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TVA board votes to delegate authority to CEO

Published on NewsOK Modified: December 10, 2012 at 1:56 pm •  Published: December 10, 2012
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NASHVILLE, Tenn. (AP) — The Tennessee Valley Authority's board voted Monday to delegate certain authority to the utility's new chief executive in case five of its vacancies aren't filled before Congress adjourns this month.

The board is made up of nine members and five seats are pending congressional action, including one that's up for reappointment. Whenever five or more of the seats are vacant, the board lacks a quorum.

The authorizations and delegations approved at a special meeting on Monday would only go into effect if the panel lacks a quorum because of vacancies.

"Our primary objective ... is to make sure TVA continues to have flexibility to manage its activities with a maximum effectiveness while the process continues in Washington," said Board Chairman Bill Sansom.

TVA spokesman Scott Brooks told The Associated Press before Monday's vote that the new authority allows the CEO to conduct TVA business without the board "in certain critical areas," such as handling financing arrangements and contracts. The last time TVA operated without a board quorum was in 1999.

Brooks said it's possible Congress could fill the vacancies before leaving, but the utility is playing it safe because it doesn't control the process.

"It's a process," he said. "It's always been a process."

Tennessee Republican U.S. Sens. Lamar Alexander and Bob Corker have criticized the Obama administration for not making the TVA board nominations sooner and say they understand the action the utility has taken, the Chattanooga Times Free Press recently reported.

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