Navy Maintenance: Overseas Ship Repairs and Associated Costs
NSIAD-93-61
Published: Nov 13, 1992. Publicly Released: Nov 13, 1992.
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Highlights
Pursuant to a congressional request, GAO provided information on the maintenance of Navy ships at overseas locations, focusing on the: (1) amount of maintenance performed at overseas repair facilities and foreign shipyards; (2) operational impact of returning Japan-based ships to the United States for maintenance; (3) costs of returning other U.S. foreign-based ships for maintenance; (4) U.S.-Japan labor cost-sharing agreement; and (5) internal controls ensuring compliance with legislative restrictions on overseas ship repairs.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of the Navy | The Secretary of the Navy should: (1) incorporate section 7309(c) of title 10, U.S. Code, into the Department's policy and guidance; (2) conduct the evaluation necessary to determine if compliance with statutory limitations on overseas ship maintenance activities is an issue needing corrective action in the Federal Managers' Financial Integrity Act assessment process; and (3) if so, develop and implement a corrective action plan. |
Chief of Naval Operations Instruction 4700.5 was issued on December 4, 1992, containing explicit guidance regarding the restrictions of 10 U.S.C. 7309(c) and clarifying the types of repairs that can be performed overseas. Compliance with the statutory limitations has been identified as a material weakness and incorporated in the Financial Integrity Act process. In addition, a corrective action plan has been approved.
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Topics
Equipment maintenanceFuture budget projectionsInternal controlsMaintenance costsMilitary coproduction agreementsMilitary vesselsNaval basesNaval facilitiesShipyardsMilitary forces