Huntington Ingalls Industries [HII] has told the Navy that delays in issuing contracts in the construction of aircraft carriers or other ships could lead to cost increases, the company’s CEO said yesterday.
Huntington Ingalls Industries CEO and President Michael Petters said the optimal timeframe for beginning contract on an aircraft carrier is every three-and-a-half to four years, and noted the current rate is every five years.
But delays in Congress passing an appropriations bill and the looming threat of sequestration have left some fiscal uncertainty that makes it difficult for the Pentagon to plan.
“Who knows what that might turn out to be,” Petters said, referring to the build rate. “That means you’re not optimum, which means there will be a cost increase.”
Huntington Ingalls Industries’ Newport News Shipbuilding yard in Newport News, Va., is the middle of building the first aircraft carrier in the Gerald R Ford (CVN-78) class of the same name, and is readying for the full construction of the second one, the John F Kennedy (CVN-79). The Navy has initiated work on long lead materials for the ship.
Congress passed the defense authorization bill for fiscal 2013 earlier this month, but has yet to enact an appropriations bill.