Publicly Released: Sep 29, 2020. Omitting these analyses undermines the credibility of the estimated program costs, increasing the risk that decision makers do not have a complete picture of the full range of costs the program could incur. The OPCs will bridge the capabilities of the national security cutters, which patrol the open ocean, and the fast response cutters, which serve closer to shore. for the U.S. Coast Guard’s offshore patrol cutter (OPC) #2. GAO Says Coast Guard OPC Design Unstable, Schedule Optimistic. Construction on the first ship in a new class of US Coast Guard cutters started with a steel cutting ceremony at Eastern Shipbuilding Group’s facilities in Panama City, Florida, on January 7. Provides the midrange capability in the Coast Guard's layered defense concept, filling the role between the NSC and FRC and replacing the service's two classes of aging medium endurance cutters. Browse all our products here, Explore our Key Issues on Homeland Security. These awards support the Coast Guard’s strategy to mitigate OPC program risk and establish a new, fair and open competitive environment to complete the OPC program of record. For more information, contact Marie A. Mak at (202) 512-4841 or makm@gao.gov. GAO is making eight recommendations to the Coast Guard and DHS, including ensuring that the program stabilizes its design before proceeding with construction of the next OPC, updates its schedule to address deficiencies and incorporate risks, and updates its cost estimate to improve its credibility. Prior to the construction award for OPC 1, the OPC program's schedule has contained significant deficiencies that are contrary to what is called for in best practices for developing schedules that GAO identified. Florida-based Eastern Shipbuilding Group has cut the first steel for the US Coast Guard’s (USCG) second offshore patrol cutter (OPC). This could further delay schedules and increase costs. The cutting of steel started the fabrication and assembly of the cutter’s hull, and ESG is to complete keel laying of Chase […] The cost estimate used to inform the program's new cost goals did not include key analyses called for in best practices for developing cost estimates GAO identified. WASHINGTON — The U.S. Coast Guard has awarded eight offshore patrol cutter (OPC) industry studies contracts, the service announced in a release. Cutter X: Certainly no indication yet that the Coast Guard is considering an additional type of patrol cutter, but something of 1,500 to 2,500 tons, between the size of the OPC and the FRC would offer a way to procure a larger number of cutters with greater range The Coast Guard divided the Offshore Patrol Cutter (OPC) program into two stages and revised its cost and schedule goals following widespread disruptions from Hurricane Michael in October 2018, which led the shipbuilder to request relief from certain requirements under contract. The Coast Guard opened access to the offshore patrol cutter (OPC) technical library Aug. 3. (Recommendation 7), Recommendation: The Commandant of the Coast Guard should ensure the OPC program improves its risk management processes to follow the format and include content as indicated in DHS acquisition policy and Coast Guard guidance, including (1) holding monthly risk management board meetings and updating its risk register regularly; (2) revising the risk register to include the risks we identified in this report—proceeding into construction with an incomplete 3D model, conducting late operational testing, challenges with ESG's scheduling practices, and challenges with ESG's accounting system; and (3) revising the risk register to comprehensively track risk management information. Coast Guard Awards Eight Contracts for Industry OPC Studies, Austal USA of Mobile, Alabama: $2 million base award ($3 million total potential value), Bath Iron Works of Bath, Maine: $2 million base award ($3 million total potential value), Bollinger Shipyards Lockport of Lockport, Louisiana: $2 million base award ($3 million potential value), Eastern Shipbuilding Group of Panama City, Florida: $1.1 million base award ($1.2 million potential value), Fincantieri Marinette Marine of Marinette, Wisconsin: $2 million base award ($3 million total potential value), Huntington Ingalls, Inc. of Pascagoula, Mississippi: $2 million base award ($3 million total potential value), Philly Shipyard of Philadelphia: $2 million base award ($3 million total potential value), VT Halter Marine of Pascagoula, Mississippi: $2 million base award ($2.9 million total potential value). Published: Sep 29, 2020. (Recommendation 3), Agency Affected: Department of Homeland Security: United States Coast Guard, Recommendation: The Commandant of the Coast Guard should ensure the Coast Guard Component Acquisition Executive revises Coast Guard's acquisition policy to include criteria and a methodology for demonstrating design maturity for shipbuilding programs that are aligned with shipbuilding best practices, including specifying the completion of basic and functional designs and maturing critical technologies to a TRL of 7. Aug. 3, 2020 —. Coast Guard officials describe the OPC and PSC programs as the service’s highest acquisition priorities. Notional OPC design is 360-feet long, a 54-foot beam, and 17-foot draft. (Recommendation 1), Agency Affected: Department of Homeland Security, Recommendation: The DHS Secretary should ensure the DHS Under Secretary for Management directs the Coast Guard to include in OPC's acquisition program baseline for stage 2 OPC's delivery dates when the stage 2 acquisition program baseline is established and approved at ADE 2B. The Coast Guard will use the industry studies results to further inform its follow-on acquisition strategy and promote a competitive environment for the DD&C award. Published: Oct 20, 2020. Further, the revised post-hurricane delivery dates for the first four OPCs are optimistic and do not fully incorporate schedule risks, increasing the likelihood that the OPCs will not be delivered when promised.

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