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Report File
Date Issued
Submitting OIG
Tennessee Valley Authority OIG
Agencies Reviewed/Investigated
Tennessee Valley Authority
Report Number
2025-17529
Report Description

The Tennessee Valley Authority (TVA) plans to invest approximately $7 billion to extend and preserve the life of its seven nuclear units over the next 20 years. Selection of suppliers responsible for maintenance or system upgrades within TVA’s nuclear fleet can affect TVA’s ability to maintain generation reliability.  Because of the importance of supplier selections, we evaluated the solicitation and bid evaluation processes for Watts Bar Nuclear Plant (WBN). The objective of our evaluation was to determine if solicitation and bid evaluation processes were performed in accordance with TVA's policies and procedures for electrical, maintenance, and modifications services contracts at WBN. 

We determined that solicitation and bid evaluation processes for two projects implemented between April 11, 2024, and November 30, 2024, were not performed in accordance with TVA policies and procedures.  Specifically, Supply Chain was not involved in the solicitation and bid evaluation processes as required.  During our evaluation, we also identified gaps in the independent estimation process.  We determined that independent estimates were not always developed as required and checklists to support independent estimate development were not always completed in accordance with guidance.

Report Type
Inspection / Evaluation
Agency Wide
Yes
Number of Recommendations
3
Questioned Costs
$0
Funds for Better Use
$0
Report updated under NDAA 5274
No

Open Recommendations

This report has 3 open recommendations.
Recommendation Number Significant Recommendation Recommended Questioned Costs Recommended Funds for Better Use Additional Details
1 No $0 $0

We recommend the Director, Nuclear Asset Sustainability Projects, take steps to ensure that project managers include Supply Chain in the solicitation and bid evaluation processes in a timely manner.

2 No $0 $0

We recommend the Director, Nuclear Asset Sustainability Projects, take steps to ensure that independent estimates are completed as required.

3 No $0 $0

We recommend the Director, Nuclear Asset Sustainability Projects, take steps to ensure that estimation checklists are completed as required.

Tennessee Valley Authority OIG