CDR Salamander - Budgets, Ships, and the CBO, with Eric Labs - on Midrats

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• The Congress, the Golden Fleet, and the Shipbuilding Industrial Base in 2026

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Summary

In this episode of Midrats, Sal and Mark engage with Eric Labs, a senior analyst at the Congressional Budget Office (CBO), to discuss the complexities of shipbuilding costs, the role of the CBO in providing independent estimates, and the challenges faced by the U.S. Navy in maintaining and expanding its fleet. Eric shares insights on the differences between CBO and Navy cost estimates, the impact of maintenance on overall ship costs, and the importance of a skilled labor force in shipbuilding. The conversation also touches on the historical context of shipbuilding budgets, congressional appropriations, and the future of naval forces in the face of evolving defense needs.

Dr. Eric Labs is Senior Analyst for Naval Forces and Weapons at the Congressional Budget Office in Washington, D.C. He specializes in issues related to the procurement, budgeting, and sizing of the forces for the Department of the Navy. He received his doctorate in political science from the Massachusetts Institute of Technology and graduated from Tufts University, summa cum laude, in 1988. He has worked for the Institute for Foreign Policy Analysis in Cambridge, Massachusetts and, from 1994 to 1995, as a Visiting Scholar at the Center for International Security Studies at the University of Maryland. Dr. Labs has been with the Congressional Budget Office since 1995.

Chapters

00:00: Introduction to the CBO and Eric Labs

03:01: Understanding the Role of the CBO

06:01: Cost Estimation Approaches in Shipbuilding

08:54: Historical Context of CBO Estimates vs Navy Estimates

12:04: Challenges in Shipbuilding Cost Estimates

15:09: The Impact of Maintenance on Ship Costs

18:00: Congressional Budgeting and Shipbuilding Appropriations

20:48: Labor Force Challenges in Shipbuilding

23:58: Future of the U.S. Navy Fleet and Shipbuilding

27:05: Conclusion and Future Considerations

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