Navy Cancels $3 Billion USS Boise Overhaul, Shifts Funds to New Submarines
The Navy has canceled a Biden‑era overhaul contract for the Los Angeles‑class attack submarine USS Boise after projected costs neared $3 billion, with War Secretary John Phelan saying the repair 'no longer made financial or strategic sense.' In an interview with Fox News, Phelan said the Boise has already consumed roughly $800 million in work that is only about 22% complete and would require another $1.9 billion to finish, even though the boat has only about 20% of its service life left after sitting pier‑side since 2015 and losing dive certification in 2017. The original overhaul contract, awarded in 2024 under the Biden administration at about $1.2 billion, was meant to return the submarine to service by around 2029 but instead became a symbol of the Navy’s chronic shipyard delays, workforce shortages and dry‑dock bottlenecks. Navy leaders now plan to redirect money and scarce shipyard labor to building newer Virginia‑ and Columbia‑class submarines as they face mounting pressure to expand the undersea fleet and keep pace with China’s rapidly growing navy. The move underscores how badly U.S. maintenance backlogs can gut front‑line combat power and will fuel debate over whether the Navy’s public and private shipyards are structurally capable of sustaining the fleet size both parties say they want.
📌 Key Facts
- The Navy has canceled the USS Boise overhaul after cost estimates climbed to roughly $2.7–$3 billion.
- About $800 million has already been spent on the project, but Phelan says the work is only 22% complete and the sub has only about 20% of its service life remaining.
- The overhaul contract was originally awarded in 2024 for about $1.2 billion, with completion projected for 2029 after Boise had already been idle since 2015.
- The Navy will shift funding and skilled labor from Boise’s overhaul to new Virginia‑ and Columbia‑class submarine construction as part of a push to speed shipbuilding versus China.
📊 Relevant Data
As of 2023, the US Navy has integrated women into submarine service, with 609 women assigned to operational submarines, representing a small fraction of the total submarine force; the Navy aims for at least 20% female population in integrated crews but sometimes falls short.
Different But Equal | Proceedings — US Naval Institute
The US Navy's submarine warfare officers are demographically composed of 71.2% White, 11.4% Hispanic or Latino, 6.4% Black or African American, 6.1% Unknown, and 4.4% Asian as of recent data.
Staff submarine warfare officer demographics and statistics — Zippia
The US shipbuilding industry faces a shortage requiring the hiring of 250,000 skilled workers over the next decade to meet demand for military and commercial vessels, with 27% of current shipbuilders aged 55 or older.
This AI-proof career faces a 250000-worker shortage—now's the time for Gen Z to get on board — Fortune
As of 2026, the US Navy operates approximately 64 submarines, while China operates around 66 submarines, but China's overall navy has over 1,000 ships compared to the US's 474.
China vs United States Navy Fleets Comparison 2026 — Global Military
The US Navy's attack submarine force is at a historic low, with maintenance backlogs exacerbating readiness issues and hindering development work.
Navy Virginia-Class Submarine Program and AUKUS Submarine Proposal: Background and Issues for Congress — Congressional Research Service
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