Agreed-Upon Procedures for TVA Fiscal Year 2010 Performance Measures

The OIG performed four agreed-upon procedures, which were requested solely to assist management in determining the validity of the Winning Performance (WP) payout awards for the year ended September 30, 2010. Following are the results of the procedures applied:The fiscal year (FY) 2010 WP goals were properly approved. Nine change forms affecting 16 measures and/or payout percentages were also properly approved which resulted in nine increases and three decreases to the payout.Actual year-to-date data for September 2010 for all the measures on the strategic business unit and business unit scorecards agreed with respective supporting documentation provided. Subsequent changes to actual data were received through October 28, 2010, and traced to supporting documentation without exception.Actual year-to-date data for the two incentivized TVA corporate balanced scorecard measures agreed with underlying support. Subsequent changes to the net cash flow actual year-to-date data as of November 10, 2010, were received and compared to the supporting Statement of Cash Flows. These changes did not impact the payout percentage.The FY 2010 WP payout percentages provided by the Performance Analysis & Productivity organization on October 25, 2010, were recalculated and compared without exception. Subsequent changes to actual data and goals were received through October 28, 2010, and November 5, 2010, respectively. The payout percentages based on these changes were recalculated without exception. A subsequent change to the actual year-to-date data for the net cash flow measure through November 9, 2010 was received; however, this change did not impact the payout percentages. Summary Only