DoD budget deal: 3 LCS, 1 T-ATS

U.S. House and Senate negotiators reached an agreement July 23 on a $716B defense authorization bill that includes a boost in military numbers, ships and aircraft – more than the White House asked for - and support a proposed 2.6 percent military pay raises. The agreement comes months ahead of Congress’ typical schedule for a FY measure, which begins Oct. 1. Congress has finalized the budget measure for 57 years, but has not passed one on time in the past 10 years. The House is scheduled to vote on it this week. The Senate is tentatively scheduled to vote in August. Among some of the proposed funding is for 77 more F-35 Joint Strike Fighters, but with pending limitations on software upgrades. For the Navy, the bill funds 13 ships including three Littoral Combat Ships, and a T-ATS towing, salvage and rescue ship. (Source: Defense News 07/24/18) Gulf Coast Note: Austal USA of Mobile, Ala., builds one of the LCS variants. Gulf Island Shipyards of Dularge, La., won a potential $522.7M contract in March to design and construct up to eight T-ATS ships based on current commercial towing offshore models. The contract awarded has an initial value of $63.6M to fund the first T-ATS that is scheduled for delivery in November 2020. The contract also includes options for the construction of seven more T-ATS.