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  #1  
Old 20 July 2011, 14:55
eoddude eoddude is offline
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$300 Mil Never Used Ships Being Scrapped

http://hamptonroads.com.nyud.net/201...ead-scrap-heap

I know I shouldn't care it's just a few million. I doubt if it pays the interest on the national debt for a whole minute.

But still, W...T...F...!!!

Why doesn't somebody go to jail for this or at least lose their job?
Yeah, I know. Who do you blame? It's just the way the machine runs. It was no doubt easier to just walk away. Still, dang! All this time, money, effort wasted.
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Old 20 July 2011, 15:19
Kip Kip is offline
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Damn. That sucks.

I wonder if you could buy one if you had the money. How much do you think it would cost to turn one into a huge yacht?
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Old 20 July 2011, 15:50
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Quote:
Originally Posted by eoddude View Post
Why doesn't somebody go to jail for this or at least lose their job?
Yeah, I know. Who do you blame? It's just the way the machine runs. It was no doubt easier to just walk away. Still, dang! All this time, money, effort wasted.
It sounds wasteful, but it’s impossible to evaluate without additional context.

Ship class programs originally determined to complete and deliver n hulls are continuously re-evaluated with respect to changing operational needs and budgets, new construction standards (as in this case), and a host of other factors. When a program is terminated, hulls under construction but not completed go on the pile for later disposition. $300M seems like a lot to scrap, but how much was saved by not completing/commissioning/crewing and operating these vessels throughout their projected service life? How much will be saved by removing them from storage, where they represent potential environmental damage, etc.?

Apparently the government signed over ownership at some point in the past, probably to mitigate those very costs…
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Old 20 July 2011, 16:19
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RGR.Montcalm RGR.Montcalm is offline
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It could become one of these

http://www.stabbertyachts.com/conver.../yacht315.html
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Old 20 July 2011, 16:28
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RGR.Montcalm RGR.Montcalm is offline
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Their present value as scrap (@ $200/ton) is $1.9 mil each


Quote:
Originally Posted by Brianj View Post
It sounds wasteful, but it’s impossible to evaluate without additional context.

Ship class programs originally determined to complete and deliver n hulls are continuously re-evaluated with respect to changing operational needs and budgets, new construction standards (as in this case), and a host of other factors. When a program is terminated, hulls under construction but not completed go on the pile for later disposition. $300M seems like a lot to scrap, but how much was saved by not completing/commissioning/crewing and operating these vessels throughout their projected service life? How much will be saved by removing them from storage, where they represent potential environmental damage, etc.?

Apparently the government signed over ownership at some point in the past, probably to mitigate those very costs…
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  #6  
Old 20 July 2011, 16:57
Carl Spackler
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Should be reefs somewhere atleast...
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  #7  
Old 20 July 2011, 17:02
foxcolt13 foxcolt13 is offline
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Hey thats just what I want ,lets go halfy's on it.
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Old 20 July 2011, 20:49
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One of them was 95% complete?
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  #9  
Old 21 July 2011, 08:19
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The money was wasted over twenty years ago. I suspect that the completion costs would have been far, far greater than what the government would have gotten back if they'd sold them as finished vessels. As noted, they don't even meet the current standards for an oiler. If sold, the most likely customer would have been a third world nation that would have paid for them through American funding. There isn't much detail given on the background of the ships. It is possible that the Navy never wanted them and they were built because someone put it in the budget to keep a shipyard open in Philadelphia. At the end of WWII the U.S. government stopped construction of battleships in various stages of completion and turned them into scrap. It can seem like a waste, but the bigger waste would be to spend more money on something that isn't needed.
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Old 21 July 2011, 08:52
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RGR.Montcalm RGR.Montcalm is offline
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Originally Posted by P38 View Post
The money was wasted over twenty years ago. I suspect that the completion costs would have been far, far greater than what the government would have gotten back if they'd sold them as finished vessels. As noted, they don't even meet the current standards for an oiler. If sold, the most likely customer would have been a third world nation that would have paid for them through American funding. There isn't much detail given on the background of the ships. It is possible that the Navy never wanted them and they were built because someone put it in the budget to keep a shipyard open in Philadelphia. At the end of WWII the U.S. government stopped construction of battleships in various stages of completion and turned them into scrap. It can seem like a waste, but the bigger waste would be to spend more money on something that isn't needed.
The ships were not completed as a result of the Exxon Valdez incident that basically made single hull oilers obsolete. There are 15 of that class in service- 15 with the U.S. and 1 in the service of Chile

http://en.wikipedia.org/wiki/Henry_J...er_class_oiler
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Old 21 July 2011, 21:42
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Originally Posted by eoddude View Post
Why doesn't somebody go to jail for this or at least lose their job?
Yeah, I know. Who do you blame? It's just the way the machine runs. It was no doubt easier to just walk away. Still, dang! All this time, money, effort wasted.
That is the problem with the US GOV. It is managed by Generalists who move on to another position before they are held accountable for the money they wasted. By the time a problem shows itself, they are long gone.
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  #12  
Old 23 July 2011, 01:05
Princeps Belli Princeps Belli is offline
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I was reading this, and I thought about how comical it is that $100 million is a fraction of pocket change in relation to the trillions of dollars in national debt.
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Old 23 July 2011, 14:10
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x175Ranger x175Ranger is offline
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Unbelievable.....and the boys were buying their own body armors not too long ago...
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