UNCLASSIFIED Exhibit P-40, Budget Line Item Justification: FY 2018 Army Date: May 2017 Appropriation / Budget Activity / Budget Sub Activity: P-1 Line Item Number / Title: 2035A: Other Procurement, Army / BA 03: Other Support Equipment / BSA 55: Rail M11101 / Army Watercraft Esp Float Containerization Equipment ID Code (A=Service Ready, B=Not Service Ready): Program Elements for Code B Items: N/A Other Related Program Elements: N/A Line Item MDAP/MAIS Code: N/A Prior FY 2018 FY 2018 FY 2018 To Resource Summary Years FY 2016 FY 2017 Base OCO Total FY 2019 FY 2020 FY 2021 FY 2022 Complete Total Procurement Quantity (Units in Each) - 2 2 2 - 2 4 4 6 4 Continuing Continuing Gross/Weapon System Cost ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 41.465 42.237 63.130 43.630 Continuing Continuing Less PY Advance Procurement ($ in Millions) - - - - - - - - - - - - Net Procurement (P-1) ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 41.465 42.237 63.130 43.630 Continuing Continuing Plus CY Advance Procurement ($ in Millions) - - - - - - - - - - - - Total Obligation Authority ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 41.465 42.237 63.130 43.630 Continuing Continuing (The following Resource Summary rows are for informational purposes only. The corresponding budget requests are documented elsewhere.) Initial Spares ($ in Millions) - - - - - - - - - - - - Flyaway Unit Cost ($ in Thousands) - - - - - - - - - - - - Gross/Weapon System Unit Cost ($ in Thousands) - 19,886.000 10,930.000 10,055.000 - 10,055.000 10,366.250 10,559.250 10,521.667 10,907.500 Continuing Continuing Description: The Army Watercraft Extended Service Program (ESP) budget line funds the Service Life Extension Programs (SLEP) across the Army Watercraft Systems portfolio. During FY 2016 - FY 2025 specifically, the Army Watercraft ESP budget line will fund the Army Landing Craft Utility 2000 (LCU-2000), a globally dispersed fleet of 34 vessels, and will serve to extend the current Economic Useful Life (EUL) of this platform by 10 years; bridging the gap until the procurement of a replacement vessel. The LCU-2000 provides intra-theater movement of combat vehicles, equipment, and sustainment cargo, to include containerized, break-bulk, and roll-on roll-off (RO/RO) cargo, to improved and/or degraded ports, bare and austere beaches, and inland water terminals. The vessel is ideally suited for the discharge and back load of sea lift; the shallow draft, bow ramp, and associated systems providing for beaching and extraction. The vessel supports Joint Logistics Over the Shore (JLOTS), seaport opening, and delivers combat-configured elements or sustainment cargo during all phases of the campaign. The LCU-2000 was fielded from 1990-1993 and was designed and built specifically to the objective of a 25 year EUL. While new capability is not being added, some capabilities will be improved and modernized through the application of 11 Engineering Change Proposals (ECPs), such as Engine Repower, power generation, force protection and habitability. The LCU-2000 Technical Manuals and provisioning data effort covers development, re-write and publishing of the critical repower requirement along with all other subsystems effected by SLEP. The Army Watercraft ESP budget line will also support future efforts to include the start of SLEP for the Modular Causeway System (MCS), specifically the Modular Warping Tug (MWT), one of four end items of the MCS. This line will include the future SLEP activities of fleet wide modifications consisting of: Landing Craft consist of 8 Logistic Support Vessels (LSV), 34 Landing Craft Utility 2000 (LCU-2000), 30 Landing Craft Mechanized 8 (LCM-8) MOD 1, and 6 LCM-8 MOD 2 (Watercraft Operations Support). Towing and Terminal Operations consist of 6 Large Tug 800 (LT-800), 16 Small Tug 900 (ST-900), and 4 Barge Derrick Crane 115-ton (BD-115). Ship-to-Shore Enablers consist of 3 Modular Causeway Systems (MCS) [each MCS includes 2 Roll-On/Roll-Off Discharge Facilities (RRDF), 5 Modular Warping Tugs (MWT), 1 Causeway Ferry (CF), 1 Floating Causeway (FC)]. Landing Craft discharge combat equipment or troops to austere beaches, undeveloped coastlines and operate in a non-permissive environment. Towing and Terminal Operations and Ship-to-Shore Enablers support ocean and port/harbor towing/salvage operations. Both are critical in denied/degraded ports, Joint Logistics Over-the-Shore (JLOTS) operations, and operations throughout the littorals. Comments: In accordance with section 1815 of the FY 2008 National Defense Authorization Act (P.L. 110-181), this item is necessary for use by the active and reserve components of the Armed Forces for homeland defense missions, domestics emergency responses, and providing military support to civil authorities. FY 2018 FY 2018 FY 2018 Secondary Distribution FY 2016 FY 2017 Base OCO Total FY 2019 FY 2020 FY 2021 FY 2022 Army Quantity 1 1 2 - 2 4 4 6 4 Total Obligation Authority 19.886 10.930 20.110 - 20.110 41.465 42.237 63.130 43.630 LI M11101 - Army Watercraft Esp UNCLASSIFIED 178 Army Page 1 of 10 P-1 Line #164 UNCLASSIFIED Exhibit P-40, Budget Line Item Justification: FY 2018 Army Date: May 2017 Appropriation / Budget Activity / Budget Sub Activity: P-1 Line Item Number / Title: 2035A: Other Procurement, Army / BA 03: Other Support Equipment / BSA 55: Rail M11101 / Army Watercraft Esp Float Containerization Equipment ID Code (A=Service Ready, B=Not Service Ready): Program Elements for Code B Items: N/A Other Related Program Elements: N/A Line Item MDAP/MAIS Code: N/A FY 2018 FY 2018 FY 2018 Secondary Distribution FY 2016 FY 2017 Base OCO Total FY 2019 FY 2020 FY 2021 FY 2022 AR Quantity 1 1 - - - - - - - Total Obligation Authority 19.886 10.930 - - - - - - - Total: Quantity 2 2 2 - 2 4 4 6 4 Secondary Distribution Total Obligation Authority 39.772 21.860 20.110 - 20.110 41.465 42.237 63.130 43.630 LI M11101 - Army Watercraft Esp UNCLASSIFIED 179 Army Page 2 of 10 P-1 Line #164 UNCLASSIFIED Exhibit P-40, Budget Line Item Justification: FY 2018 Army Date: May 2017 Appropriation / Budget Activity / Budget Sub Activity: P-1 Line Item Number / Title: 2035A: Other Procurement, Army / BA 03: Other Support Equipment / BSA 55: Rail M11101 / Army Watercraft Esp Float Containerization Equipment ID Code (A=Service Ready, B=Not Service Ready): Program Elements for Code B Items: N/A Other Related Program Elements: N/A Line Item MDAP/MAIS Code: N/A Exhibits Schedule Prior Years FY 2016 FY 2017 FY 2018 Base FY 2018 OCO FY 2018 Total MDAP/ Exhibit ID MAIS Quantity / Total Cost Quantity / Total Cost Quantity / Total Cost Quantity / Total Cost Quantity / Total Cost Quantity / Total Cost Type Title* Subexhibits CD Code (Each) / ($ M) (Each) / ($ M) (Each) / ($ M) (Each) / ($ M) (Each) / ($ M) (Each) / ($ M) P-5 M11101 / Army Watercraft Esp P-5a, P-21 - / 3.509 2 / 39.772 2 / 21.860 2 / 20.110 - / - 2 / 20.110 P-40 Total Gross/Weapon System Cost - / 3.509 2 / 39.772 2 / 21.860 2 / 20.110 - / - 2 / 20.110 *Title represents 1) the Number / Title for Items; 2) the Number / Title [DODIC] for Ammunition; and/or 3) the Number / Title (Modification Type) for Modifications. Note: Totals in this Exhibit P-40 set may not be exact or sum exactly due to rounding. Justification: FY 2018 Base procurement dollars in the amount of $20.110 million supports the Landing Craft Utility 2000 (LCU-2000) Service Life Extension Programs (SLEP) vessels and Program Management/Matrix Support for the fiscal year. The SLEP modification package will make improvements to all engines, power generators and the application of 11 select Engineering Change Proposals (ECPs) which focus on modernization and technology insertion; these efforts are not covered under the Modification of In-Service Equipment appropriation. Furthermore, the LCU-2000 Technical Manuals and provisioning data effort covers development, re-write and publishing of the critical repower requirement along with all other subsystems effected by SLEP. Program Management/Matrix Support includes the Program Management, Logistics and System Engineering oversight required to manage the program and provide contractor oversight. Salaries, benefits, travel, personnel training and other Government costs are included for retaining a professional acquisition workforce. The LCU-2000 SLEP is performed in conjunction with the vessels' statutorily required On-Condition Cyclic Maintenance (OCCM), which is funded with Operations and Maintenance, Army (OMA) dollars. LI M11101 - Army Watercraft Esp UNCLASSIFIED 180 Army Page 3 of 10 P-1 Line #164 UNCLASSIFIED Exhibit P-5, Cost Analysis: FY 2018 Army Date: May 2017 Appropriation / Budget Activity / Budget Sub Activity: P-1 Line Item Number / Title: Item Number / Title [DODIC]: 2035A / 03 / 55 M11101 / Army Watercraft Esp M11101 / Army Watercraft Esp ID Code (A=Service Ready, B=Not Service Ready) : MDAP/MAIS Code: Resource Summary Prior Years FY 2016 FY 2017 FY 2018 Base FY 2018 OCO FY 2018 Total Procurement Quantity (Units in Each) - 2 2 2 - 2 Gross/Weapon System Cost ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 Less PY Advance Procurement ($ in Millions) - - - - - - Net Procurement (P-1) ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 Plus CY Advance Procurement ($ in Millions) - - - - - - Total Obligation Authority ($ in Millions) 3.509 39.772 21.860 20.110 - 20.110 (The following Resource Summary rows are for informational purposes only. The corresponding budget requests are documented elsewhere.) Initial Spares ($ in Millions) - - - - - - Gross/Weapon System