We audited $9.58 million of costs billed to Bechtel Power Corporation (Bechtel) and subsequently to TVA by Williams Specialty Services, LLC (WSS) for asbestos abatement and valve refurbishment services at Watts Bar Nuclear Plant Unit 2 (WBN U2) under a subcontract agreement. We found the costs billed to Bechtel were inflated by at least $624,800 because the hourly rates WSS billed for craft and non-manual labor included overstated cost allowances. The inflated costs included:(1) $274,800 of craft labor billings that resulted because WSS' craft billing rates included overstated allowances for payroll tax costs, and(2) $350,000 for non-manual labor because the non-manual billing rates included excessive wage and burden rates.Additionally, since Bechtel added a 2.5 percent markup when it billed TVA, the actual costs paid by TVA were inflated by $640,420. Accordingly, we recommended TVA management take action to recover $640,420 in inflated craft and non-manual labor costs. Summary Only
Report Date | Agency Reviewed / Investigated | Report Title | Type | Location | |
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Tennessee Valley Authority | Williams Specialty Services - Subcontractor Services to Bechtel Power Corporation | Audit | Agency-Wide | View Report | |
International Trade Commission | Sunset Review: Evaluation of the Adequacy Phase | Inspection / Evaluation | Agency-Wide | View Report | |
Office of Personnel Management | Stopping Improper Payments to Deceased Annuitants in Washington, D.C. | Other | Agency-Wide | View Report | |
Peace Corps | Audit of Peace Corps/Rwanda | Audit | Agency-Wide | View Report | |
National Aeronautics and Space Administration | NASA's Grant Administration and Management | Audit |
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View Report | |
Department of Justice | Audit of the United States Marshals Service Complex Asset Team Management and Oversight (Redacted Version) | Audit | Agency-Wide | View Report | |
International Trade Commission | Evaluation of Pre-Filing and Pre-Institution of Section 337 Investigations | Inspection / Evaluation | Agency-Wide | View Report | |
AmeriCorps | Agreed-Upon Procedures for Corporation for National and Community Service Grants Awarded to Colorado Governor’s Commission on Community Service | Audit | Agency-Wide | View Report | |
International Trade Commission | Inspection of Physical Security | Inspection / Evaluation | Agency-Wide | View Report | |
Peace Corps | Evaluation of Peace Corps/Liberia | Inspection / Evaluation | Agency-Wide | View Report | |