TVA Fixed-Wing Aircraft Usage

Submitting OIG:

Report Description:

The Tennessee Valley Authority (TVA) has two fixed wing aircraft (FWA) that are to be used for mission-related transportation and business travel. According to TVA Standard Programs and Processes (SPP) 32.041, Use of TVA Fixed Wing Aircraft, its FWA are to be used in support of TVA's mission and congressionally mandated programs, in alignment with TVA Board Practice the Federal Travel Regulation, and other pertinent regulatory governance. In 2018, we performed an audit of TVA’s FWA and found TVA was not complying with various federal regulations and TVA policies and procedures regarding the use of its FWA. Due to the high number of issues found during our previous audit, we performed this follow-up audit to determine if TVA is complying with applicable laws and regulations and TVA policies and procedures regarding the use of its FWA. Our audit scope included all flight legs by TVA’s FWA between January 1, 2021, and January 31, 2023. We determined TVA was not in compliance with federal regulations related to (1) performing cost comparisons, (2) obtaining management authorizations to fly, and (3) reporting appropriate flight data to the General Services Administration. Additionally, TVA was not in compliance with its policies and procedures regarding (1) approving exceptions to flight restrictions, (2) documenting flight authorizations and business justifications, (3) providing timely flight approvals, and (4) performing semi annual audits. In addition, we noted a lack of clarity in TVA policies and procedures regarding required use travel.

Date Issued:

Friday, June 7, 2024

Agency Reviewed / Investigated:

Tennessee Valley Authority

Submitting OIG-Specific Report Number:

2023-17426

Location(s):

Agency-Wide

Type of Report:

Audit

Questioned Costs:

Funds for Better Use:

Number of Recommendations:

Report updated under NDAA 5274:

View Document:

Attachment	Size
2023-17426.pdf	534.51 KB

Recommendation Number	Recommendation Status	Significant Recommendation
1	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, develop a process to verify cost comparisons are performed in accordance with the Federal Travel Regulation as required in the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes prior to scheduling fixed-wing flights.
2	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, update the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes to align with Federal Travel Regulations to include consideration of other modes of transportation capable of meeting the travel requirement as a factor to be considered when performing economic justifications.
3	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, update the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes to require Aviation Services to run the third-party operating cost and performance guide at certain intervals to obtain up-to-date costing information for use in cost comparisons or use historical flight data to establish a more accurate cost to operate fixed wing aircraft.
4	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, develop a procedure to verify management authorizations are obtained prior to use of Tennessee Valley Authority fixed wing aircraft for travelers without blanket authorizations.
5	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, update the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes to improve compliance with the Federal Travel Regulation and provide guidance on requirements of the Office of the General Counsel approval for nonfederal travelers.
6	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, verify all senior federal travelers and nonfederal travelers are reported in the Senior Federal Travel Reporting semiannually.
7	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, work with applicable Tennessee Valley Authority groups to ensure complete and accurate Federal Aviation Interactive Reporting System data is being obtained and submitted to General Services Administration on a quarterly basis.
8	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, implement a process to ensure that exceptions to restrictions for allowed passengers are documented with the Chief Executive Officer and the Office of General Counsel concurrence prior to flights.
9	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, reinforce the requirement in the Tennessee Valley Authority Standard Programs and Processes 32.040 that Aviation Services conduct a full review of all travel related flights to ensure adequate documentation and authorization is maintained for every flight.
10	Open	No
We recommend the Senior Vice President, Resource Management and Operations Services, develop a process to ensure Aviation Services’ approval, and executive review, occur prior to each flight.

Recommendation Number

Recommendation Status

Significant Recommendation

Additional Details

Open

We recommend the Senior Vice President, Resource Management and Operations Services, develop a process to verify cost comparisons are performed in accordance with the Federal Travel Regulation as required in the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes prior to scheduling fixed-wing flights.

Open

We recommend the Senior Vice President, Resource Management and Operations Services, update the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes to align with Federal Travel Regulations to include consideration of other modes of transportation capable of meeting the travel requirement as a factor to be considered when performing economic justifications.

Open

We recommend the Senior Vice President, Resource Management and Operations Services, update the Tennessee Valley Authority Fixed Wing Aircraft Standard Programs and Processes to require Aviation Services to run the third-party operating cost and performance guide at certain intervals to obtain up-to-date costing information for use in cost comparisons or use historical flight data to establish a more accurate cost to operate fixed wing aircraft.

Open

We recommend the Senior Vice President, Resource Management and Operations Services, develop a procedure to verify management authorizations are obtained prior to use of Tennessee Valley Authority fixed wing aircraft for travelers without blanket authorizations.