The Committee Meets today to consider the nomination of vice admiral Michael Beauvais to navy admiral and to be chief of navy operations. Thank you for being here, also extending a welcome to your family and want to invite you to introduce anyone at the time that you are recognized for an opening statement. We have our eight boring questions that are required so if you would please audibly respond to them so that we can have them in the record. Have you adhered to the laws and regulations governing interests . Yes, senator. Will you ensure that your staff complies with the lines established for requesting communications, including questions for the record and hearings . Yes. Will you cooperate and will you cooperate and providing response to congressional requests . Yes. Will those witnesses be protected from reprisal for your testimony question mark yes. Do you justify upon the request before the committee . Yes. Do you agree to provide documents, including documents of electronic forms in a timely manner when requested or to consult with the Committee Regarding the basis of any good faith delay or denial in providing such documents . Yes, senator. Have you assumed any duties or undertaken any actions which would appear to presume the outcome of the confirming process . No, i have not. The National Defense strategy directs our nations military to prepare for the return of strategic competition. This means we must be prepared to deter and if necessary, decisively defeat potential near adversaries like china and russia. It is a different world now that we have had before. I mean most American People just assume that we in america had the best of everything and we have watched whats happened over the last decade, in fact, thats not true. With the alarming speed and modernization of both conventional and nuclear forces, china and russia present formidable threats to america and our allies. One example of this is according to the office of naval intelligence, the chinese navy is growing more than 20 times faster than our navy. 20 times faster than our navy. At a rate of about 11 ships annually and the capability of those ships is increasing as well. The stuff they have is new stuff and that is pretty scary. Our navy has a key role to play in this competition, however i am concerned that the navy may be out of balance in each of these areas. Our ships appear undermanned with destroyers manning roughly 85 , under maintained with more than 60 of ships running along and maintenance and more than 1. 8 billion in maintenance needs are unfunded, and the third area under equipped, the key capabilities like fully functional forward class carriers and the combat Ship Missions are significantly delayed. Overall it seems to me that the navy is having trouble maintaining todays fleet of 291 ships and the challenges will only grow as the fleet surpasses 300 ships by 2020, 310 by 2022 on the way to our 355 ship navy. Admiral, this is not just the problems that we have. You have had an operational career. You were involved in all of this stuff. You are inheriting it with this position. The navy must First Sustainable sustainably man and main our and maintain our current fleet. Technical risks must be better understood, major new systems without better acquisition performance in relation to competitive advantages that they will accelerate. This is a critical time for our navy, and your leadership is coming along just about the right time. Thank you, sir. Thank you very much mr. Chairman. I want to welcome admiral gilday. Particularly his mother, his wife, one of his sons. You have served the nation with Exemplary Service for many years. We thank you for that. And we thank you for your willingness to continue to serve. Admiral, you have an exemplary record. I believe you are well qualified to be chief of naval operations. If youre confirmed, you will be tasked with recruiting and maintaining a quality force and ensuring it has the levels to meet our nations current challenges and respond to tomorrows threats. The navy is already tasked with time and on budget, and it will be compounded by the need to capitalize the Ballistic Missile submarine fleet that was built in the 1980s. The navy is struggling to maintain and support the ships and aircraft we already have in inventory, including having some attack submarines unable to conduct operations due to delayed maintenance availabilities. In addition, if you are confirmed, you will face the challenge of implementing programs for readiness and professionalism in the navy fleet to avoid preventable accidents like the mccain and fitzgerald. I am interested in your vision of the navy and how would you go about making that vision a reality. The major focus of the committee this year has been the state of privatized military housing. I how this first hand in my i saw this first hand in my visit to navy housing in rhode island. You will also be responsible for ensuring that the navy quickly provides acceptable housing for all of it Service Members and changes the navy system for overseeing Family Housing to ensure that Navy Commanders assume a sense of ownership of the housing situation and prevent a repeat of the poor conditions that we found. We live in Tumultuous Times and many core values are being tested. I am concerned that such times can have a corrosive effect on our military personnel. It has never been more important that our navy has principal leaders who promote respect throughout the ranks and adhere to a moral code that can serve as an example to all. Admiral, we expect and demand, and i am confident that you will be that leader. Thank you for your commitment to the nation. I must apologize because i must go to a hearing at the appropriations committee, but i will return. Thatous west pointer said i shall return, thank you. Thank you, senator. We will await your return. Admiral, it is nice to have you. We would like you to proceed with your opening statement. Your entire statement will be made a part of the record. Proceed. Thank you for the privilege and the opportunity of appearing before you today. It is deeply humbling and an honor to be here. I am grateful for the confidence of the president of the United States, the secretary of defense, and the secretary of the navy in nominating me to be the next chief of naval operations. Most americans associate the strength of the navy with great ships at sea. But the true sources of our naval power are the people and the loved ones who support them. My family is no different. My father enlisted in the navy right out of high school. My mother, who is here today, raised five sons along his side until my dads passing a few years ago. For the past 24 years, my wife linda has been a constant source of inspiration. Despite moving around the world with me, she has maintained a successful career in both the private and public sectors while raising our two sons. Our oldest is a sophomore at the university of virginia and could not be here due to rotc training. His younger brother, michael, soon to be freshman at auburn is here today as well as other members of my family. But like countless military families around the world, my familys love, resourcefulness, and support have made my Naval Service possible. I owe everything to them. Our country and our navy face many challenges both now and in the future. If confirmed, i intend to ensure our navy remains focused on our role within the joint force and protecting the American Homeland and defending american interests. The priorities of the National Defense strategy are clear. Our true north is Great Power Competition against russia and in china. It is our duty to ensure that we can operate, fight, and win across the spectrum from peaceful presence to violent conflict. In all domains. In a word, it is about lethality, producing and fielding a combat credible naval force with global reach capable of deterring any potential adversary and protecting our nations interest at all time. If confirmed, sustaining our readiness and modernizing our navy will be my top priorities. Thoughtful, focused decisions to rapidly mature, acquire, and field cutting Edge Technologies and integrating them into joint operating concepts will be key to ensure that our navy always fights from a position of advantage. Among a network of allies and partners unmatched by any rival as the preeminent navy in the world. My commitment to you is a navy ready to respond to the nations call both now and in the future. Sailors and Navy Civilians retain our competitive advantage. We owe them principal leadership, transparent and accountable processes, and sufficient resources to do their jobs effectively. In that respect, i want to thank this committee for the continued, unwavering support of our navy team by providing adequate and sustained funding. I thank you again for your time and consideration today. Im truly honored to be part of the greatest navy in the world. If confirmed, i will work closely with this committee and this congress as we prepared to as we prepare to meet the challenges ahead. Im grateful for your consideration of my nomination, and i look forward to your questions. Thank you. Thank you. We will have five minute questions around. I will begin. I want to ask you a question that will be rather lengthy, then 2 short questions i will ask you to respond for the record. They will require lengthy responses. I mentioned the uss gerald r. Ford. It was accepted by the navy in complete, nearly two years late, in 2017, 2. 5 billion over budget, and nine of 11 weapons elevators still dont work with costs continuing to grow. The ford is a numerical replacement for the uss enterprise, which was decommissioned in 2012. Since then, we have had only 10 operational aircraft carriers, despite the cno requirement for 12. This mismatch continues to place a heavy burden on the fleet to do more with less. The ford was awarded to a contractor. Ature mature imm technologies that had next to no testing. A new radar, catapult, gear, and weapons elevators, which i mentioned in our opening statement. The navy entered into this contract in 2008, which, combined with other contracts, have ballooned the cost of the ship more than 13 billion without understanding the technical risk, cost, or the schedules. This should be criminal. I first became exposed to this when i was down there on site. It is a great ship. We have to keep up with other countries that are creating a problem and becoming competitive. We have to do a better job. Since that time, there was a level of arrogance that really didnt make a difference that the elevators dont work. If you are carrying ordinance in elevators and they dont work, that is not good in the field. Since that time, the secretary of the navy told the president the elevators will be ready when she pulls out or you can fire me. Remember that . They still dont work. At that time, the board was the ford was supposed to pull out of its maintenance period. The departure has since been delayed to october. Even with this delay, only 2 of the 11 elevators will be ready. Nine elevators will not be ready and likely not be complete until 2020 or later. The promise eight months ago indicates either poor knowledge or poor judgment. This is the latest example of navy leaders not being straightforward when it comes to the program. That is quite a charge. When you see this happening and you see there is nothing we can do about it and it will be dumped in your lap. I would like your thoughts on my opening comments about that particular ford class. Did we do a good job . I share your concern and agree with your assessment. Including the fact that we will likely only have 2, perhaps 4 elevators operational by the time ford leaves in the fall. It is still unacceptable. We need all 11 elevators working to give us the redundancy and combat readiness the american taxpayers invested in the ship. It is more than just the elevators. The other deficiencies i mentioned. We have had 23 new technologies introduced into that ship. 4 were immature when we commissioned ford in 2017. We have seen progress in the launching system, the arresting gear, and the dual band radar. The reliability of those systems is training in the right direction. It is where we want it to be, based on the last testing. The elevators are a remaining hurdle to get over to get the ship at sea and finally deployed. On that one, when you are confirmed, would you agree it would be wise to report to us on a monthly basis as to the progress being made . Yes, sir, i commit to that in complete transparency, as well as taking what we learned from the ford and making sure we do not make the same mistakes again with other ships we need to field in the future. Appreciate that. 2 for the record. The navy seems to be under balance, undermined and debilitated maintenance delays. Major acquisition delays. I would like to have you respond to your view on the overall state of the navy. It is a balance. Were positioning ourselves to a 355 ship navy. Many details will come out in the course of this hearing. The second question for the record would be by 2023, the fleet is projected to grow to 314 ships. With several new leaderships. This addresses the leadership performance problems we have been under. I would like to have you give an answer for the record on your view on the recent leadship performances and what you would do differently to ensure adequate technical foundations in place prior to the procedure. If you would do that for the record, i would appreciate it. Center. Senator. Congratulations on your nomination and thank you to you and your family for being willing to consider this position at this critical time in our countrys history. I also appreciated your visit last week. One of the things we talked about is our public shipyard. Obviously im very concerned about what happens at the Portsmouth Naval yard. You have been invited by senator king and i to come and visit the shipyard. We hope you will do that. One of the things all of our shipyards need is investment. I support the Navy Shipyard infrastructure Optimization Plan that we released in february of 2018. It focuses, among other things, on increasing drydock capacity and improving facility layout. Critical issues for the Portsmouth Naval shipyard. Do you believe the Naval Shipyards required significant Infrastructure Investment in order to increase capacity and modernize our forces . I absolutely do. As well as the communities around them. That Skilled Workforce comes in those communities. That partnership runs long and deep. Our requirements and acquisitions specialists, the partnerships we have with those shipyards and the people that provide Skilled Labor. You are committed to doing everything you can moving forward with that Optimization Plan . Yes. The other issue we discussed was secretary spencers visit to the shipyard and his reassurances that the Construction Projects on the drydock would continue moving forward, despite the president Emergency Declaration to take military Construction Funding for the border wall. Can you give us an update on the status of any funds that may be diverted for the border wall . Im not aware of any funds. At this point that are diverted to the border wall that will affect the portsmouth shipyard. Great. I appreciate that. One of the other challenges we have as we look at the virginia class submarines and the need to continue modernizing them is that we dont have the parts we need to continue to do what we need to for the virginia class. We are actually cannibalizing parts from other ships to update them. Can you talk about what else the navy can do to address this limited availability of virginia class submarine parts . Yes, maam. The challenges we have with virginia extend to other ship classes. We also have problems with parts availability. The focus of the department is to ensure we have the right parts and write requirements requirements identified before the ships go into the shipyard so we dont have delays, which have in part of the problem with the which have been part of the problem with the production line that we have seen over the past three years and the trends that the chairman indicated in his opening statement. I commit to you that i will take a deeper look at parts availability for virginia class and other ships. As part of other limiting factors that we need to take a look at to ensure the production line continues to flow as it should. One of the critical elements of that is our Small Businesses throughout this country who are suppliers to the bigger companies, but without those Small Businesses, we often have , we dont often have the other pieces we need in order to keep construction moving. A big part of that is making sure the Small Businesses have the opportunity to get contracts. I hope you will also do everything you can to ensure that continues. I will. I consider them part of the team. Your point is well taken on ensuring there are no constraints in being able to contribute to where we need to go. Thank you. Now i would like to ask about one of the conflict areas that we have in the world. Tensions in the persian gulf have escalated with iran attacking commercial shipping vessels and shooting down drones. Can you talk about what you think the situation is in the persian gulf and what we may do to deescalate tensions . Yes maam. The department of defense is firmly in support of a department of state led effort to bring iran back to the negotiating table on the nuclear deal. Right now, the focus of u. S. Central command with the navy in support of the other services is to have sufficient resources to protect the forces we have right now, and be able to respond should the iranians do som