Houlahan has questions about Sikorsky closure
Introduces amendment requesting report from Secretary of the Navy
U.S. Rep. Chrissy Houlahan wants to know why a helicopter plant in her district is closing.
WASHINGTON, D.C. >> U.S. Rep. Chrissy Houlahan, D-6th Dist., wants to know why a helicopter plant in her district is closing, endangering more than 450 jobs.
Houlahan has introduced an amendment to H.R. 2500 — the National Defense Authorization Act — which refers to the series of laws that specify the annual budget and expenditures for the Department of Defense.
The amendment offered by Houlahan relates to the proposed closing by Lockheed Martin of its Sikorsky helicopter plant in Coatesville, and existing military contracts with the company.
Houlahan, a member of the House Armed Services Committee, has proposed an amendment that would require the secretary of the Navy to assess “the status of the VH–92A helicopter program industrial base and the potential impact of proposed manufacturing base changes on the acquisition program,” according to language in the amendment.
“It requests the Secretary of the Navy submit a report assessing the program, the facility, why they made the decision, what the impact will be in moving and the effect on the supply chain and manufacturing base,” Houlahan said in an interview Tuesday. “And while it’s being prepared, the amendment would restrict access to some of the capi
tal until we get answers.”
The amendment proposes that of the funds authorized to be appropriated made available for fiscal year 2020 for procurement of the VH–92A helicopter, “not more than 75 percent may be obligated or expended” until the report is submitted.
“There are some questions that need answering before we allow the budget to be passed along to them,” Houlahan said.
The facility’s 465 employees were told June 5 about the decision to close the Chester County plant by the end of the year, and its work moved to different Sikorsky locations. Major programs at the plant include: S-76 and S-92 production and completions, and modifications and upgrades for
the Canadian Maritime Helicopter Program aircraft.
The S-92 is then completed in Stratford Conn. as the VH-92A Helicopter — a helicopter Sikorsky has previously contracted with the Department of Defense to supply as part of the Presidential Helicopter program.
On Monday, the U.S. Navy announced that it has awarded Sikorsky $542 million to build six additional VH-92A helicopters. Houlahan said it was a decision made without the benefit of knowing Lockheed Martin’s current plan.
“This issue couldn’t be more important for the community,” Houlahan said, adding that there are three strategies to tackling the issue.
“To fight as aggressively as we can — and that’s what the amendment does — to ask for an explanation from the Secretary of the Navy and to hinder the distribution
of capital while waiting for the explanation. That is kind of the stick,” she said. “The carrot is that we have offered to be available to help, and they can ask us for ways to diversify that plant.
“And the third strategy is we are working concurrently take care of those folks in the community affected by this.”
The amendment is not the only effort focused on the plant closure. The Chester County Commissioners have appointed a task force focused on three goals: helping Sikorsky employees, working for the best use of the property and ensuring that Coatesville’s progress is not harmed.
Guy Ciarrocchi, president and CEO of the Chester County Chamber of Business and Industry, is taking the lead in working with federal and state officials. So far, the task force has met twice, and has been in information gathering phase.
“We all want to work together so we don’t duplicate work or contradict each other,”Ciarrocchi said Tuesday. “We met again today to share information. We will meet as often as necessary, to understand the size, the scope and the timing.”
He said the group is working to gather “accurate, complete and necessary information” about the issue.
Houlahan explained she was notified about the closing the evening before employees were closed. After a telephone call June 4, Houlahan sent a letter to Schultz.
In a response Houlahan received June 11, Schultz thanked her for her candor, “and I hope I expressed to you my sincere regret at having to make such a difficult decision” regarding the facility.
Schultz stated in the letter that the oil and gas market has not
rebounded as the company had hoped.
“I fully recognize the strength of the Coatesville workforce and appreciate your willingness to work with us to ensure those affected employees find new and gainful employment before the year ends,” the letter stated.
He added that fiscal year funding in the defense budget for six VH-92 aircraft, “is not enough to keep this workforce fully employed,” the letter stated. Schultz explained that the aircraft begin in Coatesville and are then sent to Stratford, Conn. for completion.
A spokeswoman for Lockheed Martin said last week the company is working to place as many of the impacted employees as possible in other Lockheed Martin facilities.