Fincantieri to Build Landing Ship Medium Alongside Bollinger
The U.S. Navy says that two yards will begin building the new Landing Ship Medium (LSM), the Marine Corps' new beach-capable transport. The service said that it will be hiring a third-party vessel construction manager (VCM) to oversee the project and decide on future construction awards.
Bollinger was previously awarded a contract for engineering and long-lead-time procurement in September. Fincantieri - which recently lost almost all contracts for the delayed Constellation-class frigate - has been selected as an additional shipyard for the LSM program, and it will build four hulls. A VCM will oversee the program, and will get to decide how to split up the award for the remaining three hulls in the base contract. The scope could be large for the winning yard(s): ultimately, the Marine Corps would like to have 35 vessels in the series.
The VCM will be the prime contractor to the Navy for the LSM program, and the shipyards will work for the VCM as its subcontractors. The service noted that this has the effect of creating a buffer between the government and the shipbuilder: Naval Sea Systems Command will interact with the VCM, not the yard, and the yard will be better able to focus on construction.
Among other benefits, it deters change orders from within the government side of the program, which are a primary source of delays and cost overruns. Extensive changes were a major factor in the fate of the Constellation-class program, which started from an off-the-shelf design and ended up with just 15 percent commonality with the original. The Maritime Administration implemented the VCM model for the National Multimission Training Vessel (NSMV) program at Philly Shipyard, and has described it as a success. By contrast, all of the Navy's newbuild programs are behind schedule, some by years, according to Navy Secretary John Phelan.
"The VCM approach not only accelerates construction timelines but also strengthens our industrial base by engaging multiple shipyards," said Rear Adm. Brian Metcalf, Program Executive Officer, Ships at NAVSEA. "By providing a mature, 'build-to-print' design and empowering a VCM to manage production, we are streamlining oversight for this acquisition."

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The Landing Ship Medium is a small transport vessel for the Marine Corps, a connector to support the service's mobile anti-ship missile batteries in the islands and littorals of the Western Pacific. In the event of a Chinese invasion of Taiwan, LSMs would help specially-equipped Marine Corps units disperse, resupply and reposition within theater, without attracting as much attention as a full-size amphibious assault ship. It is a top priority for the USMC.
The Navy initially looked at an existing U.S. Army landing ship as the parent design for LSM, but later picked the competing Damen LST-100 design for the program. It was selected for manufacturability and affordability, among other factors, in order to enable large-scale series construction - the Marine Corps' preferred outcome.
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