Government Contracts Navy Exercises $9.5 Billion Ship Construction Option
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Wednesday, December 2, 2020

Navy Exercises $9.5 Billion Ship Construction Option

By Government Contracts Editorial Staff

General Dynamics Electric Boat Corp., Groton, Connecticut, was awarded a $9,473,511,245 cost-plus-incentive-fee modification to a previously awarded contract. The contract modification exercises an option for construction and test of the lead and second ships of the Columbia class SSBN 826 and SSBN 827, as well as associated design and engineering support. This modification to the integrated product and process development contract supports the fiscal 2021 construction start of the lead ship (SSBN 826) and advance procurement, advance construction, coordinated material buys and full construction of the follow hull (SSBN 827) in fiscal 2024. Work will be performed in Groton, Connecticut (36%); Newport News, Virginia (25%); Quonset Point, Rhode Island (17%); with other efforts performed at various sites throughout the U.S. (each less than 1%) (22%), and is expected to be completed by April 2030. Efforts within the ship include the Common Missile Compartment which is a joint U.S./United Kingdom effort. Fiscal 2021 National Sea-Based Deterrence Fund funding in the amount of $545,186,307 (96%); and fiscal 2020 NSBDF funding in the amount of $19,936,251 (4%) will be obligated at the time of award and will not expire at the end of the current fiscal year. This action leverages the acquisition authorities contained in 10 USC 2218a, NSBDF. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.

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