- BAE Systems’ Norfolk Ship Repair was awarded a $117.7 million contract modification to modernize and repair USS Forrest Sherman during its fiscal 2026 depot availability.
- The firm-fixed-price work will be performed in Norfolk, Virginia, and is scheduled for completion by August 2027.
BAE Systems’ Norfolk Ship Repair facility in Virginia has been awarded a $117.7 million contract modification to carry out maintenance, modernization, and repair work on the guided-missile destroyer USS Forrest Sherman (DDG 98), according to a contract announcement.
According to a release, the modification was issued under a previously awarded contract and provides funding for the fiscal 2026 depot modernization period for the Arleigh Burke-class destroyer. The work will support a Chief of Naval Operations availability focused on critical modernization, maintenance, and repair programs.
BAE Systems’ Norfolk Ship Repair, located in Norfolk, Virginia, will perform all work under the modification. The Navy said the scope of the effort includes “all labor, supervision, equipment, production, testing, facilities, and quality assurance” required to prepare for and execute the availability.
The USS Forrest Sherman, manufactured by Ingalls Shipbuilding and operated by the U.S. Navy, is one of the Flight IIA Arleigh Burke-class destroyers designed for multi-mission operations, including air defense, surface warfare, undersea warfare, and strike missions. Depot modernization periods are intended to extend the service life of these ships while integrating upgrades needed to address evolving operational requirements.
The contract modification enables the shipyard to proceed with a comprehensive package of work that will be executed over an extended period. The Navy stated that work is expected to be completed by August 2027.
Fiscal 2026 other procurement (Navy) funds in the amount of $117,702,348 will be obligated at the time of award. According to the Navy, these funds will not expire at the end of the current fiscal year, allowing the program to continue across multiple budget cycles without interruption.
Naval Sea Systems Command, based in Washington, D.C., is the contracting activity. NAVSEA oversees the design, construction, and lifecycle support of the Navy’s surface ships and submarines and routinely manages depot-level maintenance availabilities for the fleet.
Arleigh Burke-class destroyers form the backbone of the Navy’s surface fleet, with more than 70 ships in service, making their maintenance and modernization a recurring priority.
Depot modernization periods typically involve structural repairs, combat system updates, hull, mechanical, and electrical work, and preparation for future upgrades. While the Navy did not detail the specific systems to be addressed during the USS Forrest Sherman availability, such periods often include work related to sensors, communications, propulsion systems, and combat readiness improvements.