Fleet cybersecurity funding to see ‘increased investment’ in FY27 budget request: Navy official
The Navy plans to increase cybersecurity funding in its FY27 budget request, specifically targeting fleet cybersecurity capabilities. This investment will be integrated into the Navy's Golden Fleet concept, indicating a strategic shift toward embedding cybersecurity from the design phase. Government
Cabrillo Club
Editorial Team · February 16, 2026

Also in this intelligence package
Action Kit: Navy Fleet Cybersecurity FY27 Budget Increase
Event Type: Budget Action
Severity: MEDIUM
Effective Date: FY27 Budget Request (Expected Q1 2026)
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Immediate Actions (This Week)
- [ ] Review current Navy contract portfolio — Identify active contracts or past performance under Naval Sea Systems Command (NAVSEA), Office of Naval Research (ONR), or Program Executive Office (PEO) Ships that could position you for follow-on cybersecurity work
- [ ] Audit CMMC and NIST 800-171 compliance status — Verify your organization's current certification level and identify any gaps that would prevent bidding on increased cybersecurity opportunities
- [ ] Map capabilities to Golden Fleet concept — Review public Navy documentation on Golden Fleet and identify where your cybersecurity, embedded systems, or maritime security capabilities align with design-phase integration requirements
- [ ] Identify teaming partners — If you lack shipbuilding or maritime domain expertise, begin outreach to prime contractors with established Navy shipyard relationships (focus on SeaPort-NxG and OASIS+ holders)
- [ ] Monitor SAM.gov for pre-solicitation notices — Set up daily searches for NAICS 541512 (Computer Systems Design), 541513 (Computer Facilities Management), and 336611 (Ship Building) with Navy as the contracting agency
Short-Term Actions (30 Days)
- [ ] Develop Golden Fleet positioning materials — Create capability statements and technical white papers demonstrating experience with cybersecurity-by-design, secure development lifecycle (SDLC), and Risk Management Framework (RMF) implementation in maritime or embedded systems
- [ ] Engage Navy Small Business Offices — Schedule meetings with OSBP representatives at NAVSEA and Naval Information Warfare Systems Command (NAVWAR) to understand upcoming small business set-asides in fleet cybersecurity
- [ ] Update past performance narratives — Refresh CPARs and past performance summaries to emphasize cybersecurity outcomes, NIST 800-53 control implementation, and any work involving operational technology (OT) or industrial control systems (ICS)
- [ ] Assess contract vehicle access — Verify your company holds or can access relevant IDIQs (SeaPort-NxG, OASIS+, SEWP, GSA Schedule 70) and begin on-ramping process if gaps exist
- [ ] Conduct competitive intelligence — Research incumbent contractors on current Navy cybersecurity programs (e.g., Consolidated Afloat Networks and Enterprise Services - CANES, Next Generation Enterprise Network - NGEN) to understand competitive landscape
- [ ] Initiate CMMC Level 2 preparation — If not already certified, begin formal assessment preparation as Navy cybersecurity contracts will increasingly require CMMC Level 2 or higher
- [ ] Build Navy-specific win themes — Develop proposal content around fleet operational availability, at-sea cybersecurity resilience, and integration with Navy Cyber Defense Operations Command (NCDOC) architecture
Long-Term Actions (90+ Days)
- [ ] Establish Navy capture pipeline — Create a dedicated tracking system for Navy cybersecurity opportunities from FY27 budget execution through FY28-29 out-years, focusing on RDT&E and procurement line items
- [ ] Invest in Navy-relevant certifications — Pursue organizational certifications such as ISO/IEC 27001, NIST Cybersecurity Framework maturity, or Navy-specific qualifications (e.g., Cybersecurity Workforce Framework roles)
- [ ] Develop strategic partnerships — Formalize teaming agreements with shipbuilders, system integrators, and maritime technology providers to create comprehensive Golden Fleet solutions
- [ ] Build Navy relationship capital — Attend Navy League events, Surface Navy Association symposiums, and AFCEA conferences to establish technical credibility with program offices
- [ ] Create Navy-specific IRAD investments — Direct internal R&D toward maritime cybersecurity challenges such as satellite communications security, autonomous vessel protection, or shipboard network segmentation
- [ ] Prepare for increased ITAR scrutiny — As fleet cybersecurity involves sensitive naval architecture and weapons systems integration, ensure ITAR compliance programs can scale with increased contract volume
- [ ] Develop workforce with Navy clearances — Begin sponsoring employees for Secret and Top Secret clearances, as many fleet cybersecurity programs will require cleared personnel for classified system work
Compliance Checklist
This event triggers multiple cybersecurity compliance frameworks that contractors must satisfy to compete for Navy fleet cybersecurity contracts:
CMMC (Cybersecurity Maturity Model Certification)
- [ ] CMMC Level 2 certification obtained — Required for contracts involving Controlled Unclassified Information (CUI), which includes most Navy cybersecurity technical data
- [ ] CMMC Level 3 readiness assessment — For contracts involving critical national security systems or advanced persistent threat protection
- [ ] Certified Third-Party Assessor Organization (C3PAO) engagement — Schedule formal assessment at least 90 days before anticipated proposal submission
NIST 800-171 (Protecting CUI in Nonfederal Systems)
- [ ] All 110 security requirements implemented — Document implementation status in System Security Plan (SSP)
- [ ] Plan of Action and Milestones (POA&M) — For any controls not fully implemented, maintain current POA&M with remediation timelines
- [ ] Supplier flow-down compliance — Ensure subcontractors and teaming partners meet NIST 800-171 requirements
- [ ] Annual self-assessment completed — Upload current assessment to Supplier Performance Risk System (SPRS) with accurate score
NIST 800-53 (Security and Privacy Controls)
- [ ] Moderate baseline controls implemented — Navy systems typically require FISMA Moderate or High baselines
- [ ] Continuous monitoring program operational — Demonstrate ongoing security posture assessment capability
- [ ] Security Control Assessor (SCA) reports current — Independent validation of control effectiveness within past 12 months
Risk Management Framework (RMF)
- [ ] RMF process documentation — Demonstrate experience with Categorize, Select, Implement, Assess, Authorize, Monitor steps
- [ ] Authority to Operate (ATO) experience — Document past performance obtaining ATOs for DoD systems
- [ ] Navy-specific RMF knowledge — Familiarity with Navy's implementation through Department of Navy (DON) CIO guidance
DFARS 252.204-7012 (Safeguarding Covered Defense Information)
- [ ] Adequate security implementation — All 110 NIST 800-171 controls or approved alternative measures
- [ ] Cyber incident reporting procedures — Capability to report cyber incidents to DoD within 72 hours
- [ ] Malicious software reporting — Process for reporting malicious software discovered on covered contractor information systems
- [ ] Media preservation and protection — Procedures for preserving and protecting images of affected systems
ITAR (International Traffic in Arms Regulations)
- [ ] ITAR registration current — Required for access to naval vessel technical data and weapons systems integration
- [ ] Export compliance program — Documented procedures for handling ITAR-controlled technical data
- [ ] Foreign person access controls — Physical and electronic safeguards preventing unauthorized foreign national access
- [ ] Technology Control Plan (TCP) — For contracts involving ITAR-controlled technical data transfer
FISMA (Federal Information Security Management Act)
- [ ] FISMA compliance framework — Alignment with federal information security requirements
- [ ] Annual security training — All personnel with system access complete role-based security training
- [ ] Incident response capability — Documented and tested incident response procedures
Resources
Official Navy Guidance
- Department of Navy Cybersecurity Policy (SECNAV M-5239.2) (https://www.secnav.navy.mil/doni/Directives/05000%20General%20Management%20Security%20and%20Safety%20Services/05-200%20Management%20Program%20and%20Techniques%20Services/5239.2.pdf) — Navy's overarching cybersecurity policy framework
- Navy RMF Process Guide (https://www.doncio.navy.mil/rmf.aspx) — Department of Navy Chief Information Officer RMF implementation guidance
- NAVSEA Cybersecurity Engineering (https://www.navsea.navy.mil/Home/Warfare-Centers/NSWC-Dahlgren/Business/Cybersecurity/) — Technical requirements for shipboard systems
Compliance Frameworks
- CMMC Model v2.0 (https://dodcio.defense.gov/CMMC/Model/) — Official CMMC requirements and assessment process
- NIST SP 800-171 Rev 2 (https://csrc.nist.gov/publications/detail/sp/800-171/rev-2/final) — Protecting Controlled Unclassified Information
- NIST SP 800-53 Rev 5 (https://csrc.nist.gov/publications/detail/sp/800-53/rev-5/final) — Security and Privacy Controls for Information Systems
- DFARS 252.204-7012 (https://www.acquisition.gov/dfars/252.204-7012-safeguarding-covered-defense-information-and-cyber-incident-reporting) — Safeguarding requirements and cyber incident reporting
Contract Vehicles
- SeaPort-NxG Information (https://www.navsea.navy.mil/Home/Team-Acquisition/Seaport-NxG/) — Navy's IDIQ for engineering and technical services
- OASIS+ Program Office (https://www.gsa.gov/buy-through-us/products-and-services/professional-services/oasis-plus) — GSA's professional services vehicle
- SEWP Program (https://www.sewp.nasa.gov/) — NASA's IT procurement vehicle available to DoD
- GSA Schedule 70 (IT Schedule) (https://www.gsa.gov/buy-through-us/purchasing-programs/gsa-schedules/schedule-offerings/mas-information-technology) — IT products and services
Market Intelligence
- Navy Budget Highlights Book (https://www.secnav.navy.mil/fmc/fmb/Pages/Fiscal-Year-2025.aspx) — Annual budget justification materials (FY27 will publish Q1 2026)
- SAM.gov Navy Opportunities (https://sam.gov/search/?index=opp&page=1&sort=-relevance&sfm%5Bsimple%5D%5BorganizationId%5D%5B0%5D%5Bkey%5D=100000057&sfm%5Bsimple%5D%5BorganizationId%5D%5B0%5D%5Bvalue%5D=Department%20of%20the%20Navy) — Active and forecasted Navy solicitations
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How Cabrillo Club Automates This
Event Detection and Alerting
Cabrillo Signals War Room has already detected this Navy budget development and delivered this briefing to your dashboard within minutes of the announcement. The War Room continuously monitors Navy budget justification materials, Congressional testimony, program office announcements, and defense trade publications to identify funding shifts before they become formal solicitations. For this event specifically, War Room flagged the "increased investment" language and cross-referenced it against the Golden Fleet initiative timeline, automatically tagging it with relevant NAICS codes (541512, 541513, 336611) and compliance surfaces (CMMC, NIST 800-171, DFARS 252.204-7012) that apply to your company profile. You didn't need to manually track Navy budget hearings or parse through hundreds of pages of justification documents—the system surfaced this opportunity the moment it became actionable intelligence.
Opportunity Pipeline Impact Analysis
Cabrillo Signals Match Engine automatically rescored your existing opportunity pipeline when this event was detected, updating match scores for any Navy cybersecurity opportunities already in your tracking system. If you're currently pursuing a SeaPort-NxG task order for NAVSEA cybersecurity services, Match Engine increased its priority score based on the FY27 funding signal. The engine also adjusted keyword relevance weights—proposals emphasizing "fleet cybersecurity," "Golden Fleet," and "design-phase security integration" now receive higher alignment scores. For opportunities in the 30-90 day submission window, Match Engine flagged them for win theme updates to incorporate this budget development as a customer hot button. This happens automatically in the background; your capture managers see updated scores and recommendations without manual recalculation.
Proactive Opportunity Discovery
Cabrillo Signals Intelligence Hub tracks the specific agencies (Department of the Navy, Naval Sea Systems Command, Office of Naval Research), contract vehicles (SeaPort-NxG, OASIS+, SEWP), and NAICS codes associated with this budget increase. Use the saved search feature to create an alert profile matching "cybersecurity + (541512 OR 541513) + Department of Navy + (SeaPort-NxG OR OASIS+)" so you receive notifications within hours when relevant pre-solicitations or sources-sought notices appear on SAM.gov. The Intelligence Hub also maintains a timeline of related events—when the FY27 budget is formally submitted to Congress, when appropriations committees mark up Navy RDT&E accounts, and when program offices issue Broad Agency Announcements (BAAs)—so you can time your business development activities to the actual procurement cycle rather than reacting after RFPs drop.
Proposal Development Acceleration
Proposal Studio (Proposal OS) helps you respond to Navy fleet cybersecurity opportunities by maintaining a library of compliance matrices pre-populated with CMMC, NIST 800-171, NIST 800-53, and DFARS 252.204-7012 requirements. When a SeaPort-NxG task order drops requiring CMMC Level 2 and NIST 800-171 compliance, Proposal OS generates a first-draft compliance matrix showing which of the 110 security requirements your company has already implemented (based on your stored SSP data) and auto-populates technical approach sections with your past performance on similar Navy cybersecurity contracts. The AI-powered win theme library suggests positioning statements around "Golden Fleet design-phase integration" and "at-sea operational resilience" based on this budget event, ensuring your proposals speak directly to the Navy's stated priorities. The bid/no-bid decision engine factors in this FY27 funding increase when calculating probability of win (Pwin)—opportunities aligned with funded priorities receive higher Pwin scores, helping you allocate capture resources to the most promising pursuits.
Compliance and Capture Workflow Management
Proposal Studio Workflow Tracker automates the 9-gate capture process for Navy cybersecurity opportunities triggered by this budget event. When you move an opportunity from "Identified" to "Qualified" gate, Workflow Tracker automatically routes compliance reviews to your contracts team (to verify SeaPort-NxG contract ceiling and NAICS code eligibility) and your security officer (to confirm current CMMC certification status and SPRS score). For opportunities requiring ITAR compliance, the system generates a checklist ensuring your Technology Control Plan is current and all team members have appropriate export authorizations. As you progress through color team reviews, Workflow Tracker maintains version control on proposal sections, tracks RFP amendment incorporation, and generates audit-ready documentation packages showing compliance verification at each gate. If the Navy issues a sources-sought for Golden Fleet cybersecurity integration, Workflow Tracker prompts you to complete capability statement submission, logs agency feedback, and schedules follow-up touchpoints with the program office—ensuring nothing falls through the cracks during the 12-18 month period between budget announcement and contract award.
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Editorial Team
Cabrillo Club helps government contractors win more contracts with AI-powered proposal automation and compliance solutions.