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Navy/USMC

GAO Shipyard Audit: SIOP Cost Estimate In FY 2025, Navy Needs To Use Better Costs And Schedule Practices

Rich Abott By
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GAO Shipyard Audit: SIOP Cost Estimate In FY 2025, Navy Needs To Use Better Costs And Schedule Practices
PEARL HARBOR, Hawaii (December 14, 2022) Vice Chief of Naval Operations Admiral Lisa Franchetti discusses plans for infrastructure improvements under the Shipyard Infrastructure Optimization Program (SIOP) with Shipyard Commander Captain Richard Jones, and Production Facilities and Plant Equipment Manager Chad Nakamoto at Pearl Harbor Naval Shipyard & Intermediate Maintenance Facility (PHNSY & IMF) during a visit for an operations update and SIOP tour onboard Joint Base Pearl Harbor-Hickam. PHNSY & IMF is a field activity of NAVSEA and a one-stop regional maintenance center for the Navy’s surface ships and submarines. (U.S. Navy photo by Justice Vannatta/Released)

A new Government Accountability Office (GAO) audit found the Navy needs to stick to cost and schedule best practices to maintain accurate estimates for the ballooning costs of its decades-long shipyard upgrade plan. The Navy’s initial cost and schedule estimate for the Shipyard Infrastructure Optimization Program (SIOP), issued in February 2018, was a 20-year effort set to cost $21 billion. However, by March 2023 the Navy told GAO auditors that estimate was not accurate. This new report, published June 28,…

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