The U.S. Senate has confirmed John Phelan as the next Secretary of the Navy, adding another high-profile Trump nominee to the administration’s list of Senate-approved appointments. Phelan, a private investment executive and major donor to former President Trump’s campaign, won confirmation in a 62-30 vote of the full chamber.
Phelan drew bipartisan backing for the post. Although he faced no direct opposition during his nomination hearing, some lawmakers raised concerns that he has never worn the uniform and has no experience overseeing a civilian branch of the Pentagon.
A Business Background Meets a Troubled Department
Phelan argued that his private-sector record gives him the tools to confront the Navy’s long-running problems, including failed audits, workforce shortfalls, cost overruns, and shipbuilding delays. He founded and chairs Rugger Management LLC, a Florida-based private investment firm, and previously served as managing partner of MSD Capital, a private equity firm.
At his confirmation hearing before the Senate Armed Services Committee, Phelan said his outside business experience would help the Navy, which he described as urgently in need of reform.
“The U.S. Navy is at a crossroads, extended deployments, inadequate maintenance, huge cost overruns, delayed shipbuilding, failed audits, subpar housing, and sadly, record high suicide rates are systemic failures that have gone unaddressed for far too long, and frankly, this is unacceptable,” he told the committee.
Phelan told the panel that the Trump administration’s top priority for the Department of the Navy is shipbuilding, a program that is years behind schedule and has suffered major cost overruns, particularly for submarines and large capital warships such as aircraft carriers.
“I don’t think I could say shipbuilding enough times,” he told the panel when asked about President Donald Trump’s priorities, according to the U.S. Naval Institute News.
Pledges on Contracts and Audits
Phelan committed to reviewing the Navy’s current contracts and ensuring a clean audit for the Department of the Navy.
“I intend to sit down day one, and we are going to go through every contract that we have and understand what exactly they say and what flexibility they do or do not give us, what contract needs to change or not change, and why,” he told the panel.
“I intend to do the same thing as it relates to an audit. I need to understand why the Navy cannot pass an audit,” he added.
He also told the committee that while he respects “stability and tradition,” those values can become a problem when they “suffocate adaptability, innovation, collaboration and trust, [and] erode an organization’s ability to win.”
Phelan acknowledged that some may question why a businessman who has never worn the uniform should lead the Navy, and said he respected that concern.
“The Navy and the Marine Corps already possess extraordinary operational expertise within their ranks. My role is to utilize that expertise and strengthen it to step outside the status quo and take decisive action with a results-oriented approach,” he said, according to The Hill.
Focus on the Constellation-Class Frigate
Phelan also zeroed in on the long-delayed Constellation-class frigate program, promising a rapid assessment of its problems.
“This program is a mess from what it looks like,” Phelan told the panel. “If confirmed, I plan to dig into this very quickly and understand the issues. And we’ll come back to this committee very fast with the knowledge that we have as soon as we get to the root cause of the problem.”
During the hearing, retiring Sen. Gary Peters (D-Mich.) pressed Phelan on the ongoing program at Fincantieri Marinette Marine, the Wisconsin shipyard building the frigate. Peters’ home state borders Wisconsin.
What Comes Next
The confirmation is a significant win for Trump and his administration as they head into a second year in office with a crowded agenda. The Senate, meanwhile, faces a busy calendar as the November midterm elections approach.
