Status Report On U.S. Navy Ship Maintenance And Repair
NAVY TO SPEND $5.9 BILLION OVER NEXT TWO FISCAL YEARS IMA has recently published the 17th in a series of business reports on U.S. Navy ship maintenance and modernization. These reports detail future ship maintenance plans and examine the impact of scheduled changes on the industry workload.
Excerpts from the latest report are provided in this article.
Planned Job Starts The U.S. Navy plans to spend $3.4 billion on ship depot maintenance in Fiscal Year 1990 and $2.5 billion in Fiscal Year 1991. Analysis of the most recent maintenance plan indicates the Navy has scheduled 17 percent fewer ship maintenance jobs in FY 1991 as a result of budget pressures and ship retirements.
Exhibit 1 shows the number of scheduled Navy ship maintenance job starts planned for FY 1990 and 1991. As shown, the Navy has scheduled 234 ship maintenance availabilities in FY 1990 and 194 availabilities in FY 1991. Importantly, 11 fewer overhauls and other major job starts are scheduled in FY 1991— work which is generally bid coastwise.
Geographical Distribution Of Future Work The total number of short duration jobs (i.e., less than six months) over the FY 1990-91 period will be divided roughly 50/50 between the East and West Coasts. The East Coast is expected to perform 186 short term availabilities over the two-year period, while the West Coast is scheduled to handle 187. A somewhat larger number of major availabilities will be performed on the East Coast over the two-year period. The East Coast is scheduled to perform 29 major jobs, while the West Coast is scheduled to handle 26.
However, cuts in FY 1991 will have an unbalanced geographical impact. As indicated in Exhibit 1, overhauls and other major ship repair jobs next year will be reduced by 39 percent on the East Coast, 27 percent on the West Coast. The number of short duration jobs will fall by 17 percent on the East Coast, 12 percent on the West Coast. Importantly, work requiring drydocking will fall 32 percent on the West Coast, 10 percent on the East Coast.
Homeport Restricted Work An important consideration is the extent to which future work will be restricted to homeport area shipyards.
The Navy generally restricts depot maintenance which can be completed within six months to shipyards in the homeport area.
Yards outside the homeport area are not invited to bid for the contract.
IMA's analysis indicates that the number of homeport restricted jobs requiring drydocking will fall 54 percent in the San Diego area. Short term scheduled drydockings in Pearl Harbor will fall 50 percent.
However, in contrast, homeport restricted scheduled drydockings will grow 10 percent in Norfolk, 17 percent in Charleston and 20 percent in Mayport.
Ship Retirements As a result of the ongoing DOD review of defense requirements, the Navy active fleet will be substantially downsized over the next several years. According to recent reports, DOD plans to reduce the number of aircraft carriers from 14 to 12—and reduce the size of the Navy deployable forces from 542 to 488 ships over the next five years.
Included in this reduction is the retirement of FF 1052 Class of frigates, 46 ships in all.
Exhibit 2 lists ship activations and retirements planned for FY 1990 and FY 1991. Additional retirements could take place in FY 1991 due to budget pressures. Particularly noteworthy are the planned retirements of two relative- ly modern attack submarines. The Navy, in 1991, plans to retire the 24- year-old Queenfish and 21-year-old Sea Devil. These submarines normally have a 30-year operating life.
IMA can provide an analysis of the future Navy ship repair market tailored to your specific requirements.
IMA has been tracking this business sector for 14 years—and has a unique capability to identify likely developments and assess their impact on a company's business base.
IMA's full 50-page July report on U.S. Navy ship maintenance and modernization is available for $200 and can be ordered by contacting IMA Associates, 2600 Virginia Avenue, N.W., Suite 901, Washington, D.C. 20037; telephone: (202) 333- 8501.
Other stories from September 1990 issue
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- Hitachi Zosen Completes VLCC Sea Prince' page: 6
- Service Engineering Completes Purchase Of Continental Maritime page: 7
- Aluminum Boats Delivers Sleek 140-Foot Dinner Yacht page: 8
- Ferry Simulation Available For Shiphandling Training At MarineSafety/CAORF page: 9
- MagneTek Defense Systems Offers Quality Power-Conversion Products For Today's Navies page: 10
- Eastern Shipyards Delivers Fish Processor 'Northern Victor' Following Complex Conversion page: 11
- Robertson Multipurpose Pilot Handles Complex Vessel Control Problems, Upgrades Vessel Performance page: 11
- Hardware Specialty Appoints Berit Ships Division Manager page: 12
- Sperry Marine Introduces New Stand-Alone ARPA page: 14
- Orders Grow For MAN B&W Diesel's 'Mini-Bore' S26MC Engine page: 14
- Bromination Systems From Everpure Provide Reliable At-Sea Water Treatment page: 15
- New HF Cradle System Offers Safer, More Cost-Effective Material Handling At BIW page: 16
- FANA To Build Temporary Shelters For Iranian Earthquake Victims page: 17
- PHOENIX WORLD CITY: Billion-Dollar Ship Project Takes Shape At Avondale page: 18
- New Committee Supports Use Of U.S. Products In World City Project page: 22
- Southwest Marine Awarded Cruise Ship Conversion Contract Worth $75 Million page: 23
- New Coast Guard Rescue Vessel Built By Textron Marine Successfully Completes First Test page: 23
- MTU To Unveil New Generation Engine, Series 595, At SMM '90 page: 24
- 12-Page Tank Coating File Helps To Make The Right Choice Of Sigma Product page: 24
- SMM 90: THE HAMBURG SHOW page: 26
- Moss Point Marine Delivers Detroit Diesel-Powered Fire Boat For Use In Honolulu Harbor page: 30
- Sulzer Forms Diesel Joint Venture With Italian And German Shipyards page: 30
- Gladding-Hearn Adds Fiberglass Hull To Line Of Deep-V Steel And Aluminum Pilot Boats page: 31
- NWH Nimonic Valves Successfully Cope With Extreme Situtations And Improve Valve Lifetime page: 31
- Lapeyre Brochure Details Features And Applications Of Alternating Tread Stairs page: 33
- New High-Performance Turbocharger Offered By ABB Turbo Systems page: 34
- Status Report On U.S. Navy Ship Maintenance And Repair page: 37
- THE PROPULSION SYSTEM: HEART OF TODAY'S NAVY VESSEL page: 39
- House Committee Releases FY 91 Defense Bill Markup page: 47
- NAVY MARKETING MEETING page: 48
- TANO Awarded Contract For USCG's Prototype Heritage Class Patrol Boat page: 48
- 14th Aegis Guided Missile Cruiser Built At Ingalls Christened 'Hue City' page: 48
- SPD Looks To Expand Product Lines To Adapt To Changing Defense Market page: 49
- Willard Marine Anticipates Quick SOLAS Approval For 18- And 22-Foot RIBs page: 51
- SEACO/Elliot Introduces New Line Of Reversible Life Rafts/Platforms page: 52
- 240-Ton Tugboat Raising Made 'Light Duty' With Slingmax Twin-Path Slings page: 55
- Fincantieri Delivers 135,000-DWT Bulker To Italian Owner page: 56
- BoatLIFE To Supply Deck Compounds For Cruise Ship Project page: 57
- ASNE SYMPOSIUM 1990 page: 58
- Saab Marine To Equip Environmental Tankers —Literature Available page: 61
- Anschutz 'Nauto Control' Product Line Fulfills Navigator Demands page: 62
- Crowley Maritime Names Rockwell Smith Manager, Oil Transportation page: 63
- Load-Dispersing System From Uni-Mat Used In Transport Operation page: 63
- Aeroquip Introduces Stainless Steel Marine Fittings page: 65
- Mid-Coast Marine Delivers Combination Crabber, Packer page: 66
- Dorman Diesels' 'Sea King' Engine Range In Demand For Fishing Propulsion Market page: 67
- Inorganic Coatings Offers Brochure On IC 531, Zinc Silicate Technology page: 67
- Du Pont 'Kevlar' Mooring Ropes Perform Like Steel, Handle Better Than Nylon page: 68
- New Literature Describes Broco Underwater Cutting And Welding Systems page: 68
- New Fairplay Book Details 1990 World Shipping Statistics page: 69
- L&C Associates Installs Dehumidification System Aboard S.S. Beaver State page: 70
- Mitsubishi Launches Daihatsu-Powered Expedition Cruise Ship page: 70
- Unusual Voith-Schneider Propulsion System Adopted For New Dutch Ferry page: 71
- Robertson Marine Named Agents For Jason Firefighting Equipment page: 72
- Rumsey Joins Pen Coal As VP Of Transportation page: 72
- Biobor JF Helps Solve Microbial Fuel Problems —Literature Available page: 72
- Schottel Pump-Jet Displays Outstanding Maneuverability During Recent Demonstrations page: 73
- Fincantieri Delivers 1,900-Passenger Superliner Crown Princess To P&O page: 74
- Standard Refrigeration Offers Rugged Marine Service Condensers page: 75
- Avondale Awards Washington Aluminum $1.5 Million In Contracts page: 76
- ARN Delivers First Of Eight Soviet Cargo Ships page: 76
- Brittany Orders Cross-Channel Ferries From Masa-Yards page: 77
- Hydro Brochure Highlights Latest Garbage Treatment Systems For Cruise Ships page: 78