SENATOR COLLINS URGES DEFENSE ACQUISITION NOMINEE TO EXAMINE SHIPBUILDING POLICY

Washington, DC— During a Senate Armed Services Committee hearing today to discuss the nomination of Kenneth Krieg to be Undersecretary for Acquisition, Technology and Logistics, Senator Collins questioned him about his views on the proposed "one shipyard" strategy. The current undersecretary in that position, Michael Wynne, recently sent a memo to the Pentagon advising that it is "premature at this time" for such a strategy to be implemented. Senator Collins, who strongly opposes the one shipyard policy, asked Krieg if he shares the views of his would-be predecessor.

During her questioning of Krieg, Senator Collins said, "A healthy, competitive industrial base is critical to supply for our men and women in uniform." She pointed out that Defense Secretary Rumsfeld has said that competition within DoD's industrial base creates an atmosphere that leads to the best products at the best prices.

Senator Collins discussed her concern about our shrinking industrial base on which the pentagon relies. She said the shrinkage is the result of a combination of factors including, mergers, acquisitions, and unsustainably low rates of production. "This issue is of particular concern in the shipbuilding industry because of the proposed radical change to the Navy's policy, which would implement a winner-take-all strategy with work on the DD(X) destroyer," said Senator Collins.

The Senator asked Krieg whether he agrees with Michael Wynne's position on the winner-take-call strategy. In his response, Krieg characterized Senator Collins' concerns as "valid." He said that he shares her concerns about the overall industrial base. "The Department of Defense is dependent upon the success of the industrial base," he said.

Krieg further said that this issue is one of the greatest challenges faced by his department and that he looks forward to working closely with Senator Collins and Congress.

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