Federal Reports

At the request of the TVA Supply Chain, we reviewed a cost proposal submitted for a planned $30 million contract to provide hydro modernization, unit rehabilitation, and functional support services in support of TVA's hydro facilities. The objective of our review was to determine if the cost proposal was fairly stated. In summary, except for excessive costs included in the proposed markup rates and labor and burden rates, nothing came to our attention that indicated the cost proposal was not fairly stated. We concluded TVA could avoid up to $2.11 million on the planned $30 million contract by negotiating reductions to the labor and burden rates and certain markup rates that correspond to the proposing company's actual 2014 costs and expected future costs. Summary Only

The OIG performed this audit to determine Enterprise Architecture and Planning's (EAP) current effectiveness and actions completed in the implementation of management action plans in response to a previous audit, and TVA IT's 1,000 Days to Success initiative (IT1K). The TVA OIG also assessed the design of the management action plans and IT1K program as well as identified gaps related to any outcomes not met.We found while EAP's operational maturity has improved, actual IT project delivery has been inconsistent. A review of a judgmentally selected sample of recently completed and ongoing projects identified various possible causes for this inconsistency, including:IT resource engagement, including level of involvement and resource availability.Level of IT senior leadership team's project engagement.Project Manager (PM) effectiveness, including the level of authority to acquire resources and the impact of PM turnover on projects.Inconsistent business engagement in IT projects.Inconsistent project processes, including the identification, documentation, testing, and tracking of business and functional requirements. Summary Only

The Internet of Things refers to interconnecting networks of physical objects embedded with digital sensors that can collect, transmit, and act upon a wide variety of data. The Office of Inspector General, in conjunction with IBM, examined how this technology could be applied to create an Internet of Postal Things (IoPT) that could increase efficiency, lower costs, generate revenue, and improve customer service.