By LINDSAY OLIVIER
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NORTH KINGSTOWN — Last Tuesday in Groton, Conn., representatives of the U.S. Navy, Electric Boat, Northrop Grumman Shipbuilding, the Connecticut and Rhode Island Congressional delegations announced a $14 billion submarine contract to build eight Virginia-class submarines, the largest submarine obtainment in U.S. history.

This new contract, known as “Block III,” will include the eight new submarines, including an increase to two new submarines a year that Connecticut Congressman Joseph Courtney fought to get.

“Today is a great day for our submarine force and our nation. The road to the two submarines a year goal has been long and winding, but we have finally reached our destination and it couldn’t have come at a better time. This critical step toward rebuilding our submarine force will also provide a much needed economic stimulus for shipbuilders,” he said.

The biggest immediate impact is that it guarantees workload for the next 10 years.

“This contract also increases production to two submarines a year in 2012, so the Quonset workforce, about 2,000 now, will increase starting in 2010, rising to about 3,000 over several years,” said Robert Hamilton, director of communications for General Dynamics Electric Boat.

Construction will begin immediately. The contract provides $2.4 billion immediately, which includes full funding for the FY 2009 ship (SSN78), advance procurement funding for the FY 2010 ship (SSN785), economic order quantity for hulls 784 to 791 (this allows the shipyards to order multiple shipsets of certain parts if there are demonstrable and significant savings) and a continuation of the Design For Affordability program, Hamilton said.

Work that is currently going on in Connecticut will continue. Quonset will still be a manufacturing site and Groton will continue to be the final assembly and test site.