TVA Management:

Information on Compensation for Top Managers

RCED-89-137BR: Published: May 17, 1989. Publicly Released: Jun 16, 1989.

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Pursuant to a congressional request, GAO reviewed the levels and types of compensation the Tennessee Valley Authority (TVA) provided its top management employees and its authority for making additional compensation payments.

GAO found that: (1) supplemental compensation or relocation incentive payments used to circumvent TVA salary limitations were improper; (2) TVA used its supplemental compensation plan to provide additional compensation to recruit and retain top managers and reward outstanding managerial performance; (3) the plan differed from such Employee Retirement Income Security Act provisions as eligibility, funding, and contribution limits; and (4) TVA provided various types of compensation to its top managers in addition to a base salary, including relocation incentive payments, performance awards and bonuses, and paid medical insurance.

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