America Builds: Coast Guard Acquisitions and Infrastructure

Coast Guard and Maritime PolicyHouse Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation · March 5, 2025 · 119th Congress
The House Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation held this "America Builds" hearing on March 5, 2025, to review the Coast Guard's stalled acquisition programs — including the Polar Security Cutter, Offshore Patrol Cutter, and aviation fleet — and its growing shore infrastructure backlog. Begins at ▶ 0:09:14
Transcript
Highlights

Title

Coast Guard shipbuilding delays, aviation gaps, and infrastructure backlog

Purpose

The House Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation held this "America Builds" hearing on March 5, 2025, to review the Coast Guard's stalled acquisition programs — including the Polar Security Cutter, Offshore Patrol Cutter, and aviation fleet — and its growing shore infrastructure backlog. Vice Admiral Thomas Allan of the Coast Guard and GAO's Heather MacLeod testified on program delays, cost overruns, and the Coast Guard's failure to submit legally required planning documents to Congress. Begins at▶ 0:09:14

Who spoke

• Chairman Mike Ezell (R-MS)▶ 0:09:14: Opened by describing a $7 billion shore infrastructure backlog and crumbling barracks and hangars▶ 0:10:37, criticized delays on the offshore patrol cutter (four years late) and national security cutter programs▶ 0:12:06, and later pressed Vice Admiral Allan on the Coast Guard's failure to deliver legally mandated capital investment plans and acquisition reports▶ 0:33:40.

• Rep. Rick Larsen (D-WA), T&I Committee Ranking Member▶ 0:14:27: Said the Polar Security Cutter's first delivery has slipped to 2033 and may cost triple the original contract▶ 0:15:49, and noted the HC-130J program is stalled at 19 of a planned 22 frames▶ 0:16:16.

• Rep. Salud Carbajal (D-CA), Ranking Member▶ 0:18:40: Criticized the Coast Guard's cancellation of diversity-related programs▶ 0:19:03, cited a 42-year-old cutter taking on water through a rusted hull hole during a recent Senate hearing▶ 0:22:10, and later questioned Allan about shoreside housing conditions in Santa Barbara▶ 0:50:21 and terminated DHS advisory councils▶ 0:51:48.

• Vice Admiral Thomas Allan, Jr., USCG Acting Deputy Commandant for Operations▶ 0:24:23: Promised to deliver a capital investment plan 60 days after the president's budget and a quarterly acquisitions brief by April 1▶ 0:34:37; said the Polar Security Cutter is at 91.75% design maturity with 7 of 18 prefab units complete▶ 1:15:48, and that the Coast Guard needs to move to full-rate OPC production of two ships per year▶ 0:37:23.

• Heather MacLeod, GAO Director, Homeland Security and Justice▶ 0:29:11: Testified the shore infrastructure backlog has grown from $2 billion three years ago to at least $7 billion now▶ 0:30:00, with nearly half of Coast Guard facilities beyond their service life▶ 0:30:25, and said GAO's six prior recommendations remain only partially addressed▶ 0:31:31.

• Shelby Oakley, GAO Director of Contracting and National Security Acquisitions▶ 0:39:16: Said the Coast Guard consistently commits to overly optimistic schedules and cost estimates▶ 0:39:41, and that OPC stage two progress is "very very slow" while resources are shifted to OPC one▶ 1:14:47.

• Rep. Brian McDow (D)▶ 0:44:41: Asked why the FY2025 budget request differed so sharply from the Coast Guard reauthorization's authorized level▶ 0:45:08, and pressed on southern-border diversions affecting east/west coast smuggling interdiction, citing 348 migrant interdictions and over 1,000 tons of drugs seized since January▶ 0:47:49▶ 0:48:14.

• Rep. Nick Begich (R-AK)▶ 0:54:17: Asked about the timeline and infrastructure needs for home porting the Cutter Storis in Juneau▶ 0:54:47, and sought updates on fast response cutter home porting in Seward and Sitka, noting over $571 million in Alaska Coast Guard investments▶ 0:56:14.

• Rep. Marilyn Strickland (D-WA)▶ 0:57:35: Asked about workforce, facilities, and supply chain challenges for icebreaker construction▶ 0:58:00, and questioned Allan on a data breach that delayed pay for over 1,000 Coast Guard personnel▶ 0:59:46.

• Rep. Jefferson Van Drew (R-NJ)▶ 1:02:00: Argued for a realistic, long-term Coast Guard acquisition strategy with defined benchmarks and noted he is drafting legislation toward that end▶ 1:05:07, and compared the U.S.'s two icebreakers to Russia's roughly 55▶ 1:03:08.

• Rep. Hillary Scholten (D-MI)▶ 1:07:35: Highlighted her Pay Our Coast Guard Parity Act to ensure pay during a government shutdown▶ 1:08:19, asked about Great Lakes icebreaker acquisition timelines▶ 1:09:23, and about sustainment funding for FRC suppliers like Michigan Wheel▶ 1:10:43.

• Chairman Ezell (follow-up round)▶ 1:13:19: Asked about technical risk from a supplier change in OPC propeller/shafting between stage one and stage two▶ 1:13:20, and about the Coast Guard's unbudgeted plan to execute FY22-mandated autonomous/computer vision technology▶ 1:23:03.

Key moments

• Ezell said the Coast Guard has never produced a required major acquisition report, has not delivered a capital investment plan since FY23 (a year late), and has not provided a quarterly acquisition brief since Q3 of the prior year▶ 0:34:06.

• Carbajal cited Senate testimony that a 42-year-old cutter was actively taking on water through a rusted hull hole while underway▶ 0:22:10.

• MacLeod said GAO's shore infrastructure backlog estimate rose from about $2 billion three years ago to at least $7 billion, with over 200 projects lacking cost estimates and none adjusted for inflation▶ 0:30:00▶ 0:22:32.

• Allan said the Coast Guard is "a $20 billion organization operating on a $12 billion budget" and needs about $4 billion earmarked for future-force acquisition money▶ 0:37:48.

• Oakley said OPC stage two progress is very slow because most resources have shifted to fixing stage one, which is "not representative" of the final ship design▶ 1:14:21▶ 1:14:47.

• Allan disclosed he personally was among roughly 1,000 Coast Guard personnel whose pay was delayed by a cyber data breach, though most were repaid within a day▶ 1:00:10▶ 1:00:37.

• Larsen said the Polar Security Cutter's delivery has slipped to 2033 and could cost triple the original contract award▶ 0:15:49.

• Van Drew noted the U.S. has only two icebreakers compared to Russia's roughly 55, and is drafting legislation to set long-term Coast Guard capability benchmarks▶ 1:03:08▶ 1:05:38.

• Allan confirmed the Coast Guard is not aware whether it will be reimbursed for C-130 flights used to transport migrants under recent executive orders▶ 0:53:59.

• Allan estimated a $500 million-per-year funding deficit for surface fleet sustainment, forcing trade-offs between asset classes▶ 1:11:38.

Metadata

CommitteeHouse Transportation and Infrastructure Subcommittee on Coast Guard and Maritime Transportation
Chamber / CongressHouse · 119th Congress
DateMarch 5, 2025
TypeHearing
Witnesses
Vice Admiral Thomas Allan, Jr. — Acting Deputy Commandant for Operations, United States Coast Guard
Ms. Heather MacLeod — Director, Homeland Security and Justice, United States Government Accountability Office
Videoyoutube
Transcript170 caption blocks · 12,229 words · 1:24:45 runtime
EventCongress.gov 117938