TOTE Services has been appointed by the US Navy to oversee the management of its new Medium Landing Ships (LSM) programme as part of a contract valued at $2.2bn.
This appointment follows the US Navy’s Request for Proposal (RFP) issued in February for a Vessel Construction Manager (VCM) for its new LSM fleet.
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The arrangement places TOTE Services in charge of the LSM programme, which intends to address the capability gap between smaller landing craft and larger amphibious ships within the Navy fleet.
According to the US Navy, this contract will “maximise commercial practices” and expedite shipbuilding timelines and maintain tighter control over costs.
The delivery of the first LSM under this programme is projected for autumn 2029.
For initial production, TOTE Services has been directed to arrange and manage subcontracts with Bollinger Shipyards to build one LSM and with Fincantieri Marinette Marine for four vessels.
There is further provision for the company to determine contract awards for up to three more ships, making up a potential first phase total of eight vessels.
Will Mahan, assistant secretary of the Navy for research, development and acquisition said: “The VCM strategy is an innovative shift in Navy shipbuilding. We are changing the way we do business, and leveraging commercial best practices to improve cost, schedule, and performance.
“With a five-month duration between RFP release and contract award, we achieved a nearly 50% reduction to traditional contracting timelines. This reflects the immediate impact our Portfolio Acquisition Executives are having to accelerate shipbuilding.”
Responsibility for the overall procurement and delivery of the new LSMs lies with the Portfolio Acquisition Executive for Maritime (PAE Maritime), the central authority within the US Navy for surface ship delivery.
According to the Navy, this centralised model is intended to provide leaders with greater authority to speed up acquisition processes in line with operational requirements.
The LSM initiative aims to make available a fleet of 35 ships, with the vessels expected to support Marine Corps distributed operations by enhancing littoral mobility and logistics.
TOTE Services will also work with several sector partners to support technical execution, including Leidos Gibbs & Cox, The McHenry Management Group, MAD Security, and Damen.
Further steps in the programme will see TOTE Services issuing requests for proposals to selected US shipyards, progressing supplier engagement and construction activities, and leading delivery efforts for the Navy and Marine Corps moving forward.
TOTE Services president Jeff Dixon said: “This is a tremendous responsibility and a defining moment for American shipbuilding, the VCM model, and TOTE Services.
“We are grateful to PAE Maritime, the Marine Corps, Congress, and the many government leaders who have championed this important programme and helped bring the VCM model to a mission of national importance.”
