THOMPSON
STATEMENT ON GAO REPORT ON
TVA CENTER FOR RURAL STUDIES
WASHINGTON
– U.S. Senator Fred Thompson (R-TN) today issued the following
statement regarding the release of the General Accounting Office
report entitled, "Tennessee Valley Authority: Problems With
Irrevocable Trust Raise Need for Additional Oversight."
"Congress
and the Governmental Affairs Committee have oversight responsibility
with regard to TVA and its Board of Directors, who are confirmed by
the United States Senate.
"During
the recent GAO investigation with regard to the dispute involving
Inspector General Prosser, certain matters came to the attention of
the GAO with regard to the so-called Center for Rural Studies (CRS)
which I felt needed further investigation. Therefore, I asked the GAO
to follow up. The report released today provides disturbing new
insights as to the circumstances surrounding the establishment of the
CRS and the way the investigation of it was handled. However, the
report still leaves certain questions unresolved and it is the
intention of this Committee to look into the matter further.
"I
can say at this stage that I completely concur with GAO’s conclusion
that there is a need for better oversight of TVA’s activities. TVA
is a quasi-governmental body that expends ratepayer money and, during
the time of these events, taxpayer money. The TVA Board is accountable
to Congress and to the public, and its activities must be subject to
openness and public scrutiny. This has not been the case with regard
to the CRS matter. A decision not to prosecute criminally, even if
made properly, does not absolve Congress of its oversight
responsibility and the need for public disclosure.
"In
addition to pursuing the remaining unresolved questions, I am hopeful
that the House will promptly take up the bill which has passed the
Senate making the TVA Inspector General presidentially appointed
rather than hired and fired by the TVA Board. Furthermore, I believe
the time has come to take up Senator Frist’s bill to reorganize the
TVA management structure.
It is with
great regret that we have to take up these matters in the current
environment as Congress considers deregulation of the electrical power
market and other issues vitally important to the ratepayers of the
Tennessee Valley. Nevertheless, it does not change our responsibility
to conduct proper oversight of TVA. We from the TVA area have a
special responsibility to make sure that things are done properly at
TVA. If we do so, then that will be our greatest strength in the long
run."
A
copy of the GAO report is attached.