Virginia Ship Repair Assn. Contract Committee Our U.S. Navy s Military Sealift Command Mr. John Thackrah Executive Director May 7, 2015

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1 Virginia Ship Repair Assn. Contract Committee Our U.S. Navy s Mr. John Thackrah Executive Director May 7,

2 Building Trust Future Missions? T R U S T 1949: Two missions 2015: 20+ missions Combat Stores Ships Ocean-Going Tugs Fleet Replenishment Oilers Prepositioning Ships Ammunition Ships Hospital Ships Acoustic Survey Ships Cable-Laying/Repair Ships; Oceanographic Survey Ships; Missile Range Instrumentation Ships Sub Tenders Rescue & Salvage Ships Command Ships High-Speed Vessels Fast Combat Support Ships Large, Medium-Speed, Roll-On/Roll-Off Fast Sealift Ships Surge; Ocean Surveillance Ships Ready Reserve Force (Cargo Ships 1977; Crane Ships 1984; OPDS Ships 1986) SBX, HST, AFSB(I), JHSV, MLP Special Warfare Support Ships Dry Cargo/Ammunition S H I P S & M I S S I O N S Build & Charter Tankers, Dry Cargo Ships, Tankers, Troop ships (Last one retired in 1973)

3 Recent Changes at MSC HQ Consolidation New ships and missions MLP AFSB JHSV Deactivations 3

4 MSC Maintenance Model MSC Maintenance Model 3rd Party Oversight TYCOM Requirements Definition People Afloat: Experienced/Degreed/CIVMARS People Ashore: Long-term Port Engineers Maintenance Systems Contracting/HCA Training BSO Planning Technical Authority Business Process Ao = 270 days per year ready for tasking

5 Ship Maintenance Life Cycle PROGRAM MANAGER MANAGEMENT OVERSIGHT CONTINUOUS SHIP S FORCE MAINTENANCE SUPPLEMENTED BY INDUSTRIAL ASSISTANCE SHIPBOARD MANAGEMENT TEAM STANDARDIZED WORK ITEMS AND IGE s BASED ON HISTORICAL DATA WORK PACKAGE WELL DEFINED FOR ACQUISITION POST-AVAILABILITY REPORTING AND ANALYSIS - Lessons learned technical and cost AVAILABILITY EXECUTION with SMT includes ships force work list USN/COMMERCIAL HYBRID CYCLIC INSPECTION CYCLE (SMART, ABS, USCG) PLANNED CONTRACTING GLIDESLOPE 24 milestones over 305 days 5

6 MSC M&R Budget MSC Spent $537.9M in FY13 and $457.4M in FY14 Competitively bid, fixed-price contracts Sequestration will mean more competition for new construction and maintenance dollars 6

7 Maintenance Plans (Government-Owned/Government-Operated) Our standard logistics ship overhaul cycle includes: Drydocking Availabilities every 2.5 years (45-60 days) Mid-term Availabilities every 18 months (30-45 days) Quarterly Voyage Repair periods (2 weeks pier-side) Inspections and Surveys at regular intervals: Continuous ABS surveys (5-year cycle) Annual USCG inspections Ship Material Assessment and Readiness Testing (every 5 years by MSC engineers) Annual Safety Management and Environmental Audits Continuous maintenance pier-side whenever practical NOTE: High-Speed Vessels require annual dry-docking 7

8 Maintenance Plans (Government-Owned/Contractor-Operated) Overhauls: Full Operating Status ships Drydocking Availabilities:* Every 5 years (45-60 days) with underwater inspections at 2.5 years Every 3 years to support sponsor cargo requirements Every 2.5 years for CONUS 30-month cargo maintenance Reduced Operating Status ships Drydocking Availabilities: Every 5 years (45-60 days) ABS waiver of mid-term drydocking Inspections and Surveys at regular intervals: ABS surveys: Continuous 5-year cycle Annual USCG inspections Annual Internal Safety Management System audits: - 30-month ABS/USCG Continuous maintenance pier-side whenever practical 8

9 Shipbuilding & Repair KEY: Black Shipbuilding Blue Ship Repair (Private) Red Ship Repair (Gov t) MSC executive visits (< 3 months) Puget Sound Naval Shipyard Vigor Marine BAE San Francisco Mare Island Dry Dock BAE San Diego NASSCO (GD) Marinette Marine (FM) Ingalls / Avondale (HII) VT Halter Newport News Shipbuilding (HII) Norfolk Naval Shipyard MHI Norfolk Colonnas Shipyard NASSCO Norfolk Detyens Shipyard BAE Jacksonville BAE Mobile Austal USA Signal Marine Electric Boat (GD) Bath Iron Works (GD) Portsmouth Naval Shipyard. Boston Ship Repair, Inc. Bayonne Shipyard Aker Philadelphia Pearl Harbor Naval Shipyard

10 Jones Act Our Navy supports the Jones Act The repeal of the Jones Act will erode U.S. shipbuilding industrial base, U.S. flagged vessel and U.S. Merchant Marine capacity, hampering our ability to meet strategic sealift requirements and Navy shipbuilding. New construction of commercial ships in the United States benefits domestic shipbuilders and suppliers, helps to maintain the nation s shipbuilding industrial base, and ensures the availability of qualified civilian mariners for contingencies. 10

11 Help us, help you If we can t get out of the yard on time Are we planning right? then you can t get other ships in on time. Do you see a better way? Help us, help you and your other customers 11

12 MSC Delivers! Join the MSC conversation: MSCSealift.dodlive.mil 12

13 Backup Slides 13

14 Projected Maintenance Availabilities (East/Gulf Coast) Ship Type #Availabilities Maintenance Type Time Frame Fleet Oiler 11 ROH/DD Apr Feb 2019 (T-AO) 18 MTA Mar Jul 2019 Dry Cargo/Ammo 14 ROH/DD Apr Jul 2021 (T-AKE) 6 MTA Sep Mar 2021 Fast Combat Spt 1 ROH/DD Jan Jan 2020 (T-AOE) 2 MTA Mar Apr 2021 Rescue & Salvage 4 ROH/DD Feb Jul 2018 (T-ARS) 3 MTA Oct Jan 2018 Fleet Ocean Tug 1 ROH/DD Jan Apr 2018 (T-ATF) 1 MTA Aug 2016 Hospital 1 ROH/DD Oct Feb 2017 (T-AH) 3 MTA Nov Dec 2018 NOTE: All are subject to change due to mission/tasking requirements. MTA = Mid-Term Availability ROH = Regular Overhaul DD = Drydocking 14

15 Projected Maintenance Availabilities (East/Gulf Coast) (continued) Ship Type #Availabilities Maintenance Type Time Frame SM (T-AGS/T-AGM) 7 OVHL/DD Feb Oct 2019 ROCON (former MPF) 5 OVHL/DD Mar Oct 2017 MPS (T-AK) 6 OVHL/DD Mar Oct 2018 LMSR (T-AKR) 16 OVHL/DD May May 2018 JHSV 9 OVHL/DD/PSA Oct Oct 2018 HST 1 OVHL/DD/Conversion Feb Oct 2015 NOTE: All are subject to change due to mission/tasking requirements. MTA = Mid-Term Availability OVHL = General Overhaul DD = Drydocking 15

16 Projected Maintenance Availabilities (West Coast) Ship Type #Availabilities Maintenance Type Time Frame _ Fleet Oiler 16 ROH/DD May Apr 2019 (T-AO) 25 MTA Feb Jul 2019 Dry Cargo/Ammo 25 ROH/DD Jan Aug 2021 (T-AKE) 18 MTA Feb Oct 2021 Fast Combat Spt 1 ROH/DD Jul Sep 2020 (T-AOE) 1 MTA Rescue & Salvage (T-ARS) 2 ROH/DD Aug Nov MTA Oct Mar 2018 Fleet Ocean Tug (T-ATF) 2 ROH/DD Mar Nov MTA Aug Sep 2015 Hospital Ship (T-AH) 1 ROH/DD Jan Apr MTA Jan 2016 Feb 2019 Sub Tender (AS) 1 ROH/DD Jan 2017 May 2017 NOTE: All are subject to change due to mission/tasking requirements. MTA = Mid-Term Availability ROH = Overhaul DD = Drydocking 16

17 Projected Maintenance Availabilities (West Coast) (continued) Ship Type #Availabilities Maintenance Type Time Frame _ SM (T-AGS/T-AGM) 2 OVHL/DD Feb Oct 2019 JHSV 4 OVHL/DD/PSA Oct Oct 2018 LMSR (T-AKR) 3 OVHL/DD Aug Jul 2018 MLP (T-MLP) 2 PSA Mar Aug 2015 NOTE: All are subject to change due to mission/tasking requirements. MTA = Mid-Term Availability OVHL = General Overhaul DD = Drydocking 17

18 MSC Industry Day? Shipyard Suppliers Shipyard Associations Shipyard Subcontractors MSC Send discussion topics to: 18

19 3rd Party Regulatory Picture Maintain and operate our ships to commercial standards American Bureau of Shipping classification - Standards for hull, machinery, electrical, and structural design, maintenance and repair United States Coast Guard - Provides criteria for the design, operation, inspection and maintenance of commercial ships - Focuses primarily on safety of life at sea and material condition of ships Most new construction ships built to these standards - Navy transfers are classed using ABS rules 19

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