Yet another US Navy ship program on the edge: Watchdog Flags US Coast Guard’s $17B Heritage Cutter
By Rojoef Manuel
The Government Accountability Office (GAO) found the US Coast Guard’s Heritage-class Offshore Patrol Cutter (OPC) program at risk of delays and cost spikes due to ships being built before designs were fully finished.
The $17-billion effort aims to replace aging cutters used for maritime defense, law enforcement, search and rescue, and other missions, with 25 vessels spread across three stages.
The Heritage OPC program, now in its 12th year, has yet to deliver a ship.
Stru
ggles in Stage 1
According to the GAO, Eastern Shipbuilding Group, responsible for the first four Heritage-class ships, has made minimal progress since the agency’s last OPC review and continues to face repeated setbacks.
It found that “construction of OPCs 1-4 began without a stable design, contrary to shipbuilding leading practices,” which led to expensive revisions and postponed deliveries.
Milestone payments and other efforts to accelerate progress were also discovered to be “largely unsuccessful.”
In July 2025, the coast guard canceled OPCs 3 and 4, while delivery of the first ship is now expected more than five years late.
Similar Issues in Stage 2
Austal USA, the Heritage-class stage 2 builder, adopted some best practices, including collaborative design reviews.
However, the GAO reported that “construction of OPC 5 began in August 2024 without a stable design,” warning that continuing construction before finalizing design “increases the risk that stage 2 will also encounter costly rework and schedule delays.”
The office also flagged weaknesses in Austal’s cost and schedule tracking system, noting that these gaps could make monitoring the initiative’s progress even more difficult.

Eliminating Pricey Corrections, Ineffective Shipbuilding Practices
The government watchdog noted the effort “is at risk of not meeting its cost goals, in part, because the program used outdated cost information to establish them.”
The GAO recommended reporting cost targets by stage, securing the stage 2 design before further construction, and incorporating lessons from testing early ships into stage 3 procurement.

The agency also emphasized that following its guidance could reduce remodification, optimize spending, and enhance schedules as the US Coast Guard moves forward with the critically needed cutters.
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