Navy DDG-51 Destroyer Procurement Rate: Issues and Options for Congress [April 25, 1994] [open pdf - 0B]
"Congress has procured 29 Arleigh Burke (DDG-51) class destroyers since FY1985; the first 3 had entered service by the end of 1993. The DDG-51 program is one of the Department of the Navy's highest-priority procurement programs. The Administration wants to continue procuring 3 DDG-51s per year (28 total through FY2004), at a current cost of about $900 million per ship. The issue for Congress is whether to modernize the Navy's surface combatant force by maintaining the DDG-51 procurement rate at 3 ships per year or by adopting a different modernization strategy. Congress' decision on this issue could have important implications for DoD [Department of Defense] funding requirements, U.S. military capabilities, and the U.S. defense industrial base. […] With a very substantial amount of additional, non-DDG-51 work, a procurement rate of 2 ships per year might sustain two yards, but at a higher level of risk to the survival of the yards. Giving additional, non-DDG 51 work to one or both of the DDG-51 yards may require an explicit policy decision to not give this work to other private or public shipyards."
CRS Report for Congress, 94-343