All Reports

As reflected in this semiannual report to Congress, the OIG continues to better enable TVA to preparefor expected changes in its business environment.

This semiannual report summarizes the work of the OIG from April 1 through September 30, 2004. The audits, investigations, and inspections highlighted in this report illustrate our continuing commitment to helping TVA promote economy, efficiency, and effectiveness in its programs and operations.During the past six months, our audits, investigations, and inspections continued to add to TVA’s “bottom line.” We identified over $4.8 million in potential savings or recoveries, and TVA used our findings from this and prior reporting periods to save over $7 million.

As we continue to mark the 25th Anniversary of the Inspector General Act, we devote a portion of this report to note the TVA OIG accomplishments over the last 18 years. Reflecting on the contributions we have added to TVA over these many years demonstrates the value of independent reviews of TVA programs and personnel. On our contract audit efforts alone (including preaward audits), our office has identified on average about $30 million annually in savings and potential avoided costs since 1986.

This is my first report to the Board of Directors and to the United States Congress after being nominated by President Bush in February and later confirmed by the United States Senate in May. I am appreciative of the trust and confidence placed in me by the President given what I view as significant challenges for both my office and TVA. President Bush met with the Inspectors General (IGs) in Washington on October 14, 2003, and expressed his support of our efforts to bring about good government in our respective federal agencies.

I am pleased to submit this semiannual report on the accomplishments of the OIG for the six-month period ending March 31, 2003.I have been honored to serve as the Acting Inspector General since January 2002. The OIG staff and I now look forward to serving with a recent presidentially nominated Inspector General.

I am pleased to submit this semiannual report on the accomplishments of the OIG for the six-month period ending September 30, 2002.I am honored to continue serving as the Acting Inspector General. During this reporting period, our efforts ranged from increasing our role in financial-related matters and security reviews to conducting contract audits and integrity investigations.

I am pleased to submit this semiannual report on the accomplishments of the OIG for the six-month period ending March 31, 2002.It is a privilege to serve as the Acting Inspector General at TVA during this time. Following the tragic events of September 11, 2001, we expanded our efforts to ensure the security and safety programs TVA has in place are adequate. We also have continued our efforts to achieve our strategic objectives.

I am pleased to submit this semiannual report on the accomplishments of the OIG for the six-month period ending September 30, 2001.Consistent with our newly adopted strategic plan, we made significant progress during the period in aligning the organization to better support the needs of our stakeholders. In this regard, we reorganized our audit operations to provide better emphasis on the core business processes of TVA, including energy operations.

I am pleased to submit this semiannual report on the accomplishments of TVA’s OIG for the six-month period ending March 31, 2001.This reporting period has continued to reflect significant change for the OIG. Since my appointment as the Inspector General in August 2000, we have implemented a number of initiatives designed to enhance OIG performance and to ensure alignment of our goals and objectives with the needs of our stakeholders. We are currently undertaking development of a comprehensive strategic plan and have articulated an OIG vision of . . .

As the newly appointed Inspector General for TVA, I am pleased to submit this semiannual report on the accomplishments of the OIG for the six-month period ending September 30, 2000.This reporting period has been one of significant change for the OIG. In July 2000, George Prosser, who served as the TVA Inspector General for six years, announced his decision to retire. The TVA Board of Directors appointed me as the new Inspector General, and I transferred in August from the U.S. Postal Service where I served as Deputy Inspector General. Mr.