Budget Committee News

Damen Shipyards Group and the German Bundesamt fur Ausrüstung, Informationstechnik und Nutzung der Bundeswehr on Friday signed the contract for the construction of four MKS-180 frigates for the German Navy. Damen is the main contractor for this complex project which it is undertaking, together with partners Blohm+Voss and Thales, in Germany.The combination of companies was previously declared the winner of a European tender; the largest in the history of the German Navy. On June 17, the necessary financial resources were released by the German Bundestag budget committee.

Luerssen, ThyssenKrupp and German Naval Yards have agreed to bid jointly for a German navy warship contract after competition authorities struck down an earlier bid, an industry source said. The contract had originally been worth 1.5 billion euros($1.68 billion) but it is unclear how much the government will ultimately pay. The contract for five corvettes, which had been due to be awarded without tender to a consortium of ThyssenKrupp and Luerssen, was struck down by the German cartel office after German Naval Yards complained. Under the deal, which must still be approved by the cartel office, German Naval Yards would win work worth 15 percent of total revenues from the contract. The German parliament's budget committee will decide on the contract on June 21, the source said.

A tender worth around 4 billion euros ($4.5 billion) for four warships for the German navy has been delayed by around six months to ensure quality standards are met, according to a copy of a defence ministry letter seen by Reuters on Tuesday. The new MKS 180 multi-role combat ships are expected to be delivered from 2023. They are intended to be capable of attacking targets on land and underwater and providing aerial protection to other vessels. In the letter to the German parliament's budget committee, Deputy Defence Minister Markus Gruebel said it would take longer to conclude the agreement with bidders than it took with previous procurement projects due to higher quality standards.

U.S. “The Senate Armed Services Subcommittee on Seapower convenes this afternoon to examine Navy shipbuilding programs. We welcome our three distinguished witnesses: The Honorable Sean J. Stackley, Assistant Secretary of the Navy for Research, Development, and Acquisition; Vice Admiral Joseph P. Mulloy, Deputy Chief of Naval Operations for Integration of Capabilities and Resources; and Lieutenant General Robert S. Walsh, Deputy Commandant for Combat Development and Integration, as well as Commanding General, Marine Corps Combat Development Command.

Rebels occupying major oil ports in eastern Libya said on Wednesday they would boycott Prime Minister Ahmed Maiteeq and keep two major export terminals shut for now, a blow to efforts to restore vital oil exports. The rebels even warned they would take action if Tripoli did not fulfil its part of a recent agreement to reopen the oil ports, a veiled threat to close the terminals again. "Nothing has been implemented," said Abd-Rabbo al-Barassi, self-declared prime minister of the rebel movement. He accused the Muslim Brotherhood and other Islamists in parliament of undermining the agreement and trying to take over the ports. The struggle over energy wealth is part of growing turmoil in the North African country three years after the overthrow of dictator Muammar Gaddafi.

This article describes the impact of the “sequester” and budget showdowns on ports and port security, and also gives a preview of the House-Senate Conference on the Water Resources Development Act (WRDA). On the one hand, ports and port security have been severely hampered by the ongoing budget battles, as has the rest of the U.S. Government and economy. On the other hand, Congress appears to be on the brink of reauthorizing the Water Resources Development Act for the first time in six years.

You are not alone if you are bewildered by the talk in Washington about “sequester,” “continuing resolution”, “fiscal cliff,” “budget resolutions,” and “debt ceilings.”  Even those of us who think we understand what’s going on have trouble keeping up. This article will break down the talk into segments on the continuing resolution that funds the government for the rest of this fiscal year: the House and Senate budget resolutions, the upcoming debt ceiling fight; and, finally, the President’s budget request for FY2014. The focus is on maritime, transportation and energy programs.

Unlike the past several years, this year's budget debate included some discussion of the longstanding problem of underfunded harbor maintenance. This recognition of the harbor maintenance issue by the House Budget Committee is a positive small step forward. The text of H. Con. Res. 112 does not include any specific language related to the Harbor Maintenance Trust Fund (HMTF). The Budget Committee report on this legislation includes the following:  "In addition, the budget acknowledges the importance of maintaining our ports and waterways to encourage commercial deep-draft navigation and economic competitiveness. In fiscal year 2012…

Senator Robert C. Byrd (D-WV) will receive the Sixth Annual Waterways Council, Inc. Leadership Service Award on February 28 at the Willard Hotel, Washington, DC. Senator Byrd will be honored for his steadfast commitment to the improvement of the Nation’s ports and commercial inland waterways system over his many years in Congress. Past recipients of the award include Representative David Hobson (2006); Representative Jerry Costello and Representative John Duncan, Jr. (2005); Senator Kit Bond (2004); Senator John Breaux (2003), and Representative Sonny Callahan (2002). Senator Byrd is Chairman of the Senate Appropriations Committee, appointed to the Committee by then-Majority Leader Lyndon B. Johnson in 1959, the year Senator Byrd began his Senate service.