tv Coast Guard Commandant Adm. Schultz Remarks at Navy League CSPAN December 28, 2018 11:11am-12:04pm EST
regarding your surroundings and see how to use your voice and background to improve and make it better. and things that are going on in local communities across the nation and actively a way to improve and make it better for the next generation. >> great pleasure to be here and talk about what means to be an american. what can you do to better your community? and statewide. everything is local. what are you doing to make community better by helping younger generation to help build the older generation which you need to have that.
and how to -- >> voices from the road on c-span. next, coast guard commandant carl shultz looks at strategic priorities of his branch and force readiness. he spoke at an event, it is 50 minutes. [inaudible conversations] >> good morning. if i could please have your attention. good morning, everyone. it is my pleasure as national president of the navy league to be with you this morning. a privilege to welcome our
special guest today, the 26th commandant of the coast guard and navy league's friend, admiral carl shultz. it is an honor to have you join us for this special breakfast. i would also like to welcome our other flag and general officers and other distinguished guests joining us this morning. thank you and welcome to many industry executives and navy league members who are here with us today. general dynamics is pleased to sponsor this special breakfast, these are important venues for the defense industry to interface with government requirements. general dynamics thanks you for your participation and we thank them for their support. back to our special guest and good friend, admiral shultz.
admiral shultz has seen duties as the 26th commandant of the coast guard on june 1st this year. he previously served from august 2016 to may 2018 as commander atlantic area where he was operational commander for all coast guard missions spanning 5 coast guard districts. he can currently served as director of the department of homeland security joint task force east. our navy league is proud of our support and service. i would like to personally thank admiral shultz for this phenomenal vision, leadership and friendship. we look forward to his remarks and insight this morning. please join me in welcoming admiral shultz to the podium. [applause] >> good morning, alan and everyone, thanks for the warm welcome, always a treat to be
with the navy league. we are truly appreciative of all the united states navy league does for the coast guard, we enjoyed terrific reputation, relations, and i would say generally given the proportional size of the coast guard and other sea services we are disproportionately supported by the navy. keep it coming, it is a privilege. allen said you wanted 3 hours, i will take one question at the end so ready to go? here we go. 15 years ago today president bush 43 announced the capture of saddam hussein, to put a historical timeline here. it is interesting when we look at where we are in the 21st century about complex and dynamic operating environments. we got the new national security strategy focused on competing, rising powers. we will be at this point in 2018. the homeland is no longer a sanctuary.
my secretary, talks about the home game, the away game and the same game. each of them join a complementary relationship. we leverage our best roles to serve our great nation but the coast guard interestingly positioned. with this crowd i will talk about how secretary mattis talks about it, elaborating where we can and vigorously competing where we must. you will find your coast guard brings a pretty broad response to that paradigm. coast guard promotes american values and influence worldwide driving situations that require a response operation that is nuanced, slightly below the threshold. we are not only nationally
relevant but globally connected. we are the only armed service that brings unique challenges with it. it is the right place for the coast guard but when you having a conversation, even a budget conversation my personal view is the conversation should be a security nonsecurity conversation. i would love to see the department of homeland security budget funded at the same time you fund the other one, and back to the home game. that is where we reside. we are connected. each and every day we have men and women support bank commanders. south, 6 to 10 ships, multiple airplanes, disaggregated 250 people in the arabian gulf and the fifth league commander and
patrol forces southeast asia. we also have a team doing training with the international coalition partners and high end team of a dozen or time we wor extremely well for the development of homeland security with 22 agencies strong, 15 years in march. i seeing with the department of homeland security, we see the interplay of the components working together unlike ever before. i really think that is the place we went to find the coast guard with our own department
and next slide, this is the context i recently rolled out coast guard strategic plan for the next four years. senior leadership team, officers and are listed sat down and got our brain around what we saw the environment to look like and how to press the united states coast guard. i'm a little biased but i might say the world's best coast guard and it is about what are those moves and actions we need to undertake, that positioned the coast guard to a complex maritime environment of tomorrow. i talked about a coast guard that is ready, relevant and responsive. it is funny what sticks. my brother in law was on his way to the cape, a retired coast guard guy, great t-shirts, looks like prison attire. mike mcallister, it was a pack of breath mince from the coast guard system.
looking for $.10 royalty on each response and gift item. do your christmas shopping, i saying. you have a new strategic plan, our front-line operation or policy, budgeting or acquisitions, if they are not ground troops we are not marching in the right direction. we have a lot of disparate responsibility is across 11 statutory missions and we had a handful of plans. we didn't dispense with any former plans. we had a fiber plan and the western plan, it was a big body of coast guard work, we rolled the existing plans my predecessors put in place under an umbrella plan that captures all the work of the coast guard because when you are making choices you tend to go down silos and don't pull it off together.
maximizing readiness today and tomorrow and addressing the nation's complex maritime challenges, delivering mission excellence anytime anywhere. i'm not going to walk you through the whole thing, when you talk about maximizing readiness that is my number one priority. i will expend tremendous energy the remaining three years of my tour upping the conversation on that one. we have done generally well, if we can maintain steady funding, we can continue momentum and we talked about these projects. we struggle on the operating and support side of the budget. back to the 2011 budget control act and subsequent years, we lost 10% purchasing power, it is in that part of the budget. we need to raise the
conversation with our overseers, the president as soon as he came into office, donald trump talks about readiness of the armed services, presidential memo number one was focusing on the armed services and dod services had 12% bump under operating support services, we had 4%. being outside we were not in the conversation. that is a place to press into, doing that as i did my rounds and confirmation hearings, remain a key priority to be here. men and women answer the call every day and that is my obligation to them, put in capable machinery in their hands
i did a little questioning the other day and the gentleman asked me where are you versus 10 years ago? we are actually 3000 less coast guards today, 300 less active duty, 1700 less reservists and that one concerns me a lot. at one point legislative affairs, authorized to go to 10,000 reservists. authorization standing for reserves in 6200, we had no garrison forces, our reserve component is the fight tonight and throw into the emergency disaster response, hurricane response, deepwater horizon events, we are going to grow that 1000 in my tenure as possible but what i'm excited about is we been on an 8 year journey capitalizing capabilities and we had success here. building national security
cutters, fast response cutters, offshore patrol cutters and used in shipbuilding group in late september with the option of 11 and we will be really capable, 360 plus or minus offshore patrol cutters that will be the backbone of the major cutter fleet and that is a long time in the mix continuing to fuel for congress as word of funding beyond the program record and that is where we are today, waiting for a 19 budget and not sure that record has legs yet so we will see. 28 in the field, building a program record of 58 with the support of congress. we had funding to replace 2 of the 6 that operate overseas with the patrol force in southwest mission space, we are anxious to say if there are a couple extra ones to continue marching towards recapitalizing that program. polar security cutter is a big one in the 19 budget?
i will stay in guardedly optimistic the president included that in the budget in the congressional stage, house and senate version don't match up, hopeful we get a budget here before the end of the calendar year but those of us who have been in washington before that, that will be what that will be but we will remain guardedly optimistic but the security cutter will open to build out 6 icebreakers and i have adopted the 631 strategy. we need those 6 breakers, a minimum of three heavy polar security cutters and three medium cutters and the one, we need one now. you start cutting steel, if our plan holds true to form we will reward a contracting spring of 2019, to one builder for the security cutter and hopefully funding for the second,
probably 6 plus years for contract award before she is due in mission and that security cutter will replace a 42-year-old cutter that just departed seattle in the antarctic and that ship is tired. we will bridge that gap in 6 or 8 years because we have to bridge that gap but the first polar security cutter will be the replacement for the polar star and make the annual sojourn to mcmurdo because that is a critically important mission to get the fuel in and get the supplies and following but there may be's shoulder days were we can do hard work but not until you get to 2 and 3 when you start to craft presence for the arctic mission space. and 30 days continue to march toward a program record of 22, we are at 16 going to date and the c 27s we got from the air force. we got money for simulator that we are going to set up in
mobile and starting to get increased readiness out of that platform. that is a challenge for us but we are on a good trajectory. 50% readiness marching towards something in the low mid 70s. long-range, medium-range capability for the coast guard, when you think of the work we do, the aviation piece is critically in the naval standpoint and it, we can do some challenging antiquated systems in the coast guard, not something i was thinking of coming in to focus on, i got to tell you our enterprise mission platform and the it that underlies that we will have to do some things here. we are watching to permit of defense, what is the right place for the coast guard.
the leading edge of anything, we are top organization so watching our dod colleagues, big movements there and figuring some it investment will be critical in our future. looking at the last three years, the national security cutters, a navy guy who is a dad of three who remain in the service, hamilton on their way home, national security cutters have been crushing the mission in the eastern pacific and in the last 3 years, 1.4 million pounds of cocaine taken on the transit zone, the region north of the indian ridge out of columbia destined for united states streets typically through the central american core door. the majority used to be panama, then guatemala. the first landfall occurs in mexico more than half of it. those are drugs destined for
american streets. if you look at the impact at home, talk to 70,000 deaths on an annual basis that are drug-related violence overdoses, things like that. that exceeds the number of motor vehicle accidents. that is not insignificant at least in my mind. our strategy, we push the borders up. we don't pay goal line defense, we take the fight, 1500 miles from the coastline these ships are operating anywhere from colombia, ecuador, panama, west of the galapagos to increasingly innovative adversary we face, employing gps technologies, they take a load to the gps buoy, they've been taking these to the low-profile vessel, and looks like one. multiple engines in the back, high profile, green and blue,
we are rolling them up. some tremendous capabilities and national level intelligence, real excited about what that ship is doing. used in shipbuilding, a pretty tough it with hurricane michael but i believe they are back at 80% production, the workforce is there. just launched a mcallister truck friday the seventh. that is a good indicator production figures are back. they have been back at work since november so we are doing all it takes, looking at the assessments, analyzing where they are but this is a long relationship. our hope is to build cutters, the initial strategy, the first couple are independent and the strategy was two holes per year. that takes you out over a 15 or 20 year relationship.
we are working closely with the eastern should building group and we are confident that will be a terrific cutter. a fast response cutter in the lower right, things blocking it. that replace the 110 foot patrol boat with a crew of 16, 24 proceeds, a little smarter, a maintenance system, assistance team shoreside. we shorted a little bit with the budget control act. we should have staffed them more robustly, they are 50% staffed but that cutter can operate out of hawaii and head out and operate and do west coast central pacific fisheries missions. we couldn't do that with a 110 foot cutter. we are excited about the capabilities of fast response cutters as well. this year we are marching off to send a national security cutter out for a request for services from the indo pay commander. we sailed in those parts
before, this is a request for forests for admiral davidson's team out there to push some us sovereign present interest beyond the united states navy is doing. if you look at oceana, what china is doing to put liaisons in different parts out there, it could be an important mission. the coast guard cutter has a little more accessibility, the counterparts. once we turn the platform over navy under the federal police and the chinese militia which is an interesting nonmilitary
group that seems to have ties to central chinese military authority, doing some aggressive things. we hope the coast guard will set the bar appropriate internationally recognized standard of behaviors for coast guard across the globe so it will be interesting. we are excited about getting into that mission space in the coming year. to the next slide. we talked about the polar, just got back from a 4-month appointment in the arctic, medium capable icebreaker. she did support for the office of naval research for the national science foundation, national ocean atmospheric work from there so three science customers, quite a difference in capabilities. the star can breakthrough six feet of ice, three or four knots study, 3 quarters of that
at a 3 not speed. the polar gets through 21 feet of ice, there is a huge difference between the capabilities of a heavy icebreaker or medium icebreaker, that is what paul security cutters bring to the fight little bit. when you think about the polar regions, what is up there, why do we care? a third of the untapped natural gas on the planet, 13%, 14% of petroleum reserves, fairly shallow water, $1 trillion of rich minerals that matter to us, it is a competitive space, the chinese have been up there each of the last few years with their research vessel, they just launched the second see dragon and 18 months from now, they are building a heavy breaker themselves, china is a
non-member, she declared herself on your arctic state and has written the polar strategy and they are pushing into that space. 80% of the gdp from the russian base so the arctic is a place with some national significance. secretary mattis was there in june. we got to up our game in the arctic. it is not a developing area but it developed area and they tagged the coast guard of the right arm service to be in that space showing us sovereign presence. i'm right on board with that, that is where we should be but the comment about where we can or can't collaborate, competing where you must, i see the arctic as competitive space. if we are not there, receiving sovereign interests, prisons equals influence when it comes
to the arctic so this is one of my top priorities for my tenure moving forward. and now let's pivot. when we talk about other priorities, we have strategic outlooks, it wouldn't be the military. and it's the as we call it, and the inland waterways, 361 ports that define a big part of the nation's economic engine, $4.6 trillion of annual movement of cargo on that waterway. we have three lines of effort we talk about in maritime congress outlook, enabling, facilitating lawful trade and travel on secure waterways. is about modernizing mariners
information systems and when you look at the capacity of our workforce and the partnerships, it is an increasingly complex world, this waterway world, look at autonomous ships in the not too distant future, lots of testing going on, the energy market. who would have thought three or four years ago we would be exporting? we may have upwards of 300 lng exports out of their this year. we manage the port of freeport out of a marine safety unit in texas city. we are not staffed at 60 bodies to deal with another 200 plus. it is a dynamic, changing environment. when you think of the ports of long beach and la, that complex, 40% of the stuff shot before christmas regardless of where you are in the country comes through that one port, shut that port down for more than 96 hours, goods on the
shelves in the heartland are no longer on the shelves in the heartland. some really interesting things to think about the maritime commerce space in the world and i would tell you the coast guard is a critical enabler in that mission space. i would think one of those places, the republican senate, republican white house, democratic house might find productive, partisan mission space, i'm hoping infrastructure is one of those places. our strategy right ahead of that, you can't have that conversation about infrastructure unless you are talking about the economic engine, we are real positions, it is cyber. we created a coast guard cyber, and we are not at fully operating capability, we are building our own cyber protection team. we have a cyber service of providers in our headquarters,
we worked closely with dod cyber, partners, we are tied in over the dhs cyberteam and the new standup, recent legislative change, some exciting stuff going on. coast guard cyber warriors working with dhs colleagues. there are some terrific things going on. with all the technological advancement it is absolutely fantastic but it is an increasingly complex space from a regulatory standpoint so they used to be vessel facility, security plans, for facilities. we added a cyberannex. the challenge for us is building the workforce of cyber professionals, these kids are start, started a major in the class of 2022, to be the first kid that come out, graduates of
the academy, 31 kids in the academy in the graduating class, 280. how do you keep those young kids in after 5 years. they have a skill that is truly marketable. 10,000 plus shortage of cyberprofessionals today, think about that down the road. that something to pay attention to. we are paying attention to the cyber domain. the space x launch, coast guard is now in space, we have two cube sets, that are up there. they will help us look at search and rescue satellite coverage in the arctic and tell us the space based capabilities to take a huge area like that with a finite round of service capabilities taking maritime delay pictures so we are excited about the first foray there. i was out yesterday at an event, 37 different packages on this space x launch, what is
this hawkeye system. i'm by no means endorsing that but it is a space-based capability to help paint some of that domain awareness. how do you look at these in a place like north korea? sanctions, those of us that have maritime, we track ships through ais and other things. is there a way to track that? there is national level intelligence and other space-based capabilities on a lower spectrum that might paint the picture. it is an exciting thing that is going on. your coast guard is on the fringes of that, getting smarter every day but working with the department of homeland security, science and technology, you will find real key capabilities we tap into down the road. lastly, last slide rolling up a little bit. this is your coast guard, men and women at work, high end
capability responders in southwest asia, built out the second maritime response team in san diego in the last 18 months to complement the team in chesapeake, these are the highest counterterrorism professionals. the challenge today is i have them in chesapeake, virginia, san diego, we need to grow some organic left to bring the seams to the fight. we got to do a little pickup with our colleagues, dod colleagues. we have to go somewhere quick beyond highway access with a lot of equipment that takes us to the nation's roads. men and women are doing terrific things. we are doing great sons and daughters of americans who want to serve in the coast guard, taking them 3800 kids to our doors in cape may on an annual basis. if you go back to the sequestration area we throttled that down to 1400 kids. we are at the highest level of
recruitment we have done. once we are focused on his mission ready total workforce, how's the coast guard positioned for new blended retirement? the model of going to 20 years is no longer the model for these new kids. you come in today at a 12 your point, to make a decision, you get the multiple we set now consistent with the navy, brings to a half months pay and asylum for another 4 years but if you are good investor and got your first savings plan on your first 12 years you got a choice and we are a service where 40% of the listed men and women historically went on to 20-year careers. i don't think there's another armed service that has 40% retention for listed men and women, 60% for officers. we have to figure out how does the coast guard market itself? they are a great opportunity. we are an organization representative of the diverse population we represent.
we have to focus on inclusivity, look at healthcare, 28% vacancy and doctor and dentist bills they are pressing in on but dhs supports veterans system. so getting docs to go to more remote areas when they could go to a large va in a major city, is a tough complication. they could stay there and move around, we will set them up and say slaying beers isn't your thing. we have some challenges in that the public health service the maximum of orders and not invitations, we have to deliver that a little softer but we have some challenges here. i keenly focused on the workforce and as i talked about, focusing on employer choice for them. the brightest generation of men and women who wanted to serve their nation but with 3% or
lower unemployment and a lot of choices out there, skills like being a regulator, that allow you to walk into a liquefaction facility to understand that, shell oil and mobil oil are willing to spend a lot of money for gas companies and your spouse has a good job and your kids like the soccer league and you are engaging your church, tough to compete with that when someone offers double salary. we need to focus on people. let me stop right there. and just by saying, and never been greater. and whether it is exporting global influence in maritime governance. we are oversubscribed. a good problem to have but there need to be resources.
i'm committed to championing that with the right equipment, the men and women of the coast guard, to focus on the workforce. i stand by for your questions. [applause] >> i should have given the 3-hour speech. >> military.com. the house secured funding for the icebreaker, probably homeland budget. what does that do? how does that affect your plan going forward? a lot of screaming and yelling on the senate side but there it stands. this happened yesterday, they want to contribute to the $5 billion the president wants for a wall.
>> i did 7 years of legislative appearances for the coast guard. i would say the way our budgeting process works, there are 12 appropriations. we are in department of homeland security appropriations, the house is having conversations about how they move forward. they go to conference at some point and i will stick by my guns and stand guard and be optimistic, the icebreaker was in the president's initial request. there are supporters on the hill, the nation needs to recapitalize an icebreaker and we will see how that plays out. that is the way these things play out in washington and those conversations will probably get more energized before they are done. we told our story to our overseers and they understand and the will of the people in the will of congress to make the ultimate choice here. in the back, yes, sir.
>> thank you. andrew witten for the uk. thank you, going back to the polar coins and collaboration. can you comment on your vision for the international collaboration? rather than those doing that. >> are you -- >> a little more about it. >> for us, there is increasing mission prisons, expeditionary crewss, the silver streak ship that was in there, 450 passengers, the crystal serenity transited the northwest passage in the past four years. there is a demand signal, if
there's a crisis at see who is the nation looking to? the coast guard. we have statutory responsibilities. there are more activities today than there were yesterday. what if there were environmental responses? and regulatory work, what we have been doing the last handful of years, we have arctic shield deploying jayhawk, mh 60 helicopters to a national guard facility, we base that on a 4-month period from june, early june to late october, pushing increased number of cutters. it depends where the ice is. the arctic report, the noaa report came out this week. i haven't gotten through the whole report and gives an assessment of the climatological impacts, consistent number of years a declining number of ice, more accessibility of their, the
additional accessibility, water where there was and what it does translate 2 additional coast guard response which are partnerships involved in the arctic coast guard for him, we had the leadership of that last year, the arctic council, we are absolutely in a collaborative relationship, withdrawing expertise from the canadians, and icebreaker technology, working on systems that will be on the security cutter. the collaboration is very strong. i paint a picture that we rename what was before the heavy icebreaker. i renamed it on my watch the polar security cutter. a bit emblematic of the fact that it is a competition for sovereignty. in the department of homeland security outside the coast guard, 21 partners understand, when you talk about security and the polar security cutter
in the competitive space, the natural resources up there, protective interests of sovereign interest where the conversation goes. we have a functional working relationship with russia in the arctic. our side of the technology line can coordinate for rescue of mariners in distress, fisheries collaboration. we have interesting relations with china. we have a relationship for 25 years. chinese ship writers, coast guard cutters, the memorandum agreement, just this past summer
10 km out. approach the flag state. they will prosecute. and the competition partners, in the arctic region in places like that. the partnerships, what i have taken away in 35 years, what they get with the coast guard, one of my predecessors, and they partner with the one organization, in santa barbara, california and a member of the national intelligence community, coast guard wrench turners on uk combatants helping to fill the gap with
transitions which we are global coast guard which is exciting for me. a lot of folks see the coast guard as the station on the great lakes or northern california, don't thing about the global reach of partnerships. >> good to see you, sir. >> we read in the paper every day about the material readiness shortfalls, aircraft, low levels of readiness. can you translate that into funds along the same line. >> from the readiness standpoint, we did 17 that wrapped up, two programs, and the legacy, high endurance cutters, 85 days before the
year, if you look at the navy we programmed more days a year. if you look at it over a 3-year period we are 50% deployed. remarkably with the support of our engineer and mission support, 92% availability in that model. last year i lost two cutters of capability or capacity from a readiness standpoint or maintenance standpoint, that's a direct correlation to the budget. i lost the equivalent of 5 or 6 annual helicopter capacities because of readiness. i won't tell you we have a readiness spiral but i'm in tune with service, that is my number one priority. if we don't get an injection of cash we have to start making some choices.
my commitment is to deliver the ready coast guard to those customers, secretary of combatant commanders but to get to the point i am not putting ships out that are safe to sail we have to make some choices. our targeted aviation readiness by 73%, 71%, i saw the challenge for a nation at war to move from those numbers, we talked about being in the sub 50s range for the aviation tactical assets of 80%. that is a big chunk. we are close to that 71%. we are trying to sustain that. i don't think we are anywhere at a 15 point right now but the demand signal keeps increasing or stays steady and we are not able to project that we are able to makes and choices. >> dan holloway.
i was the last commander down there. what do you see as the new role? >> from a coast guard contribution, i would say in the atlantic and north atlantic we are watching that. it is clear, after being away a few short number of years, we talk a lot in recent years, the north pacific coast, that brings in china, russia, collaboration that you would not think we would have collaboration on. we have a north atlantic coast guard. the first time the us will coast guard. that puts in the north atlanta partners and to be that active in that collaboration, consistent with return of the second fleet is the place we got to look, got to look at
what are those common interests, the biggest operations or the junction off of norway to the arctic. that region of the world is critically important right now. we have actors demonstrating behaviors that are not consistent with our international view of a peaceful world. you will see increased coast guard interest, collaboration. ics pushing assets -- i see us pushing assets, i don't think that is an immediate thing. i think this year, getting back in 19 with a ship to the african continent supporting the african commander, we have been over there with people aggregating specialized force folks. we have been riding allied ships, the senegalese have a role with maritime capabilities, law enforcement,
helping them build their capacity. look at the african continent, look at fish as a source of protein and food, that is critically important to help them build to the sovereign what is, we will send the medium endurance cutter back to keep those skills relevant in our service, transferred 375 foot endurance cutter to nigeria. we would like to see our cutter draw the nigerians out into joint operations. i'm not sure that is going to happen but we are trying to stay in the fight and demonstrate behavior that helps protect our own sovereign territorial interests. the conversation is evolving. we know woody lewis. those are conversations a little farther down the road but we are uping our conversations with coast guard partners this year. anyone else? dale, how are you? >> longtime president of the
fan club. with your experience on the hill with what is going on, the stars are aligning to get congress and others to move that forward. is that an opportunity for you? >> a conversation has come up on my predecessor's watch, there is clear benefit because lining up support, out of the administration and the senate foreign relations committee, i won't get ahead of that. and haven't seen a lot of that. it is in the safe quadrant of that conversation. the benefits of the law of the sea in places like the arctic
and places where the continental shelf getting a little clearer when you are a ratified member of the un convention believe that conversation to unfold starting in places i expect it to be. .. >> which that movie, the polar express? the first gift of christmas. thanks. [applause] >> government funding ran out last friday at midnight as we
enter day seven of a government shutdown. negotiations continue on the bill look at passed both chambers of congress and get the approval of the president. watch live coverage of the house on c-span, the senate on c-span2. >> teamwork, perseverance, hard work is always the equalizer. and for me many people never gave me a chance to not only play division i hockey but yet the lone professional. it was through hard work and perseverance, dedication and just that drive to meet your goal. i was very fortunate.
>> how long did you play professional? >> three years. i retired due to an injury to my neck. >> the other republican is jim hagedorn in the first district. he succeeds tim walz was elected minnesota governor. he is the son of former representative tom hagedorn and served on the congressional staff of former representative arlen stangl.