« Back to Article

SCA Weekly Report | May 1-5, 2023

Shipbuilders Council of America

20 F Street NW, Suite 500

Washington, DC 20001




SCA Weekly Report | May 1-5, 2023






2023 SCA Spring Membership Meeting


May 17-18, 2023

20 F St. NW

Washington, D.C. 20001


Registration for the 2023 SCA Spring Membership meeting in Washington, D.C. is now open. The meeting will be held at the Adams and Reese offices at 20 F St. NW, Washington, D.C 20001.


For more information on the schedule and to register, CLICK HERE


Confirmed Speakers:

  • Congressman Jerry Carl (R-AL-01)
  • Rear Admiral Nancy Hann, Director of Marine and Aviation Operations, NOAA 
  • Eric Labs, Senior Analyst for Naval Weapons and Forces, Congressional Budget Office
  • Ron O'Rourke, Specialist in Naval Affairs, Congressional Research Service
  • Ian Bennitt, Staff Director & Senior Advisor, House Armed Services Committee
  • Phil MacNaughton, Professional Staff Member, House Armed Services Committee
  • Douglas M. Harrington, Deputy Associate Administrator for Federal Sealift, MARAD
  • Jason Atwell, Manager of Global Government & Principal Advisor of Global Intelligence, Mandiant



In conjunction with the 2023 SCA Spring Meeting, SCA will be hosting a fundraiser for Senator Time Kaine (D-VA) at 5:00 PM on Wednesday, May 17, 2023. If you are interested in attending the fundraiser, please view the flier HERE.



Save the Dates: Upcoming SCA Meetings


2023 SCA Fall General Membership Meeting: October 11-12, 2023 | Portland, Maine

2024 SCA Winter General Membership Meeting: February 7-8, 2024 | Coral Gables, Florida




House and Senate Set Target Dates for Markups of Key Bills

This week, leaders in both the House and Senate outlined the target dates to consider FY24 legislation. Note that the timing of these markups could be impacted by ongoing negotiations over the debt ceiling:


House Armed Services Committee, FY24 NDAA Markups:

  • Subcommittees - May 11, 12 
  • Full Committee - May 23, 24


House Appropriations Committee – FY24 Defense Spending Bill 

  • Subcommittees - May 17, 18 
  • Full Committee - May 23, 24** TENTATIVE


Senate Armed Services Committee, FY24 NDAA Markups:

  • Subcommittee Mark: May 30-31
  • Full Markup: June 1
  • Floor - June 19


Senate Appropriators have not yet announced their target markup dates. 




Defense News: Marines Want 31 Amphibious Ships. The Pentagon Disagrees. Now What?

There is continued tension between the Navy and Marine Corps over the number of amphibious ships in the fleet. Maj. Gen. Roger Turner, the Marine Corps’ operations division director, told Defense News the naval forces “have this razor-thin capacity” with amphibious ships, and when emergencies arise, “there’s no capacity to react.”


According to the director of the Maritime Expeditionary Warfare Division, Shon Brodie, the Marine Corps current target 31-ship figure is based on an idea that the fleet should do three things:


  • Keep two three-ship amphibious ready groups at sea at any given time.
  • Support contingency plans that call for five three-ship amphibious ready groups to deploy on short notice.
  • Allow for enough ready ships — those not tied up in maintenance — that some would be available for training Marines in events like fleet exercises.


The requirement is specifically divided up into 10 amphibious assault ships (made up of the America-class LHAs and Wasp-class LHDs that host fixed-wing jets like the F-35B), and 21 medium-sized amphibious vessels (either the aging Whidbey Island-class LSDs or the newer San Antonio-class LPDs). An amphibious ready group includes one amphibious assault ship and two medium-sized ships.


Today, the Navy has 31 amphibious ships — what the Marine Corps considers the bare minimum it needs — but the Pentagon plans to shrink the fleet below that number in fiscal 2024. As a result, Turner anticipates the Corps will be more challenged to respond to global crises. In June, the Pentagon is expected to complete a study on whether to continue buying amphibious ships and, if so, what capabilities those vessels will have.


Read the full story HERE.


Draft LUSV Capability Requirements Completed

The capability development document for the Large Unmanned Surface Vessel is drafted and will enter the staffing process for FY-23 approval by the Joint Requirements Oversight Council, the Navy said.


The next step will be to develop ship specifications and a request for proposals and the Navy is on track to begin procurement of large, unmanned surface vessels in fiscal year 2025. The number of LUSVs has not yet been determined and will depend on the needs of the Navy. In FY-24, the Navy is seeking $117 million to help advance land and sea-based prototyping initiatives for LUSVs that prioritize capabilities, autonomy, and reliability, according to the Navy.


The Navy is planning for the first LUSV to be procured in FY-25 for $315 million, and the next two in FY-26, for a combined cost of $522.5 million, according to the report. The ships will average about $261.3 million each, the report noted.


Three more ships are slated for FY-27 and expected to have a combined cost of $722.7 million.




Massachusetts Seeks Approval for 3.6-GW Offshore Wind Solicitation

The Massachusetts state administration has proposed the procurement of up to 3.6 GW of offshore wind under the state’s fourth solicitation for offshore wind energy projects. The Massachusetts Department of Energy Resources (DOER) and the electric distribution companies on Tuesday jointly submitted a request for approval of the draft request for proposals to the Massachusetts Department of Public Utilities.


If approved, the offshore wind procurement will represent 25% of the state’s annual electricity demand and a large increase over the previous tender, which sought about 1.6 GW. “This draft RFP is a signal to the rest of the world that Massachusetts is all-in on offshore wind and ready to be the industry’s hub,” said Governor Maura Healey.




USDOT Announces Funding for 27 Small Shipyards in 20 States to Help Increase Productivity and Create Jobs

Earlier this week, the U.S. Department of Transportation’s Maritime Administration (MARAD) announced $20.8 million in grant awards to 27 small shipyards in 20 states through the Small Shipyard Grant Program. The funds will help shipyards modernize, increase productivity, and expand local job opportunities while competing in the global marketplace. 


“Small shipyards strengthen America’s commercial fleet, bolster our economic security, and generate good jobs,” said U.S. Transportation Secretary Pete Buttigieg. “We are proud to support these shipyards reinforce their vital role in the U.S. maritime sector.”


Since 2008, MARAD’s Small Shipyard Grant Program has awarded $303 million to nearly 350 shipyards in 32 states and territories throughout the U.S. 


“As shipbuilding technologies continue to advance, Small Shipyard Grants help America’s shipyards acquire the equipment they need to compete, thrive and expand America’s maritime industry,” remarked Maritime Administrator Ann Phillips. “These grants are also economic boosts to the communities in which shipyards are located as well as to our industrial supply chain.”


CLICK HERE for a list of grant recipients


Philly Shipyard Lays Keel for Third National Training Ship

Philly Shipyard has announced a construction milestone with the keel laying for the third of five cutting-edge training vessels being built for America’s state maritime academies. The U.S. Department of Transportation’s Maritime Administration (MARAD) commissioned the National Security Multi-Mission Vessel (NSMV) program to provide modern training opportunities for America’s future mariners and to support humanitarian and disaster relief efforts when required.


Philly Shipyard Inc., and TOTE Services, LLC, an affiliate of TOTE Group acting as the vessel construction manager for the project, celebrated the significant construction milestone this week with a keel laying ceremony, an age-old tradition believed to bring good fortune to the ship under construction and its future captain and crew. The milestone marks the placement of the first grand block of the vessel in the building dock. The third NSMV is slated for delivery to Maine Maritime Academy in 2024.


The NSMV program is a crucial investment in American shipbuilding. The vessels will include state-of-the-art instructional spaces, a full training bridge, and accommodations for up to 600 cadets, providing an unparalleled maritime academic environment at sea. State maritime academies are responsible for graduating more than half of all new officers each year, many of whom also support U.S. national security by crewing military sealift vessels.


Full Steam Ahead for U.S. LNG Exports

U.S. producers of liquefied natural gas (LNG) exported at top capacity in April for a second consecutive month, with over two-thirds of shipments bound for Europe and rising volumes to Latin America, according to recent data.


Following the full restart of a key Texas export facility in February, U.S. LNG producers are taking advantage of firm prices overseas and increasing demand in some markets. A total of 107 cargos departed from U.S. ports last month carrying 7.78 million tons of LNG, slightly below the previous month’s record of 7.80 million tons, according to the preliminary data, based on tanker movements. Customers in Europe are set to receive 72% of the U.S. LNG shipped in April, followed by Asia with 12% of the total.




If you have any questions, please do not hesitate to contact the SCA staff.