"America Builds: Coast Guard Acquisitions and Infrastructure"

Subcommittee on Coast Guard and Maritime Transportation

2025-03-05

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Source: Congress.gov

Summary

A congressional subcommittee convened to review the Coast Guard's ongoing modernization efforts and address critical issues impacting its operational capabilities and personnel . Discussions highlighted significant challenges related to asset acquisition, infrastructure maintenance, and consistent funding levels, which impede the Coast Guard's ability to fulfill its diverse missions . Witnesses included Vice Admiral Tom Allen, Acting Deputy Commandant for Operations, and representatives from the Government Accountability Office (GAO), Heather McLeod and Shelby Oakley .

Themes

Coast Guard Modernization & Acquisition Challenges

The Coast Guard is undertaking a multi-decade modernization plan, but several key programs are experiencing dangerous delays and budgetary issues . The Polar Security Cutter (PSC) program continues to crawl forward, with the first delivery now projected for 2030 and significant cost increases [ 01:17:29 ]

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. Concerns also persist regarding the Offshore Patrol Cutter (OPC) program, which is four years late and has issues with non-compliant parts . The aviation fleet faces capability gaps due to the unplanned retirement of C-27s and a reduced lifespan for MH-60 helicopters . The GAO noted that the procurement process is often hampered by overly optimistic schedules and cost estimates, failing to adequately factor in known risks [ 00:40:29-00:40:57 ]

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Infrastructure Backlog

The Coast Guard faces a severe $7 billion shoreside infrastructure backlog, with nearly half of its facilities beyond their service life . This includes crumbling barracks, hangars, docks, and substandard housing conditions for service members [ 00:51:04 ]

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. Inadequate funding for survey and design further hinders the planning and execution of necessary infrastructure projects . The GAO warned that deferring maintenance leads to higher long-term costs and poses risks to safety, readiness, and mission execution .

Funding & Oversight

Members of Congress expressed frustration over the Coast Guard's failure to provide congressionally mandated reports, such as yearly capital investment plans and major acquisition reports . Admiral Allen acknowledged these shortcomings and committed to providing the overdue reports and plans [ 00:35:36-00:35:59 ]

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. There was a strong bipartisan call for significantly increased funding for the Coast Guard, with many advocating for it to become a $20 billion agency to meet its needs . Concerns were also raised about the negative impacts of continuing resolutions and government shutdowns on long-term planning and investments [ 01:10:43-01:10:51 ]

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Personnel & Morale

The well-being of Coast Guard personnel is a significant concern, with reports of substandard living and working conditions including mold and asbestos in housing [ 00:51:15 ]

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. Some members expressed worry that recent administrative actions, such as canceling diversity, equity, and inclusion initiatives, could negatively impact recruitment and retention . A recent data breach that delayed pay for over 1,000 personnel also highlighted cybersecurity vulnerabilities and the direct impact on service members' morale and financial stability [ 01:00:53-01:02:00 ]

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Mission Capabilities & Demands

The Coast Guard performs a wide array of critical missions, including saving lives, responding to emergencies, enforcing laws, securing maritime borders, and maintaining commerce . However, aging assets and underinvestment are pushing the service to a "breaking point," hindering its ability to execute these missions effectively . The diversion of C-130 aircraft and personnel to southern border operations raised questions about potential impacts on other essential Coast Guard functions, such as search and rescue . The urgent need for more heavy icebreakers to protect national sovereignty in the Arctic was also reiterated .

Tone of the Meeting

The tone of the meeting was largely concerned and urgent, reflecting widespread frustration over the ongoing challenges facing the Coast Guard . While critical of past failures in planning, acquisition, and oversight, there was a strong underlying current of bipartisan support for the Coast Guard and a desire to provide the necessary resources . Members expressed a clear expectation for greater transparency, accountability, and a more effective long-term strategy from Coast Guard leadership [ 01:04:26 ]

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. The Coast Guard acknowledged its shortcomings and conveyed a commitment to improvement and working collaboratively with Congress [ 00:35:36 ]

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[ 00:38:35 ]

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[ 01:07:43 ]

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Participants

Transcript

Thank you.   Thank you.
Is that right?
The Subcommittee on the Coast Guard and Maritime Transportation will come to order.  I ask unanimous consent that the Chairman be authorized to declare recess at any time during today's hearing.  Without objection, so ordered.  I also ask unanimous consent that members not on the Subcommittee be permitted to sit with the Subcommittee at today's hearing and ask questions.  Without objection, so ordered.  As a reminder, if members insert a document into the record,   please also email it to documentsti at mail dot house dot gov.  I now recognize myself for the purpose of an opening statement for five minutes.  Today, the subcommittee meets for our latest hearing in the Transportation and Infrastructure Committee's America Builds series to review the Coast Guard's modernization efforts.  I'd like to welcome our witnesses, Vice Admiral Tom Allen, Acting Deputy Commandant for Operations,   and Heather McLeod, Director of Justice and Homeland Security Programs at the U.S.  Government Accountability Office, who is accompanied by Shelby Oakley, Director of Contracting and National Security Acquisitions at the United States Government Accountability Office.  That was a mouthful.  Thank you all for being here today.  Every day, the Coast Guard is called upon to save lives.   respond to emergencies, protect the environment, enforce our laws, secure the maritime border from drugs and illegal immigrants, and maintain the flow of maritime commerce.  The brave Sentinels who carry out these missions should be supported by reliable ships, helicopters, and airplanes, but instead members of the Coast Guard at times find themselves on vessels and air assets that should have been retired long ago.  The Coast Guard's ability to do more with less has unfortunately encouraged   years of underinvestment and ever-increasing mission demands that have pushed the service to the breaking point.
Today, the Coast Guard faces a $7 billion shoreside infrastructure backlog with barracks, hangars, and docks that are literally crumbling, leaking, or both.  The service's medium-endurance cutters are increasingly unable to carry out their missions.  Our icebreaker fleet is unable to protect   project our nation's sovereignty in the Arctic, and flight mechanics are performing miracles to keep the Coast Guard's aging aviation assets in the air.  While the Coast Guard is well into a multi-decade modernization plan that has seen fast response cutters and national security cutters come online, progress on other programs remain dangerously behind schedule.   Since the Subcommittee last examined the Coast Guard's modernization efforts in June, the Polar Security Cutter program continues to crawl forward, and we need to continue to see meaningful progress.  The Subcommittee is encouraged by the Coast Guard's past statements highlighting the importance of the acquisition, and we expect you to continue to prioritize this critical program.   Concerns with the offshore patrol cutter program remain as we prepare for the lead ship to be delivered at the end of this year, four years late, and with a host of non-compliant parts.  In addition, new problems have developed with the last hulls in the national security cutter program, and we could receive one ship less than what Congress has appropriated.  At the same time,   Efforts to modernize the service's aviation fleet have taken steps back, with MH-60 and C-27s being phased out earlier than planned.  Failure to successfully acquire new surface and air assets and the shore infrastructure required to support them is a true crisis for the Coast Guard.  Without them, the service cannot carry out its missions.  The failure to appropriate adequate funds year after year is a significant factor contributing to this problem.
But it's not the only one.  Broken contracting process and inadequate planning and review efforts have dug the Coast Guard deeper into the hole.  To encourage proper oversight, Congress requires yearly capital investment plans and major acquisition reports.  These plans are not optional.  They are required by law.  Yet the Coast Guard fails to produce them, and this is unacceptable.   As chairman of this subcommittee, I am committed to reviewing the Coast Guard's contracting and planning efforts and working with the service to improve them.  I also applaud the President for his strong vision in helping us in our shipbuilding industry back on track.  In his speech last night, he set a clear leadership vision for investing in American shipyards through the establishment of a shipbuilding office to strengthen our domestic capacity, our local economy, and local workforce.   Vice Admiral Allen, I am eager to hear your plan to ride the ship so that we can get the men and women of the Coast Guard the assets they need to carry out their missions.  Director McLeod and Ms.  Oakley, I look forward to you both bringing a dose of reality to the Coast Guard's plans.  Thank you all for being here today, and I look forward to our discussion.  I now recognize our ranking member, Mr. Carbajal, for an opening statement for five minutes.

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