Summary: Seawolf submarine detail design and SSN-21 construction continued to experience cost increases and schedule delays during 1993. The estimated total cost of detail design and lead ship construction rose about $17 million (2.5 percent) and $39 million (3.5 percent), respectively. Design cost increases were caused by rescheduling drawing issue dates to meet Electric Boat's requirements, design inefficiencies associated with that effort, and paying overtime. Factors contributing to construction cost increases included increases in direct labor, increases in overhead, and additional work. The detail design contract fell another 15,000 hours behind schedule because of delays in preparing design drawings and integrated logistics support data. SSN-21 construction fell four months behind the construction schedule, which was revised in March 1993. According to Electric Boat and Navy Seawolf program officials, late design data, an eroding industrial vendor base, and later material contributed to the delays. Although Electric Boat has begun corrective action aimed at recovering construction delays and meeting the SSN-21's revised May 1996 delivery schedule, the Supervisor of Shipbuilding at Electric Boat continues to be concerned about Electric Boat's ability to recover the construction delays.
