The Senate voted Monday to confirm John Phelan, founder of the private investment company and a leading donor in the Trump campaign, as the next Secretary of the Navy.
Florida businessmen with no previous military experience were confirmed by 62-30 votes in the entire Senate.
Phelan did not raise full opposition during the February 27 nomination hearing, but some lawmakers expressed concern over the Pentagon's previous lack of military service or control in the private sector.
However, Phelan argued that his background has made him an ideal candidate to fix issues that have plagued the Navy, including audit failures, labor management issues, cost overruns and delayed shipbuilding.
He was founder and chairman of Rugger Management LLC, a Florida-based private investment company, and a managing partner of MSD Capital, a private equity company.
Phelan, a well-known art collector, has donated nearly $1 million to Trump's fundraising committee and nearly $1 million to other Republican campaign committees, according to the release. He also hosted a flashy fundraiser at the $38 million Aspen home for Trump, charging between $25,000 and $500,000 per couple. Guardian.
During his confirmation hearing, Phelan promised that his outside business experience would help the Navy, who desperately needed to reform.
“The US Navy is at the intersection with extended deployments, inadequate maintenance, enormous cost overruns, delayed shipbuilding, failed audits, sub-housing and, sadly, record suicide rates,” he told the Senate's Armed Services Committee.
“These are systematic obstacles that have not been addressed for too long. Frankly, this is unacceptable.”
He also said he respected and appreciated “stability and tradition,” but “suffocating adaptability, innovation, collaboration and trust undermines an organization's ability to win.”
That idea didn't seem to be a complete defeat to Jack Reed (Dr.I.), a committee ranking member. He told Phelan that he clearly has experience in managing large corporations, but “you have no significant experience in the US Navy or the military as a whole.”
“You need to learn a lot right away about complex organizations that include hundreds of thousands of sailors and the Marines, but the service faces international threats and internal challenges,” Reid said.
Phelan replied that he understood that “we might wonder if businessmen who didn't wear uniforms should lead the Navy,” and he respected his concerns.
“The Navy and Marines already have exceptional operational expertise within their ranks. My role is to use that expertise, strengthen it, get out of the status quo and take decisive action with a result-oriented approach,” he said.





