TVA responds to administration’s FY 2016 budget

The administration released its fiscal year 2016 proposed budget Monday Feb.2, 2015. The budget contains language that ends a strategic review of TVA begun at the administration’s behest two years ago, and recognizes the steps TVA has taken to improve the enterprise’s operating and financial performance.

“We are pleased the administration has completed its strategic review of TVA and supports our ongoing efforts for continuous improvement in our operational and financial performance,” said TVA President and CEO Bill Johnson. “This work will be essential in continuing the benefits of the public power model through which TVA provides substantial economic and other value for the region.”

“Although TVA is owned by the federal government, it does not receive taxpayer dollars and its debt is not taxpayer funded,” said Chief Financial Officer John Thomas. “TVA remains financially healthy and we continue to improve our overall financial metrics.”

TVA is on track to reduce its operating and maintenance costs by a sustainable $500 million by the end of FY2015 in order to keep rates as low as possible while continuing its economic development and stewardship programs.

“Our hard-working employees remain focused on serving our customers and working safely and productively for the people of the Tennessee Valley,” said Johnson. “We remain committed to our mission of providing cleaner, reliable, low cost power, economic development and environmental stewardship. This is our top priority.”