliberations to the public.
According to a story in The Hill newspaper, members of the Capitol Hill press corps asked lawmakers to open defense authorizations hearings. The answer was no.
"We voted and that was the decision of the committee," Senate Armed Services Chairman John McCain, R-Ariz., said. "I asked the committee what their views were and they decided that's what they wanted."
McCain held a news conference Thursday to announce the NDAA's passage.
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