Navy Homeports

To achieve its goal of a 600-ship fleet, the Navy planned in the early 1980s to expand the number of homeports. Everett, Washington, was chosen as the site for one of these new homeports. The total cost to develop the Everett homeport has swollen to $495.2 million, or nearly one-third more than the Navy's original estimate. In addition, development of the Everett homeport has slipped about six years behind schedule. In addition to comparing the Navy's initial development schedule and cost estimates with current figures, GAO (1) discusses the estimated future development costs for fiscal year 1993 and beyond from any source of funds and (2) compares the number and type of ships initially planned for the homeport with those now planned. GAO also analyzes the impact of closing the naval station at Sand Point, Washington, on the development of the Everett homeport.

GAO found that: (1) the Navy selected Everett for a new homeport site in 1984, and did not adopt the recommendation that GAO made in 1991 that it terminate new homeport plans because existing homeports could accommodate the Navy's fleet; (2) the July 1992 estimate for developing the Everett homeport is $495.3 million, $118.2 million more than the original 1985 estimate, due to configuration and project changes; (3) the Everett development schedule has slipped about 6 years, due to environmental concerns and a military construction moratorium; (4) the Navy expects to complete all homeport facilities by 1997; (5) the Navy has received $282.4 million in funds for the homeport, obligated $241.2 million, and expended $214.2 million, and will require an additional $212.8 million to complete the homeport; (6) the completed homeport will incur about $26 million in annual operations and maintenance costs; (7) the Navy does not believe that the decrease in the number of ships in its fleet and the number planned for the Everett homeport significantly affects site development or total costs; and (8) the Navy is using closure funds and projected savings from the closing of the Sand Point, Washington, naval station to accommodate many facilities and quality-of-life projects for the Everett homeport.