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Navy DDG-51 and DDG-1000 Destroyer Programs: Background and Issues for Congress 

Navy DDG-51 and DDG-1000 Destroyer Programs: Background and Issues for Congress 

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Published by samlagrone
The Navy’s FY2013 budget submission calls for procuring nine Arleigh Burke (DDG-51) class destroyers in FY2013-FY2017, in annual quantities of 2-1-2-2-2. The five DDG-51s scheduled for procurement in FY2013-FY2015, and one of the two scheduled for procurement in FY2016, are to be of the current Flight IIA design.
The Navy’s FY2013 budget submission calls for procuring nine Arleigh Burke (DDG-51) class destroyers in FY2013-FY2017, in annual quantities of 2-1-2-2-2. The five DDG-51s scheduled for procurement in FY2013-FY2015, and one of the two scheduled for procurement in FY2016, are to be of the current Flight IIA design.

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Published by: samlagrone on Feb 22, 2013
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07/06/2014

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A July 2012 Congressional Budget Office (CBO) report on the cost of the FY2013 Navy 30-year
(FY2013-FY2042) shipbuilding plan states that

a DDG-51 Flight III would cost $700 million, or about 40 percent, more than a new Flight
IIA, by CBO’s estimate. Thus, CBO estimates, the average cost per ship would be $2.4
billion....

CBO’s estimate of the cost of each of those ships is about $200 million more than it was last
year. Most of the increase stemmed from updated information on the cost of incorporating
the AMDR into the Flight IIA configuration. At the same time, the Navy decreased its
estimate for the average price of a DDG-51 Flight III from $2.4 billion in the [FY]2012 [30-
year shipbuilding] plan to $2.2 billion in the [FY]2013 [30-year shipbuilding] plan, primarily
by incorporating the use of multiyear procurement authority in its estimates, as it did for all
destroyers bought between 1998 and 2005. Considerable uncertainty remains in the DDG-51
Flight III program, however. Costs could be substantially higher or lower than CBO’s
estimate, depending on how well the restart of the DDG-51 program goes and on the
eventual cost and complexity of the AMDR and associated changes in the ship’s design.33

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