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Hearings
 
Hearing on the Coast Guard Operational Readiness/Mission Balance/FY 2006 Budget Request
Thursday, March 17, 2005
 
Admiral Thomas H. Collins

DEPARTMENT OF HOMELAND SECURITY
U. S. COAST GUARD
STATEMENT OF
ADMIRAL THOMAS H. COLLINS
ON THE
FY06 BUDGET REQUEST
BEFORE THE
SUBCOMMITTEE ON FISHERIES & COAST GUARD
COMMITTEE ON COMMERCE, SCIENCE, & TRANSPORTATION
U. S. SENATE
MARCH 17, 2005

Introduction

Good morning Madam Chair and distinguished Members of the Subcommittee. It is a pleasure to be here today to discuss the Coast Guard’s FY 2006 budget request and the positive impact it will have on the Coast Guard’s ability to secure America’s maritime borders, aid persons in distress, and facilitate the safe and efficient flow of commerce.

On 9/10/01, our primary maritime focus was on the safe and efficient use of America’s waterways. Since 9/11, we have made great progress in securing America’s waterways, while continuing to facilitate the safe and efficient flow of commerce. There is no doubt that work remains, but there is also no doubt that we continue to improve maritime homeland security each and every day – thanks in large part to the continued strong budgetary support of the administration, congress, and this committee.

The Coast Guard’s FY 2006 budget continues that support, proposing discretionary budget authority of $6.9 billion, an eleven percent increase over the comparable 2005 funding level. The budget provides the resources necessary to continue recapitalizing the Coast Guard’s aging cutters, boats, aircraft, and supporting infrastructure, while building out maritime safety and security capabilities essential to meeting present and future mission demands.

Getting Results

The Coast Guard’s overarching goal is to manage, and ultimately reduce, terror-related risk in the Maritime Domain. Doing so requires identifying and intercepting threats well before they reach U.S. shores by conducting layered, multi-agency security operations; while strengthening the security posture of strategic economic and military ports. As we seek to reduce maritime risk, we continually strive to balance each of the Coast Guard’s mission requirements to ensure no degradation in service to the American public. Looking at their accomplishments, it is clear that Coast Guard men and women continue rising to the challenge and delivering tangible and important results across both homeland security and non-homeland security mission-programs. No amount of new technology or capability enhances security more than our personnel. They are the indispensable link in any strategy and I am continually impressed by their ingenuity, courage, and dedication.

Coast Guard personnel have embraced these priorities, have integrated them in daily operations, and have achieved impressive results. In 2004, Coast Guard personnel:

· Prevented more than 376,000 pounds of illegal narcotics from reaching the U.S. including seizing over 241,000 pounds of cocaine, shattering the previous record of 138,000 pounds.

· Interdicted nearly 11,000 undocumented migrants attempting to enter the country illegally by sea.

· Dispatched several cutters, aircraft, and personnel for four months as part of U.S. efforts to stabilize Haiti after the departure of President Aristide.

· Aggressively conducted more than 36,000 port security patrols, 6,900 air patrols, and 19,000 security boardings; escorted 7,200 vessels; and maintained more than 115 security zones to reduce maritime risk.

· Provided humanitarian assistance and disaster relief, including 42 personnel, one 378-foot High Endurance Cutter (WHEC), and four C-130 aircraft, to the governments of Indonesia, Sri Lanka, and Thailand in the aftermath of the devastating tsunami of December 26, 2004.

· In support of Operation Iraqi Freedom the Coast Guard protected, safely secured, and escorted to sea over 200 military sealift departures at ten different major U.S. seaports, carrying over 25 million square feet of indispensable cargo.

· Deployed two additional patrol boats and two additional LEDETs to DoD’s Central Command joining four Coast Guard patrol boats, two LEDETs, one Port Security Unit (PSU), and supporting logistics and command and control support elements already participating in Operation Iraqi Freedom.

· In response to a maritime gap in national law enforcement and counter-terrorism (LE/CT) capability, they stood up an offensive force able to execute across the full spectrum of LE and CT response in support of homeland security and homeland defense objectives. This capability was a critical force addition in protecting the maritime boundaries of several National Special Security Events including the G8 Summit and Democratic and Republican National Conventions.

· Leveraged the Coast Guard’s 34,000 member Coast Guard Auxiliary workforce, receiving approximately 3 million volunteer hours of maritime safety and security services.

Before 9/11 we had no formal international or domestic maritime security regime for ports, port facilities, and ships – with the exception of cruise ships. Partnering with domestic and international stakeholders, we now have both a comprehensive domestic security regime and an international security convention in place. Both have been in force since July 1, 2004. In executing the requirements of the Maritime Transportation Security Act (MTSA) and the International Ship and Port facility Security (ISPS) code, the Coast Guard has:

· Reviewed and approved 9,580 domestic vessel security plans and 3,119 domestic facility security plans.

· Overseen the development of 43 Area Maritime Security Plans and Committees,

· Verified security plan implementation on 8,100 foreign vessels.

· Completed domestic port security assessments for 54 of the 55 militarily and economically strategic ports, with the last assessment in the final stages of completion.

· Visited 14 key foreign countries to assess the effectiveness of anti-terrorism measures and implementation of ISPS code requirements. An additional 21 countries are scheduled for visits by June 2005.

Of course the Coast Guard has mission requirements beyond homeland security and once again thanks to the tremendous dedication of our personnel, last year provided more evidence of the superb contributions they make each and every day. In 2004, Coast Guard personnel:

· Saved the lives of nearly 5,500 mariners in distress and responded to more than 32,000 calls for rescue assistance.

· Conducted more than 115,800 recreational vessel safety checks.

· Conducted 10,000 foreign commercial vessel boardings.

· Boarded more than 4,500 fishing vessels to enforce safety and fisheries management regulations.

· Partnered with Federal and state agencies to enhance enforcement of Marine Protected Species regulations.

· Conducted more than 3,000 inspections aboard mobile offshore drilling units.

· Responded to nearly 24,000 reports of water pollution or hazardous material releases.

· Ensured more than 1 million safe passages of commercial vessels.

· Maintained more than 50,000 federal aids to navigation, responding to and correcting over 13,000 aids to navigation discrepancies.

· Provided 99.0% availability of Differential Global Positioning System coverage to over 95,000 miles of U.S. waterways.

With your support, the Coast Guard continues its tradition of operational excellence and exceptional service to the nation. I am proud of the tireless efforts of our personnel who continue to meet every challenge both at home and abroad.

Reducing Maritime Risk

Despite these accomplishments, there is still much to do. Today’s global maritime safety and security environment demands a new level of operations specifically directed against terrorism without degrading other critical maritime safety and security missions. Most importantly, the Coast Guard must implement capabilities necessary to mitigate maritime security risks in the post-9/11 world. In terms of threat, vulnerability, and consequence there are few more valuable and vulnerable targets than the U.S. maritime transportation system.

Threat: While the 9/11 commission notes the continuing threat against our aviation system, it also states that “opportunities to do harm are as great, or greater, in maritime or surface transportation.” Vulnerability: The maritime transportation system annually accommodates 6.5 million cruise ship passengers, 51,000 port calls by over 7,500 foreign ships, at more than 360 commercial ports spread out over 95,000 miles of coastline. The vastness of this system and its widespread and diverse critical infrastructure leave the nation vulnerable to terrorist acts within our ports, waterways, and coastal zones, as well as exploitation of maritime commerce as a means of transporting terrorists and their weapons.

Consequence: Contributing nearly $750 billion to U.S. gross domestic product annually and handling 95% of all overseas trade each year – the value of the U.S. maritime domain and the consequence of any significant attack cannot be understated. Independent analysis and recent experiences on 9/11 and the west coast dock workers strike demonstrates an economic impact of a forced closure of U.S. ports for a period of only eight days in excess of $58 billion to the U.S. economy.

Since 9/11 the Department of Homeland Security (DHS) and the Coast Guard have made significant strides to secure our homeland. However, maritime safety and security gaps remain. These gaps present risks that we must work to reduce, and we continue that work within the FY 2006 budget.

The Coast Guard continues to guide its efforts by implementing policies, seeking resources, and deploying capabilities through the lens of our maritime security strategy. However, continued risk reduction is contingent upon Coast Guard readiness and capacity. Without these basic building blocks, implementation of maritime security strategies will not be sustainable.

With that in mind, the priorities of the FY 2006 budget are to recapitalize the Coast Guard as a necessary foundation to implementing the maritime security strategy, as well as ensuring we continually enhance mission performance across the entire suite of Coast Guard mission requirements.

Recapitalize the Coast Guard

The FY 2006 budget continues the urgently needed recapitalization of our cutters, boats, aircraft and support infrastructure to reverse declining readiness trends and enhance operational capabilities to meet today’s maritime safety and security threats.

The majority of the Coast Guard’s operational assets will reach the end of their anticipated service lives by 2010, resulting in rising operating and maintenance costs, reduced mission effectiveness, unnecessary risks, and excessive wear and tear on our people. Listed below are some specific examples highlighting alarming system failure rates, increased maintenance requirements, and the subsequent impact on mission effectiveness:

· HH-65 helicopter in-flight engine power losses occurred at a rate of 329 mishaps per 100,000 flight hours in FY 2004. This is up from a FY 2003 rate of 63 mishaps per 100,000 flight hours. The comparable Federal Aviation Administration acceptable standard for a mishap of this severity is approximately 1 per 100,000 flight hours. The engine loss rate has resulted in flight and operational restrictions and high levels of risk to our aircrews. Re-engining the HH-65 will remain the Coast Guard’s highest legacy asset priority until complete.

· The 110-foot Patrol Boat fleet has experienced 23 hull breaches requiring emergency dry docks. The resultant loss in operational days is unsustainable, and risks to our personnel are unacceptable. By the end of 2005, the Coast Guard will have taken delivery of eight reconfigured 123-foot patrol boats, which are upgraded 110-foot patrol boats designed to sustain this cutter class until replacement with the Integrated Deepwater System’s Fast Response Cutter.

· Our high and medium endurance cutters are experiencing sub-system failures due to old and unserviceable systems. The 378-foot WHEC fleet averages one engine room casualty, with potential to escalate to a fire, on every patrol. One-quarter of our fleet have recently missed operations due to unscheduled maintenance required to repair failing sub-systems. The total number of unscheduled maintenance days for the major cutter (medium and high endurance cutters) fleet has skyrocketed from 85 days in FY 1999 to 358 days in FY 2004 (over a 400% increase). This loss of operational cutter days in 2004 equates to losing two major cutters, or 5% of our major fleet for an entire year. The 2006 budget includes funding for six mission effectiveness projects to help sustain the medium endurance cutter fleet, and funds construction of the third National Security Cutter, the replacement for the Coast Guard’s high endurance cutter class.

These same Deepwater assets are integral to the Coast Guard’s ability to perform its missions, such as migrant and drug interdiction operations, ports waterways and coastal security, fisheries enforcement, and search and rescue. In 2004, deepwater legacy assets made invaluable contributions to America’s maritime safety and security:

· Operation ABLE SENTRY blanketed the coastline of Haiti with Coast Guard Deepwater assets, which interdicted over 1,000 illegal migrants during this operation and deterred many thousand more from taking to sea in unsafe boats.

· The 378-foot Coast Guard Cutter GALLATIN, and its Airborne Use of Force (AUF) capable helicopter seized more than 24,000 pounds of cocaine worth an estimated $768 million and detained 27 suspected smugglers in the span of seven weeks.

· The Coast Guard's Deepwater cutters and aircraft patrolled over 28,000 hours in direct support of maritime homeland security missions. 110-foot patrol boats alone patrolled 13,000 hours supporting port and coastal security missions including, cruise ship escorts, critical infrastructure protection, and countless security boardings.

· Working in conjunction with the U.S. Secret Service during the national political conventions, 270-foot Medium Endurance cutters and 110-foot patrol boats provided maritime security, enforced security zones, and served as command and control platforms coordinating maritime traffic. Deepwater aircraft, equipped with the AUF package, provided air security and conducted maritime security patrols.

Despite spending increasing amounts to maintain operational assets, the Coast Guard is experiencing a continuing decline in fleet readiness. Legacy cutters are now operating free of major equipment casualties (equipment failures that significantly impact mission performance) less than 50% of the time, despite the investment per operational day increasing by over 50% over the last six years. The resulting “readiness gap” negatively impacts both the quantity and quality of Coast Guard “presence” – critical to our ability to accomplish all missions. The FY 2006 budget continues the urgently-needed Coast Guard fleet recapitalization to address this readiness gap.

The Integrated Deepwater System is the enduring solution to both the Coast Guard’s declining legacy asset readiness concerns and the need to implement enhanced maritime security capabilities to reduce maritime risk in the post-9/11 world. Continued implementation of the Deepwater program will recapitalize the Coast Guard fleet and introduce much needed surveillance, detection/clarification, intercept, interdiction and command and control capabilities.

The President’s FY 2006 budget provides $966 million for the Integrated Deepwater System, taking aim on reversing the Coast Guard’s declining readiness trends and transforming the Coast Guard with enhanced capabilities to meet current and future mandates through system-wide recapitalization and modernization of Coast Guard cutters, aircraft, and associated sub-systems.

This level of investment in the Integrated Deepwater System is paramount in providing the Coast Guard with the capability and capacity essential to meeting our nation’s maritime homeland security needs; providing a layered defense throughout ports, waterways, coastal regions and extending far offshore, as well as sustaining other mission area efforts, such as search and rescue and living marine resources. Funding included for legacy asset sustainment projects, such as HH-65 re-engining, and WMEC mission effectiveness projects, is absolutely critical to sustain capabilities today, while acquisition of new and enhanced Deepwater assets is vital to ensuring the Coast Guard has the right capabilities tomorrow.

The Coast Guard’s deepwater assets are not the only capital assets in urgent need of recapitalization or replacement. The FY 2006 budget also includes funding for:

· Response Boat-Medium - replaces the aging 41-foot Utility Boat fleet with an enhanced platform better able to meet search and rescue and homeland security mission requirements.

· Shore Infrastructure Recapitalization - funds critical projects such as the Coast Guard Academy Chase Hall Barracks rehabilitation, Group/Marine Safety Office Long Island Sound building replacement, and construction of a breakwater to protect boats and mooring facilities at Coast Guard Station Neah Bay Breakwater. These projects will not only improve habitability and quality of life of our people, but also increase effectiveness of the various missions these facilities support.

· High Frequency (HF) Communications System Recapitalization - replaces unserviceable, shore-side, high power HF transmitters, restoring long-range communications system availability to enhance Coast Guard mission performance and help meet International Safety of Life at Sea (SOLAS) treaty HF emergency distress monitoring requirements.

· Rescue 21 - continues implementation of Rescue 21, vastly improving coastal command and control and communications interoperability with other Federal, state, and local agencies.

Recapitalizing the Coast Guard is the indispensable foundation of our ability to continue improving maritime security while facilitating the flow of commerce. It is on this foundation that the FY 2006 budget continues to build out Coast Guard capabilities necessary to reduce risk and implement the maritime strategy for homeland security.

Implement the Maritime Strategy for Homeland Security

Considering the vast economic utility of our ports, waterways, and coastal approaches, it is clear that a terrorist incident against our marine transportation system would have a disastrous impact on global shipping, international trade, and the world economy in addition to the strategic military value of many ports and waterways.

The four pillars of the Coast Guard’s Maritime Strategy for Homeland Security are in direct alignment with the Department of Homeland Security’s strategic goals of Awareness, Prevention, Protection, Response and Recovery. These pillars guide our efforts to reduce America’s vulnerabilities to terrorism by enhancing our ability to prevent terrorist attacks and limit the damage to our nation’s ports, coastal infrastructure and population centers in the event a terrorist attack occurs.

First, we seek to increase our awareness and knowledge of what is happening in the maritime arena, not just here in American waters, but globally. We need to know which vessels are in operation, the names of the crews and passengers, and the ship’s cargo, especially those inbound for U.S. ports. Global Maritime Domain Awareness is critical to separate the law-abiding sailor from the anomalous threat. Second, to help prevent terrorist attacks we have developed and continue to improve an effective maritime security regime – both domestically and internationally.

Third, we seek to better protect critical maritime infrastructure and improve our ability to respond to suspect activities by increasing our operational presence in ports, coastal zones and beyond … to implement a layered security posture, a defense-in-depth.

Finally, we are improving our ability to respond to and aid in recovery if there were an actual terrorist attack.

Below is an overview of each of the four pillars of the Coast Guard’s Maritime Strategy for Homeland Security and supporting FY 2006 budget initiatives:

Enhance Global Maritime Domain Awareness (MDA). The core of our MDA efforts revolve around the development and employment of accurate information, intelligence, and targeting of vessels, cargo, crews and passengers – and extending this well beyond our traditional maritime boundaries. All DHS components are working to provide a layered defense through collaborative efforts with our international partners to counter and manage security risks long before they reach a U.S. port. The FY 2006 budget significantly advances our efforts to implement comprehensive MDA, including funding for:

· Automatic Identification System (AIS) - accelerates deployment of nationwide AIS throughout regional Coast Guard command centers.

· Maritime Patrol Aircraft (MPA) - provides additional MPA resources to fill documented flight hour gaps in support of detection, surveillance and tracking activities.

· Common Operational Picture (COP) - deploys COP throughout Coast Guard command centers to fuse surveillance and tracking information from MDA systems such as AIS, Rescue 21, and Ports and Waterways Safety System (PAWSS).

· Radiological-Nuclear (Rad/Nuc) Detection and Response – consistent with the President’s Proliferation Security Initiative (PSI), this initiative increases the ability of Coast Guard cutters and Maritime Safety and Security Teams to detect Rad/Nuc materials to prevent proliferation in support of terrorist operations; and respond to incidents involving release of these dangerous substances.

· Integrated Deepwater System – Deepwater funding will continue C4ISR enhancements aboard legacy assets and development of the Common Operational Picture for new Deepwater platforms.

Create and Oversee Maritime Security Regime. This element of our strategy focuses on both domestic and international efforts and includes initiatives related to MTSA implementation, International Maritime Organization regulations such as the International Ship & Port Facility Security (ISPS) Code, as well as improving supply chain security and identity security processes. As I mentioned previously, the Coast Guard has made a critical first step in ensuring the security of our ports and protecting our nation’s economic prosperity by implementing the requirements set forth in the MTSA of 2002. The FY 2006 budget provides the resources necessary to continue robust enforcement of the MTSA, which includes:

· Continued verification of an estimated 3,100 domestic facility and 9,500 domestic vessel security requirements (plans must be revalidated every five years, upon a change of ownership, or significant change in operations), including working with vessel, company, and facility security officers.

· A robust Port State Control program to ensure compliance with international security requirements of over 8,100 foreign vessels calling on the U.S. annually.

· Development and continuous updates and improvements to the National and 43 Area Maritime Security plans.

· Assessment of the anti-terrorism measures in place in approximately 140 foreign countries with which the U.S. conducts trade to ensure compliance with international standards.

Increase Operational Presence. Our collective efforts to increase operational presence in ports and coastal zones focus not only on adding more people, boats and ships to force structures but making the employment of those resources more effective through the application of technology, information sharing and intelligence support. The FY 2006 budget focuses resources toward increasing both the quantity and quality of Coast Guard operational presence by providing funding for:

· Airborne Use of Force (AUF) capability – deploys organic AUF capability to five Coast Guard Air Stations, increasing the ability to respond to maritime security threats.

· Enhanced Cutter Boat Capability – replaces existing obsolete and unstable cutter boats on the entire WHEC/WMEC fleet with the more capable Cutter Boat – Over the Horizon and replaces aging, unsafe boat davit systems on 210-foot WMECs.

· Increase Port Presence and Liquefied Natural Gas (LNG) Transport Security - provides additional Response Boat-Smalls and associated crews to increase presence to patrol critical infrastructure patrols, enforce security zones, and perform high interest vessel escorts in strategic ports throughout the nation. Provides additional boat crews and screening personnel at key LNG hubs such as Cove Point, MD and Providence, RI to enhance LNG tanker and waterside security.

· Enhanced Maritime Safety and Security Team (E-MSST) – Reallocates existing Coast Guard resources to immediately fill an existing gap in national maritime Law Enforcement and Counter-Terrorism (LE/CT) capability. Permanent establishment of E-MSST Chesapeake, VA will provide an offensive DHS force able to execute across the full spectrum of LE and CT response in support of homeland security and homeland defense objectives, including CT response capability for scheduled security events out to 50 nautical miles from shore and augments to interagency assets in high visibility venues such as National Special Security Events (NSSEs).

· Integrated Deepwater System - Continued investment in Deepwater will greatly improve the Coast Guard’s maritime presence starting at America’s ports, waterways, and coasts and extending seaward to wherever the Coast Guard needs to be present or to take appropriate maritime action. Deepwater provides the capability to identify, interdict, board, and where warranted seize vessels or people engaged in illegal or terrorist activity at sea or on the ports, waterways, or coast of America.

Improve Response and Recovery Posture. Understanding the challenge of defending 26,000 miles of navigable waterways and 361 ports against every conceivable threat at every possible time, we are also aggressively working to improve our response capabilities and readiness. While many of the increases in MDA and operational presence augment our collective response and recovery posture, the FY 2006 budget funds initiatives that will increase our ability to adequately manage operations and coordinate resources during maritime threat response or recovery operations:

· High Frequency (HF) Communications System Recapitalization - replaces unserviceable, shore-side, high power HF transmitters to restore long-range communications system availability enhancing the Coast Guard’s ability to coordinate response activities.

· Continued Deployment of Rescue 21 – the Coast Guard’s maritime 911 command, control and communications system in our ports, waterways, and coastal areas. This system provides Federal, state and local first responders with interoperable maritime communications capability, greater area coverage, enhanced system reliability, voice recorder replay functionality, and direction finding capability.

Enhance Mission Performance

Lastly, we must continue to leverage the Coast Guard’s unique blend of authorities, capabilities, competencies and partnerships to enhance performance across the full suite of Coast Guard mission requirements.

The Coast Guard is the Nation’s lead federal agency for maritime homeland security and fulfills a crucial role within the Department of Homeland Security as the Nation’s maritime first responder. The FY 2006 budget includes resources necessary to effectively execute all of our missions and meet associated performance goals. Every resource provided to the Coast Guard will contribute to a careful balance between our safety, security, mobility, protection of natural resources and national defense missions, all of which must be adequately resourced to meet the Coast Guard’s performance objectives. The FY 2006 budget advances several initiatives that will yield increased performance across multiple Coast Guard missions:

· Great Lakes Icebreaker (GLIB) – provides funding to operate and maintain the new GLIB scheduled to be commissioned in FY 2006, greatly enhancing the Coast Guard’s ability to conduct essential icebreaking activities and maintain aids-to-navigation to facilitate maritime commerce and prevent loss of life, personal injury, and property damage on the navigable waters of the Great Lakes.

· Maritime Law Enforcement School Co-location – enhances law enforcement training through co-location with the Federal Law Enforcement Training Center, increasing Coast Guard law enforcement training throughput and promoting better coordination among field activities with other Federal, state, and local agencies.

· Polar Icebreaking Funding Transfer - shifts base funding for the two Polar Class icebreakers (USCGC POLAR SEA and USCGC POLAR STAR) and the USCGC HEALY to the National Science Foundation. The National Science Foundation is the resident agency with responsibility for the U.S. Antarctic Program and the current primary beneficiary of polar icebreaking services. Under this arrangement, the National Science Foundation will reimburse the U.S. Coast Guard for maintenance and operation of the polar icebreaking fleet.

Conclusion

I appreciate your strong support over the past several years in providing the Coast Guard with the tools necessary to meet our multi-mission and military demands. I am extremely proud of our Coast Guard’s accomplishments since 9/11 as we strive to increase maritime homeland security while performing a myriad of critical maritime safety functions.

We continue to focus on improving maritime security while facilitating safe use of the maritime transportation system for its many commercial, environmental, and recreational functions. But, much work remains to be done to reduce America’s vulnerabilities to terrorism and other maritime security threats. The FY 2006 budget includes the resources required to continue the multi-year effort to modernize the Coast Guard, reduce risks to maritime safety and security, and deliver capabilities and competencies necessary to enhance mission performance. The requested funding will positively impact our ability to deliver the maritime safety and security America demands and deserves by focusing resources toward three critical priorities:

Ø Recapitalize the Coast Guard.

Ø Implement the Maritime Strategy for Homeland Security.

Ø Enhance Mission Performance.

Finally, I would be remiss if I failed to acknowledge the outstanding service provided by the extremely dedicated Coast Guard workforce—a total team of uniformed active duty, Reserve, and Auxiliary personnel; dedicated civilian employees, and talented contractors. Looking at their accomplishments, it is clear that Coast Guard men and women continue to rise to the challenge and deliver tangible and important results across both homeland security and non-homeland security mission programs. Coast Guard men and women are unwavering in their commitment to their Service and country. Ensuring these same people are properly compensated and given the opportunity to grow both personally and professionally is my single highest priority. With Congressional and Administration support, we have done much in recent years, from pay raises, improved housing allowances to better medical care, to support our men and women. The FY 2006 budget builds upon those results and provides a pay raise and important funding for Coast Guard housing projects through the shore recapitalization request.

Coast Guard members volunteer in order to serve, secure, and defend this great nation. Our personnel are faced on a daily basis with a daunting set of mission requirements and challenges. We owe them not only fair compensation and benefits; we owe them the capabilities and tools to get the job done. The FY06 budget is about placing the right tools in the capable hands of our personnel. They have shown time and again that they know just what to do with them.

With the continued support of the Administration and Congress, and the tremendous people of the Coast Guard, I know that we will succeed in delivering the robust maritime safety and security America expects and deserves in its’ Coast Guard well into the 21st Century.

Thank your for the opportunity to testify before you today. I will be happy to answer any questions you may have.

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