First Supplemental National Defense Appropriation Bill for 1942

Subsequent to the Bureau's prior requests for facility authorizations, certain bottlenecks developed whose removal require an increase in the present limitation. The major reason for the development of these bottlenecks is the enormous load thrown on industry in general not foreseen at the time previous requests were made. For example, the $7,000,000,000 lend-lease program, the large additional aircraft program (especially the four-engine bombers), and the additional merchant ship construction undertaken by the Maritime Commission are cited. Much of this work has equal or greater priority than naval work and the facilities used for these loads will have to be compensated for by additional facilities.

Other contributory reasons for this request are the necessity for properly balancing facilities already provided in shipbuilding yards, as well as in industries producing ship equipment and materials, and for covering increases in the cost of materals and labor entering into facility work already under way.

In the past, no additional facilities have been provided, nor will they be provided in the future, until after an exhaustive investigation in conjunction with the Office of Production Management has proved beyond doubt that existing facilities are not available, suitable for the purpose. Each expansion in facilities is separately investigated and every effort is made to utilize existing facilities by subcontracting to the maximum extent possible.

The $300,000,000 is intended to be distributed as follows:

Further details concerning the need for additional facilities covered by item 3 (supply facilities collateral to shipbuilding) follow:

(a) Propulsion machinery and auxiliaries. As the shipbuilding program advances it is apparent that ships can be built faster (even with the present bottleneck in steel) than the present capacity of the country can supply important items of propulsion machinery and propulsion-machinery auxiliaries. It will be necessary to further increase the capacity of these industries in order to keep pace with the present construction of hulls. The same remarks apply for the gasoline- and Diesel-engine industries in supplying the needs of the boat and small-ship construction program.

(b) Auxiliary machinery.-The shortage of facilities for the manufacture of miscellaneous auxiliary machinery is becoming apparent. Here, also, the manufacture of such equipment must be speeded up to keep pace with the production of hulls.

(c) Steel, including protective steel.-The steel capacity of the country to produce structural and protective steel for the purpose of national defense is a serious bottleneck at present. This production must be speeded up if ships are to be built as fast as is required. As far as protective steel is concerned, a shortage exists which will hold up the completion of certain naval vessels for a considerable length of time unless remedied.

NOTE. If the steel industry is put in a position to deliver steel at the faster rate it is estimated that the other industries covered in this justification will be in a position to keep pace if they are expanded as requested.

(d) Forgings and castings.-The capacity of the country to provide large forgings, such as propeller shafts, turbine rotors, and combustion-engine parts, and steel castings, is seriously deficient, and must be expanded if the pace is to be maintained.

(e) Radio and sound.-In spite of sizable increases in the facilities of this industry it is apparent that still further increases will be necessary in order to provide equipment already on order in time, and further to produce new secret equipment recently developed.

(f) Miscellaneous shipbuilding material and equipment. Such items include materials like electric cable, insulating and plastics, chemical defense, optical equipment, and many other similar items. Bottlenecks in individual industries are developing from time to time which must be overcome in order to keep up the pace.

B. ARMOR, ARMAMENT, AND AMMUNITION

No additional funds are being requested. We are requesting that the limitation of $300,000,000 be increased by $125,000,000 for the purposes indicated below. Previous authorizations for ordnance facilities at Government and private plants have been as follows:

Public, 629, Seventy-sixth Congress..
Public, 757, Seventy-sixth Congress:

General_.

Armor

Public, 4, 77th Cong-.

Total

As of July 7, 1941, the commitments under these previous authoriza

tions were as follows:

Contracts

Project orders and requisitions_

$6, 000, 000

65, 000, 000

35, 000, 000

194, 000, 000

300, 000, 000

166, 708, 735

36, 316, 787

This leaves a balance of less than $10,000,000 to allow for adjustments in final costs due to changes in specifications and plans as work proceeds.

Progress in procurement has indicated the following additional facilities are necessary in order to facilitate future deliveries of important war materials. Further expansion of existing plants for 5-inch and 3-inch single mounts

Additional facilities for 5-inch and 3-inch roller path manufacture___
Assembly plant for 5-inch single mounts and their power equipment__
Facilities for manufacture of 5-inch and 3-inch loading machines, fuze
setters, and accessories___-

Additional facilities for manufacture of 5-inch twin and 6-inch triple
mounts and ammunition hoists---

Additional facilities for production of cartridge cases and fuzes, load-
ing and assembly of minor-caliber ammunition__
Additional facilities for manufacture of optical equipment_---
Expansion facilities for manufacture of torpedo air flasks, after
bodies, and torpedo parts.

Machine tools and equipment for manufacture of 20 mm. and 40 mm.
projectiles_

Additional expansion of armor facilities

$4, 000, 000 500, 000 2, 000, 000

1, 000, 000 2,500,000

15, 000, 000 800,000

6, 500, 000

700, 000 10, 000, 000

EXPANSION OF REPAIR FACILITIES

There is also a provision for repair facilities in H. R. 5256 amounting, in total, to $160,000,000.

That is in view of the increased work load ahead for repairs which necessitates using all of these private yards as well as navy yards, and which we know from actual experience are inadequate at the present time. We are asking for high priority on materials for these facilities because we want the facilities available as soon as we can get them. Mr. TABER. These are new repair facilities?

Admiral VAN KEUREN. Yes, sir.

Mr. TABER. What, for instance?

Admiral VAN KEUREN. For navy yards and private yards in all districts of the country, and it covers such equipment and facilities generally as drydocks, cranes, shop buildings, power supply service, transportation equipment, and so forth. In some cases we will have to purchase land for facilities.

Mr. WOODRUM. There is a House bill reported by the House Committee on Naval Affairs covering this.

Mr. TABER. This is in addition to anything in the regular 1942 bill, is it? Was there not anything in that bill for this?

Admiral VAN KEUREN. This is new.

Mr. TABER. This is a new set-up?

Admiral VAN KEUREN. Yes, sir.

Mr. TABER. Why will you need all those facilities, and what are the facilities?

Admiral VAN KEUREN. The greater portion of them will be additional drydocks, mostly floating drydocks.

Mr. TABER. Floating drydocks?

Admiral VAN KEUREN. Yes, sir.

Mr. TABER. They cost more than the others, do they not?

Admiral VAN KEUREN. No; not the wooden floating drydocks.
Mr. TABER. Small docks.

Admiral VAN KEUREN. They range from 6,000 to 27,000; I think 27,000 is the largest.

Mr. WIGGLESWORTH. Will you put a break-down in the record showing what you want at each of these places?

Admiral VAN KEUREN. We had that in the hearing before the House Committee on Naval Affairs, but we will be glad to give you that for the record here, if you desire it. We have it by navy yards.

Mr. TABER. It covers both construction and repair?

Admiral VAN KEUREN. Yes.

Mr. TABER. I think we should put that break-down in the record in connection with the hearing on repairs.

Admiral VAN KEUREN. Do you want the itemized facilities for each yard?

Mr. TABER. It seems to me we ought to have something.

Mr. WIGGLESWORTH. Is this increase brought about by our own needs primarily, or by the British needs?

Admiral VAN KEUREN. It is a combination of the two, Mr. Wigglesworth. The increased work load comes from both sources.

Mr. THOMAS. What is the difference between a repair yard and an ordinary shipyard? Is there any difference?

Admiral VAN KEUREN. There is very little difference. A repair yard does not have to have building ways. They should have a drydock or a floating drydock where work may be done on the ships.

Mr. THOMAS. The difference is in the ways and the drydock?

Admiral VAN KEUREN. Yes; a building yard has to have ways and more manufacturing facilities generally, because the repair yard does not have to build a whole ship.

(The break-down above referred to is as follows:)