Company: TVC
Filing Date: 2025-11-13
Form Type: 10-K
Source: 0001376986-25-000056
Chunk: 300

Company: Tennessee Valley Authority
Filing Date: 2025-11-13
Form: 10-K
Item: Item 1
Chunk 300
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 billion of the Power Program Appropriation Investment has been repaid in accordance with the 1959 amendment.   TVA fulfilled its requirement to repay $1.0 billion of the Power Program Appropriation Investment in 2014.  The TVA Act requires TVA to continue making payments to the U.S. Treasury as a return on the remaining $258 million of the Power Program Appropriation Investment.TVA paid the U.S. Treasury $8 million, $7 million, and $6 million in 2025, 2024, and 2023, respectively, as a return on the Power Program Appropriation Investment.  The amount of the return on the Power Program Appropriation Investment is based on the Power Program Appropriation Investment balance at the beginning of that year and the computed average interest rate payable by the U.S. Treasury on its total marketable public obligations at the same date.  The interest rates payable by TVA on the Power Program Appropriation Investment were 3.39 percent, 3.02 percent, and 1.99 percent for 2025, 2024, and 2023, respectively.TVA also has access to a financing arrangement with the U.S. Treasury pursuant to the TVA Act.  TVA and the U.S. Treasury entered into a memorandum of understanding under which the U.S. Treasury provides TVA with a $150 million credit facility.  This credit facility has a maturity date of September 30, 2026, and is typically renewed annually.  Access to this credit facility or other similar financing arrangements has been available to TVA since the 1960s.  See Note 15 — Debt and Other Obligations — Credit Facility Agreements.In the normal course of business, TVA contracts with other federal agencies for sales of electricity and other services.   Transactions with agencies of the federal government were as follows:

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Related Party TransactionsAt or for the years ended September 30(in millions) 202520242023Revenue from sales of electricity$132 $118 $120 Other income309 273 282 Expenditures Operating expenses264 241 234 Additions to property, plant, and equipment13 12 8 Cash and cash equivalents31 31 31 Accounts receivable, net89 81 87 Investment funds534 495 391 Long-term accounts receivable43 35 38 Accounts payable and accrued liabilities41 45 42