All Reports

Proper practices and procedures can reduce the number of accidents resulting from an inadvertent release of hazardous energy, according to the Occupational Safety and Health Administration. The Tennessee Valley Authority’s Safety Procedure 18.613, Clearance Procedure to Safely Control Hazardous Energy Using Group Tagout, establishes minimum TVA-wide clearance requirements, while Power Operations Standard Programs and Processes 10.015, Coal and Gas Clearance Procedure, governs the clearance process at gas sites.

In keeping with its responsibilities under the Inspector General Act of 1978, as amended, the OIG monitored the audit of TVA's fiscal year 2024 financial statements performed by Ernst and Young LLP (EY) to assure their work complied with Government Auditing Standards. Our review of EY's work disclosed no instance in which the firm did not comply in all material respects with Government Auditing Standards.

At the request of the Tennessee Valley Authority’s (TVA) Supply Chain, we examined the cost proposal submitted by a contractor for engineering services in connection with the validation phase of TVA’s Small Modular Reactor and Clinch River Nuclear project. Our examination objective was to determine if the cost proposal was fairly stated for a planned $25 million contract.

The Office of the Inspector General performed an audit to determine if the Tennessee Valley Authority (TVA) has designed and implemented privacy requirements in accordance with the Consolidated Appropriations Act, 2005. Our scope was limited to TVA’s privacy program responsibilities as defined in the Consolidated Appropriations Act, 2005. We determined TVA had privacy policies in alignment with the Consolidated Appropriations Act, 2005.

The Office of the Inspector General (OIG) performed the procedures, which were requested and agreed to by Tennessee Valley Authority management solely to assist management in determining the validity of the Winning Performance (WP)/Executive Annual Incentive Plan (EAIP) Measures for fiscal year (FY) ending September 30, 2024. Tennessee Valley Authority management is responsible for the WP Measures data provided. In summary, procedures applied by the OIG found the:• FY 2024 WP goals for the enterprise measures were properly approved.

We performed an audit of costs billed to the Tennessee Valley Authority (TVA) by Barnard Construction Company, Inc., (Barnard) to provide TVA support in connection with its coal combustion residual conversion program, activities or projects, and/or waste-water treatment, dewatering, and landfill projects under Contract No. 13159. The contract provided for TVA to compensate Barnard for work on either a cost-reimbursable, target cost estimate, time and materials, fixed price, or fixed unit rate basis.

We performed an audit of costs billed to the Tennessee Valley Authority (TVA) by BFI Waste Systems of North America, LLC dba South Shelby Landfill (BFI) for the transportation and off-site disposal of coal combustion residual (CCR) material from TVA’s Allen Fossil Plant to BFI’s South Shelby Landfill under Contract No. 15327. Our audit objective was to determine if costs were billed in compliance with the contract’s terms.

The Office of the Inspector General determined that bid evaluation and negotiation processes related for major equipment suppliers of gas construction projects were operating as intended; however, improvements were needed in TVA’s solicitation process. Specifically, we identified an opportunity for improvement related to the development of technical standards used in the solicitation process.

We performed an audit of costs billed to the Tennessee Valley Authority (TVA) by Wesco Distribution, Inc., (Wesco) for operations materials and industrial equipment as part of TVA’s integrated supply program under master Contract No. 13421. Under the contract, TVA pays Wesco the established rates in the contract’s pricing schedules for inventory items that have a unique item number assigned.

The Office of Inspector General determined that the Tennessee Valley Authority’s portfolio management process is not operating as intended. Specifically, we found: • Some types of projects did not follow the portfolio management process as required by Tennessee Valley Authority-Standard Programs and Processes 19.003. In addition, TVA does not have a reverse capital flex list, as described in the Portfolio Management Guide.