Both Columbia-class cruisers were built by William Cramp & Sons, which had the capacity to complete them. Bath Iron Works submitted a cheaper proposal but could not carry out the work at the time. The United States Senate nevertheless required Cramp to accept a price 55,000 dollars below its own proposal. The case shows why governments must distinguish an attractive paper bid from a yard's ability to build the ship.
Notable Point · 11:14-12:12
Shipyard capacity behind the Columbia-class comparison
The American cruisers show why a low shipbuilding bid means little when the proposed yard lacks the capacity to deliver it.